Our digital future is changing, driven by digital transformation and environmental, societal and ethical issues. Blockchain will play a large part in this, but only if we approach it in the right way.
Here’s three approaches to the future of blockchain technology.
The utopian approach
The utopian approach involves approaching blockchain as a ‘fix all’ solution. Blockchain technology is a facilitator for improved traceability and transparency, and ultimately requires integration with other smart technologies. However, it won’t fix all our problems – and certainly not on its own.
Blockchain is not a ‘fix all’ solution. The utopian approach to blockchain technology will not result in it evolving to its true potential. By taking the utopian approach, we risk romanticizing the technology and preventing long-term progress in favour of short-term satisfaction.
The unprepared blockchain future
The poorly prepared approach will be the result of siloed solutions and a separated blockchain industry, as well as unsure and indecisive regulators. This will mean that there will be no easy runway for blockchain – and it’s possible that, in this scenario, it may never reach its full potential.
Every nascent technology requires a company – or collection of companies – to face down its initial stigma. Without this, we will be largely unprepared with poor industry conditions and inefficient legislation.
The realistic approach
The realistic approach means taking blockchain technology for its intricate value. This will be the most efficient approach with the best chance of success. Instead of viewing blockchain as an all-encompassing ‘fix all’ solution, it will take blockchain for what it is – a method of securing and tracing data in a permanent way.
In combination with these, efficient and comprehensive regulation will ensure blockchain’s longevity and ultimate security. This will prevent blockchain technology from being used in a criminal manner and will regulate its use by private corporations.