Microsoft deployed an additional consensus mechanism for customers creating applications based on the Etherium technology on the Azure platform, which eliminates mining.
The mechanism called "Proof-of-Authority" will replace the mining process of proof-of-work, which is most often found in open blockchains. However, PoA is only applicable in a managed network scenario so only invited parties can act as nodes. This was announced on Tuesday by software engineer Azure, Cody Born.
Adding evidence of credibility will allow institutional clients to check more effectively transactions and maintain a high level of security, Bourn said:
"An alternative protocol, Proof-of-Authority, is more suitable for permissioned networks where all consensus participants are known and reputable. Without the need for mining, Proof-of-Authority is more efficient while still retaining Byzantine fault tolerance."
The Consensus of the Proof-of-Authority requires the presence of invited parties as evidence of their participation in the decentralized network. In this regard, Bourne's note notes that the mechanism allows "each participant in the consensus to delegate several nodes to work on his own behalf." The goal is to ensure that even if one node disconnects, the consensus authority will still be able to maintain its presence on the network.
It should be noted that the mechanism of proof of authority is not a novelty. It was first conceived by the developers of Parity. It was also deployed in the VeChain blockchain.
The addition of the mechanism follows the launch of Azure Blockchain Workbench, a tool designed to optimize the process for enterprises that creates decentralized applications on the cloud computing platform.
In addition, in April it became known that the Taiwan subsidiary of Microsoft Corp. had entered into a partnership with Digital China and Hot Cool with the goal of sharing blockchain technology to optimize the finance, e-commerce and entertainment industries of Microsoft.
In addition, in June EY and Microsoft launched a blockchain platform for intellectual property. The project is built on the Quorum blockchain-platform, combined with the cloud application - Microsoft Azure. First, the platform will be used in the gaming industry, although it can be also used in many industries where intellectual property protection is required.