While many countries are embracing the blockchain phenomenon, India is yet to finalise its stand on this technology. Although there is a stern stand against cryptocurrencies by the Indian government, the same cannot be said for blockchain technology itself. Industries, along with both the central and state governments are striving to set off a unique trend in the path of digital transactions as well as in the online space.
Blockchain Trends In India
- Growing Infrastructure: Earlier this year, Hyderabad was declared as the Blockchain District of India. This actually saw a collaboration between the Telangana government and IT firm Tech Mahindra. Just like other new technologies are resolving problems at a large scale, blockchain will also slowly emerge as a winner.
- Cross-Sector Acceptance: Despite the system of cryptocurrency getting a bad rap here, blockchain, which is the framework powering cryptocurrencies, has never faced flak in India. The only setback was its realisation in the tech ecosystem. Blockchain, which was invented back in 2008, only made it to the news in the Indian context after 2015. Now, almost every sector, including real estate, is planning to use it on a full-fledged level.
- The ‘Monetary’ Status: In regions like India where “cash” is valued very much, blockchain could have the same effect in terms of currency handling. The only apprehension is how this implementation would affect the public. With crypto already being criticised for its decentralised nature, blockchain also faces the problem of regulations.
- Data Security: One of the strongest benefits of blockchain is its potential to have foolproof data protection. India’s growing data, especially those maintained by the governmental offices, are highly vulnerable to cyber attacks and can lead to devastating consequences. The good thing is the Indian government realised this and has passed The Personal Data Protection Bill in 2018. It can now bank on blockchain at all levels of infrastructure.
- Data Privacy: What’s even more interesting is the fact that Indian banks and other financial entities are pouring investments into this new tech to shield customer data from vulnerabilities and offer more privacy. An article by Forbes captured how data is surging in the presence of the internet and the online market. “While it remains to be seen if the data protection bill finds its way to the upcoming monsoon session of the Indian Parliament for further discussion, the report’s recommendations suggest far-reaching ramifications for India’s rapidly growing technology industry. In a billion-strong nation, there are nearly 500 million active internet users and India’s online market is second to China. Internet penetration has grown in the last five years, thanks to the growth of startups, e-commerce companies and technology offerings across industries. Even as technology majors anticipate the next move, India’s primary IT industry bodies such as NASSCOM and Data Security Council of India (DSCI) have been advocating for stringent data privacy and protection for years now, especially since India is making rapid inroads into the global digital market.”
The online space introduces a host of threats and attacks. With blockchain, all of this may be fixed quickly mainly because of the security it offers. Encryption algorithms prevalent in this tech is quite impossible to penetrate by cyber attackers.
Five Years From Now
If different sectors unhurriedly start implementing blockchain framework into their system even from today, the impact would be tremendous. The only hindrance is with respect to the regulations it faces on an authoritative level. Apart from this, it is expected to grow rapidly. The good news is it has paved way for more jobs. As of now, blockchain-related jobs are growing by a staggering 2,000 percent. Furthermore, these jobs are paid higher than usual tech jobs.
As a consequence of rising jobs and better pay, chances are that blockchain will pervade the Indian ecosystem regardless of its sectors or economy.