A report recently released by the World Trade Organization (WTO) outlines the positive effects of blockchain on international trade. One significant takeaway is the claim that blockchain could possibly add as much as $3 trillion to the international trade market by 2030.
The concept is fairly simple – by increasing transparency, and introducing automation to time-consuming processes such as exchange rate costs, financial intermediation and coordination, blockchain provides a much more streamlined and profitable system.
Not only will blockchain aid in expediting international trade, but also provide greater security measures to prevent issues related to fraud. $3 trillion may seem like an enormous sum, but it isn’t surprising considering the rising number of industries discovering new ways to utilize the technology.
Any blooming concept is bound to have its fair share of problems, and blockchain utilization in trade is no exception. The report states that issues related to energy consumption could have negative effects, however, despite this, blockchain has yet again found another use in the international market.