Blockchain Implementation: A Complete Guide
Blockchain Implementation: A Complete Guide
Your blockchain project is ready to go! Before starting, however, you should ensure that you have a firm grasp of the steps necessary to see a blockchain project through from beginning to end. To help you clarify all doubts about how to implement blockchain technology, check out this guide to know what to expect.
- How to Implement Blockchain: Summary
- Types of Blockchain Solutions
- Approaches to Blockchain Technology Implementation
- What Are the Steps in Blockchain Implementation?
- Make a Careful Selection of Your Blockchain Platform
- Challenges of Implementing Blockchain
- Things to Consider During Blockchain Implementation
- Cost Factors of Blockchain Implementation
- FAQ: How to Implement Blockchain in Business
How to Implement Blockchain: Summary
The purpose of blockchain implementation is to allow businesses to make use of blockchain-based solutions, such as those that permit the decentralized storing and processing of data, ensure the integrity and immutability of that data, and automate business processes in efficient ways. Full transparency, top-tier security, and lightning-fast data and transaction processing are all guaranteed by blockchain software.
Key project steps
This process includes a feasibility study, business case creation, blockchain concept development, project scoping, proof of concept creation (if desired), blockchain solution design, technology stack selection, development, deployment, integration, after-launch support, and evolution. These will all add to the time it takes to implement as well as maintain your blockchain.
The team you will need to put together your blockchain includes a Project Manager, Business Analyst, Blockchain Architect, Blockchain Developer, User Experience (UX)/User Interface (UI) Designer, Front End Developer, Back End Developer, DevOps Engineer, and Quality Assurance Engineer. Keep these positions and their salaries in mind when considering the cost of the project.
Building a blockchain can take anywhere from 4 to 12 months or more, depending on the complexity of the solution.
The overall cost will be determined by the strategy that is selected for the development of the blockchain network as well as other cost factors (like your team).
Average payback period
It will likely be 12 to 18 months before you see payback on your project.
Types of Blockchain Solutions
Blockchain networks provide decentralized ecosystems that are secure and scalable, whether they are permission-based or permissionless, with as little downtime as possible.
- Blockchain for payments
- Blockchain for supply chain
- Blockchain for personal health records
- Blockchain for provenance and traceability
Blockchain-based transaction platforms
Blockchain can also manage multi-party transactions that are open, quick, and secure on a decentralized network.
- Decentralized marketplaces
- Decentralized finance (DeFi) platforms
- Non-fungible token (NFT) marketplaces
- Security token issuance platforms
Cryptocurrencies that can be programmed to represent anything from money to assets to services to voting rights are being developed on blockchain.
- Tokenized assets
- Crypto wallets
Expert Blockchain Development
We build decentralized applications and smart contracts for a variety of uses.
Approaches to Blockchain Technology Implementation
The foundation of any blockchain application is the underlying blockchain network. Each of the two primary methods for establishing a blockchain network has its own set of advantages and disadvantages. The needs of the business and constraints on the available time and resources will determine the best strategy.
Building a custom blockchain from scratch
Ideal for: Innovating blockchain businesses and financial technology firms. Once this foundation is established, more architectural elements can be added to produce the necessary blockchain solution.
Pros: Opportunity to put into action a blockchain solution that is adapted according to your company’s demands.
Cons: Creating anything truly unique is a laborious and expensive process.
Forking an existing blockchain protocol and creating a new blockchain
Ideal for: Corporations interested in using blockchain technology for internal use.
The foundation of any blockchain network is the public, downloadable code of a proven blockchain protocol (e.g., Ethereum, Hyperledger Fabric). A new blockchain network can be built off of an existing protocol with custom features and regulations to run autonomously and host your blockchain applications.
Pros: When compared to a custom solution, our blockchain development process is far cheaper and may be completed in half as much time.
Cons: There does run the possibility of making a poor decision while selecting a blockchain technology to fork.
What Are the Steps in Blockchain Implementation?
The specifics of the operations that need to be covered by the solution will determine how long it takes to implement blockchain, as well as the methodology that will be taken. Below, we will discuss the typical procedures that EvaCodes follows when implementing a blockchain.
Duration: 2–4 weeks
The blockchain’s potential in any given business setting must be evaluated, despite the fact that the technology’s general and use-case-specific benefits are persuasive. Professional experts from EvaCodes may assess whether or not a blockchain would be cost-effective. We collaborate closely with the project’s stakeholders to determine the full scope of the firm’s blockchain requirements, and then we present the organization with a list of the concrete advantages that the technology may offer. We also perform extensive analysis to provide a high-level implementation cost breakdown and return on investment (ROI) calculations.
