Miller Research was commissioned by Technology Connected, the leading network for technology in Wales, to undertake research into the Blockchain sector in Wales.
Blockchain dates back originally to the 1990s. It is essentially a mechanism for creating a secure contract relating to a specific transaction. The essence of the approach is that the details of a contract are timestamped and distributed across several, unconnected computers, linked in a peer to peer network. This makes any contract or document virtually impossible to amend without disrupting its identity, causing it to fail.
Blockchain is frequently confused with cryptocurrencies such as Bitcoin, which are applications of blockchain technology. However blockchain has the potential for much wider uses in any setting where intermediaries can be replaced by secure contracts. These include supply-chain traceability, food safety, banking, insurance and wider fintech, as well as contributing to self-driving cars and many other secondary applications.
The economic impact of blockchain to the global economy is estimated to reach $1.76 trillion by 2030. In the UK, blockchain technology could potentially boost GDP to $72 billion and support 695,000 jobs by 2030.[1]
The UK is considered a prospective leader in blockchain technology, with the third highest investment globally in blockchain between 2015 and 2019[2]. In Wales, blockchain is an area that is still in its infancy, although there is significant interest / opportunities in developing the sector. The Welsh industry is dominated by cryptocurrency, but blockchain technology has a wide range of applications and Wales offers a range of potential sectors for developing and testing such applications.
The report has helped to put the case for public sector action to stimulate the blockchain industry in Wales and take advantage of the potential opportunities identified through the research.
[1] PwC ‘Time for Trust’ Report (2020): https://www.pwc.com/gx/en/industries/technology/publications/blockchain-report-transform-business-economy.html
[2] https://technation.io/report2020/#21-global-innovation