Permissioned vs Permissionless - Reading Assignment

Blockchain Business Course
#701

  1. What benefits do blockchain provide in business-to-business collaborations?
    Business to business collaboration will see several benefits in Increased security, transparency, instant and authentic access to information.

  2. What property of a blockchain does the name “Permissionless” refer to?
    Refers to Public property, it is transparent, and open to all with wallets to interact with the blockchain.

  3. What are 3 examples of permissionless blockchains?
    The most popular example is of course bitcoin, another is considered a 2nd generation blockchain Ethereum. The third example would be a 3rd generation blockchain Cardano.

  4. Who are allowed to join a permissioned blockchain network?
    Permissioned blockchain networks would be a members only access and is considered centralized.

  5. Why do you think permissioned blockchain networks are preferred by many companies?
    It is centralized and maintained by the members, can have varying levels of transparency,

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#702

1. What benefits do blockchain provide in business-to-business collaborations?
Adds transparency.
you can handle secure transactions.
Removes the need for third parties to faclitate transactions.
Easy for participants to verify and authenticate past transactions

2. What property of a blockchain does the name “Permissionless” refer to?
This means that everyone or computer can access the blockchain and put data on it.

3. What are 3 examples of permissionless blockchains?
Bitcoin, Ethereum, and Solana.

4. Who are allowed to join a permissioned blockchain network?
Only people who are assigned to work on the blockchain by a company that uses that blockchain.

5. Why do you think permissioned blockchain networks are preferred by many companies?
Because in some cases you don’t want the whole world to see what let’s say your financials are. In this case it is preferred to use a permissioned blockchain because you can assign a few people to access that data.

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#703

1. What benefits does blockchain provide in business-to-business collaborations?

• Provides trust
• Provides security/resistant to tampering
• Instant access to relevant and authentic information
• Access to historical data of all transactions
*Cost effective

2. What property of a blockchain does the name “Permissionless” refer to?

• It is public.
• Driven by network consensus
• No permission is required to:
Ø Run a node, and receive incentives
Ø Add to the blockchain
Ø Verify and authenticate past transactions

3. What are 3 examples of permissionless blockchains?

• Bitcoin
• Etherium
• EOS

4. Who are allowed to join a permissioned blockchain network?

Only participants that are authorized.

5. Why do you think permissioned blockchain networks are preferred by many companies?

• Requires permission
• Control over data – what can and cannot be viewed and by whom
• Governance
*Privacy
*Cost effective

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#704
  • What benefits do blockchain provide in business-to-business collaborations?

The ability to create fast, permissioned, secure, immutable, distributed ledgers that allow for multiple levels of transparency and access, based on defined relationships and business requirements. This blockchain or hybrid-blockchain model requires trust in a centralized authority.

  • What property of a blockchain does the name “Permissionless” refer to?

Access to the blockchain data and operability is either permissionless (requiring no trust in a central authority) or permissioned (requiring trust in a central authority).

  • What are 3 examples of permissionless blockchains?

Bitcoin, Ethereum and Cardano

  • Who are allowed to join a permissioned blockchain network?

Whomever the centralized authority permits and at whatever level that permission comes with.

  • Why do you think permissioned blockchain networks are preferred by many companies?

These are preferred so that the company(ies) involved can control who has access to access to view and/or add data to the blockchain, as per their business requirements.

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#705
  1. What benefits do blockchain provide in business-to-business collaborations?
    Allows for transfer of value or digital assets between 2 parties, transparency, secure transactions, removes the need for third parties to facilitate transactions, easy for participants to verify and authenticate past transactions.
  2. What property of a blockchain does the name “Permissionless” refer to?
    the decentralization property is being referred to as there is no central authority and no limitation imposed by the developers. Anyone can run the software, join the group.
  3. What are 3 examples of permissionless blockchains?
    Btc, eth, Solana
  4. Who are allowed to join a permissioned blockchain network?
    A permissioned network is centrally controlled by an organization or closed ecosystem. So they only will accept transactions created by a trusted party.
  5. Why do you think permissioned blockchain networks are preferred by many companies?
    Because they can better control who does what, who sees what. Who gets to particioate, etc. It’s all about control.
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#706
  1. Instant transactions, elimination of third parties, transparency,
  2. to the property that anyone can join and participate in the network either to send money, a node, miner or to build something on top of a blockchain like ethereum.
  3. Ethereum, Cardano, Bitcoin, Dogecoin, EOS, Polkadot, Cosmos
  4. Most of the times these are used by private entities which form a consortium. This means, anyone who joins the consortium can be allowed to join the network
  5. It gives them total control
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#707

  1. In business-to-business scenarios, blockchain networks allow for increased trust between parties, and instant access to relevant, authentic information. This is so thanks to the fact that blockchains provide a historical record of all transactions, alongside the means to record these entries.

