askvity

What Is SAP Blockchain?

Published in SAP Technology 3 mins read


SAP Blockchain refers to SAP's strategic integration of blockchain technology into its enterprise software and platform services, primarily delivered through the SAP Leonardo platform. It is designed to help businesses leverage distributed ledger technology for enhanced transparency, security, and efficiency across various processes like supply chain, manufacturing, and asset management.

## Understanding SAP's Approach to Blockchain

SAP's blockchain offering is not a standalone cryptocurrency or a public blockchain network like Bitcoin or Ethereum in its base form. Instead, it focuses on providing enterprise-grade blockchain capabilities that can be integrated with existing SAP systems and business processes. This approach allows companies to adopt blockchain without rebuilding their entire IT landscape.

A key component of SAP's offering, as highlighted in the provided reference, is the **SAP Leonardo Blockchain**.

### The SAP Leonardo Blockchain Platform

According to the reference:

*   The SAP Leonardo Blockchain is **connected to the SAP Cloud Platform on top of SAP HANA and SAP Vora**.
*   It integrates a blockchain system with the Internet of Things and machine learning on a single platform.

This description is crucial as it positions SAP Blockchain not just as a blockchain service, but as part of a larger, integrated digital innovation platform (SAP Leonardo) built on SAP's core technologies (SAP Cloud Platform, HANA, Vora).

### Key Integrations and Capabilities

The integration mentioned in the reference is particularly significant:

*   **Blockchain + Internet of Things (IoT):** This combination enables tracking assets and products throughout their lifecycle with tamper-evident records generated automatically from IoT sensor data. For example, recording the temperature of a shipment or the maintenance history of a machine directly onto a blockchain.
*   **Blockchain + Machine Learning (ML):** Machine learning can analyze blockchain data to identify patterns, predict potential issues (e.g., fraud, supply chain disruptions), or optimize processes. ML can also be used to analyze IoT data recorded on the blockchain.
*   **Integration with Core SAP Systems:** While not explicitly in the reference, a core value proposition is connecting these capabilities back to ERP (like SAP S/4HANA), supply chain management, and other business applications running on or integrated with SAP Cloud Platform.

This unified platform approach allows businesses to develop solutions that combine real-world data (IoT), intelligent insights (ML), and secure, transparent record-keeping (Blockchain) within their existing SAP ecosystem.

## Potential Use Cases

SAP Blockchain technology, especially within the SAP Leonardo framework, is designed to address various enterprise challenges. Examples include:

*   **Supply Chain Transparency:** Tracking goods from origin to destination, verifying authenticity, and monitoring conditions (via IoT).
*   **Asset Management:** Creating a digital twin on the blockchain to record maintenance, ownership, and usage history of high-value assets.
*   **Proof of Authenticity:** Combating counterfeiting by creating immutable records of product origin and transfers.
*   **Automated Transactions:** Using smart contracts to automate payments or actions based on verified conditions (e.g., delivery confirmation via IoT data on the blockchain).

By leveraging the integration with SAP Cloud Platform, HANA, and Vora, SAP Blockchain provides the scalability and data processing power required for enterprise-level applications.

Related Articles