Victor Ugochukwu · Dec 14, 2020 . 5min read
PwC report on Blockchain’s potential to enhance global economy by $1.7T
According to a new report by consulting company PwC, Blockchain technology will boost the global economy by $1.7 trillion by 2030.
By Komal Joshi · Oct 14, 2020 . 6min read
A new report by PwC reveals Blockchain technology has the potential to promote the global GDP (gross domestic product) by US$1.76 trillion over the next decade. PwC’s report, “Time for trust,” evaluates the recent usage of the technology. It also examines blockchain’s influence on the global economy. The report assesses the technology’s potential to develop value over the industry. However, it ranges from government, healthcare, and public services, to finance, manufacturing, logistics, and retail.
Five crucial fields to generate economic value
The report recognizes five key application fields of blockchain. Furthermore, it evaluates their potential to generate economic value utilizing economic analysis and industry research. The five applications include product tracking and tracing, payments and financial services, identity security and credentials, contracts and dispute resolution, customer engagement, and reward programs.
Tracking and tracing of products and services have massive economic potential (US$962bn). Moreover, it appears as a new preference for various companies’ supply chains owing to COVID-19 pandemic. Payments and financial services, comprising the usage of digital currencies or promoting financial inclusion through cross border and remittance payments (US$433bn).
Moreover, identity security and credentials (US$224bn), including personal IDs, professional certifications, and certificates curb fraud and identity theft. Contracts and dispute resolution (US$73bn), and customer engagement (US$54bn) further enlarge blockchain’s potential into a much more comprehensive range of public and private industry sectors. Additionally, it includes blockchain’s usage of loyalty programs.
Asia to witness massive economic advantages of Blockchain
The report elucidates that Asia will probably witness the most economic advantages of blockchain technology. About individual countries, blockchain could have tremendous potential in China (US$440bn) and the USA (US$407bn). Five other countries are also expected to have net profits of over US$50bn. The countries include Japan, Germany, UK, India, and France.
The report cautions that realizing the blockchain’s economic impact potential; its energy overhead must be managed. Expanding business and government actions on climate change will indicate that organizations should recognize new models to consolidate and share infrastructure resources. It will decrease reliance on conventional data centres and their overall technology-related energy consumption.
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