Mijin blockchain successfully completes microcredit data transfer test, can process 100,000 transactions per second

Blockchain technology has become a focus of audiences around the world. For a long time, the topic of how this technology can be introduced into the financial sector has been centered around the topic. However, surprisingly, Myanmar may become the first country to implement distributed ledger technology (DLT). Infoteria and Tech Bureau have successfully tested the application of blockchain in microfinance in a new collaboration.

Transferring deposit and loan account data to a blockchain for an MFI is not a simple task. Unfortunately, there are no open blockchain standards for experiments in this area. Therefore, both parties chose the mijin private blockchain, which is hosted on Microsoft Azure using ASTERIA WARP.

Mijin blockchain is not only capable of processing

The fact that this experiment was successfully completed is indeed positive. There have been some issues regarding the scalability of blockchain solutions in the financial sector. However, the Mijin blockchain is able to process nearly 100,000 transactions per second, so it is more suitable for rapid and continuous transactions.

The transaction history of all active accounts of the BC Finance microfinance institution has been transferred to the Mijin blockchain. Although this only represents one of the 19 branches, it still puts a lot of pressure on the testing of this technology. Each customer record contains a loan account and two deposit accounts.

Now that the test has been deemed successful, it’s time to turn to the future. In the coming weeks, a new experiment will be conducted to determine how well this technology handles concurrent and sequential operations. According to our sources, these experiments will last for a full six weeks.

The Mijin blockchain currently does not have an interface, or client side to write and view data. All information is accessible, but a more convenient solution needs to be developed for BC Finance staff. There is no official deadline for this part of the project, although it is indeed likely to be completed within the six-week timeframe.

The Mijin trial in Myanmar is quite interesting. In a country where only one in 25 citizens have a bank account, it doesn’t look like blockchain will have a major impact in this region. Microfinance services are becoming increasingly popular because they bring financial services to those who don’t have bank accounts.