Microsoft's blockchain platform signs up four global financial institutions
Microsoft has revealed that four large global financial institutions have already signed up to its Azure program, a blockchain tool powered by Ethereum; the identity of the four has not been disclosed. Specifically, the platform allows users to experiment with creating their own 'smart contracts', the terms of which are automatically executed with no need for validation or authentication by third parties. The product has been targeted at insurers and banks. 

Microsoft says that four large global financial institutions have already signed up to the recently announced Ethereum-powered Blockchain Blockchain Blockchain comprises a digital network of blocks with a comprehensive ledger of transactions made in a cryptocurrency such as Bitcoin or other altcoins.One of the signature features of blockchain is that it is maintained across more than one computer. The ledger can be public or private (permissioned.) In this sense, blockchain is immune to the manipulation of data making it not only open but verifiable. Because a blockchain is stored across a network of computers, it is very difficult to tampe Blockchain comprises a digital network of blocks with a comprehensive ledger of transactions made in a cryptocurrency such as Bitcoin or other altcoins.One of the signature features of blockchain is that it is maintained across more than one computer. The ledger can be public or private (permissioned.) In this sense, blockchain is immune to the manipulation of data making it not only open but verifiable. Because a blockchain is stored across a network of computers, it is very difficult to tampe Read this Term tool on its Azure platform.

The technology giant revealed the news, according to a Reuters report, at Devcon1, Ethereum's developer conference currently ongoing in London during Nov. 9-13. Microsoft is one of the event's sponsors and attendees.

Ethereum, one of the most anticipated Bitcoin 2.0 technologies- or Bitcoin 3.0 according to some accounts- officially launched three months ago. It is touted by its creators with the sentence: “What bitcoin does for Payments Payments One of the bases of mediums of exchange in the modern world, a payment constitutes the transfer of a legal currency or equivalent from one party in exchange for goods or services to another entity. The payments industry has become a fixture of modern commerce, though the players involved and means of exchange have dramatically shifted over time.In particular, a party making a payment is referred to as a payer, with the payee reflecting the individual or entity receiving the payment. Most commonl One of the bases of mediums of exchange in the modern world, a payment constitutes the transfer of a legal currency or equivalent from one party in exchange for goods or services to another entity. The payments industry has become a fixture of modern commerce, though the players involved and means of exchange have dramatically shifted over time.In particular, a party making a payment is referred to as a payer, with the payee reflecting the individual or entity receiving the payment. Most commonl Read this Term, Ethereum does for anything that can be programmed.”

Microsoft joined forces with ConsensYs, a Brooklyn-based startup that is building tools based on Ethereum, to allow clients of its Azure service to experiment with new applications such as smart contracts. Banks and insurance companies are among the targeted clientele. The names of the four institutions that joined were not disclosed.

'Ethereum Blockchain as a Service (EBaaS)', as it is referred to on Azure's blog, currently offers two tools: Ether.Camp, an integrated developer environment, and BlockApps, a private, semi-private Ethereum blockchain environment.

The idea is to give clients the opportunity to easily play around with blockchain-based applications without much investment- a "fail fast, fail cheap" model. Users even with no knowledge or experience with cryptocurrency would be able to build contracts, whose terms are automatically executed, in 20 minutes.

"Working with our customers that wanted to start playing around with blockchain technology, the major pain point that we kept hearing from them was that it was just too hard to get started, and too expensive," said Microsoft's director of tech strategy for financial services, Marley Gray.

Azure is Microsoft’s cloud-based business service, which supports multiple programming languages and provides for the creation of custom applications on Microsoft’s infrastructure.

The company has been increasingly shifting focus to its cloud services amid slowing demand for its Windows operating system.