How To Choose The Right Blockchain Platforms? | Quick Tips
Last Updated on: July 18, 2023
With a variety of blockchain platform out there, each 1 represents a different set of capabilities and functionalities. But when selecting a platform for developing your product/service, you must look beyond the marketing hype and buzzwords.
That’s when you come up with the question; what characteristics truly matter when choosing a blockchain platform?
To be honest, the answer isn’t straightforward.
Choosing a blockchain platform majorly depends on several internal and external factors. We will discuss the core factors to consider while selecting a blockchain platform in this blog. The following are the segments of this blog:
- How To Choose A Blockchain Platform? (Criteria)
- Top Blockchain Platforms In 2023
- FAQs Around Choosing The Best Blockchain Application Platform
How To Choose A Blockchain Platform? (Criteria)
Choosing the right blockchain platform will not only save you time but also shield you from future business troubles. With the blockchain industry advancing incredibly, it’s crucial to know which one is most suitable for your enterprise. With a variety of robust blockchains available; this makes it more pressing to make an informed decision while picking one for your business/service/product.
These are the core criteria to consider before selecting the right blockchain for your business implementation:
- Adoption Rate
- Core functionalities
- Programming Language
- Transactions per second
- Transaction Cost
- Consensus Mechanism
- Development Capability
- Community support
Below is a detailed view of characteristics most innovation leaders and development architects advise considering:
The adoption rate is nothing but the level of implementation or adoption a particular blockchain technology has received. Therefore, choose a technology with a higher adoption rate over one with a poor adoption level. The reason is simple – technology and requirements are changing at a fast pace. Quick upgrades & tech trends imply that the more embraced a particular technology is, the more assuredly it will be reinforced and advanced in the near future.
- Programming Language
Multiple programming languages can be used for blockchain development. Some of the top-picked blockchain programming languages include Solidity, Go, Python, Java, Cadence, and many more.
- Transactions Per Second
If a blockchain offers a low throughput (transaction speed), the platform users will have to pay higher fees to the miners. Even though speed is an important parameter, it shouldn’t be substituted for low levels of security.
- Transaction Cost
Transaction fees can vary depending on several factors, including network activity, supply and demand dynamics, and the chosen blockchain. When there is high demand for transactions, users may be willing to pay higher fees to ensure their transactions get processed quickly.
On the other hand, low fees may indicate less congestion on the network. Therefore, you can go for a network that has low congestion and transaction rates.
- Consensus Mechanism
There are multiple blockchain consensus algorithms like Proof of Work (PoW), Proof of Stake (PoS), Delegated Proof of Stake (DPoS), Proof of Authority (PoA), Practical Byzantine Fault Tolerance (PBFT), Proof of Elapsed Time (PoET), Proof of Burn (PoB), Proof of History (PoH), Proof of Capacity (PoC) and many more. You can choose a consensus mechanism depending on factors like security, scalability, energy efficiency, and the specific requirements of the blockchain network.
- Development Capability
You must take into consideration the development know-how of any blockchain network. Factors like blockchain developer skills, community support, implementation & approach, and complexity & challenges define the development power of any blockchain.
Blockchain scalability refers to the Transaction Per Second (TPS) rate of the platform. For instance, bitcoin can perform around 5-7 TPS. Ethereum (which is popular among businesses given it also offers smart contract support)offers 90 TPS after the latest Starknet Layer-2 scaling protocol update. And for Stellar, its latest core release has embedded a pull mode, a new attribute which streamlines Stellar’s transaction propagation giving a current max TPS of 200.
So, if you plan to use blockchain technology for your product, you must consider the transaction capabilities of the platform before selecting it. For example, a business developing a payment gateway utilising blockchain requires a TPS of more than 7.
Whereas, those developing an in-house data management platform or something similar would not need a blockchain network with a higher transaction rate.
Security is of utmost importance, specifically if the company or organisation is dealing with sensitive information. To avoid security breaches and prevent your data from falling into the wrong hands, you need to track the security records of all the available platforms and pick the best among them. Platforms such as Bitcoin, Solana, Ethereum, and TRON are all go-to options with good security records.
Public or Private
Blockchain is divided into two categories – centralised and decentralised. In a centralised or private network, a single person controls the network and the data access is given to the users. Whereas, in a decentralised network, anyone can access the information and participate in the network.
If the system you want to develop deals with private information like sensitive patient data in healthcare systems, then you should go with the private blockchains & not the decentralised ones.
On the other hand, if you want to keep transparency through your platform, you should put the data on the public blockchain development platform.
Check how dynamic and available community developers are for the blockchain application platform of your choice. You can research the same on platforms like Discord, Reddit, or LinkedIn. As you progress with your blockchain project, you will need regular feedback and support. Also, understand the availability of supporting developer tools to increase the developer experience.
