The London-based auditing and consulting company has published a report entitled “Blockchain reaction: Tech plans for critical mass” examining the blockchain technology and its potential capacity.

After examining the timeframe of the blockchain development, Ernst & Young analysts concluded that the critical mass in the sector of financial services would occur within 3-5 years’ time horizon, with other industries following quickly.

“Blockchain is developing much faster than anyone expected. To think the impact to your industry is many years away is very risky,” Angus Champion de Crespigny, Financial Services Blockchain and Distributed Infrastructure Strategy Leader at Ernst & Young LLP (US), said.

However, according to the experts, for developers, it will take time and effort to tackle tax, legal and policy issues.

The report also points out that the process of implementing the blockchain can be pushed by the digital transformation of the world’s economy: many companies have already created digital infrastructures making it possible to use the blockchain. Ernst & Young specialists advise companies to shift their attention to the development of the blockchain in order to keep pace with key players and to have a chance to get benefits.

As Channing Flynn, EY Global Technology Sector Leader Tax Services believes,

“Blockchain has transformed only people’s thinking.We don’t yet even know all the questions blockchain technology will raise, much less the answers. But waiting for the technology to take hold is too late. Now is the time to start defining the questions and influencing policy that will lead to answers.”

Alex Lee