In the last couple of years cryptocurrency, bitcoin and blockchain have been in the news. Blockchain is usually associated with bitcoin, and many modern day sysadmin have not had to deal with it – but it may be coming to a data center near you in some unexpected ways.
Blockchain is a distributed database whereby each party on the network has access to the whole database and its history of transactions, meaning any node can be used to verify all information. Communications on the network are made between peers so that each party maintains their structured version of the chain.
On the network, each block is attached to its predecessor and continues growing in size as new data blocks are added. Moreover, because of their distributed nature, the blockchains provide no single failure point that can be used by hackers, making the technology more secure for data storage than other traditional structures.
Asset management with blockchain
It’s expected that soon, blockchain will distort Capital Markets by democratizing the system and creating ‘super liquidity’ events which people don’t yet comprehend. Apart from IoT that will nametag every physical asset, Blockchain shall be the ledger of a programmable new world.
It would create a system whereby Asset Management in the corporate sector shall focus on exchanging value and not physical things. Additionally, trading instruments created by bankers will be faced out as businesses trade value and everything won’t be measured regarding cash.
Similarly, the expected lifespan of asset management is going to drastically change as what’s present today has been marked by inefficient computing power and integration. The need to develop corporate opaqueness and workflow will see many data companies adopt blockchain technology in their operations.
The traditional data flow of Portfolio Design & Creation, Order Management, IBOR, Compliance, Risk Control, and Performance will disappear, replaced by blockchain which will be fully transparent. There would be improved visibility of stored assets, ownership and exchange history. Additionally, creating new asset categories would be more comfortable and issuing them will also be instant.
Virtualization with blockchain
Today, many data centers are turning to blockchain technology as a method that utilizes virtual record keeping. The network makes use of multiple hardened data centers across the globe which can be used to validate changes to data sets.
While the number of users gaining access to data through applications isn’t large, they tend to have diversified and unique demands and also require uninterrupted user experience. Blockchain can help internet data centers have efficient network architecture, which will support spikes in massive traffic from their vast number of users.
The current mainstream north-to-south transmission system, also known as 3-level tree network architecture, isn’t advantageous as it uses a significant amount of network bandwidth and creates latency problems. To address these issues, some of the world’s biggest virtual data centers are adopting the spine-and-leaf network architecture, which is more helpful for transmitting data between servers. It’s a type of blockchain that allows data centers to increase capacity based on their business needs, with reduced initial investment costs.
While corporate data centers have conventionally focused on data storage and disaster recovery preparation, they don’t always meet the demand for synchronized, multiuser data retrieval. However, with the modern evolving digital market there are more users and data which ultimately piles pressure on data providers to deliver faster network transmissions for a growing number of Web users worldwide. In the era of big data, many data-center operations are moving from storage to real-time analysis and processing of information on demand; all this is made possible through blockchain.
Capacity planning with blockchain
Capacity planning involves determining the production capacity required by corporate organizations to meet evolving demands for their data. In this context, design capacity is the total amount of data that a company can process within a specific period.
Blockchain can be used by maritime carriers and freight forwarders to make instant updates on data processing. Most of these companies need to transfer real-time data. While on the road, rail or waterways, including updating the status of their shipments. Blockchain technology can help overcome the barriers of Electronic Data Interchange (EDI) for intermodal supply chains.
Through the technology, freight carriers can have instant visibility of demand-pattern development, capacity planning and align service design. Moreover, all players within the network can connect promptly to the logistics ecosystem based on a uniform industry system. Thus transacting and collaborating in a very efficient manner.
In summary, blockchain will have a significant impact on data centers for its ability to decentralize environments and automate various data center functions.
What do you think? Is blockchain just a fad or will there be real implications for the technology in the future? Do we need to structure of data centers differently? Can you think of any other applications in the enterprise data center? Share your thoughts in the comments below and thanks for reading.