The risks and dangers of relying on blockchain technology in underdeveloped countries

Abstract

As a foundational technology, blockchains have demonstrated their ability to remove middlemen and streamline ledger-based transactions in everything from cryptocurrencies (e.g. Bitcoin) to centralized voting. In many underdeveloped countries, blockchain-based technologies provide opportunities for transparent transactions between parties, reducing corruption and facilitating trust. Much research on blockchains to date has focused on its virtues, but far less attention has been paid to its inherent risks and dangers. In this paper, we examine the risks and dangers of relying on blockchains in underdeveloped countries. Despite its many promises, blockchain technologies face significant hurdles for adoption in underdeveloped countries; in this paper, we explore eight these risks and dangers.