Blockchain technology is a distributed ledger technology whereby a database is distributed across numerous users, and changes to the database are validated by consensus among the users. While it is best known as the platform for Bitcoin, blockchain technology can be widely applied to improve business processes, increase transparency, and drive the creation of new jobs and industries.
Over the last decade, blockchain technology has grown in popularity and use, and has already begun to disrupt existing markets in Australia and around the world. The opportunities blockchain presents have been invested in, studied, explored, and considered, in almost all sectors of the economy. Blockchain has attracted significant public and private investment, and introduced previously nonexistent products and services across multiple industries.
Despite its potential, there is significant uncertainty regarding future adoption of blockchain technology in Australia. For instance, there are unknowns around blockchain’s capacity to work at scale while remaining decentralised, and protect confidentiality whilst also being transparent. The extent to which the public will trust decentralised systems is also uncertain. These uncertainties raise the question: can blockchain progress beyond the hype to deliver tangible, highvalue applications and a thriving industry for Australia, or will blockchain amount to little more than a market bubble?