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Blockchain Industry in the UK Landscape Overview 2021:Companies,Investors,Influencers and Trends www.dka.globalOwww.dka.global3Innovation EyeProfessor Birgitte Andersen,CEO Big Innovation Centre said:“The UK,and in particular London,is becoming a true innovation and investment epicentre for everything Blockchain.This is because we have all the ingredients to create successful innovation and growth hubs investment confidence,talent in Blockchain science,technological development,and blockchain entrepreneurship.But it does not end here the UKs network of Blockchain thinktanks and events companies are also playing an essential role in building the UK into a world-leading Blockchain community.“The UKs blockchain industry cant succeed without political will,so we are delighted to see evidence that the uptake of blockchain technology and integration is finally happening,moving Blockchain applications beyond proof of concept into use across both private and public purpose sectors including energy,health,finance and creative industries.“The UKs blockchain entrepreneurship,talent and investment are now happening in proximity with regulators.Of course,much more needs to be done for regulation,standards and business models to cement our position.Lord Holmes of Richmond MBE,Member of the House of Lords,said:We are at a point in time,a moment in history,and have an opportunity to take every tool of our new technologies to develop,deploy and distribute them for the public,common,economic,social and psychological good.We can do this.It is our choice.3“In this vein,I am delighted to welcome this 2021 UK Blockchain landscape overview,which breaks down on a company-by-company basis more than 1.6 billion worth of investment into UK blockchain companies and maps our entire blockchain ecosystem of entrepreneurial talent and the most prominent use-cases for Blockchain adoption and much more.“Whether reducing friction in international trade,addressing the climate change challenge,decentralising and democratising finance or providing financial assistance to individuals through Covid,blockchain is already playing a powerful role.Politicians and decision-makers must take a close look at the findings of this major blockchain landscape overview.“As I set out in my 2017 DLT for public good report,ultimately success will come down to leadership,collaboration and innovation.This 2021 landscape overview demonstrates that we have what we need in the UK to enable local,national,and global transformation through such new technologies.4Innovation EyeSean Kiernan,Chief Executive Officer,Greengage Global Holding Ltd,said:“The UK,and especially London,have a unique potential to become true epicentres of purposeful,innovative,and safe international Blockchain integration and cooperation.Examples of steps towards this include the FCA sandbox,the Khalifa review and the FCA cryptoassets taskforce.“The SEC Chairman Gary Gensler mentioned back in 2018 that financial services represent around 7.5%of US GDP,and that blockchain innovation can deliver considerable efficiencies in the sector.For an economy like the UK in 2021 with a similarly significant financial services industry,efforts need to be coordinated across financial services firms to set standards and best practice.The UK regulators are playing a pivotal role in this regard to help promote dialogue and shape the discussion with firms,but more needs to be done.Martin Docherty-Hughes,Member of UK Parliament and Chair of the All-Party Parliamentary Group on Blockchain,said:“The 2021 UK Blockchain Landscape shows that Scotland,England,Wales,and Northern Ireland together account for more investment in Blockchain technology than the rest of the European nations combined,and we should leverage this world technology leadership to support the public good.“We need to look at distributed ledger technology as an asset in the delivery of public services.It represents a new opportunity for the creation of natively digital public services,building off a substantial policy framework.Blockchain for democratic Government applications can improve public services,service delivery,and a public organisations capacity,potentially reimagining the social contract completely.A new social contract where everyone gets the chance to fulfil their potential.“The flourishing Blockchain ecosystem across the four nations,mapped in this report,needs to be supported and regulated by Governments.The All-Party Parliamentary Group on Blockchain,of which I am the chair,will continue to work to ensure that both industry and society benefit from the full potential of Blockchain,and no one is left behind.Alex Cresniov,Director of Deep knowledge Analytics,said:“In our report,Blockchain Industry in the“UK Landscape Overview 2021:Companies,Investors,Influencers and Trends”,we provide an extensive overview of the Digital Ecosystem in the UK to help you understand Blockchains true potential.It lays its foundation on a deep analysis of 520 companies,250 investors(who invested 1.6 billion into Blockchain),50 hubs(including think tanks,tech-hubs and events)and 15 Government agencies.“Based on the open-access data,we considered only companies that are visible to the public and have highlighted their blockchain solutions on their official websites within services/technologies and news(internal as well as external).Blockchain Industry in the UK Landscape Overview 2021:Companies,Investors,Influencers and Trends,produced by Innovation Eye(and powered by Big Innovation Centre,Deep Knowledge Analytics and Greengage)presents an updated overview of the entire Blockchain Industry Ecosystem in the United Kingdom,and serves as a comprehensive follow-up to Innovation Eyes Blockchain in UK Landscape Overview Q3 2018(First Edition),produced in collaboration with the All-Party Parliamentary Group on Blockchain.This report(and its associated interactive mind maps)constitutes the most comprehensive survey of the UK Blockchain Industry made to date,categorising and profiling almost 1000 distinct Blockchain-centric entities in the UK Blockchain space.It considers the funding of various UK Blockchain projects and the geographical distribution of Blockchain companies.The report provides an overview of the most promising directions of Blockchain development in the UK.For example,it considers Blockchain-based projects that have been directly and indirectly funded by the UK government or private investors,the use of Blockchain in the UKs energy sector and how the cryptocurrency market has seen institutional adoption by some in Britains financial sectors.The report also provides a brief rundown of the cryptocurrency market and developments in the decentralised finance sector(DeFi)in the UK as well as the use of distributed ledger technology in the UK to help combat the pandemic.Introduction Introduction 5Methodology6Executive Summary7Blockchain in the UK:Static Mind Map12Glossary16Funding Amount and Geographical Distribution of Companies by Sectors19Key Influencers25Blockchain Industry Overview:History and Main Principles38Prospects for Blockchain Technology in the UK47Prospect for Blockchain Technology:Overview48Prospect for Blockchain Technology:Government Interest49Prospect for Blockchain Technology:Energy Sector50Prospect for Blockchain Technology:Crypto Institutionalisation51DeFi in the UK and Abroad52UKs Blockchain Network and Talent Pool53Cryptocurrency Overview:Outlook on the UK Market57Use of NFT Technologies and DLT60State of Regulation65Prominent Reports,Series of Journals and Upcoming Conferences&Events on the Blockchain Topic69Conclusions81About Us84Sources89Disclaimer906Innovation EyeThe present case study seeks to provide an extensive overview of the Digital Ecosystem in the UK.It achieves this by profiling all relevant entities and exploring key trends and developments driving Blockchain growth in the country.The report analyses more than 520 companies,250 investors,50 hubs(including think tanks,tech-hubs and events)and 15 government agencies categorised into 18 specific industry subsectors,across 50 cities.The selection of the Blockchain-centric entities(see figure to the right)aims to deliver a comprehensive and up to date overview of the Blockchain forefront in the UK across a wide variety of private and public sector domains.The entities have been selected by using public domain databases,open-source search engines,public and private sector reports,and media reports.The data and calculations on the main trends of the Blockchain industry in 2021 in UK featured in this report have been aggregated from a wide variety of reputable and public data sources,including general and industry-specific databases,media and news reports,and conferences and government websites.While the information presented herein is believed to be reliable,the reports authors make no representation as to the accuracy or completeness of its constituent materials,information and data.Methodology520 Companies250 Investors50 Hubs15 Government Agencies 18 Blockchain Sub-sectorsBlockchain Industry in the UK Landscape Overview 2021:Companies,Investors,Influencers and TrendsMain Parameters 50 CitiesExecutive Swww.dka.globalThe UK is the host of a highly sophisticated Blockchain innovation ecosystem bringing investment confidence,talent,industry growth and Blockchain-community spirit together.Across 18 industries that are developing or using Blockchain technology in the UK,we can identify more than 520 true Blockchain-centric companies and 250 investors,who have invested more than 1.6 Billion into those businesses.The majority of the investments into the UK Blockchain space have been into Fintech(17%)and Crypto Trading(14%)companies.Investment into Gov-tech(2.3%)and Insur-tech(1.7%)is much lower.London is a global financial HQ ready for a Blockchain transformation in the second quarter of the 21st century.The entrepreneurial Blockchain community is located close to the finance that is needed to grow it.450 out of the UKs 523 Blockchain companies are in London.Investment houses which have shown an interest in the space include Ruffer and Brevan Howard.Executive Summary(1/4)8Innovation EyeThe UK and in particular London is becoming a true innovation and investment epicentre for everything Blockchain,but the government needs to cement this position.Our analysis finds four facts that summarise the report.They are described below together with examples,but the reader must consult the entire report for full evidence,analysis,illustrations and graphics.1:INVESTMENT CONFIDENCE IN BLOCKCHAIN ENTREPRENEURSHIP IS HIGH AND GROWING There are many application use-cases from art,fintech and energy which shows how Blockchain can support a more sustainable livelihood for people.The relatively small investment in Blockchain Gov-tech indicates how there is still underinvestment in those public-purpose sectors compared to the huge potential.Blockchain initiatives in government departments like the Department of Works and Pensions,Department of Environment,Food and Rural Affairs and the Department for International Development could soon move from their proof-of-concept projects into application.We identify 15 government agencies involved in Blockchain initiatives,and the UK Governments 20M GovTech Fund must catalyse some of these opportunities.The energy sector also shows promising public-purpose Blockchain applications.There are use-cases by Electron,EDF Energy and Frazer Nash in areas such as peer-to-peer energy trading,wholesale trading through mini-grids,energy crypto economy and much more.Good health means good wealth(as became evident during the COVID-19 pandemic),and Blockchain applications are also now being adopted into the health sector.During the COVID-19 pandemic,both researchers and use-cases were developed showing how Blockchain applications can enable track and trace of data,medicines,symptoms and the spread of the pandemic,while enabling security.Two UK hospitals in Warwick and Stratford-upon-Avon have applied DLT to monitor the storage and supply of temperature-sensitive COVID-19 vaccines.Blockchain tokens,digital asserts and DLT are also being adopted in the creative industries.World-leading British auction house Christies and Sothebys are among the first movers,accepting how Blockchain can transform the industrys management of authenticity or originality behind pieces of art.Executive Summary(2/4)2:BLOCKCHAIN