Storage Price Comparison of RecordsKeeper (XRK) with other major Blockchains

Blockchain Databases are the completely different models from the cloud storages like AWS S3, Dropbox etc. or Blockchain Storages like Storj, Filecoin etc. The cloud storages require you to pay a certain amount of payment on a monthly basis and if you don’t pay the fees, your data is not retained over the vendor end. The Blockchain storages are based on one-time payment where you can store your data for the indefinite amount of time. The storage costs over the Blockchain has to be paid upfront and should be available for years to come. Please note that such Blockchain storages are not query-able without the transaction id. On the other hand, Blockchain Databases are the databases which may behave like a storage as well as data objects remain query-able using some formats like the key or other similar formats.

RecordsKeeper has developed an efficient and sustainable data storage (aka key-value pair based database) over Blockchain for a long period of time. RecordsKeeper Blockchain-centric solution is built to store, share and manage your information or data objects in the safest fashion. Once your data is over the RecordsKeeper Blockchain, it cannot be deleted, tampered or modified even by the data owner. On top of that RecordsKeeper provide data storage with as minute cost as possible as compared to other Blockchains available in the market.

Let’s look into the cost estimates of different Blockchains and how RecordsKeeper is fair against them in terms of price:

RecordsKeeper

Data Upload on RecordsKeeper is established through XRK tokens. Currently, the price of XRK tokens is 1 Ether = 5,000 XRK tokens. With the current price of BTC that comes out to be:

1 XRK =$ 0.0894 USD

1024 bytes/1 KiloByte of data requires 0.1 XRK as fees, converting the same to USD 1 KiloByte of data requires $ 0.00894 USD

Bitcoin

Bitcoin Blockchain was not designed to store data but still many corporations and users have utilised the Bitcoin Blockchain to store permanent records. To store permanent records over Bitcoin you need to use OP_RETURN transactions which in turns specifies that you cannot spend the transaction once it’s OP_RETURN. As per the Bitcoin specifications, OP_RETURN is of size 80 bytes. Thus to store 1 KiloByte of data you require:

1024/80 = 12.9 ~~ 13 transactions

To be a valid transaction in the Bitcoin Blockchain a transaction requires a dust fee which is approximately 546 satoshis, with the current price of the Bitcoin($ 7997) the dust fees would be around:

0.00000546*7,977 = $ 0.044

On top of the dust fees Bitcoin also has transaction fees. As per 15th April, 2018 median Bitcoin transaction fees is $ 0.251

So the cost for uploading 1 KB over the Bitcoin Blockchain would be:

13.(0.044 + 0.251) = $ 3.835 USD

Ethereum

Ethereum Blockchain works differently from the Bitcoin Blockchain. You need to specify gas to send and store transactions over the Ethereum Blockchain. The minimum gas required for a transaction to broadcast over the Ethereum network is 21,000. As per the Ethereum whitepaper to send the data in 32 bytes chunk it requires gas. If the data is all zeros then it requires 4 gas for 32 bytes and if the data contains some text or string then it requires 68 gas for 32 bytes of data. Let’s look into the very basic and minimum data with all zeros. As per the whitepaper it requires 4 gas for 32 bytes for zeroed data.

For 1024 bytes of data it was 32 chunks of 32 bytes. So we require in total gas:

32*4 = 128 gas

Now storing the sent data over Ethereum Blockchain requires 20,000 gas for every 32-byte word. To store 1 KiloByte/1024 bytes of data it will require:

32*20000 = 640000 gas

Adding both the gas. In total to store and send 1 KiloByte of zeroed data we require:

640000+128 = 640128 gas

Taking into the account the current average gas price (11.89 Gwei) and the current rate of 1 ether ($ 507.386997). The transaction will cost you:

640128 * 0.00000001189 * 507.386997 = $ 3.86 USD

This value is only for sending and storing over the Ethereum Blockchain. The cost overhead is increased when you need to develop, audit and deploy the Smart Contract to do the same.

Neo

Neo Blockchain has a complete different mechanism for storing the data over the Blockchain. Currently for Neo, there is no transaction fees required for sending but user can opt to pay the transaction fees for priority in Blockchain, we will take up the minimum cost, such that no transaction fees is provided in sending the data over Neo Blockchain but for storing the data it requires 1 gas for 1 KiloByte of data.

The current price for gas is $19.38 USD, thus 1 KiloByte of data will require:

1*19.38 = $ 19.38 USD

This value is only for sending and storing over the Neo Blockchain. The cost overhead is increased when you need to develop, audit and deploy the Smart Contract to do the same.

