A report from Deloitte has found there are five areas that need to be improved upon to see blockchain fully enter mainstream adoption.
Barriers to Adoption Remain
Since Bitcoin came on the scene more people and industries are turning to its underlying technology: the blockchain.
With more understanding of its benefits, sectors are realizing the potential it can have. Yet, while it continues to receive widespread enthusiasm, barriers to increased adoption remain.
A new report from Deloitte highlights five areas that can help bring the technology into the mainstream. These are:
- Increasing throughput and performance;
- Enhancing standards and interoperability;
- Reducing complexity and cost;
- Regulatory support; and
- Multiplying consortia.
In Deloitte’s opinion, the technology will have an impact on businesses one day. Citing a Computer World article from January, it points out that analysts forecast that spending on the blockchain will double year-over-year to $2.1 billion in 2018.
Yet, despite this barriers remain that first need to be overcome for its full potential to be realized. Interestingly, a report from May highlighted that 34 percent of CIOs had no interest in adopting the blockchain. At the time, respondents indicated they were wary of its benefits. A further 43 percent said they had no action planned to investigate or develop it.
Additionally, on top of that is the fact that many believe the blockchain requires new skills, and that these are the most difficult to find.
Close to Breakout Moment
Of course, while there are barriers the blockchain is being embraced in various sectors.
Humanitarian, healthcare, education, and environmental are just a few industries implementing the technology to improve operations. Ultimately, as they deploy the blockchain it will reduce overall business costs in the long-term.
The authors of the Deloitte report state:
As the vendor landscape for blockchain-as-a-service evolves further, the complexity of applying blockchain-based solutions will likely ease.
Various pilots are underway in the aforementioned industries. Others, however, have expanded on from their pilot phases. The UN’s World Food Programme (WFP) is one example that has increased its services with the use of the technology to aiding refugees. Seeing the potential the blockchain has, the agency has been keen to expand on its work with it.
However, according to Deloitte “it’s understandable why, despite promising pilots and experiments, executives might wonder when—and even whether—blockchain will be ready for mass adoption,” adding:
But progress along these vectors is bringing the technology closer to its breakout moment every day.
Do you think the technology will see widespread adoption soon? Let us know in the comments below.
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