The technique is aimed at resolving human errors, incorporating legal and regulatory requirements, and addressing mischief and other issues.
The consultancy firm said that the prototype is designed for use in “permissioned” blockchain systems but not for systems like the cryptocurrency system supporting Bitcoin, which is open and decentralized.
Accenture financial services group chief executive Richard Lumb said: “As we focus on new uses for blockchain technology beyond the realm of cryptocurrency, absolute immutability will become both a virtue and a vice.
“For decentralized cryptocurrency systems, such permanent accounting has been crucial in building trust and faith among participants. But for financial services institutions faced with a myriad of risk and regulatory requirements, absolute immutability is a potential roadblock.
“Our invention strikes a balance for enterprise use that preserves the fundamental value of the technology while enabling enterprise adoption.”
The prototype enables administrators to edit, rewrite or remove blocks of information stored on a blockchain.
It also comes with a capability to indicate altered block by leaving an immutable “scar”.
Accenture and co-developer Dr. Giuseppe Ateniese have filed patent applications for the technique in the US and the European Union.
Accenture’s capital markets blockchain practice managing director David Treat said: “As blockchain solutions gain momentum in financial services and other industries, more and more real-world situations will emerge where information on blockchains simply needs to be modified or removed.”
Blockchains, which are online ledgers to record transactions, have gained prominence following the growing popularity for the digital currency bitcoin.
Distributed ledger technology is expected to help in completing financial transactions with greater speed, security, cost-efficiency and transparency compared to the existing system.
Image: The Accenture building in Reston Town Center in Reston, Virginia. Photo courtesy of BLM Platinum/Wikimedia Commons.
