Blockchain technology is here for 10 years and thee full potential of blockchain is yet to be unlocked, although in 2019, what has emerged is a shared recognition from institutions that blockchain in real and this technology can serve enterprise level solution and can also address a wide variety of business problems. Non-tech leaders have also come to witness the
transformational potential of the technology.
1. B L O C K C H A I N
R E G I O N A L
A N A L Y S I S
N O V . 2 0 1 9
B L A C K C H A I N .
G U R U
2. Blockchain technology is here for 10 years and thee full potential of blockchain is yet to be
unlocked, although in 2019, what has emerged is a shared recognition from institutions that
blockchain in real and this technology can serve enterprise level solution and can also address a
wide variety of business problems. Non-tech leaders have also come to witness the
transformational potential of the technology.
This document has data from Deloitte's survey between February 8 and March 4, 2019 and our
focus is to showcase the recent developments on blockchain in the tech-focused countries that
do play an important role in global-economic activities.
The survey polled a sample of 1,386 senior executives in a dozen countries at companies with
US$500 or more in annual revenue for US respondents and at companies with US$100 million or
more in annual revenue for respondents outside of the United States. Respondents had at least a
broad understanding of blockchain and were familiar with and able to comment on their
organizationsâ investment plans.
S U M M A R Y
B L A C K C H A I N .
G U R U
3. F i f t y - t h r e e p e r c e n t o f
r e s p o n d e n t s s a y t h a t
b l o c k c h a i n t e c h n o l o g y h a s
b e c o m e a c r i t i c a l p r i o r i t y f o r
t h e i r o r g a n i z a t i o n s i n 2 0 1 9 â a
1 0 - p o i n t i n c r e a s e o v e r l a s t
y e a r .
4. 73% of the respondents suggested that blockchain is a top-five critical
priority in China
The Chinese government has recently established key strategic priorities
that it is going to address in its five year plan for IT. Blockchain is a âkeyâ
driver of economic development, recently cited in a
whitepaper published by the Ministry of Industry and Information
Technology. The paper also outlined the long-term applications in the
area of âreal economyâ. Also, to carry out public functions, the government
regulators were developing a Fintech along with blockchain solutions.
As per the survey, 73% of the respondents suggested that blockchain is a
top-five critical priority in China, and this figure is the highest as
compared to other industries. Some 34 percent of respondents âstronglyâ
believe in the disruptive potential of blockchain, more than most
countries in the sample. Chinaâs interest in the blockchain industry is
important because the country holds a significant place in the global
economy and also is a leader in its geographical region.
Paul Sin, consulting partner, Deloitte Advisory (Hong Kong) Ltd., and
leader of Deloitteâs Asia-Pacific blockchain lab said, ââ China, more than
anywhere else in the world, will use blockchain strategically instead of
tactically,â and he also states that top managements of projects use
blockchain as a strategic weapon rather than a productivity tool.
B L A C K C H A I N .
G U R U
C H I N A
Some 34
percent of
responde
nts
âstronglyâ
believe in
the
disruptive
potential
of
blockchai
n, more
than
most
countries
in the
sample.
How is China doing so far with the blockchain
technology?
5. A pro blockchain stance with favorable tax treatments and public
funding for blockchain development has been adopted by the Monetary
Authority of Singapore
Singapore has different plans for cryptocurrencies and is positively
aligning itself for cryptocurrencies â compared to Chinaâs de facto ban.
The government of Singapore actively supports free public blockchain
platforms. A pro blockchain stance with favorable tax treatments and
public funding for blockchain development has been adopted by the
Monetary Authority of Singapore. Also, the blockchain technology was
termed as âfundamentalâ to economic development in Singapore and the
government also announced its understanding and acceptance of the
importance of blockchain to the financial future.
Singaporean executives said that they strongly believe in the potential of
blockchain than respondents from many other countries. The country is
researching & moving forward in the field of IT, and with its indigenous
talent, entrepreneurial spirit, and fin-tech development, blockchain is
expected to maintain an upward adoption trajectory in Singapore.
Compared to their global counterparts, the country tends to be more
aggressive in the field of blockchain.
B L A C K C H A I N .
G U R U
S I N G A P O R E
The
blockchain
technology
was termed
as
âfundamenta
lâ to
economic
development
in Singapore
and the
government
also
announced
its
understandi
ng and
acceptance
of the
importance
of blockchain
to the
financial
future
Government is actively participating in the new
technology
6. Israel is focused largely on digital assets, and Israeli organizations are
highly involved in blockchain related activities â especially into
cryptocurrencies. Itâs quite natural that the country has shown interest in
the blockchain technology as it already stands as a strong leader in
entrepreneurial activity and have largely exposed themselves in areas
such as cyber, cryptography, and intelligence. . Israeli blockchain startups
are pursuing projects in such other areas as DNA data storage, diamond
registration, cyber-security, and international shipping.
