Blockchain Technology Facing Socioeconomic Challenges. Promise versus Probability

Abstract

This paper has the main purpose to make a critical and balanced analysis about the potential of blockchain technology to face some of the great current socioeconomic challenges, being focus on impact assessment point of view, analyzing the disruptive potential of blockchain to provide solutions at level of different challenges as example, climate change, migrant movements, gender equality, financial inclusion or the cost opportunity of the management of data science. The term blockchain summary a numerous different type of system of distributed ledger, essentially, it is just a record distributed, a ledger of digital events that is distributed or shared among many different parts within an ecosystem (nodes), and chronological in a network. The technology is at an early stage and can be implemented in many ways depending on the objective. The methodological tool for the research is strategic and qualitative SWOT analysis identifying the critical success factors such internal factors (Strengthens and Weakness), and external factors (Opportunities and Threats), summarizes the arguments and counterarguments within the scientific discussion. From the bibliographic review carried out on the finding and disclosure provided by empirical research about business case studies, the research results summarized in the paper confirm that although looks difficulty of give a closed definition to variety of system under the umbrella of blockchain, among the main strengths of technology are its intrinsic characteristics, such as, its ability to store data immutably without relying on a central authority. As weakness, highlight the fact of the need of solve some non-minor inefficiencies as energy consumption and, as result, the difficulty to be scaled. It has the potential to replace the intermediary and central entities or change the way they works, allowing disintermediation and potentially empower people in trade, democratic participation, social interaction and financial inclusion, which represent great opportunities. Although, on the side of threats there is lack of knowledge about the technology, which generates resistance from regulators who are beginning to assess risks and are concerned about how new participants could cannibalize their income models. In addition, it seems clear the importance of assume the fact that the technological changes take time to develop and often require the adaptation of entire ecosystems. Keywords: blockchain, decentralization, democratization, financial inclusion, socioeconomic challenges, tokem traceability, transparency, trust.