Press "Enter" to skip to content

IBM points to central bank digital currencies as a trend for 2020

Cryptocurrency

Photo: Shutterstock

The IBM Institute of Business Value (IBV) brought together five main themes for 2020 involving Blockchain and found that innovation associated with other technologies will serve as a tool for better data protection and verification. The survey also pointed out that in the future there will be an increase in regulated digital currencies.

The study, published last Thursday (21), was conducted through its 2019 Blockchain Economics Study, by which IBM conducted interviews with more than 1,000 business and technology people.

Despite being the fifth research topic, the bet that there will be a growing wave of digital currencies regulated by the Central Bank may change the entire capital market.

The study showed that 58% of surveyed organizations agree that they can obtain new sources of revenue by tokenizing the exchanged assets in a blockchain-enabled market.

IBV then mentioned in its research that "new organizations and regulations have been implemented to facilitate the creation, management, marketing and settlement of such digital tokens and currencies".

In addition to the advance of regulated digital currencies, the study also addressed the following themes: emergence of pragmatic governance models; interconnectivity a step closer to reality; other technologies combined with blockchain to create an even greater competitive advantage and validation tools to combat fraudulent data sources.

Blockchain and good governance

As for governance, the study mentioned that it will become a key factor the more blockchain is adopted. The problem, therefore, is that there is no governance model on which everyone agrees and that will be a challenge.

"It was seen that 41% of organizations believe that the lack of uniform governance standards among partners is the most important challenge to advance their proof of concept (PoC) of Blockchain or minimal viable ecosystem (EVM)".

IBV bet, then, that this year it will start to have new governance models that allow large and varied consortia to deal with decision making, allow schemes and even more efficiently payments.

The issue of interconnectivity may bring an old concern: the sharing of data between companies. This would occur because, according to the study, "it is not possible to think of blockchain without the cloud". IBM, however, said that sharing would go smoothly.

“Today, IBM Blockchain is open and available anywhere. Blockchain should allow for the ease of use of everything that companies need, in hybrid cloud, multi-cloud and local environments ”.

Data protection and verification

The blockchain associated with the internet of things (IoT), 5G, artificial intelligence (AI) and Edge Computing can improve the quality of the algorithms and even create an even greater competitive advantage, as was pointed out in the third theme of the study.

"Blockchain will help keep this data safe and will audit every step of the decision-making process, allowing for a more accurate view, driven by the data trusted by network participants."

IBM then mentioned that "blockchain solutions are expected to combine with Internet of Things and AI to become the main accelerators of blockchain-enabled markets in the future."

Avoiding fraud and errors

Millions of data points are captured through these blockchain network solutions. According to the research, in a world where data is collected and transferred with great speed there may be inconsistencies either due to human error or because of malicious people.

At this point, the study showed the need to keep data protected and raised the hypothesis of the fourth theme, which deals with validation on Blockchain to combat fraudulent data sources.

"With the need for more data protection mechanisms, this year blockchain solutions will use validation tools along with cryptography and IoT mechanisms, which connect digital assets to the physical world by injecting external data into networks."

The study found that 88% of institutions believe that ensuring data communication standards for blockchain networks is an important factor for the entire industry to join this technological innovation.

These validation tools, therefore, should improve confidence and according to the institution "will eliminate the dependence on manual data entry, which are often prone to errors and fraud".


: !

Register now! Voted the best broker in Brazil. Security, Liquidity and Agility. Don't waste any more time, complete your registration in less than 5 minutes! Access: bitcointrade.com.br

Disclaimer - OBN is an informational website which aims to give the latest blockchain related news to the readers. Articles on OBN should not be considered as investment advice. Trading cryptocurrencies is a high-risk investment, every user is advised to consult an expert before making any decisions.