With the much-awaited Bitcoin halving in the next day or so, I thought it might be interesting to see what's been happening with blockchains beyond cryptocurrencies. This technology was once accused of being a Solution in Search of a Problem (SISP), but problems are emerging in which blockchains provide unique capabilities that can potentially offer solutions.
But first, this week's signals...
Signals from the future:
Emerging trends that are likely to drive changes to the way we live, work and do business.
Tech
- Boston Dynamics New Fully Electric Humanoid Robot - NextBigFuture.com - Cutting-edge humanoid robot Atlas by Boston Dynamics showcases breakthroughs in mobility, agility, and advanced control systems, poised to revolutionise multiple industries.
- It’s time to prioritise assistive technology for neurodiversity - Fast Company - technology - Unlocking the potential of AI to create tailored solutions for the neurodivergent community, fostering inclusivity and reaping benefits of cognitive diversity in organisations.
- 15 Graphs That Explain the State of AI in 2024 - IEEE Spectrum - AI advancements drive increased investment, highlighting U.S. leadership in private funding and closed models, with rising concerns over privacy and ethics.
- The end of coding? Microsoft publishes a framework making developers merely supervise AI - Vulcan Post - The future of software development may rely more on managing AI than direct coding, impacting the role and skillsets of human developers.
- How Technology is Reshaping the Future of Food Delivery - QSR Magazine - Technology revolutionising food delivery industry, projected to hit $1 trillion by 2023. Custom apps crucial for personalised experiences and competitiveness.
- AI is coming for Wall Street: Banks are reportedly weighing cutting analyst hiring by two-thirds - Business Insider - AI implementation in banking may lead to significant reductions in analyst hiring and salaries, potentially impacting millions of workers by 2030.
Society
- Choice and control: will NDIS reforms mean people with disability don’t get to decide who they live with? - Health – The Conversation - Reforms in the disability sector aim to improve housing quality, choice, and support efficiency, but concerns persist about potential restrictions and limitations.
- The economic commitment of climate change - Nature - Climate change threatens global income with a 19% reduction by 2050, highlighting the urgency for adaptation and mitigation strategies.
- College Education Is On A Ten Year Decline. How Future Entrepreneurs Can Create Companies Without A Degree - Forbes - Gen Z is increasingly choosing trade schools and certifications over traditional college paths for quicker entry into entrepreneurship and small business ownership.
- Research: How Ratings Systems Shape User Behaviour in the Gig Economy - Harvard Business Review - The way low ratings are displayed significantly influences user behaviour and experience in the gig economy, impacting choice and quality.
- How abandoned strip malls could help solve the housing crisis - r/Futurology - Revitalising abandoned malls into affordable housing offers a solution to the U.S. housing crisis, with potential for significant impact and legislative support.
Climate / Energy
- Wooden turbine towers could make wind power even greener - CNN - Innovative wooden wind turbine towers by Modvion reduce emissions by over 25% and offer logistical advantages, contributing to sustainable energy solutions globally.
- The UN’s Climate Chief Says We Have Just Two Years to Save the Planet - Futurism - Urgent call to take immediate and ambitious action on climate change to avoid catastrophic consequences.
Focus Issue: Blockchains beyond cryptocurrencies.
Blockchain technology, originally developed for cryptocurrencies, is now finding applications across various industries, offering secure, transparent, and tamper-proof systems for recording transactions and data exchanges. Its key features, such as decentralisation, transparency, immutability, and security, make it suitable for purposes beyond financial transactions, including improving supply chain management, healthcare records, and sectors like finance, insurance, and entertainment.
The technology exists in three main forms - public, private, and consortium - catering to different security and operational needs. As blockchain technologies advance beyond currencies, its integration across sectors is anticipated to grow, leading to more transparent and efficient digital transactions and operations.
