Blockchain is not a solution. Blockchain is a technology on which solutions can be built. Many of the use cases and POCs that have been reported on in both blockchain technology focused news sites and the mainstream news are conceptual demonstrations of plausibility, but have not presented user interfaces, APIs, or web services to allow actual use by systems and users.
POCs like those are important stepping stones and learning events, but aren’t destinations in and of themselves. In order for blockchain technologies to achieve their potential, that must – and is starting to - change. NuArca’s next generation blockchain enabled proxy solution is a prime example.
This past month we announced a successful milestone in the proxy solution project. The system has proven itself fully accurate and trustworthy as well as able to address the scale, volume, and peak load requirements to evolve proxy voting on a global basis. First deployment will be this March in the US market for AST customers (thousands of publicly traded companies and funds.) From there we will continue to fine tune and find the right entry points into other regions of the world.
The blockchain enabled proxy solution we developed with AST will be NuArca’s first production solution and will also be one of the first production uses of blockchain at scale in financial services. Using a blockchain enabled proxy network allows for closer issuer/shareholder communications and relationships while also protecting the regulated privacy of the vast majority of shareholders. It also dramatically reduces duplicated efforts and inefficient operations related to the proxy voting obligation brokers, intermediaries, and custodials must address.
In designing and building this solution we:
- Drew on AST’s deep expertise and industry relationships
- Had many direct interactions and observations of end-users from multiple organizations
- Developed a full set of user personaes
- Worked with a top-tier design firm to create compelling and unique multi-platform adaptable user experiences for each personae
- Explored and built all data and system integration points to AST’s systems and service centers
- Mapped out peak load periods and ensured system architecture will meet peak load performance requirements
- Etc. etc. etc.
What makes this proxy solution possible is the deep industry and operational experience and expertise of our partner AST coupled with NuArca’s expertise and capacity to execute blockchain development efforts. Finding the right partner to develop expert solutions has always been the key to creating paradigm shifts in any market. Blockchain technology is no different. With a blockchain enabled system, paradigm shifts seem to be everywhere. However, without deep knowledge coupled with an ability to execute with the technology, none of these concepts will go anywhere.
While we have been building the proxy solution, we have also been exploring deployment and hosting strategies; and determined that a cloud service delivery model will help to reduce friction when on-boarding node hosts and other proxy network stake-holders. We like the cloud deployment for private blockchain networks so much that we have decided to work extensively with a blockchain cloud provider for all of our blockchain technology enabled solutions. More on that subject very soon!
At NuArca we are focused on finding paths to value creation. This means we build solutions; which, by definition, must have machine and human interfaces that provide direct value to end-users and systems. That is why partnering with deep experts in any given solution area and developing core development, interface design, and deployment capabilities and strategies are critical to conceiving, designing, and developing relevant and value creating blockchain, machine learning, and bot driven solutions.