Wednesday, January 30, 2019

Blockchain technology : future applications and prospects for small-scale e-commerce in the Philippines through Khan's Scenario Building and futures wheel method / Jose Mari L. Flores

Date : December 17, 2018
Number of Pages : 88 leaves
Adviser : Prof. Glen A. Imbang

Abstract

Blockchain technology is considered as a key innovation of the present decade, due in large part to the emergence of cryptocurrencies such as Bitcoin. The decentralized and consensus-driven nature of blockchain makes it viable platform for digital currencies and payment networks, but its applications in various other industries has garnered growing interest among governments and the private sector.

This study explores blockchain's potential as an agent of transformation for electronic commerce in the Philippines, where most of the population remains dependent on cash and have yet to warm up to the idea of paying for goods and services electronically, by presenting scenarios for future development of blockchain-based electronic payment solutions focusing on the small scale e-commerce sector. Using a combination of Herman Kahn's scenario building methodology and the futures wheel method, four future scenarios for blockchain adoption in e-commerce were developed, from which two strategies for electronic payments are proposed, both involving widespread acceptance of virtual currencies as a medium of payment.

In addition to an overview of the current state of e-commerce and e-payments in the country and presenting alternate futures, this study also explores the various technological, regulatory and sociocultural challenges facing e-commerce and financial technology (fintech) innovators in adopting blockchain technology for a new generation of products and services. Through analysis of these challenges and the emerging local blockchain language, it is concluded that while blockchain technology presents exciting new opportunities for digital finance and e-money for Filipinos, its successful adoption depends in large part to innovators' ability to deliver value through compelling user experiences, greater incentives for users, and wide acceptance among business establishments both online and physical.

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