You must have heard about blockchain mechanisms, especially if you are a technology enthusiast. Right from the day digital currency was introduced, it has been getting huge traction. Digital currency facilitates peer-to-peer and secure transactions, eliminating any middlemen, whether it is a company, financial system, or the government.
Right from the very first day, this tech is responsible highly for scaling up use cases and innovations. Blockchain is welcomed with great hospitality in India. Let us see how blockchain is the reason behind the tech transformation in India.
Exploration of Blockchain technology:
In India, several enterprises are focusing on exploring this new-gen technology by including it in the regular processes of business. More start-ups are trying to be the big picture’s part. The insurance industry, financial services are welcoming this technology mostly. Blockchain for banking industry is increasing gradually.
Also, the public sector is making use of this technology for uses like management of vehicle lifecycle, registration of land title, management of electronic health records, and farm insurance. India is ranked at the 2nd position if it is about cryptocurrency adoption behind Vietnam. So, it is evident that technology is rising.
The waiting period:
NASSCOM released a report named ‘NASSCOM Avasant India Blockchain Report 2019’. According to it, most of the large and medium service providers have lower than 5% of the Indian blockchain projects, and it is low if compared to their blockchain project in countries like Europe and North America.
Also, among the blockchain start-ups, the investments of venture capital were $5.6 billion, but India only attracted 0.2%. Moreover, only 2% of Indian start-ups are there globally. All these indicate that, although blockchain adoption in India is rising, it is still in a nascent state.
The factors preventing this technology from expansion:
Several industries are there that still need to understand the concept. Insufficient understanding and knowledge are the main obstacles preventing the expansion and adoption of this technology. Also, several misconceptions are there like, many people still think that blockchain will replace the current systems, and it is false.
Any experienced blockchain development company can revamp the existing processes for unlocking new value and efficiency sources. Therefore, this nascency offers India an array of opportunities for expanding the market only if it can tackle the bottleneck.
Why explore this concept?
Digitization is also driving blockchain adoption and blockchain fintech app development massively. In the last few decades, foundational digital infrastructure has been created by India for enabling the private sector apps running on above it like-Sign, UPI, Digilocker, and Aadhaar, along with the digitized tax governance networks such as GSTN or digitized health coverage like PM-JAY (Pradhan Mantri Jan Arogya Yojana).
All these things have laid a great base for experimenting with blockchain technology adoption in multiple sectors. Additionally, the Indian government encounters multiple problems given the complexity, scale, and diversity of the processes that are involved in delivering various public services.
Unique possibilities are offered by blockchain to address issues related to enhancing government. Self-regulation is being allowed in the businesses, and it is helping India to move forward and improve the easy-to-do business by enabling the entities to interact through a trusted network with a lowered dependency on cumbersome regulatory compliance and oversight.
Citizens are empowered through decentralization, accountability, and transparency features, and altogether the ease-of-living is being improved by blockchain tech. Several other benefits are also there that can impact the economy directly, like better procurement and management of the contract, greater quality control, and accountability across the authority of decentralization and supply chains in terms of decision making. High practical applicability is possessed by blockchain technology.
Thus, a whole new method to deal with the business problems can be introduced by it with enhanced efficiency. Several businesses are there that are adopting this new idea, and also India wants to position itself in the technical space in the upcoming years. With this said, this technology will continue to expand. Additionally, players outside India are supporting blockchain technology.
Drastic end-to-end digitization in businesses is taking place. Businesses are starting to automate processes over the value chain with the help of reliable blockchain solutions and services provider. And as per the reports, it is going to accelerate further in the upcoming years. India is all set to become one of the most significant technical hubs. Moreover, we all have seen how our society is changed by the Internet; we will now be encountering a phase that will be surrounding blockchain technology.
If we are discussing the adoption of blockchain technology in India, it is still young and requires to be well-polished. All the existing misconceptions need to be removed from the people. This can be done by educating them on this particular topic. India itself needs to make way for the technology to expand.
With that said, blockchain technology is capable enough to transform almost any type of Indian financial transaction. So, if you want to implement blockchain in your business, seek help from a professional blockchain app development company.