Dubai is one of the modern world cities that is at the forefront in the adoption of new technologies, from exquisite skyscrapers, flying taxis, and water jet firefighters. Now Dubai is moving forward to become the world’s first blockchain smart city in the near future. To start with Dubai is on course to ensure all government services that require documentation use blockchain’s distributed ledger. This is expected to have immediate benefits and making the process of recording more efficient, transparent and fast. Dubai has already instituted a task force to foresee this process and has already set a timeline. By 2020, the government announced that services such as the issuance of visas, payment of bills and licenses will be powered by blockchain’s smart contracts.
Some of the immediate benefits of this undertaking include; savings of up to 5.5 billion Dirham annually according to a statement by Smart Dubai. In addition, in the short term, other services are also transitioning to the blockchain. For example, the lands ministry has already started working on a blockchain powered land titling system. There is increased synergy among various partners in working on various solutions. Furthermore, the government is working to ensure blockchain sandbox that would ensure all activities related to blockchain are under one law. This would solve a major problem that is facing other cities that are facing challenges in analyzing which type of regulation to adopt for this new technology.
In the medium term to long term, this is also expected to create spillover effects that would enable the creation of blockchain and technology powered city. More innovators, investors, and entrepreneurs will be attracted to the city and build other industry related applications. Ultimately this will spill over to related industries like the internet of things (IoT). Once all documentation is connected to the internet via smart contracts, this will lead to the introduction of more devices to the internet leading to massive connectivity and linkages.
Yes, I visited Dubai last year and was impressed by the futuristic feel of the city. Small city-states and countries now have a huge opportunity to proactively embrace blockchain technology. These places will become leaders in the new economies being built now.
Also, I feel that the new ATSes and crypto exchanges, although they are currently not regulated, may become the new platforms for commerce, since traditional exchanges are built differently.
Intercoin itself is a platform for decentralized exchange of value, and making cross-border payments as seamlessly as local ones, having prices in foreign restaurant menus appear in your local currency, and so on. If it can achieve a real stablecoin functionality / pegging to local fiat, then we are talking cross-border payments and conversions between USD, EUR, JPY without all the exorbitant fees, as long as you stay within the Intercoin ecosystem. Seems like a worthwhile advantage to attract and keep capital in that system.