Blockchain Tech: Opportunity or Threat?
Last week PwC, this week Deloitte – another strong signal cutting through all the noise – concluding in their new 'New Tech on the Block" report that "those who do not consider the possibilities [of Blockchain technology] are at risk of falling behind" and "by contrast early adopters of the technology will have the ability to gain first mover advantage in generating value for their business".
Natwest too have been in the news as they announced they're joining R3's Blockchain based Marco Polo trade finance network – perhaps less surprisingly given that almost every bank on the planet is experimenting with Blockchain technology or has established a Blockchain lab in the last year or two.
What is questionable is whether they’ve missed the point: “We’re delighted to see NatWest join the growing network of financial institutions… to bring much-needed transparency and efficiency to trade finance,” David E. Rutter, CEO of R3
Yes, the ability to share a single ledger across many cooperating, or even competing, organisations safely can lead to massive efficiencies and so savings in many circumstances but to focus on these is surely to look only skin deep when what lies within is the potential for transformative change. New, better, more efficient markets and better, fitter, business models.
While it’s understandable that incumbents rarely seek disruption, decentralisation remains at the heart of blockchain technology because it was its genesis. More importantly the solutions and services promise to be not just more democratic but Darwinianly fitter for the next phase of the dance between technology and society, as each shape the other.
To ignore this is as dangerous as ignoring Blockchain technology entirely – they can both pose an existential risk to a business.
The rationale for and value of investing in blockchain will depend on a company's overarching strategic objectives as well as its capacity, capabilities and culture. However, those who do not consider the possibilities are at risk of falling behind.
By contrast early adopters of the technology will have the ability to gain first mover advantage in generating value for their business. Deloitte 'New Tech on the Block" report, July 2018
Meanwhile decentralisation and open blockchains are at the heart of many ICOs where unencumbered by legacy systems or business models mostly-young ‘turks’ seek new ways of doing things.
Look out for my forthcoming interview with the authors or download the report, linked via ICOrad.io
Please Tweet/Telegram your questions to @BarryEJames or listen at ICOrad.io