An Israeli stock exchange is moving to develop blockchain applications. In
fact, government agencies such as the Israel Securities Authority has
already begun to use blockchain centric language in its messaging
system. Highly enabled blockchain nations such as Israel appears to be
shifting from a strictly regulatory role to an end user role, adopting
blockchain technologies. The country is actively participating in
international blockchain related activities and have formed partnerships
with other leading blockchain countries on matters related to co-
development and regulatory development. Israel is known to be as a
âStartup Nationâ and the next âwaveâ of startups in the country may have
blockchain technology involved in certain areas of their business.
âGiven its strengths in intelligence gathering and analysis, security, and
cryptography, it is not surprising that Israel was one of the leading
countries in the crypto revolution and remains a leader in blockchain-
based data security and traceability technologies today,â says Hagai
Zachor, Deloitte Israelâs strategy manager and head of blockchain.
B L A C K C H A I N .
G U R U
I S R A E L
An Israeli
stock
exchange is
moving to
develop
blockchain
applications.
In fact,
government
agencies
such as the
Israel
Securities
Authority has
already
begun to use
blockchain
centric
language in
its
messaging
system
7. B L A C K C H A I N .
G U R U
C O M P A R I S O N S
C o u n t r i e s s h o w d i f f e r i n g a t t i t u d e s a b o u t
b l o c k c h a i n a l o n g a n u m b e r o f m e t r i c s
B l o c k c h a i n t e c h n o l o g y i s b r o a d l y s c a l a b l e a n d w i l l
e v e n t u a l l y a c h i e v e m a i n s t r e a m a d o p t i o n ( s t r o n g l y a g r e e )
0% 25% 50% 75%
China
Singapore
Israel
United States
B l o c k c h a i n t e c h n o l o g y w i l l d i s r u p t m y i n d u s t r y ( s t r o n g l y
a g r e e )
0% 10% 20% 30% 40%
China
Singapore
Israel
United States
O u r e x e c u t i v e t e a m b e l i e v e s t h e r e i s a c o m p e l l i n g b u s i n e s s
c a s e f o r t h e u s e o f b l o c k c h a i n t e c h n o l o g y ( s t r o n g l y a g r e e )
0% 20% 40% 60%
China
Singapore
Israel
United States
B l o c k c h a i n a s a t o p - f i v e s t r a t e g i c p r i o r i t y
0% 25% 50% 75%
China
Singapore
Israel
United States
8. B L A C K C H A I N .
G U R U
C O M P A R I S O N S
C o u n t r i e s s h o w d i f f e r i n g a t t i t u d e s a b o u t
b l o c k c h a i n a l o n g a n u m b e r o f m e t r i c s
A l r e a d y b r o u g h t b l o c k c h a i n t o p r o d u c t i o n
0% 10% 20% 30%
China
Singapore
Israel
United States
C u r r e n t l y h i r i n g b l o c k c h a i n s t a f f
0% 20% 40% 60%
China
Singapore
Israel
United States
S m a r t c o n t r a c t s a r e h i g h l y i m p o r t a n t
0% 25% 50% 75%
China
Singapore
Israel
United States
R e s p o n d e n t s t h a t n e e d t o s e e a r e t u r n o n b l o c k c h a i n
i n v e s t m e n t w i t h i n t h r e e y e a r s
0% 25% 50% 75%
China
Singapore
Israel
United States
9. B L A C K C H A I N .
G U R U
S e e i n g t h e c u r r e n t d e v e l o p m e n t s i n t h e
b l o c k c h a i n a r e a , w e c a n s a y t h a t t h i s t e c h n o l o g y
w i l l p u s h a n e w w a v e o f i n n o v a t i o n j u s t l i k e 9 0 s
i n t e r n e t t r e n d i n c o u n t r i e s l i k e C h i n a , U S , I s r a e l ,
S i n g a p o r e - o t h e r c o u n t r i e s a l i k e .
T h e r e i s n o d o u b t t h a t ' u n i c o r n s ' a r e e x p l o r i n g
t h i s t e c h n o l o g y a g g r e s s i v e l y a n d m o s t t h e t o p
i n d u s t r i e s h a v e a d o p t e d t h e t e c h n o l o g y i n s o m e
w a y o r a n o t h e r . A l t h o u g h , m a j o r s e t b a c k i s f r o m
t h e r e g u l a t o r y s i d e , a s m o s t o f t h e e x e c u t i v e s
c o m p l a i n e d t h i s i s s u e . Y e t t h e t r a j e c t o r y f o r
b l o c k c h a i n i n 2 0 1 9 a n d g o i n g f o r w a r d a p p e a r s t o
p o i n t i n a c l e a r l y u p w a r d d i r e c t i o n . A n d t h a t
j o u r n e y i s t h e s t o r y o f g r o w t h a n d p o t e n t i a l t h a t
d i s r u p t i v e t e c h n o l o g i e s c h a r a c t e r i s t i c a l l y t a k e ,
o f f e r i n g a d o p t e r s t a n g i b l e s t r a t e g i c a d v a n t a g e i n
w a y s t h a t f e w t h o u g h t i m a g i n a b l e b e f o r e