PeerNova Raises $8.6 Million to Utilize Blockchain in Applications

By
Neal Rauhauser @RealityForger
December 18, 2014

PeerNova, a software and hardware vendor formed via an April 2014 merger of Cloudhashing and Highbitcoin, has just raised $8.6 million to fund their expansion in 2015. This Silicon Valley based company is focused on bringing blockchain technology to enterprise customers, offering software for what it calls registry duty, the ledger function of the blockchain, as well as cloud based hashing services.

Also read: Pantera Capital Leads $3.5 Million Investment In ChangeTip

PeerNova In the Western World

Reading between the lines, PeerNova expect corporations to make significant changes to business process in the areas of loyalty/rewards programs and retail customer contracts. Everything from frequent flyer miles to your punch card at the coffee shop may be recorded in an online registry that offers you additional chances at some sort of value exchange with your favorite brands.

Corporations will have a different sort of opportunity, being able to set up their own self hosted blockchain applications using the compute assets Cloudhashing brought to the merger. They will receive all of the benefits that come from participating in a public blockchain, launching their own private effort, or participating in one operated by an industry affinity group.

As an example of a scenario where a private blockchain might be preferable, imagine a state that provides health benefits to employees via two or more HMO or PPO type businesses. Records could be logically centralized in a blockchain that is physically held by the state and each provider in the system. A closely held, special purpose blockchain could pass muster in the eyes of auditors who would never approve of use of one connected to a cryptocoin.

PeerNova In The Developing World

PeerNova has equally ambitious designs in the developing world, where cellular service is the foundation of many types of transactions, taking the place of a bank or other financial service business with a storefront. A sale involving a text message with a destination and an amount happens where and when it’s convenient for the phone owner, rather than traveling and perhaps waiting for an office to open, or taking the risk of carrying cash.

Remittances, payments sent home by those who have traveled to another country to work, are a major transaction market that is currently centralized. Service providers closer to those who are both sending and receiving will be able to join a PeerNova enabled network, and they’ll serve their customers more quickly and more cheaply as well.

Escrow is another area where services currently require a central agent that handles funds and verifies transactions. A decentralized escrow would involve smart contracts, where a developing world farm cooperative ships its produce, and the buyer releases payment into the network once the shipment is received. Current commodity handlers would still have a role where liquidity was needed in the form of an entity who might buy and hold product, but their overall share of the business will decline.

Further Information

PeerNova CTO Ganesh Ganesan appeared at TiEcon 2014, introducing the company and its longterm vision. You can also visit the PeerNova LinkedIn page, as well as their website.

Images from Shutterstock.

Last modified (UTC): December 21, 2014 08:16

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