What is Quorum and Why Quorum Blockchain is Ideal for Enterprises

The use of blockchain technology in the financial sector remains the most prominent, and with great results. While blockchain has increased in prominence, it is yet to gain the confidence that conventional finance already has. Financial institutions have been slow to adopt the use of blockchain technology into their functions. This is why Quorum was developed, to aid them in their transition into blockchain. 

JPMorgan developed quorum in partnership with Microsoft. The role of Microsoft in this project is to provide cloud storage and distribution of Quorum. It is based on the Ethereum blockchain base code Go Ethereum, and they function in similar ways. There are several significant differences, though, which are highlighted by the features of Quorum. 

Features of Quorum Blockchain

Quorum functions quite similarly to Ethereum. However, there are significant differences. For one, Ethereum is a public blockchain and grants open access to all, unlike Quorum. Some of its features include: 

  • Permissions 

This is one of Quorum’s essential features because it means that the blockchain solution is not accessible. Parties that are validated and have appropriate permissions are the only ones that can access its network at any given time. Additionally, the transactions are carried out by a select number of participants already approved by a chosen authority. This factor negates the fear by financial institutions of open access to ledgers and records of transactions

  • Improved Privacy 

Protection of data is a primary concern for banks since their systems are centralized and vulnerable to hacking. To mitigate this concern, Quorum provides for enhanced privacy for contracts and transactions. Quorum’s permissions concept makes it superior to other blockchains like Ethereum, where no permission is needed to access records. Quorum allows for both public and private transactions on its blockchain. Public transactions are open, similar to other blockchains, and can be accessed freely. 

Private transactions are confidential and are not exposed to the public, which is more favorable for banks. The authenticity and verifiability of these private transactions are not compromised because of the Constellation feature. It secures all private transactions, past and present, which can be verified easily by permission individuals. Smart contracts are also protected since they contain sensitive information about the participants and investment strategies.

  • Consensus 

Unlike any other blockchain, Quorum functions on a consensus using a mechanism called QuorumChain. This mechanism operates straightforwardly based on a simple majority voting system. It uses a smart contract initiated from the genesis block. The contract assigns voting rights to various nodes and tracks their status. Every Quorum transaction involves a global transaction hash, a public state root hash, and the blocker’s signature. The voting protocol relegates authority and power evenly as opposed to a single authority. 

  • Improved Performance 

Quorum has more superior speeds in transactions compared to blockchains like Bitcoin and Ethereum. It is claimed to carry out hundreds of transactions per second, making it perfect for fast-paced financial transactions. These speedy transactions can be attributed to its simple voting protocol. The procedure is simplistic, using smart contracts with smaller nodes of nodes instead of the vast networks used by Bitcoin’s likes. 

Quorum as an Enterprise Solution

Blockchain has become essential for businesses that want to issue digital assets and streamline their business processes. It is not essential for all businesses, but it is an excellent enterprising tool for the following reasons: 

  • Efficient data processing 

The decentralized nature of blockchain technology facilitates efficient data coordination as opposed to centralized systems. Quorum allows for this processing and at a faster speed than other blockchains. 

  • Secure transactions and networks 

Blockchain technology is secure because of its decentralized nature, thus making it invulnerable to hacking and tampering. Businesses need to protect their data and networks from outside interference through blockchains like Quorum and Ethereum. They can choose which platform to use based on whether their transactions are public or private. 

  • Management of digital assets 

Blockchain allows an entity to create, manage, and distribute digital assets without going through a third party. This gives the owner autonomy over how to manage their assets. 

Architectural Components of Quorum

The three main components of Quorum are: 

  • Quorum Node (Modified Geth Client) 

Quorum node allows the blockchain to take advantage of any developments in the Ethereum platform without compromising its functioning. The peer to peer layer is modified to allow for permission access only. This differs from Ethereum because records there are available to the public. 

