Multinational consulting and professional services firm Deloitte is developing blockchain to meet the present and future needs of its clients. The firm is achieving this through the efforts of its EMEA blockchain lab which was established in 2016.
The Importance for Blockchain to Enterprises
As an emerging technology, blockchain and other decentralized ledger technologies (DLTs) hold promise to revolutionize many industries and processes, particularly in systems where transparency and trust are key factors.
Businesses in the financial sector, for instance, can benefit greatly through blockchain’s ability to facilitate faster and cheaper cross-border transactions. Distributed ledger technologies offer transparency which could revolutionize cross-border trade and supply chain globally.
“You can see blockchain almost as an indexing layer, a trust layer on top of a data exchange facility, and that’s what we’ve been seeing so far,” Antonio Senatore, chief technology officer at Deloitte noted. He explained that organizations seek refuge in blockchain to provide trust in transactions.
The impact this emerging technology can have on a lot of industries is huge if it is adopted. But first, the technology must be understood, developed and deployed appropriately—here lies the biggest challenge to blockchain adoption.
The Arduous task of Developing Blockchain Solutions
Since the advent of the technology, we have noticed two categories of companies developing blockchain solutions.
First and more common are specialized blockchain startups created for the sole purposed of developing a particular blockchain solution for its target market. More often than not, they are developing new (often ambitious) blockchain products from scratch with their proofs-of-concept (PoC). They are usually crowdfunded through the now popular Initial Coin Offerings where they sell digital tokens to investors. There are about 2,000 digital tokens in circulation at this time.
The second group is conventional businesses who have identified certain benefits of blockchain to their current business and independently pursue its development in that area. This is usually as part of the company’s Research and Development efforts to provide better services.
In both cases, creating blockchain solutions have proved herculean. Since these projects are ambitious and first-time efforts, it would take a lot of time and effort to develop from PoCs to real-world applications. Needless to say, these projects are bound to gulp substantial resources which represent a gamble until any viable product is launched.
The Rise of Enterprise Blockchain Solutions
Enterprise blockchain solutions created by the likes of IBM and Deloitte can help avoid the need for costly blockchain projects. These solutions can allow ICOs and other businesses to enjoy the benefits of blockchain without necessarily creating and managing their own blockchain platforms. A closer look at these solutions reveals even greater benefits.
How Enterprise Solutions is helping Blockchain Adoption
For a fee, businesses can plug into already developed blockchain networks and enjoy tailored benefits of blockchain. Obviously, this saves time, effort and money. But there is more.
It helps tackle one of the biggest challenges of blockchain adoption, interoperability. Because blockchain projects have developed independent of each other—sometimes in opposition to another—it is difficult to operate between their networks. An enterprise solution adopted by players in the industry will prevent such interoperability issues.
How Deloitte is creating helping businesses adopt blockchain
Deloitte’s EMEA blockchain lab which is headquartered in Ireland has blockchain experts and tools to assist ICOs and other businesses on blockchain strategies, design, development, and implementation.
David Dalton, a consulting partner and financial services lead at Deloitte, noted that the center provides all-round support for its clients. He explained “We have all of the support you would expect in a lab. We have the R&D, we have the thought leadership, we also speak a lot and build awareness around it. But the core of what we do is work with building clients’ real-world solutions on blockchain technology.”
As a network technology, blockchain requires the cooperation of stakeholders in any industry to be really impactful. Deloitte’s CEO Anthony Day, explains that “the technology is really only 20 percent of the problem; the other 80 percent is getting a multidisciplinary group together.”
Day notes, however, that the blockchain is worth the hassle as it more than just the technology, “You are actually creating real transformation; you are creating entirely new ecosystems or processes that didn’t exist before.”