On November 27, The World Trade Organization (WTO) released a report, titled “Blockchain and International Trade: Opportunities, Challenges, and Implications for International Trade Cooperation.”
A new trade of more than $ 1 trillion in the next decade.
This report describes the impact of blockchain technology on international trade in various industry, especially trade finance, customs clearance, logistics, and transportation.
The report said that blockchain technology could create a new trade of more than $ 1 trillion in the next decade. Due to transparency and the blockchain’s ability to facilitate automation, including financial intermediation, exchange rate costs, coordination, and other aspects, it will reduce the cost of trade.
Blockchain technology help enterprises manage their intellectual property rights by providing transparency effectively. Furthermore, blockchain technology is expected to participate in the procurement process to support to fight fraud and manage public contracts.
Although blockchain technology can open potential opportunities for small and medium-sized companies in the future, it still has challenges such as traditional security challenges. The researchers point out the limited capacity of blockchains due to the size of the blocks, in addition to the energy consumption and security issues.
At the conclusion of the report, the WTO emphasized the importance of developing a multi-stakeholder approach to finding appropriate uses in cross-border trade:
“Blockchain could make international trade smarter, but smart trade requires smart standardization — and smart standardization can only happen through cooperation. If we succeed in creating an ecosystem conducive to the wider development of blockchain, international trade could well look radically different in ten to 15 years.”
Blockchain cannot be applied to all industry
On November 26th, Ethereum cofounder Vitalik Buterin showed his concert of misapplication of Blockchain leads to “wasted time”:
“Although blockchain technology has superior capabilities, it does not mean that it can be applied to all sectors.”
He defined electronic money and cross-border payments as the industries in which the blockchain technology fits best.
Thanks to this comment by Mr. Burin, the more confirmed the application of blockchain technology into the freelancing market is correct.
Freelancing market has exploded with millions of people leaving their day jobs and chose to work from home in their favorite industries, projects they join from around the world. They often have to make international transactions but are affected by transaction fees.
To overcome this problem and improve the freelance market, Getdone has integrated Blockchain technology in freelancing platform to reduce transaction costs to the lowest, while reducing commission costs.
If blockchain economic value-added on a global scale reaches almost $ 3 trillion by 2030 as the report of WTO said, jobs that require blockchain skills will boom.
For the future, you should join Getdone to prepare and practice blockchain skills by participating in quality blockchain projects around the globe.
World Trade Report 2018. (2018). [PDF] The World Trade Organization, https://www.wto.org/english/res_e/publications_e/world_trade_report18_e_under_embargo.pdf.
2030: Blockchain Deployment Could Add $3 Trillion in International Trade, But Not That Easy was originally published in Data Driven Investor on Medium, where people are continuing the conversation by highlighting and responding to this story.