Microsoft launches Ethereum instance 'Azure' to get rid of mining

According to CCN, software company Microsoft has released a new blockchain service (BaaS) product Azure, allowing enterprises across industry verticals to deploy flexible Ethereum instances tailored for enterprise environments. At the product launch on Tuesday, Ethereum's Proof of Authority on Azure allows enterprises to build applications on the Ethereum blockchain that are not protected by the Proof of Work (PoW) consensus algorithm and therefore do not require mining. These features are more suitable for networks where participants do not trust each other.

“In anonymous, open networks, cryptocurrencies can facilitate network security,” said Azure software engineer Cody Byrne. “However, in private, consortium networks, the underlying ether has no value.”

Byrne explained that since all participants in an enterprise blockchain network are known and reputable, it separates governance from network operations.