CORDA BRIEF OVERVIEW
CORDA BRIEF OVERVIEW
Corda is really a permission blockchain network or I should not really say it is a Blockchain because I should call it a distributed ledger but there is not a blockchain in Corda.
for instance, there is not a notion of fully ordered transactions that are all hash chained together.
So there is no really a blockchain but is a distributed ledger with consensus.
Corda has been designed specifically considering the requirements of financial services use cases.
So the now bunch of banks have come together to form a consortium called R3 and R3 leads the development of Corda and also the governance around the Corda development itself.
it is specifically designed considering data privacy as a first-class requirement and Corda was open-sourced in November 2016 and has been seeing a good amount of progress in terms of capabilities over the last year and a half.
CORDA BRIEF OVERVIEW
R3 is coming out with an enterprise version of Corda and it is compatible with the open-source version with some improvements.
So they are promising higher availability and performance enhance security using intel SGX and the notion of enclaves for secure execution and also integration with the hardware security modules for key management.
They are also bringing in a modular database so we can use different relational databases along with Corda and it also brings on integration with LDAP (lightweight directory access protocol same as an HTTP hypertext transfer protocol) and active directory.
R3 the consortium of financial institutions has partnered with Microsoft to offer Corda on Microsoft azure.
It is also available on the AWS marketplace so it is now available for you to instantiate on a public cloud and try it out.
KEY DESIGN PRINCIPLES
The first very fundamental and very unique principle of Corda is that it doesn’t have any global broadcast.
If you look at any other blockchain platform there is typically an exchange of information.
It could be transactions typically that are spread across the network and all the network participants will get that transaction information.
So that is a global broadcast inherently part of every blockchain platform.
Corda in stock contrast, because they value privacy and they want to build that in as first-class constructs.
There is no global broadcast so all the message exchanges are peer to peer. you can only point to another peer and send a message across to the entire network and that is also fundamental because you do not want to send a message you want to keep the message private and only authorized entities should be recipients of the message no blockchain measure mentioned.
It is going to be a distributed ledger. every node will maintain its own ledger and in some sense, the global distributed ledger is a union of all these ledgers.
It does use a UTXO state machine model and it does have a way to verify that you are actually trying to use unspent transactions and you are not trying to double spend in any way.
So it is not an account base model.
Fabric and ethereum use an account-based model where there are accounts and accounts that can store arbitrary state whereas here there is a UTXO model and you are only going to be transacting with unspent transactions it is a permission network.
So it is going to have identity issuance on the network that is issued by our trusted Doorman service.
All communication between nodes is direct as I mentioned it has to be addressed to a particular recipient;
it is encrypted using TLS. so it is secure so it is a secure message exchange, it is sent over AMQP, there are no global broadcasts.
The ledger itself is a relational database.
So the smart contract can invoke SQL queries to read and write from the database which is the ledger, and the smart contract itself is based on any JVM language you can use your contract in any JVM language, typically it is kotlin.
Some of the contracts they have written are in kotlin and virtual machines like ethereum have the ethereum virtual machine the contract runs in a JVM based virtual machine on which these contracts run.
GLOBAL CORDA NETWORK FOR INTEROPERABILITY
Apart from just a private permissioned network. R3 or the Corda community envisions are really a network of networks to evolve.
So there could be for instance a network of entities working on a shared KYC application there could be another network of application entities working on a bank guarantees another network for trade finance could be overlapping network.
So there could be common entities in this network that are entirely possible. But the Corda R3 really envisions all of these independent blockchain networks to actually be interacting with one another.
They might be leveraging the same oracles for trusted information they could be using the same notaries, for instance, there could be overlap in some of these functions but apart all of these networks are connected in a global interoperability zone it really gets you the notion of a public network.
this connection between multiple private networks in a globally shared network gives you both the privacy of permission networks as well as the interoperability across networks.
I want to do something on KYC and then I want to issue a bank guarantee. So all of these things can be interoperable and part of a globally shared network.
It also allows each node to operate within a particular zone and it can transact with other nodes in those zones, so the global Corda network allows assets to be created in one zone, and then it can be transferred over to another zone.
those sorts of interoperability functions will become possible with this global interoperability zone.
Corda 3.0 delivered a stable protocol for this and the future versions of Corda will be compatible with this.
this really allows multiple networks to be interoperable and assets to be taken from one network to another and nodes to really transact across these different zones.
READ MORE ARTICLE: R3 CORDA
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