Accenture has announced that it has created a prototype that enables editing blockchain technology under extreme situations in order to resolve human errors, address issues like mischief, accommodate legal and regulatory requirements, at the same time protect significant cryptographic features.

According to the release, the prototype of a new capability shows a significant breakthrough for enterprise use cases of blockchain technology focused on insurance, banking, and capital markets. The new prototype is designed for ‘permissioned’ blockchain systems that are managed by administrators under agreed governance rules.

“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.” Richard Lumb, group chief executive of Financial Services at Accenture said.

The ‘Editable’ blockchain are immutable to users of the system. Administrators working on agreed rules of governance can edit, re-edit or remove blocks of information without breaking the chain. This is done by ‘chameleon’ hash function that creates algorithms and links two separate blocks through the use of secure private keys.

“Our solution makes it possible to deal with situations in a predictable fashion when things go wrong and to meet new and changing regulatory and legal requirements, like the ‘right to be forgotten’ and other data-privacy and retention rules. An editable form of blockchain will make the technology more practical and useful for enterprise systems and accelerate its adoption. It combines the confidence that comes from immutability with the pragmatism required in an imperfect world,” David Treat, managing director of Accenture’s capital markets blockchain practice said.

The prototype invention also gives a capability where any block editing leaves an immutable “scar” to indicate that the block was altered. the patent application for the invention is filed in the U.S. and the EU, by Accenture and co-developer Dr. Giuseppe Ateniese, a leading cryptographer, and professor of computer science at The Stevens Institute of Technology. The company plans to present the invention at Sibos 2016 in Geneva, next week.

“By modifying the traditional ‘chameleon hash’ function we can preserve the strength of the original blockchain while making it even more useful. Unlike a traditional database, our solution is compatible with current blockchain frameworks and works in a decentralized and accountable environment,” Dr. Ateniese said.