APPLICATIONS ARE MOVING BEYOND PROOF OF CONCEPT INTO USEInnovation EyeThe UK hosts a highly sophisticated Blockchain innovation ecosystem integrating the ingredients for a vibrant and dynamic Blockchain industry science,technology,talent,an entrepreneurial community with financial backing,Blockchain business model applications,and location advantages.Thus,the UKs Blockchain innovation and investment ecosystem brings together:An entrepreneurial Blockchain industry system which is becoming a magnet for entrepreneurial finance.A top-talent and Blockchain science system from our education system,research base,and universities.Those industry,finance and talent systems are mixed with a network of Blockchain think-tanks and events companies,that are building the UKs world-leading Blockchain communities.They are closing the gap between research base and Blockchain market-adoption,as well as the gap between a growing Blockchain industry and entrepreneurial finance.The highly networked Blockchain talent pool comes from a network of Blockchain initiatives including:1.Both research and teaching programmes at UK universities(in particular from the Universities of Oxford,Cambridge,Surrey and Imperial College and University College London),2.Blockchain networking and events companies(such as the Crypto Curry Club or Blockchain Summit),3.Think-tanks(like the commercial Z/Yen Group or Big Innovation Centre)4.Scientific associations with their own journals(like the British Blockchain Association BBA producing their own scientific journal),5.The All-Party Parliamentary Group on Blockchain(APPG Blockchain)functions as the permanent authoritative voice within UK Parliament(The House of Commons and The House of Lords)on all Blockchain-related matters,while engaging with this entire network to bring experts and use-cases to inform parliamentarians.A nation of Blockchain expertsThe UK is the host of hundreds of Blockchain experts or influencers across businesses,academia,think tanks and policy.Executive Summary(3/4)3:A HIGHLY INTEGRATED BLOCKCHAIN INNOVATION ECOSYSTEM OF TALENTInnovation EyeThe UK and especially London have a unique potential to become a true epicentre of purposeful,innovative,and safe international Blockchain integration and cooperation.The government must solidify this unique position by passing suitable regulation and it must do so in a timely manner.There is strong political will for Blockchain solutions and integration,but UK Blockchain markets and industry are moving fast.UK regulators(even if willing and able)are finding themselves in a catch-up position with the advancement of Blockchain technology adoption and applications.Regulation and policy engagement must however happen at the same speed as the sector develops if the UK is not to lose its status and potential due to other jurisdictions like those in Gibraltar and the USA which have been quicker to respond to initiatives such as DeFi(decentralised finance).Executive Summary(4/4)4:UK BLOCKCHAIN ENTREPRENEURSHIP,TALENT AND INVESTMENT IS IN CLOSE PROXIMITY WITH REGULATORSInnovation Eye12Innovation EyeSoftwareCompaniesInvestorsCompanies-520 Investors-250Hubs-50Government Agencies-15Blockchain Industry in the UK Landscape Overview 2021:Companies,Investors,Influencers and Trends Government AgenciesHubsInsurTechMedia&EntertainmentSupply Chain&LogisticsConsultingHuman ResourcesGovTechIntellectual PropertySocial&Charity SectorCyber SecurityLegalTechCrypto FinanceCryptocurrencyFinTechEnergy&Climate ChangeCrypto TradingHealthcare&PharmaSales,Marketing&PR13Innovation EyeBlockchain Industry in the UK:CompaniesSoftwareMedia&EntertainmentCyber SecurityCryptocurrencyGovTechLegalTechEnergy&Climate ChangeIntellectual PropertyInsurTechSocial&Charity SectorHealthcare&PharmaCrypto FinanceConsultingSales,Marketing&PRSupply Chain&LogisticsHuman ResourcesFinTechCrypto Trading14Innovation EyeBlockchain Industry in the UK:InvestorsInvestors15Innovation EyeBlockchain Industry in the UK:Government Agencies and HubsGovernment Related AgenciesHubs16Innovation EyeGlossary(1/3)Source:ConsensysAltcoinA cryptocurrency other than Bitcoin(and more recently Ether-the native currency of the Ethereum Blockchain).AML(Anti-Money Laundering)These are laws/regulations that aim to prevent money laundering.Bitcoin(BTC)The dominant cryptocurrency as measured by market cap and the first cryptocurrency with a proof of work Blockchain protocol.BlockchainA Blockchain is a distributed ledger made up of blocks that contain changes to the state of the ledger i.e.transactions.Groups of state changes are added to the ledger in the form of“blocks”.Typically each block references the preceding block via the use of cryptographic techniques and the Blockchain represents the history of all the state changes ever made to the ledger.CryptocurrencyA virtual/digital currency that runs on Blockchain technology.Decentralised Finance(DeFi)The reimagining of traditional financial services using Blockchain technology.This includes borrowing,lending,trading and insurance.Such services can then be accessed in a decentralised and permissionless manner with the role of traditional intermediaries such as banks and exchanges replaced by code.Distributed Ledger Technology(DLT)DLT refers to the technological infrastructure and protocols that allows simultaneous access,validation,and record updating in an immutable manner across a network thats spread across multiple entities or locations.17Innovation EyeGlossary(2/3)Ethereum(ETH)Ethereum is the first public Blockchain that allowed for the development of smart contracts that could solve any codable problem given enough time and money.This gives it the ability to perform a variety of functions that Bitcoin could not.As of writing,it is the 2nd largest cryptocurrency by market cap.Know Your Customer(KYC)Is an identity and background verification process for a business customers and is enforced by regulation.It allows the business to construct risk profiles to aid in decisions such as lending as well as to avoid doing business with criminals(e.g.,terrorist financing).LiquidityIs the degree of ease to which an asset can be traded or converted to another asset such as cash.The more liquid the asset,the easier it is to convert.Providing liquidity is where an entity makes their assets available to be converted or traded.Market CapMarket Cap or Market Capitalization is the total value that a company/asset or currency is worth.In cryptocurrency,this is the current supply of a specific cryptocurrency multiplied by its price.MiningIs the process of validating transactions in order for them to be added to the Blockchain.Non-Fungible Token(NFT)This is a digital token used to represent unique digital assets that arent interchangeable with any other asset.NFTs came to Ethereum in early 2017 and commonly use the ERC-721 token standard.They stand in contrast to fungible tokens such as ETH where one ETH can be interchanged with another.18Innovation EyeGlossary(3/3)P2P(Peer-to-peer)Is the connection and interaction between two individuals/computers that doesnt require a centralised server to facilitate it.Networks with this property are called P2P networks which is the case with decentralised Blockchains.ScalabilityIs the ability of a network to cope with the computational work produced by the users of that network.This work normally comes in the form of transactions for a Blockchain network where the Blockchain can only handle a certain amount of transactions per second.Smart ContractsAre computer programs that self-execute upon the conditions set out in the code being met.The conditions can be the terms of agreement between two parties for nearly any type of situation that would benefit from a contractual agreement.StablecoinIs a cryptocurrency whose value is pegged to that of another asset(usually a fiat currency).WalletIs the tool used to store cryptocurrency and other digital assets.The wallet has at least one address(public address)generated by a public key that allows you to receive digital assets from another public address.The corresponding private key authorises your wallet to send the digital assets attributed to that public address.The private key generates the public key and both are stored in the wallet.A wallet can have one or more public key-private key pairs,each with their own public address.Wallets can come in the form of pure software or hardware.Funding Amount and Geographical Distribution of Companies by Swww.dka.global20Innovation EyeBreakdown of Companies by SectorsBlockchain Industry in the UK Landscape Overview 2021:Companies,Investors,Influencers and TrendsFinTech-17.5%Crypto Trading-14.2%Supply Chain&Logistics-11.3%Others*-15.2%Cyber Security-3.1%Sales,Marketing&PR-3.3%LegalTech-4.6%Consulting-5.4%Media&Entertainment-9%Software-10%Crypto Finance-6.3%*Category Others signifies joint Human Resources(0.8%),Intellectual Property(1.3%),Healthcare&Pharma(1.7%),InsurTech(1.7%),Social&Charity Sector(1.9%),GovTech(2.3%),CryptoCurrency(2.7%),and Energy&Climate Change(2.7%)categories.2.7%2.3%1.9%1.7%1.7%1.3%0.8%Cryptocurrency 2.7%Energy&Climate ChangeGovTech Social&Charity SectorHealthcare&PharmaInsurTechIntellectual PropertyHuman ResourcesOthers:Most companies using Blockchain are in the financial services sector.21Innovation EyeBlockchain in the UK:Geographic DistributionHeadquartered in London450 The vast majority of Blockchain companies are based in London.This density of Blockchain talent co-located next to the countrys financial hub and political centre could allow London to become a global hub for the development of the technology.Over time,this could create a spillover effect to other cities in the UK as trade,investment and economic activity moves between these locations.However,the UK is in competition with multiple jurisdictions around the globe to be the leader in the Blockchain and cryptocurrency space.To make this vision a reality and beat this competition a comprehensive long term strategy is needed.Such a strategy should include funding,a responsive political class and a robust regulatory framework including standardisation for scalability.Any investment made now will have a multiplier effect for the rest of the UK as London is already capturing the growing revenues and talent from the space.As a capital and a global financial centre,London hosts more than 450 Blockchain companies out of a total of 523 operating in the UK.London also hosts most of the conferences and events dedicated to Blockchain.London as a Blockchain HubCities with the Highest Number of Blockchain Companies(except London)Edinburgh8Manchester7Bristol4Cambridge4Kent4Guildford3Blockchain Industry in the UK Landscape Overview 2021:Companies,Investors,Influencers and Trends22Innovation EyeTop-150 Companies Total Funding*by Sector*Notes:*Funding includes investments,donations,grants and subsidies.*Numbers are converted from USD to GBP using the average exchange rateFunding is concentrated in the FinTech and Crypto Trading sectors1,602.6MTotal FundingBlockchain Industry in the UK Landscape Overview 2021:Companies,Investors,Influencers and Trends23Innovation EyeFunding of Blockchain Companies in UK*Number of Funding Deals Summarised by type,2015-2021Notes:*Funding includes investments,donations,grants and subsidies.The graph was based on the database and the open data.Blockchain Industry in the UK Landscape Overview 2021:Companies,Investors,Influencers and Trends24Innovation EyeAccelerated by the COVID-19 digital transformation,Blockchain technology has become an indication of data security and has gained ground in FinTech,Logistics,and Software industries.London is a world-leading FinTech hub.It has received 91%of the sectors funding in the UK.*Building Blockchain Growth Stars in the UKBlockchain companies are primarily in the financial services space(38%)which plays to the UKs inherent strengths as an international centre for finance and technology.Source:Statista,Gartner450 out of 520 UK Blockchain companies are London-based(followed by Edinburgh and Manchester).Significant capital has been raised by Blockchain companies based in the UK.However,the US is leading the top end.For example,the US crypto exchange Coinbase IPOd on the NASDAQ in Q1 2021 and currently has a market cap of$50 billion.The UK needs to think about how it can create an environment that could attract similarly-sized crypto companies.