Hyperledger and Ethereum, both are recent and successful innovations in the arena of Blockchain. Both the open-source platforms in Blockchain have been the base for numerous applications in the industry. They have also been encouraging Blockchain developers across the countries to pursue ahead and involve deeply in the collaborative development of various Blockchain frameworks. As both platforms are continuously advancing, there is confusion regarding their application in use cases, which Blockchain among the two to use? There is no significant explanation for this, so the best way to compare both the platforms’ features and potential to understand the difference between and their specific advantages. First, let’s know what these terms mean.
What is Hyperledger?
Hyperledger is an open-source Blockchain based development platform to enable the creation of Hyperledger based solution for Hyperledger solution providers and users in the respective ecosystem. It focuses on the application in use cases involving Blockchain technology working in different industrial sectors. Simultaneously, every industry and company is other in their operations and requires specific applications to serve their personalized needs. Here, Hyperledger comes as a solution, because this as the software allows individuals and businesses to develop their personalized Blockchains addressing the specific needs of their business operations. Hyperledger Fabric is ideal for enterprises. It provides tremendous flexibility in how information moves over the Blockchain and what part of the information should appear to some and not everyone else. Hyperledger training benefits enterprises more as it provides specific and personalized solutions for businesses.
What is Ethereum?
Ethereum is a public, distributed, and decentralized Blockchain platform that was designed to execute smart contracts. Being a decentralized platform, Ethereum provides access to the same copy of the Blockchain network to each participant or node in the network. Whenever, in the Ethereum Blockchain, a new block is added, it will be associated with the universal copy present in the network and shared with all individual nodes. An Ethereum Blockchain developer is responsible for developing decentralized apps with the help of smart contract functionality. Ethereum is generally known as the world computer, as it allows connecting with the Ethereum Blockchain and maintains the current state of the network to all across the globe. Ethereum is popular due to its ability to easy smart contract writing and deployment. This way, it can help developers in writing programs for developing decentralized organizations.
We have learned the basics about Hyperledger and Ethereum so far. We need to understand the fundamental differences between the two and how they serve specific purposes.
Key Differences between Hyperledger and Ethereum Purpose
Hyperledger and Ethereum both were designed and developed to serve different purposes. The sole purpose behind developing Ethereum was running smart contracts of Ethereum Virtual Machine (EVM) on applications attributed to being decentralized and suitable for mass consumption of Ethereum.
On the other hand, Hyperledger influences Blockchain technology for different business processes and creates personalized solutions. It was designed to serve the creation of cross-industry Blockchain technology-based solutions and applications. Its primary purpose is to inspire smooth collaboration between companies and developers working with Distributed Ledger Technology (DLT). Hyperledger facilitates flexibility to customize the apps built with Blockchain technology and choose who can access the information related to transactions.
Being a public network, Ethereum does not function on the concept of permitted access. Ethereum is entirely transparent, which means that whatever transactions are being recorded on the Blockchain network are wholly visible and accessible by all the participants or nodes.
On the other hand, Hyperledger is a highly secured Blockchain platform that works on the principle of authorized access. All the transactions taking place on the Blockchain network are visible to the participants who are authorized to view and access them by the owner of that data. This ensures that whoever wishes to access the specific resources on the Hyperledger network needs to gain permission to see it.
Mode of Accessibility
Ethereum is a permission-free, open-source Blockchain platform that allows anyone to download the Ethereum framework and participate in Ether mining. It will enable permission to see and access the data of the transaction occurring on the network. Unlike Ethereum, Hyperledger ensures strict control over the accessibility to the network. The authorized members can access the data, and only members with permission can access and use the Blockchain platform and tools. Each participant has to obtain approval to join the network on a Hyperledger platform which prevents access to the external parties to view and access vital information and alterations in the data.
For transactions on a Hyperledger platform, Cryptocurrencies are not required. Hyperledger does not have a native cryptocurrency like Ether as Ethereum’s token. This eliminated the need for mining. Hyperledger facilitates scalable consensus algorithms with the ability to handle high transaction rates most enterprise applications require. Contrary to this, Ethereum has its native cryptocurrency, which makes it advantageous to use cases requiring a cryptocurrency.
In the end, it can be said that both Ethereum and Hyperledger come with unique features and benefits that are suitable for different business scenarios and are capable of handling distinctive challenges. Users can choose from the two based on their exclusive requirements and under the suitability with their Blockchain project. There has been an enormous increase in Blockchain technology’s career opportunities, and this technology has introduced tremendous changes in modern-day technology that are going to stay in the future. With the help of Hyperledger training or Ethereum certification, anyone can build a career in the field of Blockchain technology implementation. Hyperledger and Ethereum can benefit their users from different perspectives, and both seem to be the base for technical innovations and better applications in future.