January 24, 2019
The following article is a republication from The Business Review, a publication produced by our partner, Nhip Cau Dau Tu. Nhip Cau Dau Tu sat down with Mr. Do Van Long, the Regional Chief Strategy Officer of Infinity Blockchain Labs (IBL) to discuss the sustainable development of blockchain in Vietnam and worldwide. To see the original article (in Vietnamese), please visit Nhip Cau Dau Tu
Long discussing blockchain applications in agriculture traceability at the Green Economy Forum on December 12, 2018
The 2019 blockchain market is expected to show signs of maturity and gradually enter into a comprehensive, sustainable orbit of real benefits.
Last year, the blockchain technology craze began a fascinating shift. This technology attracted interest in a wide range of applications in both the public and private sectors. As reported by Markets and Markets, blockchain applications to Government activities are expected to increase from $162 million USD in 2018 to $3.4 billion USD in 2023, with the compound annual growth rate (CAGR) of 84.5%. In addition to the government share, in Deloitte’s survey of over 1,000 of the world’s largest companies, 59% of executives claim that blockchain is changing their industry’s positions.
Vietnam is one of the exciting destinations of blockchain technology for the last three years. Mr. Do Van Long, the Regional Strategic Chief Officer of Infinity Blockchain Labs (IBL), has shared with the Nhip Cau Dau Tu’s journalists about this sweeping trend of investment and development of blockchain in 2019.
Nhip Cau Dau Tu: In 2018, blockchain technology received attention from major corporations around the world with a series of blockchain applications from IBM, Microsoft, Tencent, Alibaba. In 2019, what will the future hold for blockchain technology worldwide and in Vietnam?
Long: “As of 2019 and moving forward, blockchain technology is expected to show signs of improvement, maturity, and gradually enter growth trajectory showing real and tangible benefits. Thus, this will be the year that research and pilot programs will increasingly become real-world applications for everyday life. Many businesses and organizations will promote research and development applications for business operations to create blockchain applications to solve practical problems.
We have noticed a recent substantial increase in interest from investors in blockchain-based applications. Since early 2018, venture capital funds in Silicon Valley (USA) have spent more than $1.3 billion USD on blockchain technology. According to a market research firm named IDC, the total investment value for blockchain technology in companies and governments reached $2.1 billion in 2018, doubling the total number of investments from last year. The total is expected to increase to $9.7 billion USD by 2021.
Long presenting at the “Control of origin and quality in agricultural products is protected by intellectual property rights” workshop on November 23rd, 2018
In getting the most from the benefits of blockchain technology, Vietnam is expected to see more and more startups and businesses piloting programs and applying blockchain into many industries and sectors such as high-tech agriculture, banks, health, transportation, public services, and many more.”
Nhip Cau Dau Tu: Vietnam holds a special place in the world of blockchain as a pioneer in actively participating in this new technology. Can you tell us about potential areas for early application of this technology in Vietnam?
Long: “Agriculture has always been a bright spot of Vietnam’s overall economic picture. Applying blockchain technology to agriculture will fundamentally improve the ability to manage, monitor, produce, and process agricultural products through the supply chain. Additionally, I think that agriculture and e-commerce have the potential to produce sustainable development. E-commerce will reach the rural areas with the concept of “agriculture trading floor”, which creates a domestic purchasing and distribution channel for farmers and businesses that are not able to compete in other markets. At the same time, the agricultural industry’s access to modern technology will have the opportunity to become high-value exports through the application of blockchain-based traceability.”
Nhip Cau Dau Tu: Logistics is one of the earliest industries apply blockchain technology. The sector has seen a number of leading industry players participating in blockchain pilot projects such as Maersk, Lotte Global Logistics, UPS and FedEx. How do you rate the impact of blockchain in this industry?
Long: “I think blockchain will be an effective solution in the logistics field because it solves the problem of transparency in the entire system, making each stage in the transaction process visible to the public with high reliability. In recent years, the explosion of e-commerce has led to the rapid and diverse development of logistics services. 2018 saw a jump in the number of companies investing in logistics and supply lines. We expect that 2019 will be the year of high-tech race amongst these companies to apply blockchain. Applying blockchain to logistics services will be a significant step to help businesses improve efficiency, minimize risks, and to standardize the supply chain and logistics industries.”
Long presenting at the workshop on November 23rd, 2018
Nhip Cau Dau Tu: What other trends about blockchain should we expect in 2019?
Long: “One of the most prominent trends will be providing blockchain infrastructure as a service (Blockchain as a Service – BaaS). In the context of a growing number of businesses and startups who want to deploy their own blockchain solutions, the concept of BaaS is inevitable. BaaS allows customers to build and design blockchain solutions tailored to different needs without spending too much time to understand the in-depth details, preparation, management, or equipment devices in the blockchain infrastructure.
Worldwide, very few businesses are willing and able to provide this service, including a few typical names like Amazon, Microsoft. I think BaaS will be a potential new trend for the Vietnam market. BaaS will facilitate startups using blockchain technology.
Like any technology, blockchain needs a comprehensive and practical approach that is user-centric with a clear pilot roadmap and specific applications. Every field has its own characteristics that can be maximized with the benefits of technology in serving business and life.”
About the Nhip Cau Dau Tu Business Review
The Business Review is one of the leading business magazines in Vietnam, with a circulation of 65,000 copies per week and 350,000 readers. Its mission is to be at the forefront of updating new business trends for leaders. Over the past 15 years, the magazine has held many impressive and useful events for the managers and investors across the country, for examples, the Top 50 most effective trading companies on the stock market, Investment Summit, Tech Summit, etc.
Infinity Blockchain Labs (IBL) is a visionary R&D company committed to advancing society with next-generation solutions. IBL receives global recognition through its renowned initiatives and influential partnerships while leading the blockchain ecosystem in its home, Vietnam. IBL’s mission is to be the R&D engine that transforms future technology into practical applications for business and everyday life.
In fulfilling this mission, IBL turns the complexities of blockchain technology into practical solutions through a comprehensive range of IT consultancies, the creation and integration of Apps, and an unyielding commitment to the research and development of cutting-edge blockchain innovations, Named one of the top ten blockchain technology solution providers in 2018 by APAC CIO Outlook, the 200+ employees at IBL aspire to empower Vietnam and all of humanity with powerful blockchain innovations to power the future.
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