*Celsius has exited the UK since its fundraise.Numbers are converted from USD to GBP using the average exchange rate.Blockchain Industry in the UK Landscape Overview 2021:Companies,Investors,Influencers and TrendsKey Iwww.dka.global26Innovation EyeKey Influencers Academia(1/2)Bryan ZhangCambridge Centre for Alternative FinanceDr.Catherine MulliganCentre for Cryptocurrency Research and EngineeringProf.Aggelos KiayiasUniversity of EdinburghProf.Ben LivshitsImperial College LondonApolline BlandinCambridge Centre for Alternative FinanceProf.Bill BuchananEdinburgh Napier UniversityDr.Enrico RossiUCL Department of Computer ScienceProf.David ShrierSad Business SchoolDr.Garrick HilemanUniversity of CambridgeGeoffrey GoodellUniversity College LondonProf.John CollomosseSurrey Blockchain-Surrey UniversityProf Francesca MeddaUCL Department of Civil,Environmental and Geomatic Engineering27Innovation EyeKey Influencers Academia(2/2)Dr.Paolo TascaUCL Centre for Blockchain TechnologiesProf.Tomaso AsteUniversity College LondonProf.Peter McBurneyKings College LondonProf.Vili LehdonvirtaUniversity of OxfordProf.William J.KnottenbeltCentre for Cryptocurrency Research and EngineeringDr.Robert(Bob)WardropCambridge Centre for Alternative FinanceProf.Nir VulkanSad Business School,AI for PeopleProf.Lenny KohSheffield UniversityKeith BearCambridge Centre for Alternative FinanceNikhil VadgamaUCL Centre for Blockchain TechnologiesMarcus ODairUniversity of the Arts of LondonProf.John DomingueOpen University,British Blockchain Association 28Innovation EyeKey Influencers Business or Crypto Influencers(1/4)Ahmed ZghariHC BIMAlan VeyAventus NetworkAnnika MonariArtos SystemsChris GledhillFinTech AdvisorCharles KerriganCMS Andrew TobinEvernym IncAreiel WolanowFinserv Experts LimitedChris TyrerFidelity Digital AssetChristophe Langlois FinastraDr.Chris FrancisSAPDaniel MastersCoinsharesDavid M.Brear11:FSDavidOsojnikBitstampDavid FauchierGlobal Digital FinanceDinis GuardaZtudiumDmitry KaminskiyDeep Knowledge GroupDr.Abdullah AlbeyattiMedicalchainDr.Christian de VartavanProjectis ConsultantsChris TrewStratis GroupEddy TraviaCoinsilium29Innovation EyeJamie BurkeOutlier VenturesKey Influencers Business or Crypto Influencers(2/4)Eser TorunEverledgerGenevieve LeveilleAgriLedgerGilbert VerdianQuant NetworkGraham RodfordArchaxHirander MisraGMEX GroupIan HuntFundAdminChainJames SmithEllipticJannah PatchayMarkets EvolutionJasmine BirtlesJasmine Birtles LtdJason LacombeVeratrakJens Munch Lund-NielsenIOTA FoundationJeremy MillarConsenSysJulien BouteloupStake CapitalJulian SawyerBitstampJonny FryTeamBlockchainKumar GauravCashaaLaura Rachel BaileyQadreKevin OGradyARUPLeanne KempEverledger30Innovation EyeKey Influencers Business or Crypto Influencers(3/4)Lynn McConnellBinanceManreet NijjarTruuMarc PianoHarneysMatthew CoralloSquareMatthew GreenImperial Corporate Capital PLCMax BoonenB2C2Michael ParsonsBlockchain Solutions LtdMuhammad TanoliSmartDataOner AvaraMy Next MatchOliver OramChainvinePavlo TanasyukSpacebit,BlockVerifyPawel KuskowskiCoinfirmPeter BidewellAccentureDr.Navin RamachandranIOTA FoundationDr.Maria VigliottiGradBaseDr.Marta PiekarskaBalancer Labs,Cambridge Blockchain SocietyDr.Luke RileyQuant NetworkPeter RandalSETLPeter McCormackPodcasterPaul GordonCoinscrum31Innovation EyeKey Influencers Business or Crypto Influencers(4/4)Simon Taylor11:FSPeter WallArgo BlockchainPhilippe MorelSETLRaja SharifFarmaTrustRichard MuirheadFabric VenturesRon KalifaNetwork International/FutureLearnStewart JeacockeTradeLens/IBMTeana Baker-TaylorLooking Glass Labs/CStephan TualStealth Startup/Atlas Neue/Slock.itTomas Power9SpokesTyler WelmansDeloitte UKVinay GuptaMattereumVlad ZamfirEthereum FoundationVictoria ThompsonOrora UK Services LimitedDr.Tirath VirdeeCapita plcDr.Sally EavesEffect.AISimon CockingCrypto CommonwealthDr.Scott SteedmanBSI GroupPeter SmithBSean Kiernan Greengage32Innovation EyeKey Influencers Think Tanks,Hubs&Events(1/2)Gilane TawadrosDACS-Design and Artists Copyright SocietyHazem Danny Al-NakibCambridge Blockchain HubHelen DisneyUnblocked&GovChainJeremy WilsonWhitechapel Think TankAlastair MarkeBlockchain&Climate InstituteCharlie MuirheadCognitionXDaigan ReidLondon Blockchain Labs,Vega ProtocolDr.Abel MacielConstruction Blockchain Consortium,UCLErica StanfordCrypto Curry ClubFernando Santiago-CajaravilleBig Innovation CentreProf.Birgitte AndersenBig Innovation CentreJonBradfordDynamo VenturesJamesBowaterCityAM33Innovation EyeKey Influencers Think Tanks,Hubs&Events(2/2)Prof.Michael MainelliZ/Yen GroupRavi GurumurthyNestaTabitha GoldstaubAI Council/CognitionXLex SokolinConsenSysLinda(Jackson)HolmesLondon Blockchain FoundationMarzia ZafarKaluzaMayank SinghLondon Blockchain FoundationMichael StockBlockchain&Climate InstituteOlga SlonchakLondon Blockchain FoundationDr.Mureed HussainBritish Blockchain AssociationDr.Naseem NaqviBritish Blockchain AssociationJulie PierceFood Standards Agency34Innovation EyeKey Influencers Policymakers(1/2)Adam Afriyie MPUK ParliamentChi Onwurah MPUK ParliamentDarren Jones MPUK Parliament-APPG Blockchain Lord Ashton of HydeUK Parliament Lord BatesUK ParliamentLord Clement-Jones UK Parliament-APPG BlockchainDamien Moore MPUK ParliamentBaroness FeatherstoneUK Parliament-APPG Blockchain Eddie HughesMPUK Parliament-APPG Blockchain Lord Holmes of RichmondUK Parliament-APPG Blockchain Rt Hon Elizabeth Truss MPUK ParliamentLord Howell of GuildfordUK Parliament-APPG Blockchain Jackie Doyle-Price MPUK ParliamentJohn Glen MPUK Parliament Baroness Bloomfield of Hinton WaldristUK Parliament-APPG Blockchain 35Innovation EyeKey Influencers Policymakers(2/2)Viscount RidleyUK Parliament-APPG Blockchain Lord WeiUK ParliamentMartin Docherty-Hughes MPUK ParliamentAPPG Blockchain(Chair)Rt Hon Oliver Dowden MPUK ParliamentRt Hon Mel Stride MPUK ParliamentStephen Metcalfe MPUK Parliament-APPG Blockchain(Vice Chair)The Earl of LindsayUK Parliament-APPG Blockchain(Vice Chair)Viscount WaverleyUK Parliament-APPG Blockchain(Vice Chair)Tom TugendhatMPUK ParliamentBaroness PennUK ParliamentLord MannUK ParliamentLord St John of BletsoUK ParliamentJohn Howell MPUK Parliament-APPG Blockchain Rt Hon Kevan Jones MPUK Parliament-APPG Blockchain(Vice Chair)36Innovation EyeThis visualization shows references to Blockchain technology and Distributed Ledger Technology(DLT)by British parliamentarians in their speeches.Number of mentions are shown in(brackets)Source:TheyWorkForYouConservativeLabourCrossbenchSNPLib DemUKIPNon-affiliated/independentSpeakerJoint CommitteeMultiple Mentions of Blockchain and DLT in UK Parliament Speeches(2016-2021)Lord Hammond of Runnymede(2)Viscount Ridley(2)Theresa May MP(2)Stephen Twigg MP(2)Richard Burgon MP(2)Lord Stevenson of Balmacara(2)Lord Reid of Cardowan(2)Lord Kirkwood of Kirkhope(2)Lord Harris of Haringey(2)Lord Johnson of Marylebone(2)Alexander Stafford MP(2)Lord Agnew of Oulton(2)Kit Malthouse MP(2)John Bercow MP(2)Iain Wright MP(2)Damian Hinds MP(2)Chuka Umunna MP(2)Ben Gummer MP(2)Andrew Percy MP(2)Baroness Sherlock(2)Sam Gyimah MP(4)Steve Barclay MP(3)Margot James MP(3)Lord Howell of Guildford(3)Lord Agnew of Oulton(3)Barry Sheerman MP(3)Caroline Dinenage MP(3)Baroness Penn(4)Lord Wei(4)Lord Mann(4)Lord Clement-Jones(4)Jackie Doyle-Price MP(4)Damien Moore MP(4)Elizabeth Truss MP(4)Lord Ashton of Hyde(7)Oliver Dowden MP(5)Lord Bates(5)Lord St John of Bletso(5)Viscount Waverley(10)Adam Afriyie MP(7)Martin Docherty MP(9)Mel Stride MP(11)Lord Holmes of Richmond(29)Chi Onwurah MP(16)John Glen MP(13)Eddie Hughes MP(21)37Innovation EyeThis visualization shows references to Blockchain technology and Distributed Ledger Technology(DLT)by British parliamentarians in their speeches.Source:TheyWorkForYouConservativeLabourCrossbenchSNPLib DemUKIPNon-affiliated/independentSpeakerOne-Time Mentions of Blockchain and DLT in the UK Parliament Speeches(2016-2021)Joint CommitteeAlan Duncan MPCaroline Nokes MPJamie GreeneLord Wilson of DintonRichard Harrington MPAngela Smith MPChris Evans MPLord DesaiLord Young of CookhamRishi Sunak MPAnne-Marie Trevelyan MPDavid Chaytor MPLord FoxMary Creagh MPRobert Jenrick MPAnthony Mangnall MPDavid Rutley MPLord HenleyMatt Warman MPRory Stewart MPBaroness BarranDouglas Carswell MPLord Houghton of RichmondMatthew Hancock MPSadiq KhanBaroness FeatherstoneDrew Hendry MPLord Knight of WeymouthMr John Butcher MPScott Mann MPBaroness GrenderGeorge Eustice MPLord Martin of SpringburnMr Tam Dalyell MPSimon Kirby MPBaroness Neville-RolfeGrant Shapps MPLord Purvis of TweedMr Timothy Renton MPVera Baird MPBaroness SuggHarriett Baldwin MPLord ScrivenNusrat Ghani MPViscount Younger of LeckieBaroness VermaHugo Swire MPLord Taylor of WarwickRebecca Pow MPOliver Dowden MPLord Swww.dka.globalBlockchain Industry Overview:History and Main Principles39Innovation EyeDifferences between Blockchain and DLTPermissionedBlockchainsDistributed DatabasesDLTBlockchainSource:Banco Bilbao Vizcaya Argentaria,ENTSO-E,TradeixDLT(Distributed Ledger Technology)DLT allows for a decentralised database to be managed by its participants without the need for a central authority to act as an arbitrator or monitor.Each participant maintains their own copy of the databases current state.Changes to the state are achieved via consensus amongst all participants,this ensures all copies are synchronised to one another.There are different forms of DLT designs,such as Blockchain(Bitcoin,Ethereum,EOS,etc.)or Directed Acyclic Graphs(DAG)(IOTA,Hadrea Hashgraph,etc.).BlockchainA Blockchain is a distributed ledger made up of blocks that contain changes to the state of the ledger i.e.transactions.Groups of state changes are added to the ledger in the form of“blocks”.Typically each block references the preceding block via the use of of cryptographic techniques.The Blockchain,when viewed in its entirety,reveals the full history of all the state changes ever made to the ledger/database.The most common Blockchains e.g.Bitcoin are open for anyone to use however a Blockchain can also be permissioned.40Innovation EyeBlockchain FeaturesPeer-to-PeerThe communication between the parties is not dependent on any central authority.Instead,every node participates equally in processing and distributing the information to all other nodes that are associated with the network or especially to the transaction.ConsensusMost Blockchain projects use one of the three consensus algorithms:Proof of Work(PoW),Proof of Stake(PoS)or Delegated Proof of Stake(DPoS).The consensus algorithm permits participants to maintain identical copies of the distributed ledger without the need for a central authority.DistributedFor most Blockchains,anyone can participate in maintaining the chain.Typically,this involves maintaining a copy of the current state of the Blockchain and processing transactions.The result is that the Blockchain cant be turned off by simply removing a single actor as can be done with centralised databases.Transparency Most Blockchains are public ledgers,meaning that all transactions that have ever taken place can be viewed by anyone,including individuals who dont interact with the ledger directly.The level of transparency can vary though where some enterprise Blockchains are completely walled off from public view.ImmutabilityThe transactions initiated,processed and completed on the network are hard to reverse.Regardless of the algorithm utilised to maintain consensus,a dishonest actor looking to reverse a transaction or edit an old transaction would have to incur great financial costs to do so.Common Features:Source:Morioh,Lexology Most Blockchains shares 5 common features.41Innovation EyeBlockchain History Timeline200820102012201420162020Source:Grant Thornton,101Blockchains2018Institutional capital flows into crypto.DeFi becomes a major trend and NFTs gain mainstream adoption.PayPal allows the purchase of crypto on their platform.2019-2021:Seven major European banks announce DigitalTrade Chain to offer a trade finance platform via Blockchain.Virtual currencies are officiallyrecognised in Japan.2017:The Ethereum Project is launched as the first smart contract.Blockchain tech company R3 is founded.The Linux Foundation establishes the Hyperledger Project.2014-2015:Bitcoin is used to make a purchase for the first time:two pizzas were bought for 10,000 bitcoin.In 2009,bitcoin exchange value reaches parity with the US dollar.2010-2011:The 10th anniversary of the inception of Bitcoin.Switzerland begins to accept tax payments in bitcoin.2018:The DAO setsa crowdfunding record by raising more than$150mInvestment