It is no longer news that blockchain technology provides many advantages to businesses across industries. This ability to enhance various sectors has led to the rise of global blockchain adoption and may have inadvertently triggered a blockchain race amongst advanced nations. Based on a recent Reuters report, a German national blockchain strategy could be in the works.
According to this report, anonymous sources within the German government claim that companies and other industry partners “that could become stakeholders in a blockchain deployment process” have been invited to meet and develop a blockchain strategy for the German government.
Last year, the Financial Times reported that seven EU member nations dubbed the “Mediterranean Seven” were led by Malta to sign a declaration pledging to promote the growth of blockchain technology and facilitate the development of distributed ledger technology-based applications to enhance government services. With a national blockchain strategy being developed, Germany has now joined a growing number of European nations who are seeking to pursue the development of useful blockchain applications for both the public and private sectors.
What does the Germany Blockchain Strategy Entail?
Germany is an advanced nation leading the world in the areas of engineering and other industrialization efforts. It is no surprise that the German government is ‘keeping up with the times’ by venturing into the blockchain space. Comprehensive details on the German national blockchain strategy have not been released yet. However, information garnered from sources within the government indicates that the country will be looking at concentrating its efforts around key areas of blockchain development that has the potential for the creation of commercial and practical applications. These areas include pharmaceuticals, automobile manufacturing, and engineering.
Despite this being a government initiative, there is currently no indication that the German blockchain strategy will influence legislation, although this may happen in the future. Right now, the government is focused on implementing measures which will improve support for blockchain innovation and deployment.
Germany Blockchain Center in Berlin
As one of the strongest economies in Europe, Germany has mostly been pro-blockchain. In June last year, Felix Hufeld, the president of the German Financial Supervisory Authority (BaFin), labeled blockchain technology as “revolutionary” and went as far as stating that derivative distributed ledger technology applications could turn the entire financial sector “upside down.”
Over the years, the country’s capital and its largest city, Berlin has morphed into a kind of “blockchain mecca,” serving as the center for the development of several blockchain initiatives. There are currently more than 170 blockchain startups in the city. Berlin also hosts important blockchain/crypto events including the Longhash Crypto Festival which took place in October last year.
Blockchain Wave Sweeping Europe
Blockchain development is not restricted to Germany alone. It seems to be a priority amongst EU member nations. Back in December, the Italian government was reported to have formed a group of 30 experts to help develop its own blockchain strategy, and more recently, Luxembourg passed a bill into law which now serves as a legal framework for handling securities issued using blockchain technology. There appears to be a sense of urgency with regards to blockchain innovation in Europe.
This was captured in a recent speech by France President, Emmanuel Marcon which took place at the International Agricultural Fair in Paris, where he called on Europe to adopt blockchain technology for managing supply chains.
“Let’s do this in Europe” he said adding:
“The avant-garde of agricultural technology, by developing tools that will track every product from raw material production to packaging and processing. The innovation is there, and it must be used in the agricultural world, it must be fully used because it is at the service of shared excellence and it will serve the consumer.”