Blockchain technology has been embraced by many countries across the world; despite the fact that many remain skeptical about cryptocurrencies. The World Trade Organization [WTO], an intergovernmental organization dealing with global rules of trade between nations, is one such body to show appreciation for the tech at a recent conference held in Geneva.
The conference was intended to cover the use cases of blockchain in various sectors including finance, transportation, logistics, border procedures, and agriculture, according to a report published by WTO senior analyst, Emmanuelle Ganne and Trade Finance Global’s Deepesh Patel titled “Blockchain & DLT in Trade: A Reality Check,” a report which focused on developments in global trade.
The report highlighted the prominent people in the space from a governmental standpoint. It also highlighted the use cases of Distributed Ledger Technology and noted that it was widely cited in the trading and shipping space as it streamlined tedious processes, driving efficiency and slashing costs. It added,
“When asked to list their top three benefits for DLT in the trade finance sector, 44 per cent of respondents using or developing DLT indicated gains in speed and efficiency as being part of their top three, and 35 per cent indicated cost reductions. These trail behind only transparency, with 55 per cent, as the most indicated benefits.”
The report surveyed over 200 entities active in the blockchain space and also mentioned the projects that diverged from the proof-of-concept stage. While noting the use cases, it highlighted the fact that the challenges DLT faced were technical issues like “interoperability, and others like standardization, legal concerns, and privacy.”
The report concluded by stressing on the changes the technology was bringing, adding that “if we all join forces to successfully address the various challenges that are currently slowing down the spread of blockchain and limiting its impact on trade, from technical aspects to standardization, legal and privacy issues and governance, the future promises to be bright for all parties involved in the international trade space.”