Challenges in Implementing Blockchain Technology?
Is blockchain a bubble? That’s what they all said about the internet in 1995.
Consumer engagement is always good for business. The challenge lies in turning that engagement into education and a good sounding board for feedback. This is crucial, especially because decentralization is a novel idea to many mainstream consumers. This step is where many ICOs failed in the previous year. There’s a number of reasons why blockchain startups experience failure to launch, but here are the things that are worth taking note of:
? Lack of a tangible product that solves real-world problems
? Little engagement with the community
? Lack of transparency
People are not afraid of new technology --for example, Bancor, one of the ICOs that launched last year, raised $153 million in three hours. Another company Inmusik, managed to raise more than $7 million before its ICO launch. What can burn a supportive community is dishonesty, which is an issue in a space that allows anyone and everyone to create a project. Add unpleasant news about security threats in exchanges and ICO websites, and you have a market full of fear, uncertainty and doubt.
Sustainability can only be achieved by those who listen to what the market says, understand exactly what it wants and commit to meeting those expectations in every rollout. In the blockchain space, the clear winners are those that released a platform with user-friendly interfaces and made direct and consistent engagement with its community during development. Launching an ICO doesn’t rest on having a shiny whitepaper anymore. Successful blockchain projects are those that are able to solve market uncertainties through proof of concept and proof of work.
While blockchain is a solution to a number of woes, it is not the panacea that we are looking for -- at least not yet. There is a ton of work that needs to be done as we strive to make blockchain an accessible concept.
Now it’s as if we cannot live without it. We’re on the brink of the blockchain future, and we are already seeing how big it is going to get. This is the best time to start embracing and discovering this new technology.
In the end, the biggest winners in the blockchain space are those that are able to show that this technology works for their target market.