Blog / Business / cloud computing

Blockchain vs. Cloud: Best Features for Corporate Space

  • Rating — 4.3 (26 votes)
  • by Tony
  • Updated on December 13, 2018
  • Read —
    5-6 minutes

The recent Bitcoin hardfork once again turned attention to the blockchain tech that lies underneath the cryptocurrency. Bitcoin has split in half on August 1, 2017. Many analysts perceive this move as a new round in the Bitcoin struggle to become a truly international currency accepted worldwide. Consequently, Bitcoin split poses hard questions about the potential of blockchain technology itself and its applications beyond cryptocurrency space.

And there are several good answers! As for 2017, we experience a rising interest in blockchain technology among our customers. Particularly they are interested in the new document exchange and storage solutions. We’d like to sort things out.

Decentralization VS Integrity

Right now corporations en masse rely on the dedicated server infrastructure and cloud solutions like AWS, Microsoft Azure, Oracle, etc. But the business landscape doesn’t stand still. It becomes heavy structured and decentralizes day after day, which requires a decent level of flexibility from big companies.

Once all-in-one, vertical structured automaking industry now dependant on multiple suppliers. On a recent Tesla Model 3 presentation, Elon Musk mentioned that his new mass-market car has 10,000 unique parts and thus unique documentation, logistics and manufacturing specifics.

In the modern world whether you’re a big corporation or a small DIY maker you’re still dependent on a supply chain spread across the globe. Adding to this mess security precautions and notary legalizations and you can imagine what a document nightmare big corporations are facing day after day.

Naturally, business is looking for better document management solutions and blockchain is here to help.

What is Blockchain Technology?

Blockchain infographic

A blockchain itself is just a list of blocks sequentially linked and interconnected by the time of creation. The first blog created in 1 may be linked to the second created day later, and so on. Each block has three data values: a hash pointer (this number links block to a previous one), a timestamp (date of creation/modification), and a transactional data itself (amount of money/document info).

Advantages of Blockchain Technology


can't cheat at blockchain
Unlike the traditional database architecture (including cloud), where data is stored on a centralized server, blockchain is stored on machines of all participants. Each computer in the network stores calculates and applies changes to the blockchain. Such decentralized architecture makes blockchain stronger the more computers in the network. Therefore, if someone forges/erases data from one machine, there are many others that still have the exact same copy of blockchain to protect the authenticity of the information stored in it.

Banks and corporations spend billions of dollars to protect and maintain their server infrastructure, while still having leaks and virus attacks like WannaCry. By applying blockchain to the corporate network, which consists of thousands of computers, a company can gain stable and literally unbreakable system.

Accessibility & Confidentiality

public key private key
Certainly, storing valuable data on every machine in the office is not a good idea if you have some corporate secrets. Therefore, blockchain encrypts each transaction data file.

After data encryption took place, an owner gets two keys: public key (used to view the document) and private key (used to modify the document). It must be acknowledged that without encryption keys, all files will be only an unstructured mess of bytes, which effectively protect information and secrets in it. This way anyone in the company can access any file at any time, while only an owner can allow someone to view the file.

On the other hand, from the confidentiality point of view, blockchain technology has no advantage over a centralized database architecture. They both can use sophisticated encryption algorithms. Moreover, centralized databases can be completely disconnected from the network and outer world like in “Mission Impossible” movie.

Legal Transaction Facilitation

distributed ledger

  • Document forgery protection.
  • Confirmation of data ownership without showing actual data.
  • Protection against plagiarism by applying document timestamping.

By having such a unique set of features blockchain can effectively replace paid notary services. Think of it as a distributed ledger where blockchain can be used instead of third-party intermediaries that are usually used to make legal agreements and verify them.


Sadly, but duplicating all the data and storing it on multiple computers also drains a lot of energy and storage space. Especially if you want to store videos, images, and heavy-weight pdf manuals. By now, a centralized server infrastructure is the only reasonable solution for such type of content.

For instance, we prefer using Amazon Web Services (AWS). AWS is reasonably priced and offers a wide range of services like Load Balancing service that redistributes loads between servers, or EC2 which dynamically moves data to the instances (Europe to Europe, China to China) depending on where demand occurs. We also suggest using cloud services for high-loaded mobile apps like Drophook.

But if we’re talking about private messages, text documents or any kinds of certificates, this is where blockchain shows at its best. Here’s a simple example.

Back in 2016 Yahoo has turned off its Messenger which happened to be a conventional communication tool for all oil traders since 1998. One of Yahoo’s unique features was the ability to store messaging history, which really helps when your college suddenly changes the price.

Guess who took advantage of this opportunity? The insider company called CME, which introduced its Pivot message system. It wasn’t unique though, but has trade ticket and open messaging features. Sadly, a new messenger could be 10 times more appealing if was based on blockchain technology.

Edge Computing

Computing paradigm

It is also worth mentioning a new paradigm in massive computing that is rising over the horizon. It envisions a tide goes back from cloud computing to decentralized computing performed by end-devices.

