Samsung has launched Nexledger, a blockchain-based enterprise solution. The system can be used across all industries and supply chains. Its functionalities aim at creating faster and more secure financial transactions and a sharing environment across the entire organization.
South Korea is one of the most high-tech countries in the world. The country is also one of the largest crypto trading markets. It’s therefore no surprise that Korea’s tech giant Samsung is one of the blockchain frontrunners.
Samsung SDS, the company’s IT subsidiary, is manufacturing ASIC mining chips. They have also been involved in several ICOs and blockchain startups and have launched the blockchain-based Nexledger platform.
Nexledger is a blockchain-based enterprise solution
Nexledger was formally released on April 6, 2017. It provides an integrated solution for corporations to manage digital financial transactions and data exchange. The system can be used across all industries and supply chains.
“In developing our blockchain platform, we thought hard about how to merge our strengths and know-how from our system integration service expertise with the advantages of blockchain technology,” says Song Kwang-woo, Samsung SDS Vice President of finance consulting and distributed ledger technology.
Nexledger is a permission-based blockchain model that is composed of trusted participants and hosted with cloud computing. Unspecified nodes who are not part of the network are blocked from potential access.
The mining process is based on a hybrid POW solution commonly found in private enterprise blockchains. That means building consensus and validating blocks is managed by approved actors.
As Nexledger was designed for private enterprises, it lacks some of the utility features commonly found in public blockchains. It has no native coin used as currency of its blockchain. However, users can collect membership points, which they can use to pay for services on the network or convert them into digital currencies.
Blockchain-based solutions for logistics, manufacturing and finance
Nexledger can be applied to a variety of business themes. The system’s functionalities aim at creating faster and more secure financial transactions and a sharing environment across the entire organization.
In logistics, Nexledger prevents document forgery by sharing and comparing transactions via the blockchain. It can also simplify custom clearing and provide provenance within the supply chain, as certificates of origin are created from historic and real-time records.
In manufacturing, Nexledger is applied to Supply Chain Management and ERP systems to increase data transparence and enhance collaboration of separate entities within the system. Nexledger also comes with an e-contract system to sign off deals.
In finance, Nexledger’s digital payment system verifies original documents and uses secure verification data for system logins and joint authentication across banks. It also includes smart contracts for financial services that automatically execute transactions.
Wide variety of use cases
Nexledger can help companies to streamline their processes.
Customers can log into the system of Nexledger affiliated companies via their mobile phones. They are provided with a one-time signup blockchain-based digital identity. The customer data can be shared between affiliated companies and financial institutions, if authorized by the customer.
That simplifies all kind of economic transactions, from basic grocery shopping to paying rent. Nexledger allows for secure digital payments either via credit or debit cards, bank accounts or cryptocurrencies. Customers can also create secure digitally-stamped signatures to manage digital documents, which will reduce bureaucracy and paperwork.
Nexledger is an interesting use case and shows how much potential there is for blockchain-based enterprise solutions. Samsung SDS expects that blockchain technology will require some time before more corporations start to adopt it, but Nexledger could speed up the process. Let’ see, the proof is in the pudding.