Trakti was one of the sponsors of the Blockchain Expo Global held in London on Dec-1 and Dec-2. Our CEO, Luigi Telesca has made a speech on the Blockchain for Enterprise stage about How to Scale Blockchain Technology Adoption in Enterprises. During the event, our team, including our CTO Mahfuzul Islam, was glad to receive a huge interest from the business and legal industries at our booth.
As promised, we asked our Legal Architect, Romina Zorzini few insights about the event, blockchain technology, and Trakti’s positioning in it.
Let’s see together what she told us.
Q: How was the Blockchain Expo for you and Trakti? What are your main observations?
A: It was a great experience! Trakti is one of the early adopters of blockchain technology in businesses as we provide business automation opportunities by contract data management integrated into the blockchain.
When we participated in Blockchain Expo in 2017, the whole technology was unknown to business and legal stakeholders. This year, I observed a pragmatic mindset of business, and significant awareness and urge to action for the threats that climate change, wars, and new consumer demands pose to supply chains, and the ability to conduct business and grow profitably.
Companies are more than ever willing to adopt new technologies to their business as valuable allies to protect all stakeholders involved in sales and production processes. The good fact is that also law firms were aligned with the needs and desires of businesses and society. It looks like we are achieving one of our main purposes: aligning businesses and legal.
Q: It is great to know that the perception of blockchain technology is evolving. The trust paradox has been a long-lasting issue against the blockchain. What do you think are the main drivers of it? Do you think it will come to an end soon?
A: Well, I hope and believe so! Because trust is an essential factor in measuring the success of any innovation. On the contrary, the lack of it is one of the main inhibitors that delay adoption. Sadly, there is a distinct lack of understanding of what blockchain is, as well as its reliability, speed, security, scalability, and interoperability within multiple chains. There are several possible reasons why blockchain remains misunderstood, and results in timid businesses:
- Its most popular association is with Bitcoin.
- It is predominantly thought of as a finance product.
- It has been marketed as decentralizing control of money in a largely negative sense (the control of capital being “taken away” from the consumer).
As I mentioned, this year I observed a significant improvement in the perception of blockchain, but we still have a lot to achieve to drive further trust in this technology. Blockchain Expo was particularly important to meet reputable stakeholders because the more prestigious companies adopt this technology, the faster we will overcome the trust paradox and thus facilitate access to the technology’s benefits to society. Last but not least, further government involvement and advocacy are fundamental. A good example is the second edition of the Blockchain Legal and Regulatory Guidance put together by the TLA Blockchain Legal and Regulatory Group.
Q: I see. Of course, prestigious companies with innovative mindsets play an important role in the adoption and spread of new technologies in businesses. Could you please tell us, Romina, what are the companies missing now, every time they hesitate to adopt blockchain technology into their business?
A: It is a long list, but I will try to summarize it. First of all, let me clarify that there is an increasing demand in all of the new sectors emerging within the blockchain space, including Decentralized Finance (DeFi), Non-Fungible Tokens (NFTs), and various smart contract applications in Insurtech, Environmental Sustainability, Real Estate and more. Companies that are not integrating blockchains into their processes are at risk of being left behind.
In general, a Blockchain network can be used to execute smart contracts, transfer value, track orders, settle payments, verify accounts, and more.
A few areas of use and advantages include but are not limited to:
- Real Estate Industry: Think of the volume of paperwork involved in a real estate transaction. Blockchain technology eliminates the current headache that all these documents cause, the inefficiencies, delays, and so on. In the blockchain, all the documents and transaction records are stored securely with measurably less work and less cost.
An interesting potential of the blockchain is its capability to eliminate the escrow process. With smart contract coding in blockchain, rather than a paper contract and an intermediator, the agreement is self-executive. It means that the funding is made automatically when the pre-agreed conditions are met.
- Supply Chains: In today’s multi-level complex supply chains including both vertical and horizontal stakeholders, it is challenging to execute smooth processes because of the proprietary systems that do not talk to each other.
Blockchain technology makes it possible to connect multiple chains and is also capable to extract data from off-chain systems. With all this data used together in an automated way through smart contracts – where so many different and independent players are involved – processes are fastened and secured. From product journey to product delivery, blockchain ensures traceability, transparency, visibility across the tiers, real-time updates, and much more that is revolutionizing the future of supply chains.
- Shipping And Logistics: Especially with globalization and the increase in e-commerce activities, shipping and logistics became a significant part of many companies’ core businesses. It includes collaboration with distributed fulfillment centers, warehousing, and shipping to the end consumer.
Traceability and transparency of records and logs change the rules of shipping and logistics. On the business side, it allows for mitigating risks and optimizing risk management. On the consumer side, it allows transparent backward tracking of the products, so it increases the customer experience and thus the trust and loyalty for the company.
Q: Where does Trakti stand in helping companies benefit from the possibilities that blockchain technology brings?
A: What differentiates Trakti from others is its all-in-one framework offering an end-to-end service in the contract life cycle management field integrated into the blockchain. All the tools needed to securely streamline the acquisition, negotiation, and signature flows are embedded in Trakti to manage all corporate contracts in a unique and trusted infrastructure in a fully compliant manner.
Trakti system provides KYC/AML, credit checks and IoT integrations, and automated payments and it is possible to integrate into Trakti any third-party products/services based on company needs. Moreover, Trakti offers an innovative framework to monitor the execution both on public and private blockchains, with also the possibility to track data from off-chain resources.
The objective of Trakti is to assist companies from the beginning right up to the signing and monitoring of the contracts. The future of contracts brings intelligent usage of contracts’ terms and conditions and applying this technology without a facilitator with today’s know-how is challenging and holds back companies.
With Trakti, companies and society can benefit from the all benefits of blockchain technology by using the no-code modeling structure of Trakti for smart legal contracts. Therefore, we as Trakti, play a key role in the diffusion of blockchain technology in business and legal world activities.
Thank you, Romina, for all the useful information, insights from the Blockchain Expo, your thoughts, and a clear explanation of Trakti’s standpoint.
Trakti allows companies to adopt the latest technology – blockchain – to improve their quality and productivity while enabling them to scale.
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