Consortium blockchains have shown their failures throughout recent history. From R3 Corda’s crippled partnerships with its banking partnerships to the agonizingly slow Hyperledger development times, consortium chains have shown that they presently lack the economic models, partnerships, and projects to remain viable in the present blockchain landscape.
Consortium Blockchains: Restricted Potential
Consortium chains are permissioned blockchains available to specific organizational groups. Consortiums are intended to be used mostly in the banking industry and its related industry sectors.
As the name would imply, a consortium chain is essentially a group of related institutions with each running its own node on the same blockchain network. Through working together, the goal of a consortium is to offer lower costs for operations and maintenance fees as well as high transaction speeds.
To give an example, consider a consortium chain used by banks and other financial institutions. (Such as BRICS). Trading, settlement times, and…