The Italian government seems to be rooting for team crypto, giving their intentions of introducing blockchain technology in the country.
According to info shared by news portal money.it, Italy – who has already defined its political situation as a Coalition Government – could boost blockchain adoption and help stop the plummeting of markets that kept all of Europe in a state of uncertainty.
The new Italian cabinet is composed of regionalist political party Lega Nord, and populist Movimento 5 Stelle (M5S), the latter being the main precursor of the potential benefits the blockchain offers, and whose intention is to introduce and develop technology beyond the traditional financial world, to help optimize public services and to put an end to corruption.
The blockchain is a decentralized registry that has revolutionized global economy with digital currencies; however, its applicability is not limitative, and several governments around the world have adopted this model in different areas, such as supply chains, personal identification and auditing, testaments and even registration for real estate.
There are no decisions yet
Italy’s economic situation remains delicate, and its main concern lies in the debt management of 132% regarding gross domestic product, which could corner the nation to a circumstance similar to the 2011 crisis, where the growing financial load almost causes its bankruptcy. In this regard, Financial Orbit’s fund manager and founder Chris Bailey said:
“Difficult times can lead to difficult choices and Italy’s large debts and stagnant economy have been a material contributor to the recent political earthquake seen in the country.”
Therefore, this scenario – even with the new populist coalition government – does not guarantee an early immersion in the blockchain model. In addition to that, it remains to be seen how this technology will be used. Among the options that stand out the most are the one proposed by the M5S to improve efficiency and accountability, and their willingness to test something innovator.
Given this position, the Italian Network for Blockchain Education – based in Roma – soon expressed its willingness to work with the government to facilitate regulatory requirements. Its CEO Lorenzo Giustozzi expressed:
“It is difficult to say what the real applications of this technology will be,” he added. “We are certain about the world of payments, which is already being revolutionized by this new technology, but the experimentation of using public and private networks on other sectors are countless, including voting, identification, securing the supply chain, and data management.”
Taking that into consideration, it is only a matter of time to be able to untangle the mechanisms that will be available to the new Italian legislators, to solve both the economic crisis and other difficulties that afflict the European nation.