What is Hyperledger Iroha?

If your company employs distributed ledger technology, you should look at Hyperledger Iroha, a blockchain platform that is easy to integrate. The platform has several potential applications, including facilitating bank-to-bank transactions in the financial services industry and helping governments and businesses with identity management (e.g., national IDs).

The corporation’s website states, “Hyperledger aims to create distributed ledger technology that enables organizations to build and run robust, industry-specific applications, platforms, and hardware systems to support their individual business transactions.”

The Hyperledger project family includes the Linux Foundation-hosted Hyperledger Iroha, which had its May 2019 launch. Soramitsu Co. Ltd., a Japanese fintech startup, has open-sourced the code for Iroha. Hitachi, Soramitsu, NTT Data, and Colu were the original contributors.

A Hyperledger Iroha Tutorial

For infrastructure projects that need distributed ledger technology, Hyperledger Iroha provides a blockchain foundation for businesses. One way blockchain technology facilitates public data sharing is through its distributed ledger, which functions similarly to a shared database. Nonetheless, a private blockchain network provides a solid foundation for many companies to develop software applications for internal use or sell them to consumers.

Users can create apps tailored to their company’s requirements using the Hyperledger Iroha platform, especially for mobile usage. Included in its architecture is the software engineering language C++, which is domain-driven. Yet Another Consensus Algorithm, or YAC, is another aspect of Iroha. Coded sequentially, an algorithm is a method for solving problems and carrying out instructions.

Included in Hyperledger Iroha’s features are:

• When an application requires several signatures to settle a transaction, multi-signature (or multiple key) functionality is available.
• Help develop apps in languages like iOS, Python, Java, and JS for various platforms (e.g., mobile and mainframe).
• Various OSes that are compatible, such as Windows, Linux, and macOS
• The developer-friendly, plug-and-play architecture makes it simple to launch a blockchain.

Iroha facilitates the blockchain ecosystem through its modular design architecture, easy asset management, participant identification, and secure control and permissions over user roles and activities. It also offers developers a wide range of code libraries to make application development hassle-free.

To modernize retail payments and provide better services at lower costs, the National Bank of Cambodia, for instance, uses Hyperledger Iroha to reach out to the unbanked, particularly in rural areas, encourage the usage of the national currency rather than U.S. dollars, and reduce the compliance burdens on certain payment service providers. Over 10,000 customers and 16 banks completed 2,000 transactions per second during the pilot project’s live launch in July 2019.

The Distinction Between Private and Public Blockchains

Unlike Ethereum and Bitcoin, which function as permissionless ledgers that everyone may join and provide access to anything on the network, Iroha operates as a permissioned ledger. Only authorized users may join, engage, and contribute to the Iroha blockchain system because of the permissioned nature of its activities.

People in a permissioned network may already know each other, which increases the likelihood that they will have common interests and work together to reach a consensus. In a permissioned network, users can exchange data on a blockchain safely.

On the other hand, data on a public blockchain is accessible to everybody. Part of the proof-of-work procedure is ensuring that transactions on a public blockchain are legitimate and not fraudulent. Due to the system becoming overwhelmed by an increasing number of transactions, public blockchains frequently experience delays or sluggishness.

Eliminating bottlenecks caused by proof-of-work procedures allows permissioned networks, such as Hyperledger Iroha, to address issues more rapidly than public blockchains. However, Iroha allows for limited access to data querying, as not everyone has permission to read and validate blockchain data. A qualified participant can manufacture Iroha tokens as needed for business usage, unlike Bitcoin or Ethereum, which do not have a native cryptocurrency.

Hyperledger Iroha Use Cases

Businesses may use Iroha to build and oversee digital assets ranging from the most basic, like any coin, to the most advanced, including indivisible rights, certificate authenticity, and patents.

Certifications

Educational and healthcare institutions may issue and verify various certificates to individuals using Iroha’s ability to construct certifying identities. To ensure a candidate’s credentials are valid, the blockchain may record their degree and grant verification privileges to any eligible hiring agency or business.

