·         Enables you to create your own block chain, group of the entities come together to form a private block chain

·         Public vs Private BlockChain (MultiChain vs Public BlockChains)

a.       MultiChain has Integrated permissions system; Permission changes written into the block chain

                                                               i.      Ability to connect to chain

                                                             ii.      Ability to send

                                                            iii.      Ability to receive

                                                           iv.      Ability to mining

                                                             v.      Ability to create an asset

                                                           vi.      Ability to be an administrator

b.      Designed around the idea of having multiple assets running on a single block chain. Special commands to exchange assets. Block chain does not have a native currency by default. Can have one if required

c.       Model for mining: Collection of entities who have the permission to mine a block. Mining diversity to prevent minority control (Notes mine blocks in rotation)

§  Proof of work vs stake: Neither used. Permission required, wait your turn, permission based mining (mining diversity)

b.      Very easy to embed metadata into transaction, to use block Chain to encode any kind of information rather than asset transaction

                                                               i.      Bitcon has OP RETURN, in multi Chain you can set size limit for OP RETURN to be much larger

                                                             ii.      Bitcoin has size limit of 80 bytes; in multi chain default size in 4kb can be made larger

                                                            iii.      Easy API to add metadata to transaction

o   Concrete example on multi chain website

o   Value of private blockChains vs database

1.       Natural and robust way to set up replication, easier than it is in current databases

2.       Notion that particular pieces of data (or particular rows) are owned by different entities, model of per row permission. Data can only be modified by the owner by signing with private key a transaction modifying the data. This is a new feature not present in databases. No central authority is able to modify the data without the permission of the entity that owns the data

3.       Notion of a Transaction constraint (is this transaction as a whole valid?)

·         You don’t have this constraint in databases, enables database to be shared by number of entities in the “write” sense safely even if those entities do not trust each other

·         Technical Considerations

o   Runs on 64 bit Linux

o   Backwards compatible with Bitcoin