Consulting giant Ernest & Young (EY) has launched an enterprise procurement solution based on the Ethereum public blockchain. This initiative will leverage smart contract capabilities to enable participants to design and implement procurement contracts on a public blockchain. Dubbed the EY OpsChain Network, it will oversee a shift of Enterprise Resource Planning (ERP) into decentralized networks instead of the current frameworks, which are fundamentally centralized.
EY announced this development on September 27, noting that it will be the first of its kind to facilitate day-to-day ERP activities while benefiting from Ethereum’s decentralized architecture; interested prospects can try out the beta version for free. The press release further highlights that building on Ethereum’s public blockchain will increase efficiency through the automation of figures in procurement pipelines,
“It has become difficult to manage network-level agreements from inside a single enterprise resource planning (ERP) system. The solution allows buyers and sellers to operate as networks, automatically keeping track of total volumes and spend, and using globally agreed terms and pricing.”
The EY OpsChain Network is built on Baseline protocol, an open-source initiative developed by EY earlier in the year. This protocol is the base of fundamental core features given that it leverages zero-knowledge proofs, distributed identity tech, and off-chain storage. This will allow firms to interact with each other on the EY OpsChain Network without exposing sensitive or private data on the public blockchain.
EY’s global blockchain leader, Paul Brody, has since expressed bullish sentiments on adopting enterprise blockchain solutions. He had previously informed Decrypt that EY believes that more than half of all business contracts will be made on the blockchain by 2030. Brody said,
“Competition is increasing between networks of companies, their partners, and suppliers. The ability to work as a network, above the level of any single ERP system, is crucial. Doing so on a public blockchain means not having to persuade a company or supplier to join a costly, closed proprietary network.”
EY Blockchain Analyzer
Apart from the OpsChain Network, EY also made some new enhancements to its blockchain analyzer and explorer product suite. The newly integrated functions will enable clients to analyze on-chain crypto activity in-depth, an approach that could improve the management of compliance, legal, and fraud risks. Currently, the beta release supports only BTC, although plans are underway to feature Ethereum as well,
“The Explorer & Visualizer solution makes it possible for internal audit teams and forensics accountants to search for specific transactions, addresses, and blocks to gather relevant information.”