  2. It is open to anyone who wants to join it. Either submitting transactions or running a node on the system or both.

  3. Bitcon, Ethereum, EOS

  4. The ones that are approved by an authority or owner of the blockchain

  5. Because they are able to have control over what is shared or not, and are free to choose which consensus algorithms they wish to employ

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#708

  1. What benefits do blockchain provide in business-to-business collaborations?
    In business-to-business scenarios, blockchain networks allow for increased trust between parties, and instant access to relevant, authentic information. This is so thanks to the fact that blockchains provide a historical record of all transactions, alongside the means to record these entries.

  2. What property of a blockchain does the name “Permissionless” refer to?
    Public, decentralised , digital assets, anonymity and transparency.

  3. What are 3 examples of permissionless blockchains?
    Bitcoin, Etherium and EOS

  4. Who are allowed to join a permissioned blockchain network?
    Only authorized individuals.

  5. Why do you think permissioned blockchain networks are preferred by many companies?
    Control over the data, governance, private and cost effective .

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#709

  1. What benefits do blockchain provide in business-to-business collaborations?
    Again they remove the need for 3rd party facilitators
    Instant access to relevant information
    A way to record and view records and transactions

  2. What property of a blockchain does the name “Permissionless” refer to?
    It refers to the ability for anyone to access and participate in that block chain

  3. What are 3 examples of permissionless blockchains?
    waves, bitcoin, Ethereum

  4. Who are allowed to join a permissioned blockchain network?
    only authorized participants of that business or consortium

  5. Why do you think permissioned blockchain networks are preferred by many companies?
    Keeps the business private so only certain “authorized” access is granted

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#710

Reading Assignment: Permission vs Permissionless

  1. What benefits do blockchain provide in business-to-business collaborations?
  • It is resistant to tampering
  • Provides security
  • Traceability
  1. What property of a blockchain does the name permissionless refer to?
  • It is decentralized
  • Transparency
  • Driven by network consensus
  1. What are 3 examples of permissionless blockchains
  • Bitcoin
  • Ethereum
  • EOS
  1. Who are allowed to join a permissioned blockchain network?
    Only authorised participants
  2. Why do you think permissioned networks are preferred by many companies?
  • For privacy reasons
  • It is more cost effective
  • They will have control over it
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#711
  1. The benefit of trusting the other party because they both have access to all information they need on the blockchain.
  2. It is decentralized and transparent.
  3. Bitcoin, Ethereum, Cardano
  4. Only those who are approved by the centralized entity.
  5. Because they can keep their information private.
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#712
  1. Transparency for all participants, no trust or a third party is needed for transactions, it is highly secure.
  2. No one needs permission to access and use and transact on a public permissionless blockchain.
  3. BTC, ETH, EOS
  4. Anyone or any entity that gets permission by the governing central authority of the network.
  5. To keep control over the data, the protocol, the entire infrastructure to use everything they collect for their internal business operations to increase their own productivity.
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#713

Permissioned vs Permissionless – Questions


1. What benefits do blockchains provide in business-to-business collaborations?

Benefits of permissioned/private blockchains:

  • Varying decentralization: “members of the blockchain network are free to negotiate and come to a decision concerning the level of decentralization that the network will have”
    –> Entirely accepted if they are fully centralized or partially decentralized
    –> private blockchains are free to choose which consensus algorithms they wish to employ

  • Transparency & Anonymity: “private blockchains are not required to be transparent, but they can choose to do so freely, depending on the inner organization of the businesses”
    –> can be individually determined on a user-case basis

  • Governance: “for permissioned blockchains, governance is decided by members of the business network
    –> there is no need for consensus-based mechanisms where the entirety of the network must agree to a change

  • Greater trust between business entities

  • Security against tampering/hacking

  • Lists all historical data/transactions


2. What property of a blockchain does the name “Permissionless” refer to?

Public transparency to all users + anyone can develop blocks onto the network (i.e verify and authenticate transactions) by running their own system node, with no limitation imposed by the developers.

Additionally: driven by network consensus


3. What are 3 examples of permissionless blockchains?

Bitcoin (BTC), Ethereum (ETH), and EOS.


4. Who is allowed to join a permissioned blockchain network?

Depends on the degree of decentralization the private blockchain developers wish to implement (fully private, semi-permissioned, etc.).