Virtual Personas

You may also use Iroha to make digital representations of physical things and trade them for little or no money at all. For example, the present owner of a classic automobile can imbue themselves with ownership by creating a digital asset on the blockchain that symbolizes the classic car. After that, they may use a multi-signature transaction to offer to transfer ownership, including the transfer fee in a specific currency. Interested parties may accept the offer on the blockchain, finish the transaction by sending money to the current owner, and then get the automobile.

Customer Know-How (CYC)

Know Your Customer (KYC) processes may also use Hyperledger Iroha for identity management. Know your customer (KYC) procedures let financial institutions like banks and investment businesses learn about their customers. For instance, knowing your customer (KYC) aids in determining the client’s risk tolerance when it comes to investments.

In addition to knowing the company’s industry and how much money it makes, knowing your customer (KYC) also requires accepting the correct identity and corporate resolutions when opening an account. Know Your Customer (KYC) helps financial institutions serve their clients well, but it also helps prevent fraud and money laundering.

The Know Your Customer procedure necessitates a great deal of paperwork. A user can avoid sending their KYC paperwork to each eligible institution individually by creating an identity on the blockchain and making it accessible to all of them at once.

Digital Contracts

Iroha provides intelligent contracts and agreements between two parties expressed in code and designed to execute themselves. The smart contract will automatically carry out the other party’s obligations after one party fulfills theirs via the blockchain network.

This allows Iroha to provide an option for Ethereum’s smart contracts, which could require the creation of tedious code. If you want to accomplish the same thing faster, with less complexity, and with less danger, then you should use the built-in commands in Iroha.

Iroha Use Case in Hyperledger

Using blockchain technology, Bakong is Cambodia’s first retail payment system and mobile banking and payment app. Built on the Hyperledger Iroha network, Bakong has the backing of Cambodia’s central bank, the National Bank of Cambodia.

Businesses and individuals may use the Bakong app to send and receive money and purchase from merchants. Banks may make interbank transactions cheaper than regular wire transfers, and merchants can accept payments without cash.

Among the many blockchain-based solutions that Soramitsu creates, including local and cross-border payment systems, is Bakong, which debuted in 2019. Since then, Bakong has formed partnerships with over 40 banks.

The project aims to reach Cambodia’s unbanked inhabitants using Hyperledger’s Iroha network. It allows any person, regardless of whether they have a regular bank account or not, to create an account. Since 78% of Cambodians do not possess a bank account, reaching the unbanked is a significant challenge for the country. The majority of its citizens do, however, have access to smartphones. These individuals can transact with over 500 merchants via the app, thanks to the financial inclusion benefits of the blockchain initiative.

What are the Different Kinds of Hyperledgers?

The Hyperledger blockchain technology stack consists of five distinct varieties:

• The Fabric on Hyperledger
• Sawtooth Hyperledger
• Hybrid Blockchain
• The Iroha Hyperledger
• Tunnel for Hyperledger

Can You Tell Me Which Hyperledger Is Most Used?

The Hyperledger Fabric framework has the most users. New features in Hyperledger Fabric 2.0, which will be available in January 2020, include improved intelligent contract technology, simplified data sharing, and speedier transactions.

Where Can I Find Hyperledger Iroha’s Competitors?

Hyperledger Iroha is compatible with a wide variety of platforms, protocols, and networks, including Ethereum, Composer, Ripple, MultiChain, and IPFS.

The Final Analysis

Businesses needing distributed ledger technology can utilize Hyperledger Iroha, a blockchain platform. When dealing with identity management or developing banking apps, it is very helpful for the financial services industry. The plug-in design, modular architecture, and support for numerous platforms make Hyperledger Iroha easy to adopt. These platforms include iOS, Python, Java, and JS.

Conclusion

• Hyperledger Iroha is the commercial blockchain architecture for infrastructure projects requiring distributed ledger technology.
• Creating a national ID or other identity management system on the Iroha platform is possible.
• The unbanked can also benefit from software applications that facilitate financial services, money transfers, and merchant purchases.
• Hyperledger Iroha is compatible with Windows, macOS, and Linux.