Vinay Gupta Speaks To European Parliament About Blockchain Technology
On May 11, 2017, global resilience guru Vinay Gupta gave a presentation about blockchain technology at the European Parliament’s Science and Technology Assessment meeting.
Gupta focused on many topics, including an explanation of blockchain technology, its economic impact, and digitized regulations.
While speaking of the necessity to change regulatory and business approaches, Gupta made analogous references to the effect of emergent technologies on historical practices, drawing a simple corollary. "The future is a foreign country and it's our largest trading partner," he said.
Gupta outlined how Ethereum's blockchain model uses executable distributed code contracts to build applications that can communicate with one another to form systems with autonomous governance.
He said laws need to catch up with technology in order to bring down the cost of compliance. With the forward push of “Globalization 2.0,” Gupta described how well managed repositories of digital law ought to make possible cost effective changes to compliance, essentially removing non-tariff barriers "while retaining total local control."
When local regulations are managed with computing systems, those systems will mitigate red-tape, making it possible to represent a marketplace in a software test-state. Simulated sales can determine whether regulatory compliance is met, whether labels meet statutory standards, and whether tariffs must be paid. Simulated market behavior of a product allows for ease in compliance, a boon to businesses.
Gupta said if more laws were digitally represented, it would facilitate better trade, because policy changes would be updated through code providing essentially automatic notification.
The European Parliament has been engaged in an analysis of blockchain technology. An in-depth report from February of 2017 cites eight possible applications and the policies that may follow. It remains to be seen how these policies will manifest.