"Not quite ready for Prime Time" Crowdfund Insider


The exuberance of the blockchain among big business executives has eased slightly over the past two years, says Deloitte in the recent global blockchain survey.

The global blockchain 2018 survey of 1053 "blockchain-savvy" companies at companies that make over $ 500 million a year found that 40% of them are wary of the true effectiveness of the blockchain.

The figure is higher in the United States, says Deloitte, where 44% of executives are skeptical.

These figures date back two years ago, when 34% of executives expressed similar skepticism, the latest survey reveals.

A further, 21% of the total and 30% of US respondents, "say they still lack a convincing application to justify implementation (blockchain)." [19659002] Blockchain, a method to regulate and encrypt data on multiple "nodes" has been characterized as everything from an industrial panacea to an expensive and slow database suitable only for Bitcoin or the like "without authorization" (which means extrajudicial) systems "value-transfer." [19659002] But the excitement emanating from Bitcoin around how blockchains could enable companies to automate intermediaries and reduce costs has led companies to invest millions. Although the survey states that blockchain is not ready for prime time, a good percentage of respondents expect the technology to "discontinue" their organization.

Consortia have emerged as R3 and Hyperledger to guide companies in their evaluation and incorporation of blockchain tech.

Deloitte partly attributes a slight exuberance to the fact that legacy companies have not been able to accommodate the cultural changes needed to host blockchain.

"Ultimately, it is more a model of a business model than a technology", say the authors of the report.

But skeptical blockchains such as developer and consultant Jimmy Song have long said that real blockchains are too expensive to use in private companies and claim that industries do not really need a blockchain, which requires "decentralization" ( leaderless, consensus-based governance) to work.

"You (private company) do not need a blockchain, says Song and sk the consortium.You might have to make some of your business structures and processes more efficient, but as far as technology is concerned, you probably only need a better cryptography on your normal database. "

And while Deloitte and others now admit it," Blockchain is really just a sophisticated general accounting system ", the company does not believe that greater skepticism has yet led to industry shrinking" blockchain ". On the contrary, the company believes that "blockchain consortia will continue to gain traction in the short term.

Deloitte states that 29% of respondents in 2018 said they had" already joined an existing consortium "with" almost " 45 percent say it's likely to be part of it next year. "

Maybe that's where the money goes: 13 percent of respondents told Deloitte they are thinking about starting their blockchain consortium.

core, blockchain is actually just a sophisticated ledger system (aka distributed ledger technology). It is a versatile technology that can record financial transactions, archive medical records or even track the flow of goods, information and payments through a supply chain. While it may provide more security and, in some cases, anonymity, the truth is that by itself, blockchain does not really do anything unless it is mated to a solid case of use in which it can serve as a sort of Trust-as-a-Service (TaaS) for participants in the ecosystem. Ultimately, it is more a model of a business model than a technology

"The executives we have polled have pragmatic opinions and seem ready to make some important moves in the next year … those we have probed have great value in the potential of blockchain to reinvent processes through the company value chain as further investments are made in identifying and developing a wider range of use cases. "

[ad_2]Source link