Dubai is rapidly moving toward implementing Blockchain technology, which offers speedy and cost-effective transactions, and reaching its target of becoming the first Blockchain powered city by 2020, a senior IT expert has said.

Saeed Al Dhaheri, chairman, Smartworld, while addressing a gathering of decision-makers and experts from across the UAE’s IT sector, said: “The market size for Blockchain is projected to grow from $210 million in 2016 to over $2.3 billion by 2021 and more organisations are looking for consultants to understand the applicability and impact of Blockchain in their businesses.”

Highlighting the government initiatives in the direction, Dhaheri said the Dubai Blockchain Strategy will usher in tremendous economic opportunity across all sectors and further enhance Dubai’s reputation as a global technology leader, in line with Smart Dubai’s mandate to become global leader in the smart economy.

Launched by His Highness Sheikh Hamdan Bin Mohammad Bin Rashid Al Maktoum, Crown Prince of Dubai and Chairman of Dubai Executive Council, the Dubai Blockchain Strategy is a result of a collaboration between the Smart Dubai Office and the Dubai Future Foundation to continually explore and evaluate the latest technology innovations that demonstrate an opportunity to deliver more seamless, safe, efficient, and impactful city experiences. Adoption of Blockchain is estimated to result in over Dh5.5 billion savings annually towards document processing alone.

“No one can ignore the importance of Blockchain and bitcoin at this moment as it’s gaining momentum,” said Dhaheri.  “It’s important for all industries including healthcare, real estate, insurance and others, and we are about to see a lot of adoption in the next 5-10 years,” he added.

Talking about the challenges in implementation, Dhaheri said confusion in proper understanding of this technology, lack of trained resources and technical challenges need to be dealt with for effective implementation and to reap the most of Blockchain.

“Having in-depth knowledge toward the Blockchain technology is a must. Blockchain is a collection of pre-existing technologies, in an elegant way. There are many options to choose from when building a tailor-fit platform or a service according to specific needs of the business but choosing options and building successful business heavily depend on the knowledge or experience the implementer has on technology,” he added.

Dhaheri also highlighted on the need for regulators and market participants to proactively work together to identify the best supervisory models and approaches.  – TradeArabia News Service