In the decade since Blockchain was introduced to the world, many have conceded that the disruptive tech was a game changer. However, its application via cryptos was not the best way to introduce it to the world. That perceptive fear has been eroding steadily and people are now more confident of giving the technology a chance, with an open mind. This was a sentimant echoed recently at the recent DC Blockchain summit.
At the Summit, many speakers were undoubtedly cryptocurrency proponents but there were also a fair share of financial industry experts, who were talking about the impacts and future of cryptocurrencies along with a general discussion on digital assets and how to assimilate it better into the mainstream consciousness. One of those speakers was Alex Tapscott, the co-founder of Blockchain Research Institute, who spoke at length about the many advantages of blockchain and the mature of the industry as a result of the trying days recently.
Talking about the various facets of the industry, including its meteoric rise and fall, he stressed that while there were a lot of positives, things have to be understood from a wider angle. While the future was bright, he noted, everyone needed to be cautious to avoid falling into the same pitfalls as last year.
He went on to say” Last years high was an artificial one that was based on a lot of hot money entering the sector and pushing valuations up to a level that was totally unsustainable.”
He did not see the fall in bitcoin prices as something to be worried about instead a natural progression of a corrective action “I think what’s happened in the past couple of days or a couple of weeks has basically been a flight to liquidity”
Talking about the present Tapscott says that the digital assets sector was seeing a lot of positive changes, to the benefit of the entire ecosystem. For the time being the fledgling tech was finding its feet and looking at ways that would allow it to best deploy the internet, especially in the areas of Finance and transactions.
A major issue he foresees as a bottleneck is a trust, “When the value is online and offline then we need to trust other parties that will make commerce work.” And while Blockchain had made an impact, there was a need to see a shift in perspective. “Earlier, the thought was that Bitcoin was bad and blockchain was good but now that more and more people in the industry have become more educated, they have realized that it is much more complex than that.”
Focusing on the future and talking about the advantages that the Blockchain can offer, Tapscott went on to talk about utilizing it in insurance as well as digital identity and credit management. He says he sees the inevitable rise of the blockchain, “There are two ways to tackle the application of blockchain: one is thinking that it does not apply to you which is a not a recommended way to go about it. The second and the way that I would suggest is to consider the benefits it will provide. The technology will enable a user to reduce reliance on counterparties and even reduce the impact on the savings.”
A focus on the advantages while still acknowledging the past will definitely provide the catharsis the industry needs to be able to move ahead. These sort of frank and open discussions will only make it easier to come up with ideas to better realize the promise that this tech has.