European Commission

European Commission Wants the European Union to Take Advantage of Blockchain Technology

European Commission Wants the European Union to Take Advantage of Blockchain Technology

European Commission Wants E.U to Benefit from Blockchain

The European Commission has decided to allocate resources to the growth and development of blockchain technology. The Commission has also launched the Blockchain Observatory and Forum, which will conduct research on blockchain technologies. Through this initiative, the commission would like to see members of the European Union benefit from the opportunities that blockchain has to offer. This isn’t the first time that the European Commission has expressed an interest in Blockchain technology. In fact, it has been setting financial resources aside for a number of blockchain-based initiatives since 2013. These efforts are linked to larger research projects called Horizon 2020 and FP7.

There have been quite a number of practical use cases proposed for blockchain. Notably, several cloud-based tests were performed using various blockchain technologies by HSBC, Barclays, and the Royal Bank of Scotland in early 2016. These tests were used to determine how effective cloud computing and blockchain could be in executing trades between financial institutions. According to Robert Half Financial Services, the majority of people in the financial industry think that “blockchain will have made a genuine impact on the financial services industry by 2022”. He went on to add that organizations which have already applied blockchain tech to their business practices have reported greater levels of transparency, “empowered users”, and even faster transaction processing times.

Potential Use Cases for Blockchain Tech

Apart from being used in the finance sector, Lantmäteriet, Sweden’s mapping, cadastral and land registration authority, is testing whether blockchain can make property transactions more efficient. There’s also a gate-less border using biometrics and blockchain being developed by the government of Dubai. By using this technology, passengers will be able to go directly to baggage collection without having to go through passport control. Biometric verification will occur through digitized passports as they walk around to collect their luggage, which would legally register them into the country.

Clearly, many countries and organizations feel that blockchain has a lot of different practical applications, so the European Commission seems to be making the right move by also looking into this revolutionary distributed ledger.

European Commission Believes in Blockchain

The European Commission believes blockchain tech has great potential. Per the Commission, distributed ledger technology is “expected to impact digital services and transform business models …such as healthcare, insurance, finance, energy, logistics, intellectual property rights management and government services”.  Andrus Ansip, an Estonian politician and Vice President for Digital Single Market at the European Commission, stated that blockchain could make social and economic transactions much more secure while also eliminating the need for intermediaries. He further added that he’d like Europe “to become a leading world region that will develop and invest in the roll-out of blockchain”.

Meanwhile, Mariya Gabriel, commissioner of Digital Economy and Society at European Commission, remarked that blockchain could be a “game-changer” and she wants Europe to be one of the world’s leaders when it comes to effectively adopting this technology. Most countries, organizations, and world leaders think that blockchain technology has the potential to be applied in many different industries. Lately, regulatory authorities around the world have cracked down on cryptocurrencies, and countries like India are seemingly planning to ban them completely. However, the same organizations want to embrace blockchain technology, which underpins most digital currencies.