Ethereum vs Hyperledger for Smart Contracts Development

Published : Aug 30, 2018

Ethereum vs Hyperledger

  • Ethereum versus Hyperledger is a discussion point that keeps on evoking enthusiasm among researchers and developers, given the distinctions and similarities shared between these projects based on Blockchain technology.

    So, what are the most influential factors in both blockchain projects that make them stand out from each other?

    Ethereum vs Hyperledger: Description

    Ethereum is an open-source distributed public blockchain network. It provides developers with essential instruments required for making decentralized applications and Smart Contracts. Created by Vitalik Buterin, the system is an augmentation of the core blockchain idea with a couple of new features.

    On the other hand, Hyperledger gives itself a role as an open-source development venture that offers better models and capabilities for an improved blockchain ledger. Hyperledger goes about as software that enables individuals to think of customized blockchains to address various business needs with enterprise-grade capabilities.

    Read:  Hire The Best Ethereum Developers Using These Tips

    Ethereum vs Hyperledger: Purpose

    Hyperledger and Ethereum differ a great deal with regard to what purpose they serve. Mainly referred to for powering Smart Contracts, Ethereum can be utilized for developing decentralized applications as well.

    Hyperledger influences blockchain technology to convey high degrees of classification, flexibility, and adaptability based on business needs.

    With a modular architecture, Hyperledger gives a high level of adaptability when it comes to its usage.

    Ethereum vs Hyperledger: Cryptocurrency

    Ethereum gets powered by Ether which is the network's local currency. Hyperledger, on the other hand, does not need digital currencies (cryptocurrencies) for exchanges. An absence of digital currency empowers scalable consensus algorithms capable of handling high transaction rates.

    Ethereum vs Hyperledger: Programing Language

    While the two undertakings can help develop Smart Contracts, the programming language developers use may be different. Ethereum enables Smart Contracts to be developed utilizing a high-level contract-situated language named Solidity.

    Hyperledger utilizes the term 'chain code' to trigger smart contracts that handle business logic as agreed by individuals in a network. The chain code gets coded in Golang, a programming dialect made by Google.

    Ethereum vs Hyperledger: Consensus

    With regards to consensus, all network members must achieve accordance with transactions occurring in the Ethereum blockchain, irrespective of the parties engaged in them. Ethereum builds consensus based on the proof-of-work algorithm whereby every node agrees upon a shared ledger.

    Hyperledger, on the other hand, enables nodes to decide how to continue without involving every node in the network. In this situation, at least two parties can agree so that they can impact the result, without including other individuals.

    The fine-grained control of consensus enables Hyperledger to appreciate enhanced performance & adaptability and security.

    Ethereum vs Hyperledger: Confidentiality

    Confidentiality is another viewpoint that influences Hyperledger to emerge when compared to Ethereum. Hyperledger gives organizations and people the adaptability of keeping transactions visible to only a circle of agreed parties, with encryption keys.

    Ethereum, on the other hand, can be either open or private. Anyone can take part in an Ethereum network to see the transactions that are occurring. However, with Hyperledger that isn't possible as it asks for authorization to join a system.


    Ethereum is a perfect blockchain platform for anybody wishing to develop smart contracts or decentralized applications. Notwithstanding, its permissionless method of operation comes at the stake of privacy. The platform also experiences scalability issues.

    Hyperledger while not a well-suited alternative for Smart Contracts development when compared to Ethereum, is an easy decision for any individual who values protection. The way that it solves performance scalability issues with proficiency makes it perfect for big business ventures.

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