Building a business case
Duration: 1 week
We perform the following to build a solid foundation upon which to build and manage your blockchain project:
- Determine what features and capabilities the blockchain solution must have and write them down
- Find where your needs and those of others conflict and work to overcome that tension
- Assess any risks that may arise, including those that could affect your ability to comply with applicable laws and regulations (such as AML/CFT and KYC, SEC, FINRA, GDPR, ISO 27001/27002, HIPAA, etc.)
Blockchain network conceptualization
Duration: 1 week
During this phase, you’ll make choices about:
- Proper blockchain network type (private, public, or hybrid)
- An optimal consensus protocol (e.g., PoS, PoA, etc.)
- Best practices for launching a blockchain system (building a blockchain from scratch or forking an existing blockchain protocol)
Duration: 1 week
In this phase, EvaCodes establishes:
- The project’s goals, key deliverables, and key performance indicators
- The result of the project
- Time, effort, and money allotted for the project overall
- Project threats and their solutions
Proof of concept development
Duration: 1–2 months on average
Optional—If you need to verify the practicality of a novel blockchain solution or test the capability of blockchain to meet your unique business and technical requirements, we advise going the proof of concept (PoC) or blockchain prototype route.
Blockchain solution design
Duration: 1–2 months on average
- Detailed roadmaps: Create a comprehensive feature set for the blockchain system, making sure to include security options as well as a list of priorities for features using the cost-benefit analysis.
- Architecture design: Develop a blockchain solution’s components and interactions with a secure, scalable, and high-performance architecture.
- Integration planning: Make recommendations for the blockchain solution’s cross-chain interoperability patterns as well as preparations for connecting to third-party systems.
- Customer experience and interface design: Prioritize creating UIs for blockchain-compatible software (web, mobile, desktop). We will prepare mockups of the app’s UI and do design work on it.
Tech stack selection
Duration: 2–4 weeks on average
At this stage, EvaCodes can help with:
- Identifying the resources and blockchain technologies needed to implement the solution
- Evaluating technology and tool in the context of established business needs
- Choosing the best equipment and methods
Duration: 2–7+ months, depending on the solution’s complexity
EvaCodes often employs the following procedures during the creation of a blockchain-based solution:
- How a blockchain is implemented:
– From scratch
– Creating a new blockchain network by modifying the source code of an existing blockchain protocol
- Innovating smart contracts for automating commercial procedures. Smart contracts can be used to facilitate a massive amount of different block transactions.
- Building oracles on- and off-chain to facilitate information flow between smart contracts and third-party data providers.
- Building up client-facing software (web, mobile, desktop) for interacting with the blockchain platform.
- Building the blockchain solution’s back end, such as application programming interfaces and cross-chain interoperability protocols, so data may be aggregated, processed, and stored.
- Testing and development.
Blockchain solution deployment
Duration: 1–2 weeks
The CI/CD pipelines are configured by the EvaCodes team to automate the testing of blockchain solutions in the test environment, the deployment of production-ready solutions, and the solution’s infrastructure and backup/recovery.
Integration with other systems (if required)
Duration: 1–8 weeks (depending on the integration complexity)
Here, the EvaCodes team works to improve the solution’s worth to end users by implementing and testing integrations with the necessary systems, such as those developed on other blockchains.
To guarantee the blockchain system runs smoothly over time, EvaCodes provides numerous services on a continuous basis. In particular, we can keep an eye on how the blockchain is doing, deal with any problems that arise, and adjust or add features as needed.
Make a Careful Selection of Your Blockchain Platform
You must exercise extreme caution when selecting a blockchain platform for your enterprise. Furthermore, you need to be proficient in making the most of blockchain applications. When making this strategic choice, remember to take into account data from extensive market research and your available budget.
If you’re trying to decide which blockchain to use for your company, consider some of the most well-known ones listed below.
Many businesses nowadays have begun implementing blockchain technology with the help of Quorum. By removing the possibility of tampered data, Quorum makes it possible for businesses to conduct transactions in a safe and private manner. This type of blockchain technology will undoubtedly alter the face of commercial dealings.
Ethereum is being used by numerous companies at the moment to gauge their potential for growth through contract development on the platform. Like Bitcoin, Ethereum may be used to purchase and trade goods and services. Ethereum is revolutionary because its users can simply create applications that can run on blockchain-like technologies.
Stellar can be seen as a blockchain platform that facilitates the creation of blockchain-based business applications. Stellar’s primary exchange mode automates currency conversion between a small set of supported currencies during transaction processing.
Businesses mostly choose this blockchain platform to build internal blockchain applications. Those well versed in Hyperledger can design the infrastructure solutions that help organizations grow through blockchain use.
With Corda, you may conduct private and secure financial dealings directly through the use of smart contracts. If you hire a professional who is well-versed in this platform, they will be able to use it to build amazing designs and remove pricey stipulations from your business contracts.