and then loses a third of its ether in a vulnerability attack.2016:Market capitalisation of bitcoin reaches$1B.Vitalik Buterin introduces Ethereum and smartcontracts in a whitepaper.2012-2013:Satoshi Nakamoto introduces Bitcoin and Blockchain in a whitepaper.The first bitcoin exchange and transactions take place.2008-2009:42Innovation EyeThe Cryptocurrency Market in 2021Source:Open Blockchain,legal500,coinmarketcapBiggest Cryptocurrencies in the World by Market Capitalisation,September 2021BTCETHADAUSDTBNBXRPSOLDOTDOGEUSDCLUNAUNIBUSDLINKLTCAVAXBCHALGOWBTCICP$392B$77B$68B$68B$50B$37B$31B$14B$12B$12B$12B$12B$50B$29B$15B$9B$12B$11B$9B$864BCryptocurrencies remain the largest sector within the Blockchain industry with 150 companies in the UK operating in the sector.Cryptocurrencies have been in the spotlight for a year now with the remarkable rise of Bitcoin amid the COVID-19 pandemic,climbing above$60,000 in Q1 2021.This also pushed up the prices in the broader cryptocurrencies market:crypto market capitalisation now exceeds$1.5T.The bull market that fueled this price rise began in 2020 as cryptocurrencies began to gain traction with institutional investors.Starting with Microstrategy purchasing$250 million worth of bitcoin,in August 2020,other institutions soon began to follow.A$1.5 billion purchase of bitcoin by Tesla triggered another rally that caused Bitcoins market cap to exceed$1T.Recently,the likes of Blackrock have expressed an interest in investing in Bitcoin futures while Goldman Sachs and JP Morgan are both offering access to Bitcoin to their high net worth clients.Although much of the institutional focus has been on Bitcoin,its rapid rise has catapulted the rest of the market,with many altcoins also increasing in value.43Innovation EyeBTC:Bitcoin is the first cryptocurrency.Launched in 2009 by pseudo-anonymous creator Satoshi Nakamoto.It is a proof of work Blockchain that aims to be the money of the internet.It has recently been adopted as the national currency of El Salvador alongside the USD.ADA:Cardano was founded by Charles Hoskinson who was one of the co-founders of Ethereum.Since launch it has been a proof of stake Blockchain.It has recently launched smart contract functionality.BNB:Binance Coin is the native token of the worlds largest cryptocurrency exchange,(as measured by volume)Binance.Binance holders can use their tokens to pay for trading and transaction fees on the various Binance platforms.ETH:Ethereum was the idea of Vitalik Buterin who sought to develop a multipurpose Blockchain that would serves as a platform for other cryptocurrencies and allow for the execution of decentralised smart contracts.USDT:USD Tether was the first dollar stablecoin.It trades primarily as a token on Ethereum.There has been some controversy surrounding what assets actually back USDT.Despite these controversies it is still the largest stablecoin as measured by market cap.XRP:Ripple is a digital asset built for payments.It can settle transactions in 3-5 seconds.It can be used by RippleNet customers to source liquidity for cross-border transactions.Source:Coinmarketcap,Binance,RippleThe Most Popular Cryptocurrencies(1/2)SOL:Solana is a highly functional open source project that banks on Blockchain technologys permissionless nature to provide decentralized finance(DeFi)solutions.Solana was officially launched in March 2020.DOT:Polkadot is an open-source sharding multichain protocol that facilitates the cross-chain transfer of any data or asset types,not just tokens,thereby making a wide range of Blockchains interoperable with each other.DOGE:Dogecoin is the open-source digital currency was created by Billy Markus from Portland,Oregon and Jackson Palmer and was forked from Litecoin in December 2013.Dogecoins creators envisaged it as a fun,light-hearted cryptocurrency.UCDC:USD Coin is a stablecoin that is pegged to the U.S.dollar on a 1:1 basis.Every unit of this cryptocurrency in circulation is backed up by$1 that is held in reserve,in a mix of cash and short-term U.S.Treasury bonds.44Innovation EyeThe Most Popular Cryptocurrencies(2/2)LUNA:Terra was officially launched in April 2019.It offers stablecoins pegged to the U.S.dollar,South Korean won,Mongolian tugrik and the International Monetary Funds Special Drawing Rights basket of currencies and it intends to roll out additional options.BUSD:Binance USD is approved and regulated by the New York State Department of Financial Services.Launched on 5 Sep 2019,BUSD aims to meld the stability of the dollar with Blockchain technology.LTC:Litecoin,sometimes described as”Bitcoin lite,”is a digital asset that is designed to enable the instant peer-to-peer exchange of value at affordable rates.Litecoin Network went live on Oct.13,2011.UNI:An example of an automated market maker,Uniswap launched in November 2018,aims to keep token trading automated and completely open to anyone who holds tokens,while improving the efficiency of trading.LINK:Through a decentralized oracle network,Chainlink allows Blockchains to securely interact with external data feeds,events and payment methods,providing the critical off-chain information needed by complex smart contracts.AVAX:Avalanche is a layer one Blockchain that functions as a platform for decentralized applications and custom Blockchain networks.It is one of Ethereums rivals,aiming to unseat Ethereum as the most popular Blockchain for smart contracts.BCH:Bitcoin Cash is a cryptocurrency created in August 2017,from a fork of Bitcoin.Bitcoin Cash increased the size of blocks,allowing more transactions to be processed and improving scalability.ALGO:Algorand is a self-sustaining,decentralized,Blockchain-based network that supports a wide range of applications.These systems are secure,scalable and efficient,all critical properties for effective applications.WBTC:Wrapped Bitcoin is a tokenized version of Bitcoin that runs on the Ethereum Blockchain.WBTC is also backed by Bitcoin at a 1:1 ratio via a network of automatically monitored merchants and custodians,ensuring that its price is pegged to Bitcoin.ICP:The Internet Computer is the worlds first Blockchain that runs at web speed with unbounded capacity.It enables the complete reimagination of software providing a new way to build tokenized internet services,pan-industry platforms,etc.45Innovation EyeEnterprise Blockchain:Digital/real assets ownership regulations:Financial Services&Cryptocurrencies:Governmental Services:More lucrative investments in music,digital art&property with NFTs,Forbes forecasts implementation of virtual rights of any physical objects(incl.real estate)with no red tape.Digital voting,smart contracts,land registries,data security,real-time analytics of fraud.22 governments across the globe(incl.ECB)have piloted central bank digital currencies.Identity verification,cross-border payments,data verification,real-time reporting&accounting(digital invoices),audit of supply chain data.Current&near-term future leader of Blockchain usage:mkt cap$2T vs mkt cap of gold-$11T.On Mar,30 Visa&PayPal started accepting cryptocurrencies for transactions.An NFT by Beeple was sold at Christies for$69.3mln,declaring the artist among the top three most valuable living artists“Implementation of Blockchain affects fundamental aspects of society:trust in institutions,identity,and data protection”-U4 Anti-corruption Resource Center,Norway“Blockchain radically reduces the“cost of trust”,hence,offers higher returns for each dollar spent than most traditional internal investments”-PWC“It is a transitional point when cryptocurrencies move from being an asset class that you buy,hold and/or sell to becoming a legitimate source to make transactions in the real world”-CEO of PayPalBlockchain Applications:Far Beyond CryptoSource:Forbes,U4,PWC,Reuters,CNBC Blockchain technologyis simply a ledger of all transactions across any peer-to-peer network46Innovation EyePerceptions on Blockchain:Blockchain Roll-Out Challenge“We are investing over 10M through Innovate UK and our research councils to support Blockchain projects in diverse areas such as energy,voting systems and charitable giving.“We think we are relatively early to this,at the foothills of a long trend of institutional adoption and financialisation of bitcoin”Blockchain has the potential to revolutionise the exchange of data between departments and for all financial transactions through simple,high-performing and secure methods We remain curious and watchful around emerging technologies.More and more are experimenting with Blockchain in financial services,for example,and we remain watchful until the time is right for us to join as a fast follower 2018201920202021Margot James,Minister of State for Digital and Creative Industries from 2018 to 2019:Mayank Prakash,Chief Digital and Information Officer at the Department for Work&Pensions:Giles Baxter CIO at Arthur J.Gallagher&Cos:Ruffer Investment Company:Prospects for BlockchainTechnology in the UKwww.dka.global48Innovation EyeProspects for Blockchain Technology:OverviewBlockchain is an attractive area to help organisations reduce costs,streamline processes and grow.The technology helps to improve traceability,transparency,and tradability and could have a massive impact on every sector that relies on a supply chain.Prospects for Blockchain TechnologyGovernment Interest Government ministers are acknowledging the opportunities the technology presents.Crypto Institutionalisation Institutional interest has been growing due to the economic fallout caused by coronavirus and growing worries about inflation.Prospects for DeFi in the UKSome of the most prominent DeFi projects are based in the UK.Blockchain in the Energy Sector Could have a crucial effect on how energy is produced,bought,and sold.Source:Open Blockchain,The Switch-Blockchain for electricity and gas:decentralized energy trading-2021,S&P Global-For UK institutions,crypto is no longer the Wild West of finance-202149Innovation EyeProspects for Blockchain Technology:Government InterestExamples of Governments InitiativesSource:Open Blockchain,legal500;Financial Conduct Authority;Cointelegraph;S&P Global-UK to create fintech scale box,new sandbox for distributed ledger tech-2021;Response to Queens Speech The Department of Work and Pensions,the Department of Environment,Food,and Rural Affairs,and the Department for International Development are considering proof of concept projects.Through Innovate UK(a government-led agency)and other research councils,the UK government invested more than 10M into Blockchain projects in such areas as energy,voting systems,and charitable giving.The UK government created a 20M GovTech Catalyst Fund to explore technology based solutions for public sector challenges,potentially including the use of DLT.During a speech at U.K.Fintech Week on April 19 2021 U.K.Chancellor Rishi Sunak announced plans for a new sandbox targeting companies that aim to use DLT to improve financial market infrastructure.On the same day,the The Bank of England and HM Treasury announced joint creation of a Central Bank Digital Currency(CBDC)Taskforce to coordinate the exploration of a potential UK CBDC.The task force will look into possible use cases for CBDCs,as well as monitoring CBDC developments in other countries such as China.There is recognition from other Government ministers of the need for the UK to seize the opportunity presented by emerging trends in the Blockchain space.UK policy speeches have also expressed the desire to urge the Treasury to find ways to prioritise innovation above regulation with regards to Blockchain in order to quickly capitalise on the opportunities that Blockchain presents.It is clear that in an increasingly digitised world,the UK Government must support new technologies if Britain is to maintain a strong global presence in this rapidly evolving sector.By engaging proactively with developments in the Blockchain space,the UK can cement its position as a global fintech hub.50Innovation EyeProspects for Blockchain Technology:Energy SectorBlockchain technology is building an interconnected world between producers and consumers in the energy sector.This will eliminate intermediaries and reduce pressure on investment in aging transmission infrastructure.For Blockchain to work in the UK energy sector,two main things are needed.The first is consensus on the Blockchain standard across the energy industry.The second is the implementation of equipment that can supply the Blockchain