Blockchain is yet to make its mark amongst finance professionals – report
Blockchain. Despite the buzzword making a subjectively vivid appearance across the tech industry, new research has unveiled that 19% of finance professionals are unaware of its uses.
According to an annual survey of 1,000 finance professionals, 29% have no idea what blockchain is, as the FinTech Barometer demands that more needs to be done to raise awareness of blockchain technology and its benefits.
The survey also found that 29% of finance professionals either already use or are beginning to plan using blockchain, with the figure rising to 57% when looking specifically at the CFO job role.
“This indicates that CFOs understand the importance of this technology, but they aren’t currently sharing this knowledge with less senior employees,” said Onguard in a written statement.
The professionals were also asked how often blockchain is discussed in meetings, to which 52% of finance professionals admitted that it is never mentioned.
When CFOs were asked the same question, 45% stated they talk about blockchain at least once a week, and 17% discuss it every day.
“Whereas in 2018 technologies such as blockchain and artificial intelligence were mostly discredited and labelled as ‘hype’, we can see that organisations have now actually started adopting them,” said MariekeSaeij, CEO, Onguard.
“At Onguard, for example, we use artificial intelligence to optimise the entire order-to-cash process for companies.
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“This makes it possible for organisations to predict whether and when their customers will pay. Blockchain also offers a solution for financial services. For example, it makes the origin of payments transparent and a lot safer, so that there is no risk of fraud.
“However, more awareness needs to be raised about the benefits of blockchain, as this research shows its uses aren’t widely known.
“While the exact uses of blockchain are not yet defined, the level of activity using this form of technology is only going to increase.
“Businesses are already benefitting from enhanced data security and the ability to automate admin processes.
“With nearly two-thirds of CFOs already preparing an initiative related to blockchain, I expect that this is just the beginning of a blockchain revolution.”
In terms of the technologies expected to have the biggest impact on the finance sector, cloud (38%), AI (32%) and big data (30%) came top, while blockchain was seen as disruptive by only 10%, according to the survey.
Despite this current lack of awareness, finance professionals seem ready for the arrival of new technologies, including artificial intelligence as well as blockchain, with 67% either planning deployment or already using them.
By 2029, it has been predicted that AI, IoT, Blockchain and 5G will generate $721bn in revenue per year to 60 of the largest cities in the world, according to a report released by data centre giants Digital Realty (NYSE: DLR).
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