The opportunities Blockchain is opening up are massive. However, it is critical that CIOs understand how it will affect key areas of the business.
Only a few enterprises have deployed Blockchain, but it can significantly impact the broader swaths of the business. However, the 2019 Gartner CIO survey says only 4% of enterprises believe that Blockchain will be a game-changer. Only 11% of enterprises have deployed, or plan to deploy the Blockchain-inspired technology over the next year.
Experts suggest that CIOs need to identify the value that Blockchain can add to their strategies over the next five years. This would be the way forward, keeping in view the spectrum of opportunities that Blockchain can provide as it evolves.
Blockchain is not a massive technology in itself, but it has the ability to change the operating model of the company in the next five years. However, this does not necessarily mean it will transform the business model. Experts believe that Blockchain technology will eventually change the core of a business and mostly affect the way an organization executes its business. It is suggested to not focus solely on the way the Blockchain is being used today, that is for efficiency and record keeping. This is very limiting, and CIOs must look for opportunities to leverage Blockchain for greater business changes to drive real value, with time.
One of the most significant elements of Blockchain is decentralization. As it removes central authorities and enables a level of trust between parties, this expands the definition of the participant beyond individuals and businesses. Parties can include smart contracts, connected things, distributed ledgers, and DAOs. Blockchain can also facilitate the interactions between these participants and actually enable a new society.
Experts opine that in the next five years Blockchain and its core elements can radically alter not just the business world, but also the world in which businesses exist. Blockchain can make autonomous eCommerce possible and eventually lead to a programmable economy.
This then will eventually evolve into a digital society when consumers will change behaviors and adapt to the new practices. Organizations need to develop technology keeping ethics and practices in mind to exist in the digital society.