Report warns that negative publicity may damage trust
Much has been written about the potential for blockchain technology to revolutionize the finance industry including ‘smart’ contracts and faster, secure transactions.
But the recent negative coverage of cryptocurrencies could develop into a lack of trust in blockchain, the technology that also powers Bitcoin and other cryptos.
A report from global law firm Gowling WLG (formerly known in Canada as Gowlings) says that there is a common confusion, even within the finance industry, about Bitcoin and blockchain.
Industry leaders believe that if this confusion perpetuates negativity then the potential of blockchain for the industry may be impacted.
“Bitcoin is creating so much noise, much of it negative, that the genuinely useful and practical side of blockchain is getting buried,” Dean Elwood, CEO of blockchain company Umony and contributor to the report. “I think there is a real pressure on the industry and people like me, to make sure that everyone really understands the difference between blockchain and cryptocurrencies like Bitcoin."
The report, The Ultimate Disruptor - How blockchain is transforming financial services, estimates that U$2.1 billion will be spent on blockchain solutions this year, rising to $2.9 billion by 2021.
David Brennan, partner and co-chair of Gowling WLG's global tech team, said: "The business community has been quick to grasp the numerous opportunities blockchain solutions afford, but the key challenge will be communicating its significance to both the public and policymakers. Collaboration between governments and the private sector is key in order to facilitate widespread acceptance and adoption of the technology."