EOS

As per the EOS white paper, EOS works with state storage capacity so if you own 1% of the tokens then the software will allocate 1% of the available storage capacity of the blockchain to you. For example If there are 1 billion tokens and 1 terabyte (TB) of storage then each kilobyte (1024 bytes) of storage would cost about 1 token. At a $3 billion dollar market cap that would be around $3 per kilobyte. If the tokens reach the market cap of Ethereum then it would could be $30 per kilobyte.

Price Chart for storing data over different Blockchains*:

Size RecordsKeeper Bitcoin Ethereum Neo EOS
1 KiloByte $ 0.00894 USD $ 3.835 USD $ 3.86 USD $ 19.38 USD $3 USD
1 MegaByte $ 8.94 USD $ 3866.86 USD $ 3954.49 USD $ 19742.72 USD $ 3072 USD

* Based on USD price on 15 April, 2018

Bitcoin versus Multichain versus Ethereum

Do you know what is common in Bitcoin, Multichain, and Ethereum? Its Blockchain, one of the most popular trends of 2017 was Blockchain, and it continues to be rising high in 2018. In this blog, I will be focusing on various Blockchain platform which has become a basis for ensuring quick, fast and safe transactions. The blockchain is a distributed digital ledger which has all the information related to transactions in the form of blocks. Decentralization, immutability, safety, transparency are the key features of it which make it a versatile technology finding use in almost all the business niches.

Popular Blockchain Platforms:

Here I will be highlighting on some of the most popular platforms of this technology which include the following :

  • Multichain
  • Ethereum

Bitcoin- If it about Blockchain then how can we miss Bitcoin. Blockchain came into the picture because of Bitcoin. It is the cryptocurrency which is entirely decentralized, open-source and censorship-resistant. 2008-2209 is the year that marks the surge of Bitcoin. Soon after the launch Bitcoin became a popular alternative medium for the peer-to-peer transaction.

Bitcoin’s mining is done on Bitcoin’s Blockchain. When we are talking about Bitcoin Blockchain, then there are thousands of bitcoin nodes on the Blockchain which equally participate in verification of the legitimacy of the payment. All these nodes work independently and don’t need third-party interference.

It is an open network. It is the pioneer of Blockchain which has further given rise to many other open-source platforms that I will be highlighting further.

 

Ethereum- Ethereum is a cryptocurrency and also offers an open-source platform. Similar to Bitcoin Blockchain, it is also a decentralized platform which runs smart contracts. It was in July 2014 when Ethereum came into existence. Many people claim that Etehreum is just vaporware where everything still exists in theoretical format. However, its supports claim differently.

It allows developers to create stored registries of markets, debts, move funds as per the instructions gave in the past.

Well, if you think that Ethereum is just digital money, then you must know that it not only handles accounts and transactions but at the same time it also stores the information of new programming logic.

Let me explain the programming logic with this example:

Let’s say that on July 10th A transfers some money to B’s account if only Account A has more than $y. If not then don’t transfer $y to B.

Such programming logic is written, stored and executed on Ethereum Blockchain which is not the case with Bitcoin Blockchain. Hence, Etehreum is also known as a programmable cryptocurrency. Once this programming logic gets stored on Ethereum, it can be used for future reference.

So, we can say that with Ethereum you can not only transfer the money but also execute smart contracts and make DApps. All this takes place on EVM or Ethereum Virtual Machine with the help of Solidity. Solidity is Ethereum’s native programming language which is inbuilt.

Ethereum’s key features include:

  • Ethereum Wallet — it facilitates crypto-assets holding, writing and such smart contracts
  • Can be used for creation of cryptocurrencies
  • Creation of DApps
  • Creation of democratic autonomous organizations or DAOs
  • Supported languages- Python, Go, C++
  • Consensus mechanism: Ethash, proof of work but now planning to move to a proof-of-stake.

 

Multichain

It is a platform for the creation and deployment of private Blockchains. It can be within the organization or between the organizations. Multichain is an open source Blockchain platform which is based on Bitcoin’s Blockchain but is an enhanced version of the same. In case of Bitcoin, anyone can connect and transfer the assets on the chain; however, if we talk about Multichain then first you need to configure multichain at every node. Only after this, you can transfer the asset.

Key Features :

  • Native multi-currency support.
  • Expected to be faster than Bitcoin
  • Permissioned management
  • Quick deployments
  • Supported languages- Python, C#, JavaScript, PHP, Ruby

The Difference

We know that Bitcoin is a pioneer in digital currency and it has its own sets of benefits. But, at the same time, we cannot ignore the fact that its uses are yet to reach the masses. There is sluggish growth in the Bitcoin does the presence of easy-to-use wallets and the fact that bitcoin can now be used at many mainstream businesses like Microsoft, Overstock, and Dell.

