Blockchain technology that drives bitcoin and other cryptocurrencies would be jointly promoted by India and Canada as the two countries set up links to do so.
The opportunity of putting to use the blockchain technology in government services and academic institutions as well as in business will be explored by researchers in Canada who are backed by the government together with the huge technology industry in India.
A technology center or a center of excellence to offer “high-end technology capabilities” would be set up in India jointly by Nasscom – the leading tech industry association of India and the Blockchain Research Institute (BRI) of Canada, the two associations announced in statement recently.
This announcement comes at a time when the Canadian Prime Minister Justin Trudeau is on an official visit to India.
A ledger that is internet based and one that helps in keeping records publicly of all online transactions is termed as the blockchain technology. This technology is being considered to be the future of the digital economy because it has shown possibilities of large number of applications. And earlier this month, the head of an Indian government-run think-tank said on Twitter that the country intends to make use of this new technology for the digitization of a range of operations and transactions that range from land records to healthcare.
But this new technology is still mostly associated with virtual currencies such as bitcoin and its peers.
Recently, there has been a direct warning from the Indian finance minister that the government does not recognize bitcoin and other virtual currencies to be legal modes of transactions and are not backed by the government. The virtual currencies were also linked to “Ponzi schemes” by the government earlier. And India could be following the footsteps of regulators in China and South Korea in preparing strict regulations for controlling of cryptocurrencies.
At the same time however, India is also excited about the underlying technology of virtual currencies. The country would “explore use of blockchain technology proactively,” Indian finance minister Arun Jaitley said recently, even though he had disowned virtual currencies some days ago.
India has bene identified to be the next big frontier for blockchain technology by Canada’s BRI, whose stated goal is to “build blockchain-based economies around the world”.
“We see our coalition with Nasscom as a delightful opportunity to nurture the blockchain community in India,” Don Tapscott, the institute’s founder and executive chairman, said in a statement.
“We strongly believe that India has the potential to lead the blockchain revolution,” he added.
Bitcoin miner have developed a special liking for Canada after larger markets like China has banned such activities.
(Adapted from Money.cnn.com)