Consortium Blockchain

A consortium blockchain, also called a federated blockchain, is operated jointly by several organisations rather than by one company or by an open crowd. A pre-agreed group of members — banks, carriers, exchanges or regulators — each runs validating nodes, and blocks are produced only when a defined quorum of them agrees. This spreads control wider than a private chain while keeping the identity checks and performance an open network cannot offer. Governance is the hard part: membership rules, upgrade decisions and dispute handling live in legal agreements rather than in code. Because the same quorum that secures the ledger could also collude to alter it, consortium chains suit shared industry record keeping more than they suit bearer assets.