Blockchain Could Decrease the Power of Tech Juggernauts, Hyperledger Exec Claims

Tech juggernauts have enjoyed their reign in their historic rise during the dot-com boom. Since then, companies like Facebook, Google and Amazon have dominated their respective markets without facing real competitions.

That is until blockchain came into the picture. Hyperledger’s executive director, Brian Behlendorf, recently said that the technology that underpins cryptocurrency will weaken some of these tech giants’ hold in the industry, Cointelegraph reported.

Behlendorf shared during an interview with Swiss business newspaper Handelszeitung that a lot of companies in Silicon Valley have a “blind spot when it comes to blockchain.” He said that while these companies will certainly take blockchain and create a business framework around it, the decentralized nature of the technology itself will cause these businesses to lose some of their prowess.

The executive director likened the crypto rise to the dot-com emergence in the late ‘90s. “It was the time when Silicon Valley founders could capitalize on any kind of business plan. Even the investment market around Blockchain today is definitely overheating. The good side is that in this way a lot of capital is flowing to develop software.”

As for Hyperledger, Behlendorf said that they’re not interested in initial coin offerings (ICO) nor are they looking at the cryptocurrency market. What they’re focusing their attention on is how to develop blockchain and leverage the benefits that the technology possesses. He went on to say that the supply chain isn’t taking full advantage of blockchain’s capabilities, this despite the fact that numerous businesses in this sector have adopted it, with new shipping companies being created around it.

Ralph Carter, FedEx’s vice president of trade and international affairs, said that the traditional methods of the supply chain industry usually revolve around the management and collection of revenues. However, blockchain can improve that system, specifically on cross-border activities.

Auditing firm Deloitte outlined in its report called “New tech on the block” that the supply chain industry will benefit most from blockchain tech, seeing as it can provide transparency and precise monitoring and conduct rapid transactions without the need for paperwork. If the supply chain correctly implements this nascent innovation, consumers will be the ultimate beneficiary, gaining an upgrade in the form of safer and higher-quality products while enjoying lower prices of goods.