Page 58 - Payout Magazine Online Volume 8.9

truSting a

Blockchain:

Why iS it So

hard?

lockchain technology has taken the world understand and trust it. Potential users their business. Let’s face it: blockchain’s role
bby storm, and many businesses have seen of the blockchain are often anxious and as a modern method of digitizing assets using
how it can improve the way they operate. It sometimes, skeptical about the new system. tokens, such as cryptocurrency, and as an
doesn’t matter whether you are a small retailer, After all, it does require them to reconsider advanced form of infrastructure is difficult
a big name brand, a multinational company, or the ways they manage and share their data. to explain. It is also challenging to build trust
anything in-between. Blockchain indeed has Blockchain’s very purpose is to bridge gaps in among the users. The rules and standards still
many benefits, including: trust, security, and confidence. need polishing, which already removes the
comfort when it comes to its regulation.
� Quality assurance It is quite paradoxical since blockchain
creates an immutable document for data Even the regulators are still trying to
� More efficient management of supply chain transactions. That alone should prompt understand blockchain. While many territories
its users to put their trust in the system. have discussed and studied the issues, the
� Smart contracts However, survey data revealed that the lack overall regulatory setting is still uncertain.
of confidence on blockchain prevents it from
� Accounting going mainstream.
The Barriers to Blockchain
Adoption
� Safer transactions As an emerging technology, it shouldn’t
be surprising that potential adopters doubt Several factors have kept companies from
If you have heard about the implementation blockchain. Most of these misgivings are adopting this popular technology and here are
of blockchain technology, you may have placed on its reliability, scalability, security, some of them:
known about the benefits above and more. and speed. The lack of interoperability and
However, you’re probably asking yourself why standardization only compounded these 1. Mass Adoption Costs
are companies choosing not to invest in using concerns across various blockchain systems.
this particular technology? Despite blockchain having been introduced
Aside from the ones mentioned above, in 2008, there are still not a lot of platforms
The adoption rate for a developing many executives are uncertain about what the designed for such technology even after 10
technology depends on how well the users technology really is and how it can improve years. If you want your company to utilize

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