with information at every stage of the energy value chain(generation,distribution and provision).Smart meters can be the cornerstone of a Blockchain system.The use of smart contracts in the energy sector can help automate a number of transaction steps,such as payments made after conditions are met,allowing businesses to significantly save time and money.Smart homes allow devices in homes to automatically exchange electricity between themselves and the main grid.It is able to match energy consumption with energy production.All these interactions are then recorded in the Blockchain ledger.Peer-to-Peer Energy TradingEnergy CryptocurrenciesStreamlining Access to Renewable EnergyWholesale Trading through Mini-GridsFinancing Energy AccessUse Cases of Blockchain in Energy SectorRecord Storing in One PlaceSource:The Switch,Forbes,The Engineer,Mondaq,BHESCo,The PHA GroupElectron is a UK-based startup established in 2015 that offers Blockchain-based energy trading and grid balancing solutions.It has worked with the national grid and local energy distributors throughout the UK when developing its product offering.EDF Energy uses a Blockchain-based digital trading platform to transfer Capacity Market Obligation to the UK Power Reserve.Instead of trading the usual five business days,the platform automatically checks if a trade complies with trading rules,streamlining the trading process as well as maintaining a secure,decentralised audit trail of all such trades.Frazer-Nash is working with the Energy Innovation Center,three distribution network operators,and Cardiff University to envision the future of the UKs energy distribution network.The company has developed a demo tool that helps operators explore distributed ledger technologies as a potential solution to challenges associated with the operators transitioning to being distribution system operators.Examples of Energy Blockchain Initiatives51Innovation EyeInstitutionalization is the large-scale participation of both traditional and new players,within the global financial services ecosystem,in the cryptocurrency market.Institutionalization is seen by many as the next step required to build trust and scale cryptocurrency.In 2021,the institutional adoption of Bitcoin grew rapidly from companies incorporating digital assets into their treasury reserve strategy and purchasing Bitcoin for their general investment accounts,to corporate and investment banks seeking partners to offer crypto versions of traditional securities services to pensions,asset managers and other clients.Source:S&P Global;Nasdaq;KPMG;Ledger Insights,BloombergProspects for Blockchain Technology:Crypto InstitutionalisationNumber of Crypto Funds around the Globe,2021The number of crypto funds in the UK amounted to 53 in 2021.This puts the UK in third place globally,accounting for 6.4%of the worlds crypto funds.Industry participants say that the UK market is set for a growth spurt.Ruffer,a London based asset manager allocated 2.5%of all of its assets under management to Bitcoin in November of 2020.It has since taken profits on its position.Brevan Howard,a Jersey(GB)based hedge fund plans to allocate up to 1.5%of its$5.6B main hedge fund to digital assets.China and Hong Kong19.6%1.8%2.1%2.7%3.0%5.1%6.4.8H.4RInnovation EyeThe biggest development in the Blockchain space in 2020 was undoubtedly the emergence of Decentralised Finance(DeFi).DeFi allows for traditional financial services such as borrowing,lending,trading and insurance to be accessed in a decentralised manner through the power of Blockchain.Most of the major DeFi protocols exist on the Ethereum Blockchain and growth in the sector has been fast with$200B in value now locked across all protocols.The Financial Action Task Force(FATF)released a draft that classifies DeFi platforms like DEXs as virtual asset service providers(VASPs).As a result,they would have to find a way to implement know your customer(KYC)and anti-money laundering(AML)checks similar to financial institutions.This would likely lead to major changes in how DeFi platforms operate moving forward and may initially lead to a dip in users and new projects.However,as regulatory clarity precedes institutional adoption,it is likely such regulation would eventually facilitate greater mainstream adoption and further investment in the DeFi space.Aave,Aave is a London based open source and non-custodial liquidity protocol for earning interest on deposits and borrowing assets.It is the largest lending protocol in the DeFi space when measured by assets deployed as collateral.Fractal ID,Fractal ID is a UK based DeFi platform that focuses on building a new data sharing infrastructure that runs KYC checks for other DeFI projects and public token sales.With a combination of integrated protocols and clear guidelines,mass adoption becomes more likely.Radix DLT,a London-based DeFi startup is building a decentralised finance protocol,which provides frictionless access,programmability,and liquidity to any asset in the world.DeFi in the UK and AbroadUniswap,is the biggest decentralised exchange platform in the DeFi space.Maker,is one of the largest lending platforms in the DeFi space and responsible for Dai,a USD stablecoin backed by crypto collateral.Source:Aave,Fractal Protocol,Radix DLT,CipherTrace,Uniswap,Nasdaq,DeFiLlamaUKs Blockchain Network and Talent Pwww.dka.global54Innovation EyeBlockchain in UK:Selected Hubs,Think Tanks and Events2030 GroupAutonomous NEXTBBA(British Blockchain Association)Big Innovation CentreBlockchain&limate InstituteCambridge Blockchain HubCambridge Blockchain SocietyConstruction Blockchain ConsortiumCrypto Curry ClubFuture of Humanity InstituteDeep Knowledge AnalyticsBlockchain LiveBlockchain SummitBlockchain Technology WorldBlockchain for Business SummitBlockchain ExpoFuture of Humanity InstituteImperial College Center London Blockchain FoundationLondon Blockchain LabsOxford Blockchain FoundationQadreRetail Blockchain ConsortiumUnblockedZ/Yen Group55Innovation EyeCDEI-Centre for Data Ethicsand InnovationAPPG on BlockchainUK governments advisory body on the responsible use of AI and data-driven technology.CDEI has spent the past two years examining the issue of algorithmic bias and how it can be tackled.The All-Party Parliamentary Group on Blockchain(APPG Blockchain)aims to ensure industry and society benefit from the full potential of Blockchain and other distributed ledger technologies(DLTs).The Bank of England and HM Treasury have created a Central Bank Digital Currency(CBDC)Taskforce to coordinate the exploration of a potential UK CBDC.UK financial services regulator is the anti-money laundering supervisor of UK crypto asset businesses under the Money Laundering,Terrorist Financing and Transfer of Funds Regulations 2017.Consulting on the broader regulatory approach to cryptoassets,and bringing certain crypto assets into scope of financial promotions regulation to enhance consumer protection;HMRC publishes guidance for people who hold crypto assets,.HMRC also publishes further information for businesses about the tax treatment of crypto asset transactions.UK regulator the ICO has a programme to promote privacy in new technologies.The ICOs Sandbox programme supports innovation through engagement and a safe harbour.Department for Business,Energy&Industrial Strategy is interested in using Blockchain and distributed ledger technologies to verify the provenance of goods.The agency uses information to tackle the challenges,and contribute to addressing risks for the future.FSA completed a Blockchain pilot project where it was used as a regulatory tool in food production.Governmental,Regulatory&Standardisation Bodies that Make Blockchain InitiativesSource:CDEI,APPG on Blockchain,Bank of England,FCA,HM Treasury,Digital Catapult,HRMC,ICO,FSA,Department for Business,Energy&Industrial StrategyBSI holds a royal charter and is the national standards body.It helps businesses improve performance,reduce risk and achieve sustainable growth.56Innovation EyeSignificant Blockchain Initiatives in UniversitiesCentre for Blockchain Technologies,UCLThe UCL CBT researches the effects of DLT and Blockchain into socio-economic systems and to promote the organic development and adoption of Blockchain-based platforms.The CBT draws on its world-leading academic expertise to produce cutting-edge Blockchain solutions for industry,start-ups and regulators.Sad Business School,University of OxfordSad Business School,launched a digital open enrolment programme on Blockchain integration and regulation,the Oxford Blockchain Strategy Programme.The learning concentrates on the use of showcases to lead participants through the successful strategies taking place in this emerging field.Cambridge Centre for Alternative Finance,University of CambridgeCCAF is an interdisciplinary academic research institute dedicated to the study of alternative finance.Alternative instruments are private placements and other shadow banking mechanisms,social impact bonds used by non-profit enterprises,and alternative currencies such as Bitcoin.Source:UCL CBT,Sad Business School,CCAF,Imperial College London,Surrey Blockchain,KCL BlockchainCentre for Cryptocurrency Research and Engineering,Imperial College LondonThe goal of the Centre for Cryptocurrency Research and Engineering is to become a leading international centre for ongoing research and application activity related to cryptocurrency and Blockchain technology.The centre explores novel Blockchain-based applications across multiple domains.Surrey Blockchain,University of SurreyThe University undertakes cross-disciplinary research that is transforming domains.Surrey Blockchain research combines its expertise across three research centres:Centre for Vision Speech and Signal Processing(CVSSP),Surrey Centre for Cyber Security(SCCS),.Centre for Digital Economy(CoDE).KCL Blockchain,Kings College LondonKings College London Blockchain Society(KCL Blockchain)was established to provide a way for students to participate and engage with the Blockchain space.KCL Blockchain tries to get people excited about Blockchain by organising events,producing research and curating London Blockchain events.Cryptocurrency Overview:Outlook on the UK Mwww.dka.global58Innovation EyeCryptocurrencies:Outlook on the UK Market Source:UKTN,ICO Analytics,Reuters,FinTech,Wintermute,Argent,CoinfirmNumerous companies and startups in the UK are focusing on cryptocurrencies making them accessible and functional.Wintermute was founded in 2017 with the mission to provide the much-needed liquidity to the crypto markets,thus contributing to the adoption of new decentralised finance.Funding:17.2MArgent,headquartered in London,is an Ethereum wallet for iOS and Android.The platform facilitates easy access to the emerging DeFi space allowing its users to earn interest on their crypto deposits.Funding:11.5MCoinfirm,based out of London,offers AML and regulatory technology for Blockchain and cryptocurrencies.It offers the industrys largest Blockchain coverage,supporting over 1,400 cryptocurrencies and protocols including Bitcoin,Ethereum,Hyperledger,and many more.Funding:11.5MNow that the UK has left the EU,the doors have opened for more helpful regulations to be drawn up.The EUs recently released Markets in Crypto Assets(MICA)directive could take years to implement.The FCA,no longer impeded by the slow bureaucratic processes of Brussels could act much faster in implementing its own regulations.Possessing what is arguably the fintech capital of the world in London,the UK is the perfect environment for Blockchain and other distributed ledger technologies.As such,it is no surprise that the UK already plays host to a large number of of Blockchain-centric startups and companies looking to deploy the technology in new product offerings.Many of the companies looking to deploy DLT and Blockchain technology operating in the UK are crypto asset oriented,with groups such as Wintermute acting as a liquidity provider for the crypto markets and Argent-a platform that allows users to earn interest on their crypto asset deposits.Non crypto asset orientated implementations of the Blockchain technology are also emerging though;Centrica is exploring how to decrease bills for customers using peer-to-peer energy trading and Everywhere is using the DLT to maintain the cold chain of medicines,ensuring their viability when used.59Innovation Eye*Top Cryptocurrency Companies in the UKB accounts for over a half of total funding in UK-based cryptocurrency companies.The company claims to be responsible for about 28%of all bitcoin transactions since 2012.B reached a valuation of 3.8B in March 2021.B is a platform that offers ways to buy,hold,and use cryptocurrency.50 million customers have signed up to use the B platform.The company has had 2 funding rounds in 2021:87M*and 217M*(3rd largest raise ever for a crypto company).Partners of Google Ventures(US),DST Global(Hong Kong),Baillie Gifford(UK),Lightspeed Venture Partners(US),VY Capital(UAE)and LG Group(South Korea)are led the rounds.Top Cryptocurrency Companies in the UK by Total Funding Amount in 2021*Source:Similarweb,Coindesktotal funding in B in 2021300M Notes:*Numbers are converted from USD to GBP using the average exchange rate *Celsius has exited the UK since its fundraise *Funding includes investments,donations,grants and subsidies.