The advantages of a blockchain-ready billing system

Transparency and trustability between customers, suppliers and partners are key assets for voice, data and OTT service providers. At Evosip we do believe that our systems should provide transparency, which doesn’t necessarily mean data disclosure and trust out-of-the-box. We consider these features with the same importance as security.

Distributed ledgers-based networks, commonly known as blockchains, offer the perfect fit to satisfy these requirements.

Public vs. Private blockchains

Public and private blockchains, despite sharing the very same basic concept of distributed ledgers, aim to solve two different problems and for this reason, they do not compete with each other.

A Public Blockchain is a permissionless, single-channel system. Because it is open-source and public to all, everyone can read, write, participate in the network and no one is in charge of its administration. There is no rights or access management for a public blockchain and anyone can join and take part in the consensus algorithms. Every participant is sure that the transactions, written in blocks, won’t be altered once validated and signed on the blockchain. Some of the public blockchains are designed to protect anonymity, others have their own crypto-based currency.

In a business scenario, anonymity is a bad thing. Everyone wants to know exactly all the participants of the network and how they map to business entities in the real world.

Private blockchains were designed to bring the advantages of the public blockchains to the B2B and B2C needs and requirements. A Private Blockchain is a permission-full blockchain with strict restrictions about who is allowed to join the network, his role, and the transactions and related subjects he is allowed to work on. We don’t want to share all the details about our business to the whole network of participants or, even worse, to the public at large scale. We want to control who is able to read and who is able to write specific types of information onto the blockchain because we want to use the distributed ledgers for business purposes with transactions containing sensitive, non-public data.

Consortium of B2B peers

Thanks to a private blockchain solution it is possible to manage supplier-vendor relationships, where only ourselves and our suppliers can see the price that we’re paying for a certain service leaving the possibility to other participants of the network to validate our transactions or even get the list of our transactions with all our suppliers.

Another possibility is to selectively share some of the information contained in the business transactions stored in the blocks of the distributed ledgers. This allows us to share high-level, macro data with partners and/or consumers in order to allow them to verify the supply chain and the origin of the services they are purchasing from us without the disclosure of the financial aspects involved in the aforementioned transactions.

A consortium of business peers taking part to a private blockchain network is effectively forcing and increasing the trust and the transparency between the participants themselves as well as between the consortium and the business entities outside the network. CDRs are just the starting point, for example, the impact of the certification of liabilities among customers and suppliers increases the transparency and trustability of the whole network. The consortium itself controls the shared resources as well as the authentication and authorization to the blockchain, which is therefore private and permissioned.

Private blockchain-based software solutions like Hyperledger are perfect tools to be applied in B2B scenarios like supply chain, value chain relationships or any kind of shared infrastructure between enterprises.

Empowering small companies

Our PaaS, with its Pay-Per-Use approach, dramatically lowers the entry barrier as well as reduces the time to market to our customers. Blockchain-based consortiums empower its peers providing them visibility, relevance, transparency, and trustability. It’s the consortium as a whole and the underlying technology that acts as a certification authority for its participants without the need of a centralized entity, leveraging small companies and fostering their business.

The cooperation within a consortium allows companies to collect and share their financial health, like liabilities and credits, without the need of sharing punctual data about their transactions. This allows them to find the best suppliers for their needs, and boost their company’s reputation by using the power of existing partners – peers in the network which guarantee for the data.

We designed our billing platform to be integrated with IBS Hyperledger Fabric, the leading open-source private blockchain solution, in order to provide to our customers the advantages of the distributed ledgers technology out-of-the-box and allow them to be ready to join consortiums of industry-specific business peers.

The advantages of a blockchain-ready billing system

Leave a Reply

Your e-mail address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Scroll to top