On Wednesday, accounting firm EY introduced an Ethereum-based blockchain solution aimed at streamlining business operations. The platform, named EY OpsChain Contract Manager (OCM), targets the facilitation of intricate agreements, cost reduction, and enhanced security measures.
OCM is specifically engineered to address challenges inherent in managing business agreements across diverse internal and external operational and technological frameworks. It facilitates seamless data synchronization among multiple stakeholders while enforcing critical contract terms via smart contracts. These terms encompass standardized pricing, volume discounts, rebates, and strike prices.
Citing data from Zion Market Research, EY highlighted projections indicating that the global smart contracts market is poised to reach $1 billion by 2030, with a projected compound annual growth rate (CAGR) of approximately 24% from 2023 to 2030.
Unveiled during the annual EY Global Blockchain Summit, EY OCM operates on the Ethereum blockchain, ensuring decentralized operations within a trustworthy environment.
Paul Brody, EY’s global blockchain leader, emphasized the advantages of deploying on a public blockchain, noting its cost-effectiveness and scalability. He highlighted its ability to facilitate many-to-many integrations on an open platform, preventing any single entity from gaining undue influence by controlling the network.
Automated Policy Enforcement for Streamlined Operations
EY OCM operates seamlessly through an API, simplifying the management of smart contract providers. Additionally, companies can tailor personalized user interfaces, allowing for the configuration of standard pre-built contracting models. Among these models is an initial suite featuring Power Purchase Agreements tailored for renewable energy.
Moreover, EY underscored the tool’s ability to automatically validate contract terms in real-time, along with monitoring policy adherence and promptly alerting users to any discrepancies. This functionality effectively prevents transactions from proceeding if they do not align with the contract terms, thereby eliminating any potential strategic advantage for either buyers or sellers.
Furthermore, this approach aids in mitigating the high expenses typically associated with establishing and operating a private network. It also addresses concerns regarding the security risks inherent in sharing sensitive business data via a centralized industry portal.
EY’s Expanding Blockchain Footprint
This latest development underscores EY’s continued engagement with blockchain technology. Back in October 2019, the company introduced a blockchain solution aimed at assisting governments in improving transparency and ensuring accountability for citizens, enabling the tracking of budgets, expenditures, and outcomes.
In March 2020, EY unveiled the Baseline protocol, a suite of public domain blockchain tools tailored for enterprise use. Developed in partnership with blockchain firm ConsenSys and tech titan Microsoft, this protocol offers robust solutions for businesses.
Then, in September 2021, EY announced its adoption of Polygon in conjunction with its flagship blockchain services, including EY OpsChain and EY Blockchain Analyzer, further expanding its blockchain ecosystem.
