Off-chain, on-chain integration – the paramount challenge for DeFi & legacy finance

DeFi is short for “Decentralized Finance”, an umbrella term for a variety of financial applications in cryptocurrency and Blockchain, geared toward disrupting financial intermediaries. DeFi aims to reconstruct and reimagine financial services on the foundations of DLT “Distributed Ledger Technology”, Blockchain, digital assets, cryptocurrencies and smart contracts.

DeFi has been evolving since the 2015 launch of the Ethereum network which initially laid the groundwork by introducing Blockchain-based smart contracts. Although DeFi applications have continuously grown since that time, the year 2020 witnessed a major upsurge of activity. In one year, the value of digital assets locked in DeFi smart contracts grew by a factor of 18, from $670 million to $13 billion while the number of associated user wallets grew by a factor of 11, from 100,000 to 1.2 million. This growth in turn has stimulated interest from both the private and public sectors as in the examples of MicroStrategy and Tesla’s investments in Bitcoin and strategic initiatives in the space by mainstream financial institutions.

While regulatory challenges represent barriers to early mainstream adoption, the technology requirements to integrate legacy financial systems with DeFi applications represent an even more formidable task. Scalability, reliability and high performance have always been non-negotiable requirements in the financial services world where every new technology is scrutinized all the way to its smallest moving parts before being accredited as production caliber. While the race is on for traditional large financial institutions to offer crypto and digital services to their customers, they are faced with the paramount challenge of integrating their existing infrastructures with a variety of Blockchain platforms and emerging DeFi services without compromising the aforementioned technology requirements of Wall Street in an optimal fashion.

Founded by a team of integration pioneers who digitized Wall Street, BCware provides a Blockchain integration platform addressing these very technology challenges above. The BCware platform delivers mission-critical grade solutions for the convergence of legacy financial systems with cryptocurrency and digital asset infrastructures with its unique differentiators:

  • High performance and scalable symmetric on-chain/off-chain integration and orchestration
  • Transparency and interoperability of the underlying Blockchain platforms

The diagram below depicts the BCware platform connecting the islands of the new finance world:

BCware’s unique architectural approach is centered around the following key components:

  1. BCflow: The workflow engine orchestrating on-chain/off-chain events using concurrent tasks and a publish/subscribe model for superior scalability, high performance and reliability.
  2. BCware Abstraction Layer: Providing a symmetric integration model for off-chain applications, existing and future DeFi services and underlying Blockchain platforms.
  3. BCware API Layer: Enabling the creation of new crypto and digital asset services for our customers.

The platform is further boosted for scalability and high performance via off-chain centric processing and optimized on-chain access.

Our mission is to be the de facto and ubiquitous integration platform between legacy financial systems and Blockchain powered DeFi infrastructures.