6 Impressive Ways Blockchain Is Impacting Organizations in 2018
Blockchain: The Future of Connectivity
Blockchain continues to gain momentum, and people across multiple industries are now praising the versatility of this groundbreaking technology.
Whether you’re interested in exploring what blockchain can do for your organization or whether you’re benefiting from the new business opportunities emerging from this technology, the trends of 2018 show progress in its adoption.
As blockchain continues to rise, seismic shifts are expected to impact the entire global economy.
1. Corporate Giants Are implementing blockchain.
Across industries, companies are starting to apply and evaluate the potential of blockchain in areas like financial services, healthcare and life sciences, the public sector, media, and telecommunications, etc.
Global enterprises such as Walmart, Nestle, and Dole, have formed a Food Trust consortium to leverage blockchain technology in their supply chain used to track the lifecycle of food from farm to table for increased safety and efficiency. The Chinese Internet company Baidu, has recently published the whitepaper for “Super Chain” network systems, aimed at using blockchain for certification, digital rights, clearing and settlement, supply chain finance and digital assets, and games.
That crucial group of early-adopters will always be in the minority; if you consider the typical technology adoption lifecycle, early majority will soon follow.
According to Deloitte 2018 Blockchain Study, 41 percent of respondents say they expect their organizations to bring blockchain into production within the next year.
2. Even Governments Are Realizing It’s Potential.
Dubai has committed to implement a statewide blockchain strategy for all visa applications, bill payments and license renewals, which account for over 100 million documents each year, to be transacted digitally using blockchain by 2020.
Malta, Liechtenstein, Bermuda, Gibraltar are some of the several small territories and microstates undertaking actions to attract new business by creating blockchain-friendly comprehensive regulations where other, larger governments have failed to deliver so far. Binance and Shyft Network have each signed an MOU with the government of Bermuda in 2018 to promote the economic development and to fund educational programs related to fintech and blockchain startups.
3. Security Tokens Will Disrupt VC Funding.
For startups founders seeking new ways to raise capital, platforms that adapt to regulations around Initial Coin Offerings have launched to support new funding models. Companies like Polymath and 0x allow companies to explore new funding opportunities such as selling equity on blockchain by tokenizing their businesses. The advances in blockchain technologies, enables new capital raising process in which accredited investors get increased access to private offers, and companies can market to them quickly, efficiently and without intermediaries. This has led to a new appellation of the ICO in 2018 - to the STO, security token offering.
4. Overcoming the Hype
Two thousand eighteen has been a turning point for ICO projects, and as the hype started to diffuse, we witnessed the death of more than half of the ICOs launched in the previous year. Many factors, including the overall cryptocurrency market and the lack of resources to deliver on promised outcomes, played an influence in the decline. There is a movement towards bigger players that are entering in the space; e.g. Bakkt where private instead of public offerings might be more the order of the day.
In an interview with CNBC, economist Nouriel Roubini explains that “ultimately, blockchain's uses will be limited to specific, well-defined, and complex applications that require transparency and tamper-resistance more than they require speed."
As we’re continuing to develop the technology, we’re going to notice a shift towards pragmatism in the blockchain arena.
5. Privacy and Security at the Core of Innovation
Last year, more than 2.9 billion records were compromised from various security incidents across industries, the most targeted sectors being governments, financial services, and technology with one of the most prevalent types of breaches being access to financial data.
There is a paradigm shift in the way organizations handle data security and user privacy. New procedural and organizational obligations like GDPR have been implemented in 2018 for "data processors" (corporate as well as public entities) to give more rights to individuals.
Enterprises are turning their attention to blockchain for tackling data privacy and security and companies like Sovereign and Shyft Network are proposing innovative solutions for user data management on the blockchain, for enhanced security and privacy.
6. Blockchain Talent Demand Surpasses the Supply.
To truly innovate in the deployment of blockchain technology across organizations, there needs to be dedicated hard work and education. Companies like PwC and Hyperledger are designing new skill-building programs and accelerators geared toward professionals to get hands-on with blockchain projects and learn about its business applications. More and more online education platforms, e.g. Coursera are offering blockchain certificates for developers and business professionals.
Hackathons are also rising in popularity with organizations like ETH Global and EOS now hosting hackathons around the world multiple times a year. These events are designed to foster innovation while promoting education, teamwork, and networking.
As high profile entrepreneurs and corporate giants are beginning along to enter the blockchain space, they bring along the lessons learned from previous experiences and are now applying blockchain technology to solve existing pain points. This is the period of business adoption and we could be looking forward at a rise of business applications on a global scale.
This article was written by Shyft Network, a Diamond Sponsor of the San Francisco Blockchain Week 2018. Shyft is building the world’s first modern, secure, multi-stakeholder Blockchain-based digital identity ecosystem. Shyft will radically streamline and simplify data collection, reduce cost and minimize the cybersecurity risks inherent in traditional compliance systems. To learn more about Shyft visit www.shyft.network