If a blockchain is permissioned-only, then only users who have been approved by its developers (authorized-only users)  usually only members part of the business network it applies to


5. Why do you think permissioned blockchain networks are preferred by many companies?

Prevents sensitive business secrets or information from being leaked out to, or accessed by, unwanted company outsiders.

Gives them a better say over the governance model they wish to apply to their private blockchain, to effectively control who may have access to sensitive data (more privacy).

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#714
  1. Increased trust between parties, and instant access to relevant, authentic information.
  2. That you’re free to join, use, read and interact with the blockchain without prior permission.
  3. Bitcoin, Ethereum & Doge
  4. Only people with authorization of the owner.
  5. Companies want controle, which isn’t possible with permissionless blockchains.
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#715

  1. Blockchain provides trust in business-to-business collaboration and also provides the sense of Security required to run business.

  2. Permissionless blockchain as the name suggest there no higher authority to look after daily affairs and it is fully decentralised.

  3. Bitcoin, Ethereum and polygon.

  4. The participants that have permission to use a blockchain by the authority are allowed to join PBN.

  5. So they have control over it and if something goes wrong they can handle the situation. And also they can use the data for themselves.

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#716

  • What benefits do blockchain provide in business-to-business collaborations?
    Blockchain networks allow for increased trust between parties, and instant access to relevant, authentic information. This is so thanks to the fact that blockchains provide a historical record of all transactions, alongside the means to record these entries.

  • What property of a blockchain does the name “Permissionless” refer to?
    The Blockchain is public and not private.

  • What are 3 examples of permissionless blockchains?
    Bitcoin, Ethereum and Litecoin.

  • Who are allowed to join a permissioned blockchain network?
    Authorized users only.

  • Why do you think permissioned blockchain networks are preferred by many companies?
    Limit data to authorized users, More control over the data, Can leverage the network for internal purposes.

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#717

[quote=“filip, post:1, topic:6383”]

  • What benefits do blockchain provide in business-to-business collaborations?
    Increases trust and allows instant access to relevant information.

  • What property of a blockchain does the name “Permissionless” refer to?
    That kind of blockchain is public. Proof of Work (Mining) or Proof of stake is used to reach the consensus - trustless state.

  • What are 3 examples of permissionless blockchains?
    Decentralised, Anonymity, Transparency are the characteristics. Real world examples, BTC, ETH and Cardano

  • Who are allowed to join a permissioned blockchain network?
    Those who have have been authorised.

  • Why do you think permissioned blockchain networks are preferred by many companies?
    [/quote] Because they don’t require a cryptocurrency to be used, transactions are quick to execute as don’t have to wait public network consensus (used only by the company and its partners, not jammed by all the world’s transactions)

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#718

1. What benefits do blockchain provide in business-to-business collaborations?
Transparency, security, no middleman, trust
2. What property of a blockchain does the name “Permissionless” refer to?
Decentralization, without a central authority, there is no need for permission to create an address or make a transaction
3. What are 3 examples of permissionless blockchains?
Bitcoin, Ethereum, EOS
4. Who are allowed to join a permissioned blockchain network?
Whoever the central authority deems worthy
5. Why do you think permissioned blockchain networks are preferred by many companies?
Companies prefer control over who and what takes place on the blockchain

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#719

  1. What benefits do blockchain provide in business-to-business collaborations?
    Blockchains can provide businesses tamper proof ways to interact with important data.

  2. What property of a blockchain does the name “Permissionless” refer to? Permissionless refers to NO central authority to gain access to the network.

  3. What are 3 examples of permissionless blockchains?
    Bitcoin, Ethereum, EOS

  4. Who are allowed to join a permissioned blockchain network?
    Anyone that the centralized authority deems authorized.

  5. Why do you think permissioned blockchain networks are preferred by many companies?
    They are preferred by companies because the company can control, data, governance, updates, privacy, and users.

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#720

  1. i) proper governance ii) provenance of assets/TXs iii) Cost-efficient iv) efficient performance v) additional security vi) integrity and immutability

  2. “Permissionless” refers to a blockchain’s public property, i.e., it is available to anyone to create their unique address in order to join a network. There isn’t any central authority, and therefore no permission is required of an entity to be a part of it.

  3. BTC, ETH, and Dogecoin are three examples of permissionless blockchain.

  4. Only known identifiable participants/entities who are trusted can join a permissioned network. All parties within the network are known and therefore trusted.

  5. Companies/Businesses differ in the nature of operations they conduct and therefore have different clients and their unique data. It is crucial for a company/business to maintain their clients’ data with a high degree of security and privacy. In a blockchain network, this added layer of security and access can exclusively be achieved by employing private blockchain, which constraints network participation and access to TXs detail.

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