Microsoft, EY, and ConsenSys have managed to launch a new Ethereum protocol, Baseline.

The protocol is intended for companies that are interested in using Ethereum blockchain, but were hesitant due to its total transparency.

Now, they have Baseline, which will allow them to keep their privacy while serving for procurement and other purposes.

A new protocol called Baseline was just launched by Microsoft, ConsenSys, and EY. The protocol was designed for all businesses and companies that are interested in using Ethereum’s blockchain in private, secure ways. This is a major game-changer for firms interested in ETH, that were concerned about its blockchain being too public.

Baseline, which was originally announced on March 4th, had its source code published on GitHub only days ago, which made it available for all developers and businesses that wanted to inspect it and obtain it.

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Baseline will be a game-changer for companies interested in Ethereum

As mentioned, the protocol allows companies to create a private system on Ethereum’s blockchain. Due to its transparency, all Ethereum transactions are completely public and available for everyone to see, which can be damaging for businesses that often need to be discreet about their purchases.

This is why many have started creating their own private blockchains, creating enterprise versions of ETH blockchain. Now, with Baseline seeing an official launch, there will be no need for businesses to go through this extra effort. They can simply use Ethereum and not compromise their own privacy, as the protocol keeps sensitive information private by using zero-knowledge proofs, distributed identity systems, and off-chain data storage.

ConsenSys also pointed out that Baseline supports tokenization, as well as decentralized financial service on the Mainnet. It does so in a way that won’t reveal corporate activities or assets to any unauthorized party.

The announcement itself suggests that the protocol may have been developed for product procurement purposes, although it can also be used for other business activities. This can be seen in its ability to tokenize information, such as purchase orders, receivables, and alike. The data can then be handled on Ethereum via smart contracts.

Another aspect of the protocol is a demo, known as Radish34. This started as a collaboration between EY and Microsoft last year. The demo shows an additional potential use case that revolves around managing the buyer/seller relationship, and facilitating discounts based on volume in real-time.

The protocol holds quite a large potential, and each of the member firms that were working on it are highly involved in the blockchain industry. Microsoft is known for its Azure Blockchain Services and Quorum reliance, ConsenSys is one of the largest Ethereum companies, and EY already created its own blockchain a few years ago. Now, the protocol is attracting other large firms, including Chainlink, MakerDAO, W3BCLOUD, and others.