Companies interested in launching a blockchain platform face a dilemma: which blockchain platform to focus their efforts on. Although public blockchain networks offer many benefits for enterprise, there are still a number of barriers such as lack of regulatory clarity and public network compatibility. Therefore, enterprises tend to choose technologies that are compatible with public networks.
One option is to choose an Ethereum technology or an alt-layer 1 protocol such as Polkadot that enables them to spin up their own isolated blockchain. In any case, Ethereum remains the de-facto platform for smart contract development, and the most flexible foundation to lay for a private network.
There are several Ethereum execution and consensus layer clients available, such as Geth, Nethermind, Erigon, and Hyperledger Besu. Hyperledger Besu differs from the other clients in that it was designed to cater for private network needs. The client was initially created to serve the needs of enterprise when J.P. Morgan forked the Geth codebase in 2016 to create Quorum. After its addition of features for privacy and additional consensus mechanisms, the technology was standardized via the Enterprise Ethereum Alliance. Hyperledger Besu is the only Ethereum client designed for both Mainnet and private network use cases.
Being a project governed by the Hyperledger Foundation, Hyperledger Besu is supported by multiple firms, ensuring that it doesn’t come with the key maintainer risk of open-source software. This is attractive to enterprises as it ensures that projects have the potential to outlive their creators. As a result, Hyperledger Besu has seen its popularity explode during the past couple of years.
Many initiatives in the TradFi landscape are now overwhelmingly using Hyperledger Besu, including Fnality International’s Global Payments Platform, Bank of Thailand’s Project Inthanon, Spain’s Smart Money experiment, and Australia’s POC for the issuance of a tokenized form of CBDC.
In conclusion, Hyperledger Besu is future-proof in many ways. It is designed for both Mainnet and private networks, ensuring the trickle-down effect of features from the Mainnet to private networks. The technology being a Hyperledger project ensures that its life outlives any single commercial entity, and its licensing model will not change to a less permissive model. The client is a sensible starting point for many organizations wishing to embrace blockchain and DLT initiatives.