The global blockchain has witnessed a massive surge in investments in blockchain based companies and has reached $20 billion in 2018 as per the findings of the AVASANT-NASSCOM India Blockchain Report 2019.
Currently 40+ blockchain initiatives are being executed by public sector in India with around 92% in pilot/POC phase and around 8% projects in production phase. About 50% of the Indian states are involved in Blockchain related initiatives
The Indian public sector has driven blockchain based projects with nearly half the Indian states involved to address different elements of citizen service delivery. The state governments are also ensuring a progressive approach is taken up, to impart a conducive framework for startups and niche service providers to participate in these initiatives. Further, enterprises across all key industries in India are also identifying different applications of blockchain. The BFSI sector has seen the highest adoption, but other industries, such as healthcare, retail and logistics are also accelerating rapidly.
Commenting on the launch of the report, Sangeeta Gupta, Senior Vice President, NASSCOM said, “Even as the demand for blockchain based talent is growing at 40% each quarter, it is time to reiterate the importance of a skilled workforce. It is imperative to prepare our workforce through training programs and skilling initiatives in this field so service providers in the country don’t fall behind the global standards.”
70% of enterprise blockchain projects are now commissioned through stringent business case evaluations across cost savings and operational efficiency improvement potential. With the business benefits of blockchain becoming clearer to enterprises, a sizeable share of the projects is expected to pass the business case development barrier and move into production in 2019. The report states that service providers in India, with their deep enterprise client relationships, are uniquely positioned to address a large share of the global blockchain demand.
“It is heartening to see that industry and government stakeholders in India are taking a very pragmatic approach to blockchain adoption. They are not swayed by the hype around it, and have clearly established its on-ground proof of value through pilot engagements and bellwether implementations,” said, Akshay Khanna, Partner, Avasant.
“Given the accelerating demand for blockchain implementations both globally and in India, there is considerable opportunity for Indian technology services companies as well as start-ups to tap into,” added Khanna.
The report has also analyzed the blockchain regulatory framework across 120 countries. Singapore, Switzerland, Netherlands, Malta, Japan and Abu Dhabi emerged as the leading countries where, the government actively formulates new regulations and encourages formation of a self-regulatory body to enforce standards among the community.