Network Manager: A Complete Guide to Understanding This Blockchain Concept

This component provides an access control layer for the permissioned network.

A node in the quorum network can take several roles, for example, a Maker node that is allowed to create new blocks.

A Complete Guide to Understanding This Blockchain Concept

Transaction privacy is provided using cryptography and the concept that certain transactions are meant to be viewable only by their relevant participants.

This idea is similar to Corda’s idea of private transactions that was discussed in , Hyperledger.

As it allows both public and private transactions on the blockchain, the state database has been divided into two databases representing private and public transactions.

As such, there are two separate Patricia-Merkle trees that represent the private and public state of the network.

A private contract state hash is used to provide consensus evidence in private transactions between transacting parties.

Transaction in a Quorum network consists of various elements such as the recipient, the digital signature of the sender, which is used to identify the transaction originator, optional Ether amount, the optional list of participants that are allowed to see the transaction, and a field that contains a hash in case of private transactions.

Why This Matters for Blockchain Technology

A transaction goes through several steps before it can reach its destination.

User applications (DApps) send the transaction to the Quorum node via an API exposed by the blockchain network.

This also contains the recipient address and transaction data.

The API then encrypts the payload and applies any other necessary cryptographic algorithm in order to ensure the privacy of the transaction and is sent to the transaction manager.

Key Points to Remember

  • Network manager This component provides an access control layer for the permissioned network.
  • A node in the quorum network can take several roles, for example, a Maker node that is allowed to create new blocks.
  • Transaction privacy is provided using cryptography and the concept that certain transactions are meant to be viewable only by their relevant participants.
  • This idea is similar to Corda’s idea of private transactions that was discussed in , Hyperledger.

Going Deeper: Advanced Concepts

The hash of the encrypted payload is also calculated at this step.

After receiving the transaction, the transaction manager validates the signature of the transaction sender and stores the message.

The hash of the previously encrypted payload is sent to the Quorum node.

Once the Quorum node starts to validate a block that contains the private transaction, it requests more relevant data from the transaction manager.

Conclusion

Network manager represents one of the many innovative layers that make blockchain technology so powerful and transformative. As distributed systems continue to evolve, a solid understanding of these core concepts becomes increasingly valuable — not just for developers, but for anyone building, investing in, or working alongside blockchain-powered systems.

Whether you are just starting your blockchain journey or deepening existing expertise, mastering these fundamentals gives you the tools to think clearly about decentralized systems and make smarter decisions in this rapidly evolving space.