No matter how red the markets are, important is that the underlying technology of cryptocurrencies is being used by several governments, enterprises and individuals all over the world. The European Commission (EC) is committing resources in order to support the development of Blockchain technology in the European Union (EU) by creating a Blockchain Observatory and Forum.
This is not the first time that the European Commission pays attention to blockchain technology. Since 2013 that the EC is funding different projects through various research programs. We can mention the FP7 and Horizon 2020.
Blockchain Technology in the EU
We have heard how Mario Draghi, president of the European Central Bank has commented about cryptocurrencies. It is not difficult to understand his position, his work is to protect the Euro against possible competitors, and that’s what he has done. But this does not mean that different agencies in Europe could use blockchain technology.
The European Commission has set up a Blockchain Observatory and Forum that will closely follow and monitor Blockchain projects in the EU.
Blockchain is expanding in several industries, from the banking sector to health care and the financial world. Indeed, the HCBS, the Royal Bank of Scotland and others have been using blockchain to perform different tasks. Additionally, Blockchain technology increases trust, security and traceability.
According to Robert Half Financial Services, ‘85% of financial services executives believe blockchain will have made a genuine impact on the financial services industry by 2022.’ In addition to it, enterprises using blockchain technology have reported benefits compared to these who did not invest in it.
The intention of the EC is to gather all the activities under the Blockchain Observatory and Forum to avoid a patchwork of separate initiatives.
Mariya Gabriel, commissioner for the digital economy and society said:
“I see blockchain as a game-changer and I want Europe to be at the forefront of its development. We need to establish the right enabling environment – a Digital Single Market for blockchain so that all citizens can benefit, instead of a patchwork of initiatives.”