And it’s not so crazy as it sounds. The theory states that new machines like autonomous cars, robots, Internet of Things and drones require far higher computing speed than any wireless connection can sustain. The future of such machines is already here and it won’t wait for wireless networks to develop. It will take the simplest path: get back from cloud computing to on-the-ground (edge) computing. Peter Levine, a general partner at venture capital firm Andreessen Horowitz, and other tech companies are beginning to recognize upcoming shift.

How Blockchain Is Solving Business Problems and Shaping The Evolution of Web 3.0

The number of high-productive computing devices is already far beyond the number of human beings living on the planet. So why not to use this distributed computing powers in order to supplement future services, in particular, blockchain based services. This approach can fundamentally change how business optimizes its running costs and make companies more agile in their decisions. Instead of being overwhelmed by infrastructure edge computing and blockchain would allow business to work on new ideas rather than maintenance of itself.

Bottom Line

It must be acknowledged that blockchains are well-suited as a system of record only for certain industries that has a specific type of data (Legal, Fintech, Banking, Energy Sector), while centralized databases (including cloud services) are appropriate for more content oriented businesses.

While the choice on which one technology to use is certainly up to you, remember that there is absolutely no limitation in how to use blockchain. It all depends on your imagination and coding… you can leave it to us.

Tony Sol is the business development manager of GBKSOFT, overseeing the production of all writings for both internal blog and external platforms. He is technical-driven person always looking for new benefits of merging business and software.

Comments (9)

Leave a comment

Leave a Reply

Oct 08, 2019 at 9:27 AM

Thanks for sharing this post with us. I vote for Blockchain.

John Ruth
Oct 02, 2019 at 12:35 PM

Thanks for share this post for us. Its very very helpful all of us

Jul 11, 2019 at 3:09 PM

Hey Tony thanks for sharing such a great article, I was wondering what is the difference b/w block chain and cloud now it seems to be clear, thanks again

John Cristy
May 04, 2019 at 11:48 AM

Great content useful for all the candidates Blockchhain training who want to kick start these career in Automation Blockchhain training field.

jack alex
Nov 06, 2018 at 12:59 PM

Thanks For giving the good information about the Blockchain.

Sep 13, 2018 at 6:37 AM

The information has well described the Blockchain and the Cryptocurrency because these technologies play the vital role in the digital transactions and provide the digital layer. Keep sharing that kind of posts with us.

Jun 04, 2018 at 12:05 PM

Good article. Very well explained.


IT Solutions Sedalia Mo
Mar 26, 2018 at 1:17 PM

This is perfect and information giving blog. Helpful and tells about cloud spaces required for a successful IT person, in fact for all businessman. Blockchain technology is also beautifully described over here.

online investment platform
Jan 20, 2018 at 7:25 PM

Whoa, I love this post! I read your blog fairly often and you’re always coming out with some Amazing stuff. I share this on my social media and followers loved it! Keep up the good work 😀


Related services

Similar Blog Articles


Cloud Computing Could Emerge From Coronavirus Crisis Stronger Than Ever

While front-end collaboration, shopping and gaming solutions are at the forefront of public consciousness, public cloud and its enabling technologies are backstopping the massive shift to remote work and entertainment.  Office closures, social distancing and shelter-in-place orders have led to sustained demand in users of collaboration, shopping and entertainment services as the entire world transforms...

Rating — 5 (3 votes)


Cloud Migration as the companies’ top priorities for 2020

A cloud-powered future is starting to shape more and more enterprises migrate toward remote infrastructure. Managing cloud adoption seems to be one of the companies’ top priorities for 2020. It’s expected to maintain its status as a priority in the next few years too.  But why is cloud computing so popular? Well, it enables both...

Rating — 5 (2 votes)


Privacy Not Found: How Google and Apple Handle User Data

What is the cost of lies? Well, for one thing, there is always a price to pay for a deception of any kind and that is the fact. Can companies be held responsible for that? They definitely can, although they rarely are.  Skipping the abstractions, let’s start a conversation today in regard to how big...

Rating — 3.8 (4 votes)


All articles Business Company News Development Marketing StartUp App Ideas UI and Design

People are talking about

You've got
a project in mind

What's next?

Send us a message with a brief description of your project.
Our expert team will review it and get back to you within one business day with free consultation and to discuss the next steps.


GBKSOFT’s performance has been very strong. We've referred them twice, which says all anyone needs to know about them. A referral is the ultimate signal we can give that these guys are great. Strong
They write clean code, adhere to deadlines, and communicate extremely well. I strongly recommend anyone from the GBKSOFT agency and hope to work with them again myself. Clean Code
Raphael Lasry
My Project with GBKSOFT gave me the ability to develop my software while keeping a busy schedule. Ana, who was my project manager, was very professional and was always understanding of my vision and what I wanted. I would recommend GBKSOFT again to any other company or person who has a vision for their web application. Thank you GBKSOFT! Recommend

GBKSOFT Walk of Fame