The blockchain is revolutionizing the financial sector and is attracting increasing interest from the French state and the European Union. But how will this technology transform our financial systems? Let’s discover together the innovations and challenges that blockchain promises to address in shaping the future of finance in France and Europe.
The Crucial Role of Blockchain in the Financial Sector
Blockchain promises to profoundly transform various industries, particularly finance. To avoid the delays observed during the development of the Internet, France and the European Union must seize this opportunity to remain significant players on the global stage.
International Regulators’ Initiatives
On January 10, the U.S. Securities and Exchange Commission (SEC) authorized the listing of financial vehicles replicating the underlying value of bitcoin. In Germany, the launch of a new cryptocurrency trading platform by the German stock exchange on March 5 also illustrates this race toward financial digitization.
Avoiding Past Mistakes
Let’s remember the mistakes made during the Internet revolution. Currently, 80% of the data generated by French internet users is hosted in the United States, and 70% of the cloud market share is held by American companies like Google, Microsoft, and Amazon. Such a situation must not repeat itself with blockchain.
Quotas and European Preference
To support innovative companies, the state can establish quotas for these businesses in its public markets and include European preference clauses. These measures would help encourage the emergence of a sovereign and competitive industry in Europe.
- Implement quotas for innovative companies
- Prefer European companies in public markets
The Issuance of Digital Bonds
A key lever for the development of this technology is the issuance of debt on the blockchain. The European Investment Bank has already issued digital bonds, illustrating the possible benefits: development of technical infrastructures, promotion of the national legal framework, and experimentation with the digital euro currently in development.
Creating a Strong and Competitive Industry
The issuance of digital bonds would also help create a robust industry, combining banks and technology providers, capable of competing with international initiatives such as JP Morgan with its Onyx project, HSBC with Orion, and Deutsche Börse with its Digital Exchange.
Finally, to mark this transformation, it is crucial to recognize that in the realm of new technologies, not only speed matters, but also starting at the right time.
