Crypto News – In an effort to assist its private company clients in facilitating complex contracts, Big Four accounting firm Ernst & Young has introduced an Ethereum-based solution utilizing zero-knowledge proofs.
Big Four Accounting Firm EY to Use ZK Proofs to Automate Contracts
According to a statement released by the firm on April 17, the solution, known as the EY OpsChain Contract Manager (OCM), would assist private enterprises in carrying out complex commercial agreements in a timely, private, and economical manner. Contracts involving buy agreements, standardized rate cards, volume discounts, rebates, and strike pricing are a few that can benefit from EY’s Ethereum-based solution. According to EY, it decided against using a private network in favor of Ethereum, a public blockchain, since it would lessen the possibility of a party obtaining a “strategic advantage” over another and prevent the leakage of confidential company data.
The New Solution Launched at EY Global Blockchain Summit
On April 17, the solution was unveiled at the yearly EY Global Blockchain Summit. According to Paul Brody, EY Global Blockchain Leader, the company developed OCM after realizing via previous client work that it could reduce cycle times and administrative expenses by roughly 90% and 40%, respectively, while also improving contract term accuracy.
With our zero-knowledge privacy technology, we have industrialized this capability, and we can now get these benefits at a fraction of the up-front cost.
Brody
Private blockchains prevented competitors from collaborating in part because they would divulge private data, such as the amount and cost of a company’s purchases, according to Brody.
The problem with private blockchains is they don’t actually provide privacy. People jumped into this without really understanding the technology, and it was only after they got into it that it’s like, ‘Oh, everybody in the private chain can still see everything.’
Brody
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