  • Constellation-Transaction Manager 

This node is responsible for the privacy of Quorum Transactions. It stores encrypted transaction data and allows designated individuals to access them. It, however, does not have access to sensitive private keys

  • Constellation-Enclave 

The enclave and transaction manager work in concert to enhance the privacy of transactions in the Quorum blockchain. It generates encryption and decryption keys for transaction data, especially private transactions

Quorum vs. Hyperledger vs. Corda

Quorum, Hyperledger, and Corda are three of the most significant blockchain solutions for business owners. The question in the mind of a business owner is which of these three blockchains to use. While they are all developed from Ethereum’s base code, they are very different. 


It is an open-sourced blockchain created for cross-industry blockchain technology. The Linux Foundation hosts Hyperledger, but it is a collaborative effort from various industries. These include leaders in banking, finance, the internet of things, technology, and supply chains


This is a distributed ledger technology that allows businesses to keep shared ledgers of transactions without a third party. Corda allows strict confidence in transactions, with only the parties involved knowing the details. The other members of the ledger can, however, access these records as well when needed. 

The choice between Quorum, Corda, or Hyperledger is dependent on four factors: 

  • Participation of Peers 

All three blockchains are permissioned in nature. Therefore, access is restricted. Only people with special permissions can access the records and are chosen by a designated authority. 

  • Consensus 

In Hyperledger, consensus involves the entirety of a transaction from its inception to its commitment to the ledger. 

In Corda, a third party known as ‘Notaries’ validates transactions made before committing to the ledger. These notaries can be centralized or distributed. 

For Quorum, the QuorumChain works by a simple majority voting system. A few nodes are assigned voting rights, and their status is verified from time to time. These nodes are the only ones that verify transactions on the chain. 

  • Smart Contracts 

Hyperledger uses ‘chaincode’ for its smart contracts technology. It takes advantage of blockchain’s built-in trust and consensus. It also allows one to write the language in any standard programming language. 

Institutions like banks prefer Corda because its smart contract code is also embedded with legal prose. This helps to ensure the validity and legality of the transactions on its chain. 

Quorum uses the smart contracts by Ethereum, with specific nodes assigned for public and private transactions, respectively. 

  • Built-in currency 

Quorum and Corda do not support any currencies at the moment. Hyperledger does support tokens, and a native currency can be developed using Chaincode. 

Quorum Use Cases

  • Vaccination tracing 

One of the notable roles of Quorum is to hold records that are only accessible to various individuals. A team in Nigeria with the UN has come up with a way to use Quorum to create a secure database for vaccinations with blockTEST. This database shows records of children that have or are yet to have vaccinations. 

  • Supply Chain Tracking 

Various industries and businesses are using Quorum to track the supply of their products. For instance, Starbucks uses the Microsoft feature, Azure, to track coffee production in various parts. 


Bitcoin live price
price change

The quorum may be the way that conventional financial institutions adopt blockchain technology into their operations. It addresses their need for data privacy while incorporating speedy transactions. Its permissions feature is especially attractive for conventional institutions. It ensures that the data on private contracts and transactions are well protected and only accessible to the necessary people. Innovation will lead to more convenient solutions, but Quorum is a good start. 

Stay up to date with our latest articles

More posts

RodeoCoin – Supporting the Western Lifestyle through Crypto

RodeoCoin is a hyper-deflationary token running on Binance Smart Chain seeking to reward its active users with BUSD reflection rewards. The project’s ultimate goal is to build a Community Wallet supporting the western lifestyle and community-oriented initiatives, including promoting talents in art, sports, and music. This short RodeoCoin review looks closely at one of the most recent projects to surface in the market. Read on to discover its features, tokenomics, and roadmap! What is RodeoCoin? RodeoCoin evolved from a group…

Shazu – Channeling the Ninja Abilities within NFT Collectors and Crypto Enthusiasts

Shazu is a community-driven project featuring a deflationary token, SHAZU, and a collection of unique Ninja NFTs. Its goal is to help users increase their financial freedom through reflection rewards, staking opportunities, and digital collectibles. This short Shazu review looks closely at one of the latest projects to surface in the cryptosphere. What is Shazu? Shazu is a project seeking to grow through its community while rewarding its members at the same time. It features a deflationary token on the…

