In a constant digital transformation environment, it’s mandatory for governments, economies, central banks and financial institutions to stay at the vanguard of the state-of-the-art trends and technologies emerging in this changing world. Also, due to inefficiency, intrinsic processes, intermediaries, bureaucracy and long timeout transactions inherent to some financial institutions, people are adopting alternative ways to avoid dealing with those “impromptus.” It seems like a big challenge for all the involved actors, especially for the traditional institutions that must be committed to re-inventing their services and products to satisfy their clients.
These days, the words cryptocurrency, Blockchain, and disruptive technology are a trending topic for some industries and to people interested in Fintech and finance. For other segments of the population, these terms are black-boxes, mysterious scams, or Ponzi schemes.
In the meantime, the trends within this industry has been growing over the past 10 years in terms of investment and development, revenue, adepts, investors, and new financial markets – but at the end of the day, this new technology can be “tangible” and implemented in different fields. Probably the most recognized achievement in the Fintech world is Bitcoin, but there are many use cases implemented to solve different operational problems and developed by companies like IBM, Samsung, BP, Microsoft, Goldman Sachs, Vanguard, Alibaba, and Maersk.
Some of the use cases that can be covered using these distributed ledgers can be implemented in documents and records management processes, food and seeds certification, healthcare services, real estate, politics, authenticity, digital identity, education, aircraft industry, retail services, and a long list, among others. For now, the cryptocurrency world is more advanced and mature in the implementation of this technology.
As for the records management, it supposes a new scenario in terms of authenticity and integrity of the documents and records. A point that until now has always been considered weak in the management of electronic records. Now, it will be necessary to evolve this technology more, adopt regulations in the matter and that the records managers are trained in its management and application. Without a doubt, the path is not short or simple. But today we have a possibility that will significantly transform file management.
Due to this disruption in the industry, banks and financial corporations have started with initiatives like Blockchain consortium, Blockchain Alliance, and Ripple in order to propose regulations and also start thinking in the migration of the traditional “paper and coin” cash to the new digital assets environment. Even the giant JP Morgan recently issued its own cryptocurrency in February 2019, which in some kind of sense, is against the principal philosophy of a distributed ledger like the blockchain: decentralization.
If we look at the proposals and developments done by Ethereum and Miota Foundations, the fact is that blockchain ecosystems are not only to change the ways of the monetary interchange but could possibly change every aspect of all human activities. Blockchain is a real and revolutionary technology that’s going to cover everything, and it’s even been comparable to the arrival of the internet.
It’s well known that this is still a new technology, and the acceptance and support of communities and companies have been gradually increasing. Although some problems of scalability, confidentiality, and security have been fixed, there’s still a long way to go for continuous improvement – this is not a short-term technology.
Nowadays, even if this is in an early stage, it’s a good moment to start thinking about the digital transformation within your company and basing your products and services in blockchain technologies. Now is the right time, because day-by-day it’s growing. It’s a fact, and it’s to stay!