Blockchain or centralized database? – With the new euphoria starting to surround the cryptosphere, what is friendly nicknamed the “blockchain bullshit” is once again making headlines . Ernst & Young and Microsoft announce that a blockchain will allow Bitcoin Machine partners, and artists in general, to better manage their copyright contracts.
Automated copyright payments
In a press release issued this Dec. 24, the firm Ernst & Young LLP (EY) and the company Microsoft announced that they have extended the solution based on the blockchain Azure Microsoft management and collection of copyrights .
The 2 companies explain that this extended solution will reduce processing time by 99% , with near real-time copyright calculation .
The blockchain application would then be able to process 2 million transactions per day, or just over 23 transactions per second .
This update affects Microsoft’s Xbox video game industry , but also its network of artists, musicians, writers and other content creators.
During this go live, we were successful in generating the first round of partner payments using blockchain and smart contract technology. This extended solution will streamline financial and operational processes (…). We look forward to continuing to expand this solution across our entire copyright payment ecosystem, improving our processes and continuing our journey to modern finance. “
Blockchain, transparency, AI: a dangerous triad
This improvement of the Microsoft Azure solution is based in particular on the digitization of contracts for a faster creation of copyright thanks to artificial intelligence (AI).
The proprietary blockchain makes it possible to manage „in full transparency“ the statements and invoices linked to copyright and to facilitate their monitoring . Benefits that make Paul Brody , Global Head of the Blockchain Sector at EY, say:
“Blockchains may well become the glue that digitizes interactions between businesses. This commissioning represents another big step on this path, by extending the level of automation and optimization of processing time throughout the process (…) ”
To conclude, remember that Microsoft’s Azure blockchain is not public, but is closely managed by Microsoft and its partners. On this kind of consortium blockchain, the counterparty risk is very real, as are the threats to privacy and respect for personal data.