How Do I Determine Whether a Blockchain Is Necessary?

To determine whether the blockchain technology is suitable for your project, answer the following questions in sequence:

• Need multiple parties share data?

  Will all business participants benefit from a complete and reliable record sharing system?

• Need multiple parties update data?

  Will data accuracy and update timeliness be enhanced if multiple participants can record and propagate concurrent transactions?

• Must data be verified?

  Can tamper-proof transactions in an untrusted environment improve the transaction throughput and reliability of partners?

• Can a central institution be removed?

  Is removal of a central institution helpful to reduce costs and transaction complexity?

If your answer is "Yes" for all of the above questions, then your project needs the blockchain technology.