2020 Blockchain Trends: Bringing Blockchain To Focus In The Coming Year
As we head into the start of a new decade, it is imperative to acquaint ourselves with the 2020 Blockchain trends and updates. The New Year comes with gradual maturation the disruptive Blockchain technology. The New Year will most likely be a great and vital turning point for the Blockchain industry. It is crystal clear that Blockchain technology will revolutionize different operations and processes in industries and even government agencies. Well, it all depends if the technology is adopted.
Well, the adoption of Blockchain technology will greatly prompt people to acquire new skills while traditional business reconsiders’ their processes. This is all in the bid to harvest the maximum benefits from the use of Blockchain technology. Experimentation is the perfect word that we can use to describe Blockchain in 2019. As the year comes to an end, the Blockchain hype is subsiding and businesses are looking for ways to use the technology to their advantage and benefit.
It is obvious that 2019 continued on the path set by 2018, but 2020 will b a different kettle of fish for Blockchain enthusiasts. George Spasov, a Blockchain architect and cofounder at LimeChain said enterprise experimentation has been the norm. In 2019, Blockchain experiments struggled to move from proof-of-concept to production. However, the technology is maturing with every passing day. This year alone, proofs-of-concept have been defined to address key areas in business. We have seen financial use cases, asset tokenization, and traceability of supply chains. So, there is no doubt that technology promises to add significant value.
The 2020 Blockchain trends highlighted in this article will most likely dominate the space come next year.
Top 2020 Blockchain Trends You Need To Watch Closely
Exponential Increase in Blockchain as a Service (BaaS)
One of the promising 2020 Blockchain trends is BaaS. Blockchain as a Service is a new trend that is currently being integrated with a number of startups and enterprises. BaaS is a cloud-based service that allows users to create their own digital products by working with Blockchain technology. These digital products may be decentralized applications (Dapps), smart contracts, or other services that do not require the complete blockchain-based infrastructure.
Also read: Blockchain as a service market
Companies like Microsoft and Amazon provide BaaS, thereby shaping the future of Blockchain application.
Stablecoins will Become more Visible
Stablecoins were introduced to cushion the effect and impact of Cryptocurrency volatility by having a stable value associated with each coin. Well, Cryptocurrency volatility is not “breaking news” as we all saw firsthand what happened between December 2017 and January 2018. Currently, Stablecoins are in their initial phase and it is predicted that 2020 will be the year for Blockchain Stablecoins to attain an all-time high.
One of the major propellers of Stablecoin in 2020 will be the introduction of Facebook’s Cryptocurrency called Libra. This is irrespective of the challenges facing the development and launch of the Libra Cryptocurrency.
Interoperability of Blockchain platforms
Interoperability has been one of the major challenges that Blockchain had in 2019. Blockchain interoperability is simply the ability to share information and data across different Blockchain platforms, systems, and networks as the case may be. Interoperability makes it possible for the general public to see and access the data across different Blockchain systems.
For instance, interoperability will allow you to send data from an Ethereum Blockchain network to a Stellar Blockchain network. Although interoperability is a challenge at the moment, 2020 is most likely going to be the year that brings a breakthrough.
Banking and Finance industry most likely to lead Blockchain Adoption and applications
Banking and finance industries will not have to radically transform their processes before adopting Blockchain technology. With its application in Cryptocurrency, financial institutions like JP Morgan Chase Bank are already considering this move. Blockchain technology will help banks to greatly reduce excessive bureaucracy and increase the efficiency of their processes. A prediction made by Gartner is that the banking industry will generate $1 billion of business value using Blockchain-based Cryptocurrencies in 2020.
There is also the possibility that Blockchain can be used to launch new Cryptocurrencies that will be regulated or influenced by monetary policy. Banks can leverage this approach to reduce the competitive advantage of stand-alone Cryptocurrencies. These banks will also have control over their monetary policy.
Governments to embrace Blockchain Technology Integration
Government implementation and adoption is another one of the 2020 Blockchain trends to watch out for. Blockchain technology is revolutionary and malleable, and governments have started to see the huge benefits therein. The world’s most populated country China accounts for about 25% of new Blockchain projects worldwide. The Chinese government has also included Blockchain development in the country’s 13th five-year plan. For example in August this year, the people’s Bank of China released a report that it is ready to launch its own Cryptocurrency.
Dubai is also another country gunning to Blockchain adoption. The country is developing a project named Smart Dubai. The aim is to make Dubai the first city to be fully powered by Blockchain come 2020. The nation of Georgia has also implemented Blockchain in its land title registry. In Malta, the Ministry of Education and Employment has also adopted the Blockcerts platforms in other to manage the country’s academic records.
In Switzerland, the government is using the Ethereum Blockchain network to issue decentralized IDs called uPort. Currently, the ID is also used for different municipal services like the casting of votes. The coming years will most likely usher in a wave of adoption of Blockchain technology by government agencies.
2020 will most likely see a renewed focus on cybersecurity as complex safety challenges come up. In 2020, device and IoT network hacking will most likely become common occurrences. Now it is up to the network operators to prevent intruders from succeeding in their business. With the current centralized architecture of IoT is a contributor to the vulnerability of IoT networks. There is no doubt that IoT is a big target for cyber attacks due to the billions of devices connected. This means that the security of IoT is extremely important.
Blockchain technology provides security for IoT owing to its immutability and decentralized nature. The decentralized feature of Blockchain networks will ensure that there is no Single Point of Failure for IoT. According to the International Data Corporation (IDC), 20 percent of IoT deployments will enable Blockchain services by 2020.
Blockchain integration with AI
The integration of Blockchain technology with Artificial Intelligence (AI) will bring about a great level of improvement in Blockchain applications come 2020. International Data Corporation believes that global spending on AI will reach $57.6 billion next year. However, 51 percent of businesses will be making the AI transition in conjunction with Blockchain integration.
With Blockchain technology, AI can be made more coherent as well as understandable. We can also use Blockchain to trace and determine why decisions are made in machine learning as the ledger records all data and variables that prompts such decision under machine learning.
Some of the applications of AI in Blockchain include Smart Computing Power, Creation of Diverse Data Sets, Data Protection, Data Monetization, etc.
Increasing demand for Blockchain experts
As a new technology, there are very few individuals with the requisite skill in Blockchain technology. With the continuous spread of the adoption in many sectors, people with skills in Blockchain technology will certainly be in short supply as we move into 2020. Although the number of experts is increasing, the technology is growing at a rapid rate which will most likely create a high demand for Blockchain experts in 2020. Companies have started consolidating on their existing talents by introducing programs for developing and managing Blockchain systems and networks.
I believe that the coming year holds many things in stock as it concerns Blockchain technology. These 2020 Blockchain trends are just to mention but a few. You can also share your thoughts by making use of the comment space provided below. Thank you