Lack of trust continues to erode blockchain adoption

Arguably, any industry seeking a technological framework for smart processes can ignore blockchain only at its peril. These processes are based on security and privacy and have expanded the business scope by utilizing blockchain-based security solutions. The overarching principles of decentralization, peer-to-peer contracts, transparency, irreversibility of records and immutability are the lifeblood on which the adoption of blockchain technology has flourished.

Blockchain technology has grown from being a distributed ledger in financial applications to peer-to-peer networks that have immense value in every industry and sector. While growth has been staggering, organizations are evolving their blockchain. And funnily enough, start-ups don’t want to be left behind here. The growing use cases to join smart devices is what drives the revenue potential of the blockchain technology market. It is therefore no surprise when a recent forecast by a global firm has estimated the market to achieve an impressive CAGR of 58.90% between 2016 and 2024.

Unite for the Transformation Potential for Industry 4.0

Disintermediation as the new business model for Industry 4.0 spurs applications. Some industries where companies are betting are energy, healthcare, supply chain, IoT, transport and education. Blockchain-based business models are seen as accelerating new consumer propositions. Implementation of blockchain in the private and public sector is likely to create growth for stakeholders in the blockchain technology market. Each industry will do it for a different proposition – for different purposes and to provide transformative value for parameters that matter to them.

Blockchain has already passed the hype stage of the product life cycle. The rapid pace of implementation in a number of areas of Industry 4.0. emphasizes this.

To take just one case out of many, the blockchain implementation for supply chain IoT has helped them build trust. Companies in the sector are integrating IoT with blockchain to increase product traceability from raw material procurement to final product consumption, all with unprecedented transparency and security. An example of this is the food industry.

So incredible is the potential that even very conservative areas such as governments have recognized the value of underpinning new economic models for the nation’s growth. Smart cities leveraging blockchain-based IoT can whet your appetite. Smart IoT blockchain framework will give them new opportunities for them in resource management, such as smart water management and waste management. These areas are of burning concern to any government. Fraud and identity management are attractive areas to start with.

Educate or perish: Time to clear the fog from the smorgasbord

With such incredible potential, the adoption rate is surprisingly lagging. Contrary to popular imagination, blockchain technology is still troubling businesses.

What makes companies see red? The pervasive lack of awareness and scarce understanding of developing a blockchain ecosystem is the culprit. Some parts of these bottlenecks are technical, no doubt. The prospect of blockchain technology has not been able to outgrow its image rooted in bitcoin and cryptocurrencies. Over the years, controversial activities have largely fueled the myth. Collaboration across all stakeholders will do a lot to change the picture, bringing positive feelings to drive investment in the blockchain technology market.

But significantly, it seems that companies themselves have low trust in the blockchain. Why this has been a fearsome concern should not be anyone’s guess. As the oft-quoted fact says: blockchain is mainly – about 80 percent – ​​a matter of “business process change” – and only 20 percent implementation concern. Arguably, the organizational culture is not mature enough to reap the benefits at the moment. Not many companies are zealously giving the go-ahead to retraining their workforce with blockchain talent.

Fill the gaping gap for widespread adoption

Meeting organizational challenges is the need of the hour.

Companies must not rush through implementing blockchain technology applications, consider business cases carefully. In addition, regulatory obstacles must be dealt with using a multifaceted approach and a joint effort by everyone. Lack of standardization in blockchain protocols and interoperability across different networks are some of the other key challenges that need to draw the attention of the stakeholders.

Embracing technology is no mean feat after all.

For comprehensive insight, get PDF sample-