68% of Asian Firms Misunderstand Blockchain Technology

A survey conducted by Ernst&Young indicated that 68% of enterprises in the Asia-Pacific region have very few knowledge in Blockchain technology and its uses.

Asians Misunderstanding BlockchainThe survey was pulled during a live webcast conference where 576 attendees were asked about their understanding level of blockchain. Over two-thirds of respondents admitted that they lack the knowledge and don’t have enough understanding or training that allows them to apply it in their organizations and 66% of them followed up by affirming that they necessitate a grounding or a firm briefing about this new technology in order to implement it.

Moreover, 46% of attendees described the blockchain as mythical, referring to its decentralized characteristic and how it doesn’t require a central authority of control, adding up to its trustless nature. 

As Adam Gerrard, partner at EY, and EY AP (Asia-Pacific) Assurance blockchain leader, chose to point out in The Business Times: 

 

Trust is a key factor and current barrier for companies in Asia-Pacific. Understanding and education are required to build trust and confidence with aspects of a business.

He then followed by saying that trustless systems are not to be considered as a myth and that they are still fairly misunderstood by the majority of organizations.

Another myth in circulation is blockchain’s unhackability and its architectural immutability. Similarly, Jimmy Ong, also a partner at EY and an EY AP blockchain leader, said that these characteristics remain poorly understood.

This shortfall of education represents the greatest barrier restraining companies’ officials from adopting blockchain. 

Out of all countries in the Asia-Pacific, China seems to be one of the most blockchain-educated countries. According to Deloitte’s 2018 global blockchain survey, When organizations were asked whether they are investing in hiring staff with blockchain experience now or in the future, China had the highest percentage of companies currently investing with 86%, surpassing the US, France, and Canada.

With China’s Belt and Road initiative, it is probable that this lack of blockchain knowledge would not be expected to last long. The Belt and Road initiative consists of an extremely large project to connect Asia with Africa and Europe through railways and maritime networks to stimulate trade and economic growth, using blockchain as a tool for payments, health, electronics manufacturing, charity, agriculture, automotive and real estate. 

With such large projects rushing into many countries and different regions in Asia, companies would further feel obliged to become up-to-date with imposing technologies in the market.

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