Report: Blockchain Deployment Could Add $3 Trillion in International Trade by 2030

The World Trade Organization released a report on blockchain technology's effect on international trade today, Nov. 27.

Per the study, blockchain's economic value-add on a global scale could reach almost $3 trillion by 2030."Blockchain and International Trade: Opportunities, Challenges, and Implications for International Trade Cooperation" analyzes blockchain applications and challenges that must be considered before the technology's deployment in various sectors.

"The removal of barriers due to blockchain could result in more than $ 1 trillion of new trade in the next decade," the report reads.

Blockchain is expected to help administer intellectual property rights across multiple jurisdictions by delivering more transparency and efficiency, and enhance government procurement processes, including fighting fraud and managing public contracts.

Blockchain purportedly could improve supply chains, allowing for the tracking of shipments and proving their authenticity.

Conversely, the study warns about challenges that must be addressed before deploying blockchain, as well as its impact on international trade.

The report stresses the importance of developing a multi-stakeholder approach in order to find appropriate use cases in cross-border trade.

According to the WTO, blockchain requires frameworks that ensure the interoperability of networks and provide clear legal status for blockchain transactions across jurisdictions.

"Blockchain could make international trade smarter, but smart trade requires smart standardization - and smart standardization can only happen through cooperation. If we succeed in creating an ecosystem conducive to the wider development of blockchain, international trade could well look radically different in ten to 15 years."

Earlier this week, Ethereum cofounder Vitalik Buterin said that the misapplication of blockchain technology in some industries leads to "Wasted time." Buterin argued that although there are a number of companies that try to establish higher standards by using blockchain technology, he does not think the technology is applicable in every industry.