The healthcare industry, banking and finance, human resources, the education sector, e-commerce, retail, and so on are all examples of fields that could benefit from using the multichain blockchain platform. Companies rely on it to streamline their human resources operations.
Human resource departments can improve all areas of their operations by using the Openchain blockchain platform.
Our Blockchain Case Studies
Challenges of Implementing Blockchain
Challenges arise while trying to build and implement blockchain technology in a commercial setting. Let’s examine them one by one:
Lack of skilled blockchain experts
Exceptionally few qualified developers are now available in the blockchain industry. There has been a shift, however, and both medium and large businesses are increasingly offering competitive incentives to hire and keep blockchain professionals.
Complex user interface
Some technological tools may be above users’ capabilities. A large consumer base might be attracted to your business if your system is user-friendly and enticing.
Changing blockchain regulations
The guidelines around blockchain technology are dynamic and frequently updated. The difficulty arises from figuring out how to factor the impact of regulations into daily operations.
Lack of scalability
Even though numerous methods have been proposed for addressing the issue of scalability in the blockchain sector, it continues to be a key obstacle. Blockchain connects nodes in the blockchain system, allowing for two-way communication and interaction that could solve scaling problems.
If not adequately encrypted, blockchain implementations are often susceptible to attacks from hackers. It’s one of the most worrisome problems that most businesses that have used blockchain technology have encountered so far.
Another significant obstacle to the wider commercial use of blockchain technology is its slow Transaction Processing Speed (TPS).
Things to Consider During Blockchain Implementation
Do not yield to setbacks
Never assume that all the protocols for implementing a blockchain will work perfectly from the get-go. Duplicate all the problems and errors and see if you can remedy them. There are various ways to accomplish this, but it’s best practice to keep the blockchain as straightforward as possible. Try things out and learn from your mistakes. It’s important to do a sufficient number of experiments and to view each one as an integral part of your learning process.
The implementation has to work
You must test your system thoroughly to verify its operation. Testing in a controlled environment is crucial. Real-world testing follows. You may discover new variables. Such factors can affect your blockchain solution implementation.
Make plans for the future
As soon as you finish developing a protocol for implementing blockchain technology, you should move on to the following step. Inspect a few weak spots and see what may be done about them. For future growth, verify blockchain scalability. This is essential to preventing technological stagnation. Strive for perfection on a continuous basis by making incremental changes.
Correcting and enhancing your protocol should be your first objective. You may become confused by its many facets, which could endanger your overall strategy. Make incremental improvements to the system rather than attempting a radical overhaul. In a nutshell, if you let yourself get sidetracked or lose sight of the big picture, your enterprise blockchain deployment will be for naught.
Cost Factors of Blockchain Implementation
We have determined key criteria that affect the cost and length of blockchain implementation based on our experience with blockchain projects:
- Strategy for introducing blockchain technology (development from scratch or forking)
- Whether a blockchain network is private, consortium, or hybrid
- Essential consensus protocol
- If blockchain technology is split from an existing protocol, the associated transaction fees will be set by that choice
- The number and level of complexity in terms of functional modules
- The variety and sophistication of blockchain-related online and mobile apps available
- The number and sophistication of possible software integrations have an impact on the design of integration APIs
- Need for speed, scalability, cross-chain compatibility, and safety in blockchain solutions
FAQ: How to Implement Blockchain in Business
What is blockchain implementation?
The term refers to the implementation of blockchain solutions into or as a replacement for preexisting procedures or programs. The process entails the development of novel applications, such as blockchain software, which are subsequently implemented to facilitate the modernization of established procedures.
How easy is blockchain implementation?
The complexity of the requirements for the problem determine the answer to this question. A cryptocurrency token system built on the blockchain is one example of a simple blockchain solution that can be easily implemented. Automating supply chains with smart contracts and blockchain protocol is a more sophisticated approach.
Where can I find blockchain developers?
You can find some of the most knowledgeable blockchain professionals at EvaCodes. Submit a form detailing your project needs, and an assigned manager will get in touch with you to answer any questions you may have.
How can small businesses utilize blockchain?
There is a special case for the usage of blockchain technology by smaller enterprises. It gives individuals a low-cost and easy way to send and receive money, save money, and have access to investment opportunities.
Can I create my own blockchain?
You can create your own cryptocurrency from scratch in the blockchain industry by using a coin to launch a brand-new blockchain. Tokens can also be made by forking an already existing blockchain.
How much does it cost to implement blockchain?
Similar to the cost of developing a mobile app, the price tag for creating a blockchain app will change depending on the features included, the app’s intended purpose, and any additional work required to create it.
We hope that this article gave you some idea of how to go about integrating blockchain technology into your project!
Written by Vitaliy Basiuk
COO & Co-founder at EvaCodes | Blockchain Enthusiast | Providing software development solutions in the blockchain industry