Quorum vs Hyperledger - Which One is the Most In-Demand Blockchain Platform

Blockchain technology has proven to be one of the most robust inventions in the last few years. It provides a perfect opportunity for enterprises to benefit from secure transactions since the concept of trust is deeply intertwined into both private and public Blockchain platforms.

Both network types offer numerous features and benefits for enterprises. However, in a public, permissionless Blockchain network, there is no central authority to control and secure data. Every network user can have a copy of the data. Therefore, enterprises that wish to maintain data and don’t want third parties to access sensitive information can opt for private Blockchain networks. The two leading private Blockchain networks available for enterprises include Hyperledger and Quorum.

Let’s read about what these platforms offer and which one to choose for future projects:

Introduction to Quorum

Quorum is an enterprise-grade open-source Blockchain platform. This private (permissioned) Blockchain platform is derived from Ethereum. In a private network, only a single member will own a consortium blockchain network, or all the nodes, whereas other participants own a portion of the network. Meaning that, the Quorum platform is not decentralized like public networks. In a Quorum platform, only participants with permission can perform transactions, run a full node, or approve the Blockchain changes.

Since Quorum is forked off from Ethereum, it leverages Smart Contracts to ramp up user transactions inside the Blockchain. With Quorum Blockchain development, leading sectors like banking and finance can establish the permissioned structure and robust privacy protections needed within their infrastructure.

Benefits of Quorum Blockchain

• Privacy - Quorum’s ‘Constellation’ is a P2P encrypted transaction manager offered by the platform. This built-in manager is responsible for transferring private data to network participants. In addition, it controls the execution of both private contracts and private transactions.
• Voting Consensus Mechanism - The Quorum platform relies on QuorumChain, which is a voting consensus mechanism. This mechanism gives voting rights to all network participants to achieve consensus on transactions and decisions by totaling the number of votes cast by nodes within a network. To delegate consensus rights, QuorumChain leverages the Smart Contract functionality. Hence, the transactions and exchanges remain immutable within this platform.
• P2P-Based Permissioning - As said before, the Quorum platform embraces peer-to-peer permissioning, which helps in ensuring that only authorized parties join the network via the usage of Smart Contracts.
• Greater Performance - Beyond the public Geth (Ethereum) network, Quorum offers much greater speed and execution of transactions. It is more resilient and capable of executing more TPS (Transactions Per Second) than Ethereum and Bitcoin.

Introduction to Hyperledger

Hyperledger is also an open-source Blockchain platform designed & maintained by the Linux community. Hyperledger supports the development of electronic ledgers for supply chain management, healthcare, and finance (instead of managing data in a traditional ledger). With Hyperledger Blockchain development, enterprises can boost transaction performance and productivity in their business processes.

Benefits of Hyperledger Blockchain

• Permissioned - Being a permissioned Blockchain platform, users can access applications developed on Hyperledger after submitting a proper identity requirement to network administrators. This is highly advantageous for enterprise members, who wish to perform a large number of exchanges with greater confidentiality and privacy.
• Improved Security - In the permissioned Hyperledger Blockchain, each transaction remains private and tamper-proof on the network. This degree of security around transaction information supports organizations to maintain better data governance.
• Interoperability - Modular architecture of Hyperledger ensures that applications and protocols are developed to supplement and integrate one another. Enterprises can have the ability to modify interfaces, optimize payment protocols, and integrate several third-party applications to enable cross-border transactions for network users.
• Automate Transactions - In the Hyperledger ecosystem, Smart Contracts can be organized by deploying modules known as Chaincode. With highly programmable Chaincode, organizations can digitize transactions and enable the formation of new digital assets and financial means.

Key Differences Between Quorum and Hyperledger

Though Quorum and Hyperledger are private and permissioned Blockchain networks, they differ in their vision, features, and use cases.

Node Authorizations

Quorum and Hyperledger hold strict limitations and guidelines on who can participate in the private network. The entry of participants into the private Blockchain and the standards of the other peers or nodes are controlled by a central authority, which might be an individual or a group of followers.

Hence, in Hyperledger, the central peers validate and permit other nodes for performing any transaction. This permission control can be applied at the channel, node, or consortium levels. Unlike Hyperledger, Quorum makes use of Smart Contracts to organize node permissioning. Smart Contracts only distribute information or complete transactions to those who meet conditions.

Consensus Algorithm

A key computer science technique that enables agreement execution within private Blockchain networks on a particular data value is the ‘Consensus Algorithm’. It helps a Blockchain network that contains numerous faulty nodes perform reliable exchanges. In simple terms, consensus algorithms are used to organize consensus transactions.

By using Hyperledger solutions, many transactions can be performed fast & concurrently, improving transaction performance rather than being carried out based on rules. Hyperledger embraces the RAFT and KAFKA algorithms to achieve a consensus to verify and implement transactions. On the other hand, Quorum uses the QuorumChain procedure to achieve consensus. QuorumChain uses the RAFT/BFT algorithms and a forthright voting system that follows a series of rules to approve transactions.

Currency

In the Hyperledger ecosystem, participants can form digital currencies and native tokens via the FabToken currency system. The JPM coin is the digital currency of Quorum Blockchain. All tokens and currencies supported on the Ethereum platform are also compatible with the Quorum ecosystem.

Smart Contracts

The Smart Contract logic of Hyperledger can be modified by programming the Chaincode package. Some common programming languages like Go, Node.js, and Java can be used to program Chaincode. Since Quorum was designed for banking and financial enterprises and strengthens the legally binding agreement, Quorum uses Smart Contracts in conjunction with Ricardian principles for better validation and security. Quorum leverages Solidity programming language for Smart Contracts.

Summing Up

To sum up, both Quorum and Hyperledger offer advanced security, scalability, and privacy for enterprises while improving the performance of transactions. Hence, enterprises can choose their Blockchain platform by assessing which one is adaptable and more relevant to their business requirements. By hiring Blockchain developers from a recognized development company, organizations can build enterprise-grade Blockchain solutions on any of these platforms and attain fast digitization.