*Other valuable UK crypto companies like Bitstamp did not have funding rounds in 2021 Use of NFT Technologies and DLTwww.dka.global61Innovation EyeSource:Fortune,Computerworld,PharmEBritish Hospital Network is Using DLT to track the temperature of COVID-19 Vaccines.The UK has started to use distributed ledger technology to track the handling of COVID-19 vaccines.At the moment,two hospitals-in Warwick and Stratford-upon-Avon have already implemented DLT to monitor the storage and supply of temperature-sensitive COVID-19 vaccinesThere are two companies involved:Everyware Ltd,which is a digital asset tracking and monitoring provider that already works with the NHS on monitoring other vaccines and treatments,and Hedera Hashgraph,a Texas-based distributed ledger provider.Everywheres smart sensors log device temperature event data(e.g.fridge temperature readings)to the decentralised Hedera network.Everywares products and services are used by South Warwickshire NHS Foundation Trust to keep track and assure that medicines,including COVID-19 vaccines,are being stored at the correct temperatures.Hederas Hashgraph digital ledger uses a different kind of mathematical system to Bitcoin and Ethereum,called a directed acyclic graph(or DAG).The system does not require nodes in the network to solve complex mathematical puzzles as in cryptocurrency-based Blockchains.This allows Hedera to offer a very low cost per piece of information added to the ledger and allows the ledger to process updates at very high speed.Hedera is managed by a council that includes a number of large international companies such as Avery Dennison,Deutsche Telekom,Boeing,DLA Piper,FIS(Worldpay),Tata Communications,Dentons,Google,IBM,LG Electronics,Magalu,Nomura,Swirlds,University College London,etc.Use of DLT to Help Fight COVID-19Advantages of Using Blockchain Technology Data SecurityThe use of digital ledger technology as part of the tech solution allows Everyware to ensure that the temperature data collected is valid.Temperature ControlAccurately monitoring and recording the temperature that the COVID vaccine is stored at is particularly crucial for Pfizer and Moderna vaccines as they must be kept at temperatures of 70 degrees celsius until close to the time they are to be used.Cost-Effectiveness and FastA very low fixed cost per piece of information added to the Blockchain:0.01 of a US cent whilst quickly managing millions of data entries.62Innovation EyeUsage of NFT(Non-Fungible Tokens)in the Art SectorTotal Number of Sales Involving NFTs in the Art Sector Worldwide,April-June 15,2021Total NFT sales,$MSource:Coindesk,Statista,Toronto Sun,APPG Blockchain ReportNon-fungible tokens(NFTs).Unlike most digital assets,Non-fungible tokens are unique and are not interchangeable for one another.This is in contrast to most cryptocurrencies e.g.any given bitcoin is fungible one bitcoin is indistinguishable from another bitcoin.An NFT can represent ownership of a one-of-a-kind asset,such as a real painting,or one copy of many,such as a collectible card.CryptoKitties is a video game,but the art pieces,the kitties themselves have been taken out of the video game and displayed in museums all around the world.They have been auctioned by companies like Christies where a single“kittie”was bought for over$140,000.Congestion of the Ethereum network and high network fees soon followed due to the large number of transactions associated with the game.However the onset of the bear market in January 2018 was followed by a 98.4%drop in transactions 6 months after launch.Nevertheless,the development of the NFT space did not falter,with over 100 active projects from 2018-2019.As of 2021,the market is booming again with NFT specific market places such as OpenSea and Nifty Gateway specifically servicing this growing sector.The most popular by far are CryptoPunks.They are limited edition collectible characters constrained to 10000 in number and generate a majority of the trading volume.Other in-demand NFTs include Sorare which is a fantasy football game and an NBA Top Shot platform that allows fans to buy,sell and trade numbered versions of specific,officially-licensed video highlights.The growth of Ethereum led to the ERC-20 smart contract token standard to become popular.This was used to represent fungible assets that are interchangeable with each other.Examples include Tether(USDT),Chainlink(LINK)and VeChain(VET).NFTs are created when normal digital content is minted.Minting can be completed through exclusive platforms such as SuperRare or their public counterparts such as the one featured on OpenSea.The process enables a minter to decide the fee they get on each sale(royalty percentage)and if the content will be standalone or edition based,in addition to other properties.Lastly,gas(in the form of ETH)is paid to miners so that they can validate the approval and minting transactions.Conversely,there are non-fungible tokens(NFTs)which commonly use the ERC-721 token standard.They represent unique assets that arent interchangeable with any other asset.The 2020 bull market has now seen NFTs like Hashmasks and cryptoart netting prices exceeding the most expensive CryptoKitties.The boom has led to many exciting developments,leading to the involvement of billionaires and celebrities as well as content creators outside of the Blockchain space.The FATF draft mentioned in the DeFi in the UK and abroad section also applies to NFTs where some fall under their new classification of virtual assets.This means that they will only be paying attention to NFTs they think could be used for money laundering or terrorist financing,thus requiring KYC and AML checks for transactions.As a result,the proposed guidelines would not affect most NFTs but could lead to changes in the platforms that mint and trade them.23 73112 08593 08963Innovation EyeUse of NFTs in the Creative IndustriesThe use of NFTs allows art collectors to own digital art in a completely new way.Any given NFT could be attached to anything:a JPEG,GIF,MP4,even music.The NFT represents ownership of whatever it is attached to.As the NFT is sent from one address to another,ownership is transferred from one owner to another.Typically,one NFT represents one unique piece of art.In selling the NFT,a digital artists can sell their original works,which can be bought by collectors who now receive the NFT as a record of ownership.Most NFTs exist on the Ethereum Blockchain.As a Blockchain network,Ethereum is a decentralised public ledger for verifying and recording transactions.The networks users can create,publish,monetise,and use applications on the platform,and use its Ether cryptocurrency as payment.When artists decide to sell their artwork,they create a transaction on the Ethereum Blockchain through a token uniquely associated with the artwork in the artists cryptographic wallet.The transaction is digitally signed by the artist,using asymmetric cryptography,in order to prove the authenticity of the artwork.The UK has taken centre stage in the burgeoning NFT market as long established UK auction houses Sothebys,Christies and Bonhams have all been involved in the auctioning of NFT art in the last year.The most notable auction was a lot comprising of 5000 different pieces by Joseph Winkelmann(also known as Beeple)which fetched circa$69 million in early 2021.The auction was conducted by Christies.Sources:Art Rights;School of Motion;Forbes;My Modern Met;Art Basel;Rarible;BehanceExample of NFT artistMichael Joseph Winkelmann is known professionally as Beeple.He is digital artist,graphic designer,and animator.British auction house Christies has called him A visionary digital artist at the forefront of NFTs.6364Innovation EyeGeneration 7 Group is developing and implementing science and technology to improve efficiency,sustainability and longevity of the worlds valuable heritage brands.Use of NFTs for Marketing PurposesNFT technology can provide new user experiences and help build brand awareness and affinity.Mobile advertising campaigns using NFT can be programmatically distributed across a variety of digital platforms.Brands can use NFT technology to provide their customers with personalized gifts,vouchers,etc.Brands can monetize ads multiple times by turning them into NFTs,they can increase their capital through storytelling and collectible assets,or create hype ahead of events and product launches with Early Access Tokens.NFTs are opening up a whole new revenue stream for brands by selling products in a purely digital form or as a complement to a physical offering.The rise of NFTs has rekindled talks about developing a new media ownership model to make the space more creator-centered.With Blockchain-based smart contracts,a new distributed media ownership model without intermediaries would be possible,allowing digital asset creators to directly profit in full.As NFT continues to gain mainstream attention,more brands are expected to join and experiment with digital collectibles.For brands,this is an opportunity to generate additional revenue and interact with mainstream fans to create an exclusive experience.New business models will be tested for digital media creators to help them bypass existing platforms and generate revenue directly from their audience.Sources:Forbes;G7G;The Drum;Analytics Steps;Campaign;EkstasySelected ExamplesEkstasy is a London based creative advertising agency that builds brand communication platforms that uses strategy,creative and media.64The Kinahans branded 3D Formula Racing Car released as an NFT at R during the Lewis Hamiltons thrilling win at the British Grand Prix.An exclusive token to this 3D/AR art piece of a hyperrealistic formula racing car,which was available for preview at the Silverstone Circuit race.Ekstasy has launched the worlds first NFT auction of an integrated ad campaign,to support the charity Magic Breakfast.Proceeds go to the charity,which provides healthy school breakfasts to children at risk of hunger in disadvantaged areas of the UK.State of Rwww.dka.global66Innovation EyeBlockchain Industry Growth FrameworkSociety&End UsersInvestors&FoundersGovernmentsEntrepreneurs/CorporationsBanks/Financial InstitutionsStakeholders GroupsHealthcareCritical InfrastructuresFinancial ApplicationsAsset ManagementBlockchain City EducationUse CasesData ManagementThe Criminal ConnectionAdoption ChallengesLow ScalabilityHigh Energy ConsumptionDifficulties with Implementation RegulationInefficient Technological DesignSecurity ProblemsLack of Adequate Skill SetsBlockchains Can Be SlowOpened Sectors for UsageMore Functional Blockchain by Integration with AIQuality ImprovementsEnterprise Blockchain DevelopmentSecure Infrastructure by Integration with IoTFuture ScopeResearch Orgs&AcademicsThink tanks/EventsRegulators&Standards BodiesAssets Markets&Exchanges May 2017:Proposals for a DLT regulatory framework paper published by the HM Government of Gibraltar,Ministry for Commerce and Gibraltar Finance Jan 2018:Gibraltar became the first jurisdiction in the world to introduce legislation around Distributed-Ledger-Technology(DLT)through its DLT framework 2018 2019:Several Blockchain/crypto companies are awarded a DLT license by the Gibraltar Financial Services Commission(GFSC)including Huobi,B21 and Lendingblock Sep 2020:Gibraltar updates its regulations surrounding DLT to include the new Financial Action Task Force rules Jan 2021:Gibraltar extends the regulatory guidelines by adding a 10th Principle to include digital asset exchanges Jan 2021:Gibraltar grants Xapo(a digital asset custodian)a banking licence Jan 2018:Financial Stability