In 2024 and beyond, significant growth is expected in decentralised finance (DeFi) and cryptocurrency. Financial sectors are increasingly adopting blockchain for asset management and real-time settlements, contributing to the expansion of its market in banking and financial services. Despite challenges such as high-profile collapses, frauds, and regulatory scrutiny, interest in blockchain continues, especially for enterprise applications outside finance like identity management and supply chain transparency. There are even some ideas of using NFTs (non-fungible tokens) for loyalty programs.
The approval of spot Bitcoin Exchange-Traded Products (ETPs) by the U.S. Securities and Exchange Commission (SEC) in January 2024 marked a significant milestone, indicating the growing integration of digital assets into the mainstream financial ecosystem. This development offers institutional investors new avenues for portfolio diversification with digital assets. The SEC's decision is viewed as a strategic shift that could influence global regulatory stances and foster increased institutional engagement with digital assets.
For many organisations, the impact of blockchain technology is significant. Smart contracts built on blockchain can enable new business models and streamline operations, automating processes and reducing the need for intermediaries. This can lead to cost savings, increased efficiency, and faster transaction times. Additionally, blockchain can enable individuals to be paid for using their data to train AI models, providing a new revenue stream and giving users more control over their personal information.
Organisations should explore how blockchain can be integrated into their existing systems and processes, identifying areas where it can provide the most value. They should also invest in educating their staff about blockchain technology and its potential applications, ensuring they have the skills and knowledge needed to leverage its benefits. Collaboration with industry partners and participation in blockchain consortia can also help organisations stay at the forefront of this rapidly evolving technology.
As blockchain technology continues to mature and find new applications beyond cryptocurrency, it has the potential to transform industries and create new opportunities for businesses of all sizes. By embracing this technology and exploring its potential, organisations can position themselves for success in an increasingly digital and decentralised future.
Consider these strategic insights:
Here is a summary of the key actionable insights for Australian businesses from the report:
- Leverage blockchain for supply chain optimisation: Implement blockchain solutions to enhance supply chain transparency, traceability, and efficiency. Collaborate with industry partners to create blockchain-based systems for tracking goods from origin to end-consumer, reducing counterfeits and ensuring ethical sourcing.
- Explore blockchain-enabled business models: Investigate how smart contracts and decentralised applications (dApps) built on blockchain can enable new, disruptive business models. Consider opportunities in decentralised finance (DeFi), digital identity management, and peer-to-peer marketplaces that eliminate intermediaries and create direct connections with customers.
- Monetise user data with blockchain: Develop blockchain-based platforms that allow individuals to monetise their personal data when used for training AI models. This creates a new revenue stream for users, provides them more control over their data, and offers businesses access to high-quality, consensually-provided data for AI development.
- Prepare for institutional investment in digital assets: With the SEC's approval of Bitcoin ETPs, expect increased institutional interest and investment in digital assets. Position your business to capitalise on this trend by developing blockchain-based financial products, offering digital asset custody solutions, or integrating digital assets into your investment strategies.
Deep strategy:
Longer form articles rich with insights:
- Middle Managers Should Drive Your Business Transformation - Harvard Business Review - Empower middle managers for successful business transformation by leveraging their insights, innovation, and leadership to drive lasting organisational change.
- Driving long-term business transformation - McKinsey & Company - Driving successful business transformation requires holistic changes in cost, growth, and workforce motivation, with leadership alignment and continuous digital integration being key.
Business at the point of impact:
Emerging issues and technology trends can change the way we work and do business.
- A monster of a paper by Stanford, a 500-page report on the 2024 state of AI - r/Futurology - Unveiling the power of AI in 2024 - Stanford's groundbreaking report sparks discussion on the future of technology and its implications.
- The Future Of Banking: Morgan Stanley And The Rise Of AI-Driven Financial Advice - Forbes - Leveraging generative AI can enhance efficiency, personalised services, and streamline operations in banking, transforming customer experience and operational effectiveness.
- Developing A ‘Generative AI Mindset’ - Forbes - Innovation - Embracing a generative AI mindset is essential for organisations to successfully leverage AI tools, navigate challenges, and lead to success.
