Need access to best-of-breed blockchain startups, decentralized infrastructure and the best connectivity, all the while managing your risk? Telecom operators may have the answer.
If you have been eyeing a blockchain-based project for a while, looking for your company or yourselves to get involved, but held back waiting for (1) manageable risk and (2) visible short-term ROI, then this post is for you.
Industry-grade solutions must be fully interoperable and future-proof to manage risk. Blockchain technology is young, and it can be challenging to make the right choice on all components, which has held back many potential projects. That is why we believe in the need to create an abstraction layer between the business logic and underlying technology. Blockchain-as-a-service or BaaS serves such a purpose, allowing companies to start investing in DLT without needing to dedicate resources to monitoring the whole space and follow all its evolutionary trends. It is the BaaS provider that does this, ensuring the whole ecosystem is always up to date and best-in-class.
Leading infrastructure providers have just started to promote their BaaS solutions, as illustrated by Amazon Web Services recent launch.
However, it is Telecom operators that are in the best position to implement BaaS. They have access to both centralised and distributed processing and storage but also to the best connectivity in their respective markets. T-Labs, Deutsche Telekom’s Innovation Laboratory, for example, has built up an ecosystem with specialised blockchain startups to deliver aspects such as identity management and data storage. Our contribution to the T-Labs solution is to provide a secure machine identity and transactional capabilities. Together we have worked on integrating a secure digital identity and crypto wallet features into various hardware components.
Other vertical solutions that we are working on with our partners at T-Labs include DLT-based service solutions for the European mobility industry and the energy sector. Together we demonstrated a blockchain-based scooter rental solution at Mobile World Congress and Bosch Connected World this year, and our joint solution won an award by the Trusted IoT Alliance for their Smart E-Mobility Challenge.
BaaS is also a critical enabler to a broader array of machine-to-machine settlement services that are just around the corner in the expanding IoT and autonomous vehicle space.
Moreover, one of the most significant opportunities is to bring these different ecosystems together on the Smart City level, as Prof. Thomas Fürstner, RIDDLE&CODE’s Founder and CTO, points out:
“Today, there is no dedicated blockchain that enables public-private venture-driven, open investments. However, blockchain technology does not only offer a new toolbox to solve operational and security challenges, but it can also provide new ways of funding and governing projects that are relevant for society or industry verticals. Whether to catch up with digitalization or to leapfrog the development cities in your area, enormous investments are required. When it isn’t possible at a corporate or state level, tokenising public-private ventures for crowd funding provides a solution by allowing citizens to become infrastructure investors — with many additional benefits, such as incentivizing desired behaviour”.
It is indeed an opportunity for the DLT space and BaaS projects that large municipalities around the world are prioritizing their Smart City projects, due to pressure from environmental regulation and a desire to unify backend solutions.
John Calian, SVP & Head of T-Labs, said:
“Our blockchain-as-a-service solutions are generating excitement in the market. As a trusted infrastructure provider, DT provides a cost-effective way for our global clients to leverage startup technology with much less risk. Thanks to our partners such as RIDDLE&CODE, we have built the leading blockchain solution in Europe aiming to offer crypto-wallet technology to enterprises.”
For the ROI of DLT projects, as pointed out by Troy Norcross, Founder of Blockchain Rookies, “The solutions solve problems at an industry level rather than at the company level”, which is what we see in our projects. At RIDDLE&CODE we believe the token economy is coming and that it’s the story of a “rising tide lifting all boats”, which means that DLT projects bring benefits to everyone involved because of improved efficiency and fewer intermediaries, the overall. Optimising costs and improving revenue is just the tip of the DLT iceberg. Collaborative projects built on DLT are creating new market opportunities with disruptive new business models becoming possible. Tokenising physical assets such as a fleet of heavy goods vehicles, is one such example.
Blockchain technology leverages an open source approach, focused on serving the community, sharing and also benefiting from the community with access to extensive resources and peer-review.
In conclusion, we are raising the bar for collaboration, setting goals and introducing cutting-edge technology modules at an industry-level rather than at a company-level and embracing BaaS to manage technology risks. Those that were waiting on the sidelines for the right moment, can now join the new movement to build a token economy — where blockchain-based business processes help use cases. Blockchain technology is not a means to an end; however, it not only closes critical security gaps but also enables a vast potential for new and exciting business models. So welcome aboard, join the ride.