Blockchain Is ‘Hyped’, Says Australian Government Agency

Blockchain as a technology can be termed as a revolutionary invention which has till now, stood the test of time. However, it seems that the technology has failed to impress some. The governement agency of Australia which is specifically dedicated to oversee the country’s IT operations, has called blockchain an “interesting” technology but has said that it is currently on ‘top of a hype cycle’.

Peter Alexander, the chief digital officer of the Digital Transformation Agency (DTA), has delivered this statement after the organization received AU$700,000 (about US$500,000) from the government in May to explore blockchain technology and its applications in the government services.

According to Alexander, blockchain is still early on in its development cycle, which he let people know in a parliamentary committee meeting on Tuesday. He further said that the companies that are looking to make profits in this sector have contributed to the technology’s hype.

He added:

“It’s not that we don’t trust any of the vendors – that would be an unfair characterization – we trust the vendors, but note that the motivation is generally sales and making revenue.”

Australian agencies which are backed by the government have recently moved on to explore blockchain technology further and in particular study use cases.

Alexander, after having studied the use cases of the technology, feels that “for every use of blockchain you would consider today, there is a better technology.” He feels standardization is another issue which needs to be adressed here

Recently, BTC Wires reported that the Commonwealth Scientific and Industrial Research Organization (CSIRO) was looking to integrate blockchain in a system of settling insurance payments for citizens with disabilities. This project is being undertaken in collaboration with the Commonwealth Bank of Australia.

However, the biggest news to come out of the country in this regard was probably the one which stated that the country was all set to have its National Blockchain. CSIRO is heading this initiative and its research arm Data61 has tied up with law firm Herbert Smith Freehills and IBM to set up this new Australian National Blockchain (ANB) project.