- The European Union (EU) is establishing a comprehensive consortium to enhance blockchain applications for public services and private investment.
- This innovative group will have significant political influence to shape blockchain policy, rivaling comparable initiatives in China and Latin America.
The European Union (EU) is pioneering an ambitious blockchain infrastructure project aimed at crafting various applications. This initiative, dubbed the European Digital Infrastructure Consortium (EDIC), is the EU’s major leap into the blockchain landscape, potentially revolutionizing public service access and private sector operations by 2024.
IOTA is one of 3 finalists in the current EBSI (European Blockchain Services Infrastructure) pre-procurement phase.
We are confident that we are building the right technology stack that matches the vision and requirements for Europe to run digitally.https://t.co/H3ElNQvBAe
— Dominik Schiener (@DomSchiener) June 29, 2023
Nena Dokuzov, Slovenia’s Ministry of the Economy, Tourism, and Sport blockchain group head, emphasized the importance of this venture. It signifies the establishment of a dedicated institution in Europe to manage the wider implementation of blockchain technology, ensuring visibility and recognition.
The EDIC initiative is what's new, as it shows an increased commitment by the EU in Blockchain and EBSI.
It will take until the end of the year to complete this current phase. We are working according to EU government timelines, not crypto timelines 😂
— Dominik Schiener (@DomSchiener) June 29, 2023
The EU’s blockchain project is intricate with numerous agencies and bodies playing distinctive roles. Still, the fundamental objective is crystal clear: the world’s leading trading bloc aims to harness the transformative power of decentralized financial innovations inspired by Bitcoin, Ethereum, and similar technologies.
Envisioned to integrate a plethora of public applications, the EU’s blockchain will hold citizens’ digital identities and wallets, authenticate goods, store licenses, and offer various other services. Notably, talks are already in progress with other jurisdictions about integrating blockchains for certain use cases.
Moreover, this endeavor will unlock new opportunities for private innovation, allowing startups and small to medium-sized businesses to develop applications atop this infrastructure in the long run.
The European Blockchain Services and Infrastructure (EBSI), the EU’s existing blockchain project initiated in 2018, serves as a stepping-stone for this ambitious plan. Post the Stockholm assembly, the EBSI will gradually metamorphose into the politically impactful EDIC, with Belgium likely taking the lead role.
This transformative move from a technical project to a political initiative will enable the blockchain infrastructure to have international interoperability, fostering a more efficient exchange of information across borders. Interestingly, advanced discussions are already underway with Canadian authorities about exchanging educational credentials across blockchain infrastructures.
Unlike the enforcement-centric approach of the U.S. towards crypto, Europe adopts a more embracing attitude towards the technology, seeking to strategically integrate it into its infrastructure. In contrast, China forges ahead with an aggressive effort to establish blockchain infrastructure under its state-backed BSN for commercial and government customers.
Leveraging the inherent decentralization offered by blockchain technology is another crucial aspect of the EU’s strategy. It fits perfectly with the EU’s structure, consisting of 27 member states that operate cooperatively, fostering cross-border interactions and linkages.
Funding for this monumental project will come from participating member states, supplemented by specific forms of funding made available for certain applications and use cases. The blockchain industry is expected to play a vital role in crafting applications that work seamlessly with Europe’s blockchain, thereby fostering innovation.
Despite the recent negative publicity surrounding the blockchain industry due to scams and frauds, the EU remains optimistic about its potential. With the steady development of a public and permissioned blockchain infrastructure using Hyperledger Besu, an Ethereum client, the EU is setting the stage for an unprecedented digital revolution.
