There are obvious security benefits to using this type of approach for transactions between companies and their suppliers, and it could be a much more efficient way of doing business than 90-day purchase orders and invoices.
Interestingly, Microsoft is not tying the Coco Framework to Azure.
The service aims to get businesses prepared for the arrival of the new disruptive technology, providing a means for firms to utilise blockchain applications easily and effectiveness from the outset.
The Coco Framework - short for "confidential consortium" - is meant to work with any ledger protocol and work on any operating system and hypervisor that supports a compatible Trusted Execution Environment (TEE), or secure area of a processor.
Richer, more flexible, business-specific confidentiality models. Russinovich said that releasing the framework for free was part of Microsoft's push to help businesses innovate. "Any ledger can be build into it".
In late 2015, Microsoft made its public entrance into the industry with its blockchain-as-a-service tool kit for a number of open-source platforms.
Microsoft announced on Thursday that it was working to develop a system called Coco Framework, technology that connects to various blockchain networks to solve problems that have slowed their wider adoption, including privacy matters. Since then, the company launched Project Bletchley, created to simplify the creation of blockchain consortia, and it has unveiled plans for enterprise-grade smart contracts.
The company plans to offer Coco for free, although it hopes that it will lead to more use of its cloud services.
In two separate live demonstrations of the Coco Framework, both the speed and security of the technology were put on display. By using that shared trust, it's possible to bypass transaction verification operations like those required by the current open source version of Ethereum.
The "main reason" for the improvement, according to Microsoft senior program manager Christine Avanessians, is that the blockchain was being processed in a trusted environment, allowing for a "simplified consensus mechanism", in this case, RAFT.
Providing these foundational capabilities opens up more complex, real-world blockchain scenarios across industries - like financial services, supply chain and logistics, healthcare and retail - further proving blockchain's potential to digitally transform business.