The reason for slow adoption:

  • End-user satisfaction
  • Difficulty in purchasing the Bitcoin
  • The security issues related to Bitcoin
  • The volatility of Bitcoin’s value as compared to government-issued currencies
  • Limited capacity of Bitcoin blockchain, it can only handle 300,000 transactions every day with a block size o maximum 1 MB
  • The Bitcoin blockchain is too open, anybody with the internet connection can connect to the Bitcoin network and transact. There is no screening of the participants.

Multichain, forked from Bitcoin Blockchain lays emphasis n end-user choice allowing the customer to control whether the chain is private or public, who can connect to the network, the target time for blocks, the screening of people who can connect to the network, maximum block size, and metadata. All these features are covered in Multichain and are a solution to the problems which currently exists with the Bitcoin Blockchain.

Apart from function and operational benefits which Multichain has to offer, it covers most use cases for blockchain. Furthermore, it has an easy-to-interact API; there is no need to learn a new programming language. When it comes to hosting solutions Multichain blockchain is cheaper and better than Ethereum. Thus if you are willing to develop DApps, then Multichain is better than Ethereum.

Here is a tabular representation of different between Bitcoin, Ethereum, and Multichain :

Bitcoin Ethereum Multichain
Release Date 2008-2009 July and August 2014. The system went live on 30 July 2015 First alpha release of MultiChain in June 2015
Founder Satoshi Nakamoto Vitalik Buterin

Dr. Gideon Greenspan

 

Type of Network Open Network Public, Smart Contract based Private, Permissioned
Supported languages C++ Python, Go, C++ Python,  C#, JavaScript, PHP, Ruby
Consensus mechanism Proof of Work Ethash, proof of work but now planning to move to a proof of stake.

 

 

The distributed consensus among identified block validators.

 

I hope that this post would have given you a better insight into, Bitcoin, Multichain, and Ethereum. Similar to any new theology, this is also at a nascent stage where we are witnessing new changes every day.

Understanding of Bitcoin & Blockchain

You might be hearing a lot about Blockchain lately. Lets explore what is Blockchain & Bitcoin.

One calls Blockchain as a blockchain because you have millions or billions of blocks forming a chain of blocks connected using the signature (Digest) of the previous block. Each block is a record of one or more transactions that took place between two people or computers. Blockchain technology forms the base of the cryptocurrency Bitcoin. The latter is a sort of digital currency that is virtual and electronic. An anonymous Satoshi Nakamoto was the one who invented bitcoin.

Understanding Bitcoin—What is a bitcoin?

On October 31, 2008, Satoshi published the white paper “Bitcoin: A Peer-to-Peer Electronic Cash System”, which became an open source code in January 2009. Since then, internet users have been using Bitcoins to perform peer-to-peer transactions.

Use of Bitcoins

Bitcoin eliminates the need for any sort of intermediary like banks or centralized governments. Thus, the transaction between two individuals or companies happens using bitcoins and each transaction forms a block. And all the transactions between X and Y that happen all over the world form the blockchain.

Understanding Blockchain—What is a blockchain?

The blockchain is a public ledger, which all users who carry out bitcoin transactions across the world can see. Each node (computer or user) verifies and confirms the transaction using a consensus algorithm. That is, all the billion Bitcoin users in the world will confirm and verify the transaction.

Benefits of a Blockchain

While users will know that a transaction has taken place, the identity of the two individuals who performed the transaction will remain anonymous. The owners of the block or transaction can then claim the transaction as theirs. Only then will other users come to know of the parties of the transaction.

So, with both Bitcoin and Blockchain, companies need not go through intermediaries as banking channels to perform a transaction. They can carry out the transaction through, and in the form of, bitcoins. It is open source and is available for all.

Some believe that just like the internet revolutionized the 90s and became a huge entity in the next twenty years, both Bitcoin and Blockchain too will. They are far more likely to become an inseparable part of human lives across the world.

Just like money is today inseparable from each individual, Blockchain is also likely to become an inseparable part of human lives in the next few years. Some of the leading financial institutions across the world have already begun testing Blockchain technology via distributed ledgers.

The primary benefits of using Blockchain technology are the elimination of intermediaries and centralized authority. Ease of use, ease in verification of transactions, improved security and transparency with the lower cost.

Record keeping is one of the strong use case of Blockchain. Record keeping solution built on top of Blockchain can help businesses in:

  • Maintaining the same copy of records/docs throughout the business
  • Verifying the authenticity of the records/docs within seconds with more confidence
  • Creating Immutability of records/docs at low cost
  • Managing the structure of records/docs in a very strict way
  • Incorporating a decentralized trust mechanism while sharing the data

Please try RecordsKeeper to know how it works.