Top Blockchain Platforms In 2023
A blockchain offers adaptability and programmability, & has become the second-largest cryptocurrency by market capitalisation. Ethereum has 881 protocols and allows for the use of digital assets, making it a suitable platform for tokenisation and crowdsourcing via Initial Coin Offerings (ICOs).
Additionally, it offers a framework for DeFi applications that let users easily lend, borrow, and trade digital assets.
Tron blockchain has 40 protocols and is known for decentralising the web by allowing content creators to directly share and monetise their material without the use of intermediaries. Tron’s blockchain enables the creation and distribution of digital assets, making it appropriate for use in the entertainment business.
Tokenising content artists’ work ensures ownership rights and allows for direct transactions with their audience. Tron also enables decentralised storage, which improves data security and reduces dependency on centralised servers.
- Binance Smart Chain (BSC)
A blockchain network developed by one of the world’s leading cryptocurrency exchanges, Binance. BSC transactions are quick and affordable, making it an appealing solution for decentralised apps and digital asset exchanges.
BSC is Ethereum Virtual Machine (EVM) compatible, allowing developers to quickly migrate their Ethereum-based applications. Its capacity to support massive transaction volumes and compatibility with popular Ethereum wallets and tools have helped it gain popularity.
- Hyperledger Fabric
Hyperledger Fabric is a public blockchain network developed by the Linux Foundation. Different from public blockchains like Ethereum, it is designed for enterprise use cases, specifically for supply chain management. It allows multiple organisations to participate in a private and permissioned network, ensuring confidentiality and data privacy.
Hyperledger Fabric provides modular architecture, allowing organisations to customise and integrate the blockchain into their existing systems securely. IBM Blockchain leverages Hyperledger Fabric and provides additional tools and services to simplify blockchain implementation for enterprises.
Polygon, previously known as Matic Network, is a Layer 2 scaling solution for the Ethereum blockchain. It aims to address Ethereum’s scalability challenges by providing a framework for building and connecting Ethereum-compatible blockchain networks.
Polygon enables faster and cheaper transactions while benefiting from the security and decentralisation of the Ethereum mainnet. It supports the creation of decentralised applications and the transfer of digital assets across multiple chains.
It is a high-performance robust blockchain designed for dApps and cryptocurrencies. It offers fast TPS and low fees, making it an appropriate choice for high-throughput apps, such as DEXs and gaming platforms.
Solana uses a unique consensus mechanism called Proof of History (PoH) to enhance scalability without compromising security.
- R3 Corda
R3 Corda is a blockchain platform specifically designed for enterprise use cases, particularly in the financial industry. It focuses on privacy and security, allowing businesses to transact directly without exposing sensitive data to the entire network.
R3 Corda’s blockchain supports complex financial agreements and facilitates efficient and compliant transactions. It has gained adoption among banks, insurance companies, and trade finance organisations.
FAQs Around Choosing The Best Blockchain Application Platform
As a company that offers blockchain development services (among other types of web and app development services), we have recently come across a plethora of requests for blockchain-based product development, which inspired us to bring you answers to some of the commonly asked questions by our prospects and clients.
Frequently Asked Questions
- Which is the best blockchain application platform & which one to pick?
There are myriad blockchains available to build smart contracts and decentralised applications. Here are some blockchains that top the list – Ethereum, Hyperledger, Solana, Binance Smart Chain, and TRON.
Choosing the right platform for your app depends on your business requirements and industry niche.
- What is the difference between Public and Private blockchain?
Public and Private blockchain platforms differ in the level of access to users. A public blockchain is a peer-to-peer network that is decentralised and not controlled by a central authority.
- Which are the tech stacks and tools for blockchain development?
Ethereum, Hyperledger and Corda are the most popular platforms. Apart from these, blockchain developers also frequently utilise Solidity, C++, and Python programming languages. Also, RDBMS and NoSQL are different storage software as well.
- How do you plan a blockchain project to solve a real problem?
It is crucial to find the right problem before developing the right solution. We at Systango evaluate the blockchain use case to ensure we are developing a solution that brings our client a return on investment.
Our blockchain developers commence by mapping the business process and use case to particular blockchain applications: smart contracts, tokenisation, distributed ledgers and decentralised identity. That is how we plan and build a blockchain solution that offers a pragmatic utility.
- What support and services to expect from a blockchain development company?
After understanding the business and requirements, the company should follow a multidisciplinary approach to provide customised Blockchain development and token rollout services— starting with strategy assessment, rapid prototyping, solution design, complex implementation to third-party integration, add-ons and entire ecosystem management to help you stay focused and maximise your transformation.
Systango has experience of building 20+ blockchain-powered solutions, and we have tailored our process to align with the constant evolution of blockchain technology.