Oversight Council form a cryptocurrency working group to study the crypto marketplace Oct 2019:FinCEN,SEC&CFTC release a joint statement on how digital assets will be defined and regulated July 2020:OCC confirmed that national banks and saving associations can provide custody services for crypto.Additionally,banks can provide crypto-fiat exchanges,transaction settlement,trade execution and tax services Sep 2020:Kraken becomes the first crypto exchange to receive a state banking license which enables users to bank between digital assets and national currencies Jan 2021:OCC grants a national trust bank charter to crypto custodian Anchorage to launch Americas first federally chartered digital asset bank Oct 2018:UK Crypto assets Taskforce published a report that set out the UKs policy and regulatory approach to crypto assets and distributed ledger technology July 2019:FCA releases guidance on what type of cryptoasset activity falls within existing FCA regulation Jan 2020:New regulation for crypto asset activity that requires compliance with the Money Laundering,Terrorist Financing and Transfer of Funds(Information on the Payer)Regulations 2017 and registration with the FCA Jan 2021:HM Treasury publishes a consultation and call for evidence for the UKs regulatory approach to crypto assets and stablecoins Indicative Overview of Global RegulationUSAGibraltarUnited Kingdom67Innovation EyeSources:B,Sygna,FCA,Finextra,Ledger Insights,GLIInnovation EyeIt is plausible that in three years Britain could be a global Blockchain hub,but what must it do to achieve this goal?The USA,Switzerland and Gibraltar have awarded banking licences to crypto native companies.This suggests a high degree of comfort with the space that the UK regulators do not yet have.In the US,this comfort likely stems from the very active regulatory and political dialogue that is taking place there;recently the bipartisan infrastructure bill was held up,in part,by cryptocurrency-related issues as senators debated the tax reporting obligations of entities operating in the Blockchain ecosystem.UK regulators and politicians need to move quickly to gain the same understanding of the space that these competing jurisdictions have.Coinbase is arguably the leading cryptocurrency exchange.It IPOd on the NASDAQ with a circa$50B market capitalisation in 2021,has been proactive in engaging with regulators in multiple jurisdictions and has funded multiple innovations in the Blockchain space.As we have seen in this analysis,the UK does have some excellent Blockchain companies but it needs to ask why it has yet to produce a Coinbase of its own.If the largest companies in the space continue to be produced in the USA then this is where the technology will find its global hub and where the tax base associated with the space will be domiciled.Apart from Gibraltar and the USA the EU has laid out its plans to regulate the cryptocurrency space via the Markets in Crypto Assets Directive(MiCA).EU directives are based on Napoleonic civil law and as such are very proscriptive.Such a restrictive legal code does not lend itself to regulating a rapidly evolving ecosystem based on a novel technology.The principle-based common law system that the UK has should allow it to adapt more readily to developments in the space and so give it an advantage over its European neighbours when fostering Blockchain talent.Usage of Blockchain in Britain for Scalability,Competing and Policy68Regulatory FrameworkWhat are others doing?Where are our world leading companies?Building Blockchain interoperability for scalability is the biggest issue in the UK.Technically,Blockchain interoperability seeks to achieve one fundamental goal,namely ensuring the integrity of both information exchanges(data exchange among business systems)and value transfers(digital assets exchange,e.g.crypto,tokens).In 2020,the APPG on Blockchain explored the governance models of Blockchain networks and data management.Relevant use-cases were discussed to fight the current COVID-19 pandemic and other areas related to the application of Blockchain in education.What is the aim?Prominent Reports,Series of Journals and Conferences&Events on the Blockchain Twww.dka.globalSeries of APPG Blockchain Policy Briefs:Selected reports and articles:Digital Assets And Tokenisation Agriculture And Food How Can Blockchain Help in The Time of COVID 19?Blockchain Series or Journals(1/2)Series of British Blockchain Association(BBA)Journal:Selected reports and articles:Blockchain Network as a Platform:Conceptualising its Adapted Layered Architecture Design Blockchain is dead!Long live Blockchain!70Innovation EyeBlockchain Series or Journals(2/2)71Innovation EyeSeries of European Blockchain Observatory and Forum.Selected reports and articles:Central Bank Digital Currencies and a Euro for the Future Blockchain and Digital Identity EU Blockchain Ecosystem latest developmentsSeries of Frontiers in Blockchain.Selected reports and articles:Tax Treatment of Block Rewards Hyperparameter Optimization Using Sustainable Proof of Work in Blockchain Digital and Decentralized Management of Patient Data in Healthcare Using Blockchain Implementations72Innovation EyeName:Blockchain For Local Government-Cities Committee TaskforceEditors:Big Innovation CentreDate:September 2020Prominent UK Reports on the Blockchain TopicName:Distributed Ledger Technologies for Public Good:leadership,collaboration and innovation Editors:Lord Holmes of Richmond MBEDate:2020Name:Blockchain&Construction Cash FlowEditors:Construction Blockchain ConsortiumDate:2020Name:Distributed Ledger Technology in the Supply ChainEditors:UCL Centre of Blockchain TechnologiesDate:201973Innovation EyeCOINDESKCRYPTOSLATEBlockchain NewsCOINTELEGRAPHBitcoin NewsCOINBEATBlockchain News Outlets(1/3)Specialised Blockchain News Outlets DecryptLedger InsightsFintech TimesThe BlockCrypto AM7374Innovation EyeBlockchain News Outlets(2/3)Other News Outlets in the Blockchain CommunityCoin RivetThe CryptonomistBitcoin InsiderBe in CryptoBlockleadersCoingapeCrypteliciousCoinspeakerAMB CryptoCrypto PotatoCrypto Craft75Innovation EyeBlockchain News Outlets(3/3)Magazines That Are Writing on Blockchain TopicBBC NewsIndependentIForbesWiredITPro.7576Innovation EyeDateNameFormatKey Objectives of the Event18-22 October 2021Security Tokens RealisedOnline/Offline,London,UKBringing the traditional funding and listing players together with the new digital exchange and platform opportunities.Exploring both listed securities and private tokenization of securities along with educating investors on the opportunities.A focus on the institutional adoption of digital assets,covering the full spectrum including the technology,crypto,and securities.20-21 October 2021Digital Assets RealisedOnline/Offline,London,UKThis series is focused on the continuing realisation of Digital Assets across the finance ecosystem.The conference will look in-depth at investing in digital assets and the best of breed digital listing platforms and bulletin boards for companies and investors.Conferences&Events on the Blockchain Topic(1/5)Source:BlockSocial,Eventbrite,CantonFair,Icoholder,APPG Blockchain Pavilion77Innovation EyeDateNameFormatKey Objectives of the Event20-22 October 2021Construction BlockchainOnline/Offline,London,UKExplore the latest technological developments of Industry 4.0 that are driving transformations in the built environment across the worldPresent progress with its most recent white paper on Distributed BIM27 October 2021APPG BLOCKCHAINCENTRAL BANKS DIGITAL CURRENCY(CBDC)AND STABLECOINS:Assessing a new monetary paradigmWhat is Central Banks Digital Currency(CBDC)?Online or UK Parliament,London,WestminsterWhich are the opportunities and challenges for CBDC,and how should CBDC be designed?Should CBDC be a substitute or a complement to physical notes?What technology could CBDC use?15-16 November 2021Blockworks Digital Asset SummitLondon,UKDAS is the institutionally focused crypto conference for asset managers and financial services professionals.Returning in 2021 as a two day,in person event,industry leaders from the world of finance and digital assets will gather to discuss crypto from the perspective of industry practitioners.Conferences&Events on the Blockchain Topic(2/5)Source:BlockSocial,Eventbrite,CantonFair,Icoholder,APPG Blockchain Pavilion78Innovation EyeDateNameFormatKey Objectives of the Event24 November 2021APPG BLOCKCHAIN CONVERGENCE&SINGULARITY:Singularity,Blockchain,Artificial Intelligence&Internet of ThingsOnline or UK Parliament,London,WestminsterHow Blockchain,artificial Intelligence and Internet of Things(IoT)convergence can be a paradigm shift?Which are the main benefits,barriers and risks when combining Blockchain,artificial intelligence and IoT?What are the existing integrations across emerging technologies?What will the future look like?And when?How can policymakers and regulators catalyse the convergence?25-28 November 2021CoinFestUK 2021Manchester,UKFree workshops,speaker presentations,crypto activities,a bitcoin lightning bar,exhibitors from around the world and crypto artwork(both physical and digital).1 Feb 2022APPG BLOCKCHAINBLOCKCHAIN AS A SERVICE(BAAS):Commoditising BlockchainsOnline or UK Parliament,London,WestminsterWhat is“Blockchain as a Service”?How could Blockchain be commoditised?Through IP licensing or other methods?Conferences&Events on the Blockchain Topic(3/5)Source:BlockSocial,Eventbrite,CantonFair,Icoholder,APPG Blockchain Pavilion79Innovation EyeDateNameFormatKey Objectives of the Event5 April 2022APPG BLOCKCHAIN SUSTAINABILITY:Energy Consumption And Other IssuesOnline or UK Parliament,London,WestminsterCan Blockchain ensure energy sustainability,or is it causing a sustainability crisis?How can data mining on Blockchains become sustainable or green?(e.g.Green data)What are other sustainability issues associated with Blockchains?21 June 2022APPG BLOCKCHAINDeFi DECENTRALISED FINANCE:A New Paradigm For The Banking Sector?Online or UK Parliament,London,WestminsterWhat is Decentralised Finance(DeFi)?Will DeFi transform financial services?Are the traditional commercial banking models at risk,or is this a new opportunity for the sector?Conferences&Events on the Blockchain Topic(4/5)Source:BlockSocial,Eventbrite,CantonFair,Icoholder,APPG Blockchain Pavilion80Innovation EyeDateNameFormatKey Objectives of the Event13 September 2022APPG BLOCKCHAIN CYBERSECURITY:New Opportunities Or New Risk?Online or UK Parliament,London,WestminsterWill Blockchain technology enable increased cybersecurity help or be a hindrance?To which cyber-attacks could Blockchain networks be suitable for a suitable protection mechanism?Are the existing cybersecurity standards useful for Blockchain adoption?What are the new and emerging standards in this respect?Will it be necessary to harmonise new and existing security standards for Blockchain networks?How will the intrinsic characteristics of Blockchains(i.e.the distributed architecture and consensus mechanism)impact in the security of the network?15 November 2022APPG BLOCKCHAINBLOCKCHAIN USE-CASES:State-Of-Art,Industry Trends And Blockchain ForecastOnline or UK Parliament,London,WestminsterHow far has Blockchain adoption become a reality?Which sectors have seen the largest implementation of Blockchain technologies,and for what purpose?Are there winners or losers of the Blockchain irruption?Conferences&Events on the Blockchain Topic(5/5)Source:BlockSocial,Eventbrite,CantonFair,Icoholder,APPG Blockchain PavilionCwww.dka.globalThe UK is the host of a highly sophisticated Blockchain innovation ecosystem bringing investment confidence,talent,and industry growth and Blockchain-community spirit togetherIn a cautious deep dive to show the true economic picture of UKs Blockchain industry,our analysis of 18 industries that are using Blockchain technology can identify 523 UK Blockchain-centric companies and 250 investors,who have invested more than 1B into those businesses.To conclude,the UK is on its way to becoming a true epicentre for everything Blockchain.So,what are the strengths from which the UK can build?UK Blockchain markets and industry are moving fast,and there is strong political will for Blockchain solutions and integration.However,the UK regulators are finding themselves in a catch-up position with the potential of Blockchain technology adoption and applications.At a glance,we found that the majority of the investments into the UK Blockchain space