Blockchain technology has gained massive popularity in recent times due to its decentralized structure, which enables the creation of a tamper-proof and secure ledger of financial transactions and asset transfers. Its capability to provide transparency and reduce the risk of fraud has made it a widely adopted solution across various industries. From improving supply chain management to transforming online payment methods, the possibilities of blockchain are countless and diverse. As technology continues to evolve and more organizations adopt it, it’s evident that blockchain is here to stay and will continue to shape the future of finance and business. However, developing a blockchain network is a complex process that requires a team of highly skilled developers with technical expertise, database management skills, and more.

To simplify the process of blockchain development, managed blockchain solutions have emerged as a solution in the web3 industry. MarketsandMarkets published data showing that the managed blockchain services industry is set to grow from $705.7 million in 2020 to a massive $9.7 billion in 2025, with a compounded annual growth rate of 81.3%. Managed blockchain solutions provide businesses with a flexible way to take advantage of the benefits of blockchain without dealing with the technical complexities of decentralized technology.

What is a managed blockchain service?

A managed blockchain service is a platform that offers businesses the ability to use blockchain technology without having to manage the underlying infrastructure and technical complexities involved in setting up and maintaining a blockchain network. It provides a simplified way for organizations to leverage the benefits of blockchain, such as increased transparency, security, and efficiency, without having to invest in the technical expertise and resources required to build and operate a blockchain network. Managed blockchain services typically include features such as network setup and management, security, and scalability, allowing businesses to focus on building their applications and utilizing the blockchain rather than managing the underlying technology

Which organizations can take advantage of a managed blockchain service?

A managed blockchain service can benefit a variety of organizations and businesses, including:

1. Small and medium-sized enterprises (SMEs) without the resources to build and manage a blockchain network on their own.
2. Large corporations looking to quickly adopt blockchain technology without incurring the cost and time associated with building and maintaining a network.
3. Financial institutions seek to streamline their operations and reduce the risk of fraud through blockchain technology.
4. Supply chain management companies looking to increase transparency and efficiency in their operations.
5. Government agencies and public sector organizations seek to improve transparency and security in their processes.
6. Healthcare providers seek to securely store and share patient data.
7. Retail companies looking to improve their supply chain management and reduce the risk of fraud.
8. Non-profit organizations looking to increase transparency and accountability in their operations.
9. Educational institutions seek to securely store and share student data.

These are just a few examples of the types of organizations that can benefit from a managed blockchain service.

What is the difference between managed blockchain services and traditional blockchain development methods?

The main difference between managed blockchain services and traditional blockchain development methods is the level of control and responsibility for the underlying technology.

In traditional blockchain development, an organization is responsible for building and maintaining the entire infrastructure of the blockchain network, including hardware, software, security, and scalability. This requires a significant investment in technical expertise, resources, and time.

In contrast, managed blockchain services provide a simplified way for organizations to leverage the benefits of blockchain technology by outsourcing the management and maintenance of the underlying infrastructure to a third-party service provider. This means that the service provider is responsible for setting up and maintaining the network, while the organization can focus on building and deploying its applications on top of the blockchain.

Managed blockchain services also typically include features such as network setup, security, scalability, and monitoring, which can be difficult and time-consuming to implement in traditional blockchain development methods.

In summary, managed blockchain services offer a more cost-effective and efficient way for organizations to adopt blockchain technology, while traditional blockchain development methods require a significant investment in technical expertise and resources.

How does managed blockchain work?

Managed blockchain works by outsourcing the management and maintenance of the underlying blockchain infrastructure to a third-party service provider. The service provider is responsible for setting up and maintaining the network, while the organization using the blockchain can focus on building and deploying its applications on top of the blockchain.

The process of using a managed blockchain service typically involves the following steps:

1. Signing up for the service: The organization selects a managed blockchain service provider and signs up for their service.
2. Network setup: The service provider sets up the blockchain network, which includes installing the necessary software, configuring the network, and establishing the consensus mechanism.
3. Deployment of applications: The organization can then build and deploy its applications on top of the blockchain network.
4. Maintenance and management: The service provider is responsible for maintaining and managing the network, including ensuring its security and scalability.
5. Monitoring and reporting: The service provider provides monitoring and reporting capabilities to the organization, allowing them to track the performance and activity of the network.

By outsourcing the management and maintenance of the blockchain infrastructure to a third-party service provider, organizations can focus on building and deploying their applications, while the service provider takes care of the technical details of the blockchain network. This allows organizations to quickly and easily adopt blockchain technology without having to invest in the technical expertise and resources required to build and maintain a blockchain network on their own.

Top-managed blockchain solutions

Here are some of the top-managed blockchain solutions:

1. Amazon Managed Blockchain
2. IBM Blockchain Platform
3. Microsoft Azure Blockchain Service
4. SAP Leonardo Blockchain
5. Oracle Blockchain Cloud Service
6. Huawei Blockchain Service
7. Baidu Blockchain Engine
8. Alibaba Cloud Blockchain as a Service
9. Tencent Blockchain
10. Google Cloud Blockchain.

These solutions offer a range of features and capabilities, including network setup, security, scalability, monitoring, and reporting. The specific features and capabilities of each solution may vary, so organizations need to research and compare different solutions to find the one that best meets their needs.