A new PWC report shows that Blockchain technology has the potential to boost global GDP by $1.76 trillion over the next ten years.
The technology which is now catching on fast despite being earlier dismissed has the potential to generate great economic value according to the report.
The report looked at the blockchain’s potential to create value across sectors such as healthcare, governance, logistics and finance. Steve Davies, Global leader at Blockchain $ Partner, PWC UK said that the blockchain had much more to offer than just crypto-currencies.
“Blockchain technology has long been associated with cryptocurrencies such as Bitcoin, but there is so much more that it has to offer, particularly in how public and private organisations secure, share and use data,”
He went on to add that the pandemic had inspired a myriad of disruptive trends and innovations.
“As organisations grapple with the impacts of the COVID-19 pandemic, many disruptive trends have been accelerated. The analysis shows the potential for blockchain to support organisations in how they rebuild and reconfigure their operations underpinned by improvements in trust, transparency and efficiency across organisations and society.”
The report went on to identify four key application areas that would help see blockchain technology fully adopted at scale in the global economy potentially by 2025.
Tracking and Tracing
This use case has the largest economic potential ($962 billion) according to the report. Blockchain can help widely in heavy industries. The technology is already being used in the mining sector as companies seek to ensure ethical sourcing through tracing capabilities.
Payments and financial services
Blockchain can ensure financial inclusion through border and remittance payments as well as through digital currencies. Companies like Ripple have made it so that transactions that used to take hours now take seconds.
Identity management
People will benefit from the technology’s ability to safely store personal data, certifications and transactions to help curb fraud while ensuring privacy. The health sector is already looking at creating health passes with secure data to help people return to school and work post lockdown.
Contract management and dispute resolution
The blockchain’s ability to secure data and maintain integrity will help set up loyalty programs for instance. Such programs will extend the technology’s potential across the globe.
The PWC report is backed by industry leaders after a survey which showed that two thirds of them held digital transactions in high regard.
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