WinWinCoins Will Make Crypto Trading More Accessible for Everyone

WinWinCoins is an innovative blockchain project providing a next-gen AI robot trading solution to help investors increase their profits. Its goal is to build an advanced, democratic platform easily accessible to everyone. This way, even newbie traders with little market knowledge can have a positive experience in cryptocurrencies. The WinWinCoins team believes it can accelerate crypto adoption by providing legitimate trading tools available to everyone. To this end, its trading bot could help eliminate losses and increase access to profitable…

SafeSwap Deploys on the Polygon Network to Allow the Farming and Staking of SSGTX

SafeSwap, a decentralized crypto exchange platform, has recently deployed on Polygon, previously known as the Matic Network, a scaling solution for public blockchain networks.   The integration of the Polygon chain by SafeSwap aims to revolutionize the DeFi industry by allowing the farming and staking of SafeSwap's token, SSGTX. The partnership enables users to exchange information without losing ownership or control in the staking and trading industry.  The main objective of SafeSwap is to empower traders and liquidity providers with an easy-to-access financial…

API Inu – A Blockchain Service Suite Joining the Meme Coin Hype

The meme coin hype is leading to the creation of more creative projects revolving around this type of cryptocurrency. In this context, API Inu is one of the latest examples, with a combination of blockchain data services and a meme token. Using TradingView's professional charting libraries, the project wants to provide simple indicators for beginner traders. Furthermore, the team wants its community to enjoy access to essential data like liquidity, trading volume, risk exposure, and fear vs. greed indicators.  API…

Ragdoll Cat NFT – A New Decentralized Project to Help Cats in Need

As the blockchain market grows, we learn more and more about how this technology can influence our daily lives. Ragdoll Cat NFT is a new project that puts together the interest for crypto, decentralized communities, and cats. In the following sections, we wish to report, in a neutral way, all the main features of this new initiative. After describing the ecosystem designed by the team, we’ll include some of the future developments that we should expect from the project. About…

Tiny Colony Review – The First-Ever Expansive Pixelated Tinyverse

Tiny Colony is a pixelated ecosystem of games, events, and experiences built on Solana that allows users to play without requiring NFTs. It features the first-ever construction and management blockchain game and benefits from the backing of iLogos, the prominent developers of Angry Birds 2, and regular partners of Disney, Ubisoft, EA, Rovio, and DreamWorks. The project is currently in full swing after striking partnerships with Fractal Marketplace, Twitch creator Justin Kan, and popular YouTuber iJustine. Furthermore, the game raised…

Rocket Global – A Next-Gen Hybrid Crypto Exchange

The market of crypto exchanges is crowded, and new initiatives in this niche always need to develop something innovative to have a chance of survival. The sector is still far from reaching a mature phase, and creative teams have an opportunity to improve the current inefficiencies of the market. Today we will talk about Rocket Global and impartially review its main features. Our short overview wishes to highlight the key characteristics of the project to let the readers form an…

C4G3 – A Project Featuring the First Decentralized Meme Index

Meme tokens have had immense success after launching on the market as a joke with Dogecoin ($DOGE). This niche gradually became a serious business as the coins’ market cap grew exponentially. The C4G3 Meme Index is the world's first digital asset index designed to track the performance of meme tokens within the cryptocurrency industry. Our review will look closely into this new project and provide the readers with the main details shared by the founding team. About C4G3 Creating an…

Stoner Doge – A Cannabis-Related Blockchain Project Oriented to Charity

It is not uncommon for blockchain developers to create a project to provide charities and non-profit organizations with funding. Stoner Doge is one of the latest examples in this market niche, with its intention to launch a cannabis-friendly project connected to charitable groups in the sector. Today’s review will introduce the project and its main features to the readers, and it will do so in a neutral way. Eventually, it will only be up to single investors to discover this…