has been into Fintech(17%)and Crypto Trading(14%)companies.Investment into Gov-tech(2.3%)and Insur-tech(1.7%)is much lower.In Summary(1/2)The leading Blockchain investment in Londons financial sector is no surprise.London is a global financial HQ ready for a Blockchain transformation in the second quarter the 21st century,and at the same time the entrepreneurial Blockchain community is located close to the finance that is needed to grow it.As such,450 out of UKs 520 Blockchain companies are located in the London region.Investment houses which have shown an interest in the space include Ruffer Investment and Brevan Howard.Blockchain tokens,digital asserts and DLT are also being adopted in the creative industries where the world-leading British auction houses Christies and Sothebys are among the first movers,accepting how Blockchain can transform the industrys management of authenticity or originality behind pieces of art.The relatively small investment in Blockchain Gov-tech indicates how theres still underinvestment in those public-purpose sectors compared to the huge potential.Indeed,initiatives in the Department of Works and Pensions,Department of Environment,Food and Rural Affairs and the Department for International Development could soon move from their proof-of-concept projects into application.We identify 15 government agencies involved in Blockchain initiatives,and the UK Governments 20M GovTech Fund must catalyse some of these opportunities.The energy sector also shows promising public-purpose Blockchain application use-cases by Electron,EDF energy and Frazer Nash in areas as peer-to-peer energy trading,wholesale trading through mini-grids,energy crypto economy and much more.82Innovation EyeThe UK hosts a highly sophisticated Blockchain innovation ecosystem integrating the ingredients for a vibrant and dynamic Blockchain industry science,technology,talent,entrepreneurial community with financial backing,Blockchain business model applications,and location advantages.The UK is the host of hundreds of Blockchain experts or influencers across businesses,academia,influencers and policies.In Summary(2/2)During the COVID-19 pandemic both,research and use-cases were developed showing how Blockchain applications can enable track and trace of data,medicines,symptoms and the spread of the pandemic,while enabling security.Two UK hospitals in Warwick and Stratford-upon-Avon have applied DLT to monitor the storage and supply of temperature-sensitive COVID-19 vaccines.The highly networked Blockchain talent pool comes from 50 hubs showcasing a network of Blockchain initiatives from(i)both research and teaching programmes at UK universities(in particular from the University of Oxford,Cambridge,Surrey,Imperial College London and University College London),(ii)Blockchain networking and events companies(Crypto Curry Club or Blockchain Summit),(iii)think-tanks(Z/Yen Group or Big Innovation Centre),and even(iv)scientific associations with their own journals(British Blockchain Association BBA who have their own scientific journal).Finally(v)the All-Party Parliamentary Group on Blockchain(APPG Blockchain)functions as the permanent authoritative voice within UK Parliament(The House of Commons and The House of Lords)on all Blockchain-related matters,while engaging with this entire network to bring experts and use-cases to inform parliamentarians.Thus,the UKs Blockchain innovation and investment ecosystem brings together1.An entrepreneurial Blockchain industry system which is becoming a magnet for entrepreneurial finance.2.A top-talent and Blockchain science system from our education system,research base,and universities.3.Those industry,finance and talent systems are mixed with a network of Blockchain think-tanks and events companies,that are building the UKs world-leading Blockchain communities.They are closing the gap between research base and Blockchain market-adoption,as well as the gap between a growing Blockchain industry and entrepreneurial finance.There are many application use-cases from art,fintech and energy which shows how Blockchain can support a more sustainable livelihood for people.Also,good health means good wealth(as became evident during the COVID-19 pandemic),and Blockchain applications are also now being adopted into the health sector.The UK has a unique potential to become a true Blockchain epicentre,but the government needs to cement this positionThis combination of the UK and in particular London being a leading global financial hub,a density of Blockchain entrepreneurship and talent as well as in proximity with regulators means the UK has a unique potential to become a true epicentre of purposeful,innovative,and safe international Blockchain-integration and cooperation.However,the government must solidify this unique position by passing suitable regulation and it must do so in a timely manner.The concentration of Blockchain activity in London also means that the industry develops in proximity to the regulators and politicians that can shape policy to drive its development further.Regulation and policy engagement must however happen at the same speed as the sector develops if the UK is to not lose its status and potential due to other jurisdictions such as those in Gibraltar and the USA which have been quicker to respond to advancements like DeFi.83Innovation Eye84Innovation EyeInnovation Eye was jointly founded in March 2019 by the Big Innovation Centre and Deep Knowledge Analytics to provide sophisticated market analytics,industry intelligence,comparative industry classification frameworks and benchmarking case studies.About Innovation EyeThe company develops advanced tools for analysis and visualization of technology and innovation ecosystems through reports,custom-made consultancy products and services,and dynamic interactive online IT-platform with the aim of optimizing the strategic agendas of international corporations and technocratic governments seeking to implement,stabilise and optimise their global positions in advanced technology-driven industries.The Big Innovation Centre has substantial expertise in these areas,having run cross-industry task forces since 2011 on building innovation and investment ecosystems,future proofing corporate businesses models,and being the secretariat company for the UK All-Party Parliamentary Group on Blockchain and the All-Party Parliamentary Group on Artificial Intelligence.Meanwhile,Deep Knowledge Analytics has established itself as the leader of sophisticated DeepTech industry intelligence and analytics relating to DeepTech sectors including AI,FinTech and GovTech.By combining AI-driven big data analytics with advanced infographic mind-maps and the production of state-of-the-art data visualization and dynamic data analytics,industry intelligence platforms,Innovation Eye aims to provide multinational corporate and governmental clients with an advanced-and user-friendly-suite of tools,frameworks and solutions for formulating,optimising and stabilising their development and execution plans underlying their specific strategic interests.In summary,Innovation Eye:implements advanced ecosystem mapping projects relating to interactive online IT-platforms using dynamic infographic mind-maps and smart-matching capabilities for industry stakeholders does tangible technological forecasting of advanced tech-driven industries and innovation economies informs international corporations and governments on how to become and remain competitive and utilise their resources in a maximally efficient and synergetic manner85Innovation EyeBig Innovation Centre is one of the biggest,best and most exclusive technology and innovation consultancy networks in the world.Launched in September 2011,Big Innovation Centre exists to build a global innovation hub by 2025,create great companies,and make the world more purposeful and inclusive through the enormous potential of technology,creativity and innovation.About Big Innovation CentreBig Innovation Centres technology and innovation consultancy brings together world leaders,regulators and executives of the worlds biggest companies and key decision-makers to shape the future with Artificial Intelligence,Blockchain and digital transformation.Twice voted Think Tank of the Year,the Big Innovation Centre is the founding Secretariat of the UK All-Party Parliamentary Groups on Artificial Intelligence and Blockchain(APPG AI and APPG Blockchain)and is at the centre of mapping global and regulatory trends in these areas.Big Innovation Centre is featured in the prestigious 2020 listing of 5 top Digital Transform Consulting/Service Companies in UK by CIO Applications Europe Magazine,and has received the Greater London Enterprise Award for its communication services.In 2021 the centre became an accredited by the Continuous Professional Development(CPD)standardisation body of the UK as professional training provider.Join our Blockchain and AI networks on our Pavilion https:/ https:/ https:/ The company has suitable research labs,office and events space plus cutting-edge IT equipment with support,and its spaces are conveniently located in central London next to UK Parliament Square;and in central Riyadh,as well as the business bay of Dubai.Humane TransformationalSustainableExpansiveValuesWe drive the ways that society will benefit from AI,Blockchain and digital transformation while managing the risks to social cohesion.AI,Blockchain and digital are changing the world and our network is at the forefront of shaping that transformation.Our mission is to ensure that AI,Blockchain and digital advance the sustainability of our natural,social and cultural environments.We think big.The global benefits of AI,Blockchain and digital are endless.Wherever we find a limit to the benefits of these techs,we find a way to push beyond.86Innovation EyeDeep Knowledge Analytics is a DeepTech focused agency producing advanced analytics on DeepTech and frontier-technology industries using sophisticated multi-dimensional frameworks and algorithmic methods that combine hundreds of specially-designed and specifically-weighted metrics and parameters to deliver sophisticated market intelligence,pragmatic forecasting and tangible industry benchmarking.About Deep Knowledge AnalyticsIt is an analytical subsidiary of Deep Knowledge Group,an international consortium of commercial and non-profit organizations focused on the synergetic convergence of DeepTech and Frontier Technologies(AI,Longevity,MedTech,FinTech,GovTech),applying progressive data-driven Invest-Tech solutions with a long-term strategic focus on AI in Healthcare,Longevity and Precision Health,and aiming to achieve positive impact through the support of progressive technologies for the benefit of humanity via scientific research,investment,entrepreneurship,analytics and philanthropy.Deep Knowledge Analytics specialises in conducting special case studies and producing advanced industry analytical reports on the topics of Artificial Intelligence,GovTech,Blockchain,FinTech and Invest-Tech.It has produced a number of comprehensive analytical reports in coordination with the UK All-Parties Parliamentary Groups on AI and on Blockchain,including its AI in UK Landscape Overview 2018 and Blockchain in UK Landscape Overview 2018,unprecedented in their scope and length,and collectively more than 3,000 pages.The company has also recently deployed advanced interactive online IT-platforms that feature dynamic mind maps and filterable,customizable databases updated with new industry developments in real-time.Deep Knowledge Analytics will continue to expand the scope,depth and topics covered by its analytical reports on frontier technology-driven industries,with the aim to develop the next iterations of their analytical frameworks with a wider breadth and depth of metrics and overall analytics,to apply efficient methods to cross-sector analysis between different industries,and to apply both existing and new analytical frameworks to the design of the new Invest-Tech solutions(novel investment technologies and strategies relevant for the third decade of the twenty-first century),which is the only relevant way to implement the long-term strategic vision of Deep Knowledge Ventures.87Innovation EyeAbout GreengageGreengage has been servicing the cryptoasset sector for over three years and are currently on the FCA temporary register for the Crypto
2022-11-30
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