What is Permissioned Ledger?
Let's find out Permissioned Ledger meaning, definition in crypto, what is Permissioned Ledger, and all other detailed facts.
A permissioned ledger is a closed-source distributed ledger technology (DLT) variant that is restricted in a way that only people or organizations with permission can access it. This distinguishes them from public networks like Bitcoin and Ethereum, which are open to everyone and do not require prior authorization.
A permissioned ledger differs from a centralized database in that it has several participants and no single point of failure. Besides, all data of a permissioned ledger is verifiable, unlike in centralized databases, employing secure cryptography and digitally verified signatures.
The main features of permissioned ledgers include:
- They can be based on existing public networks. However, their design and implementation significantly differ.
- They are tokenless.
- They perform effectively.
- They enable businesses and enterprises to share critical data in a secure, cost-effective, and discreet manner.
- In terms of immutability, permissioned ledgers are similar to public ledgers, however, the latter is generally a lot stronger in this regard.
- They have a semi-centralized governance structure that requires the approval of all permitted participants. Decentralization, transparency, anonymity, security, and censorship resistance vary widely among such systems.
- They have an advantage over their permissionless equivalents in legal and regulatory matters.
R3, B3i, and Hyperledger are typical examples of permissioned ledgers.