Is blockchain the real deal?
In a recent interview for CNBC, Deepak Krishnamurthy, chief strategy officer for SAP, stated that SAP is adopting blockchain in a serious way for its supply chain management offerings. “We have the largest supply chain product in the enterprise software industry, so having blockchain supply chains connect with SAP supply chains is going to be value-creating for our customers,” Krishnamurthy said. SAP, with its Blockchain-as-a-Service solution, is betting on this new mode of conducting and storing transactions.
We are only in the earliest of early stages of this new approach. As Kevin Werbach, professor at the Wharton School of the University of Pennsylvania, reminds us, we are only at “2” or “3” on a 1-to-100 timescale. In a recent interview at Knowledge@Wharton, he observes that most people – even the most tech-savvy still don’t understand the technology behind blockchain. For example, many government agencies throughout the world have been closely tracking the growth and applications of Bitcoin, the virtual currency that is supported by blockchain. “Do most of these people understand the technology of Bitcoin?” he asks “No.” Likewise, among financial services giants such as Goldman Sacks that are diving into crypotcurrency as a service, there is little or no understanding of the fundamentals of underlying blockchain technology. Even people at the most technology-savvy organizations, such as Microsoft and Google, don’t have a fundamental grasp of the blockchain model.