203

12 ^{Blockchain Technology}

in the Banking System in

Developing Countries

Potential and Future Trends

Van Chien Nguyen, Lam Oanh Ha

and Sarfraz Hussain

12.1  INTRODUCTION

The Industrial Revolution 4.0 was first listed in Germany in 2011 as a proposal

to implement a new paradigm focused on high-tech strategies in economic policy

(Mosconi, 2015). Indeed, interoperability practices are the basis for the launch of the

fourth technological revolution, focused on principles and technologies like physical

network networks, the Internet of Things (IoT) and the Internet of Services (IoS).

The Internet link enables constant connectivity and information sharing between

individuals and blockchain technology in socio-economic activities (Mehdiabadi

et al., 2020).

The revolution is changing the way of life today, but it also significantly affects

the financial, banking and global industries. The Industrial Revolution 4.0 focuses

mainly on using large-scale devices and deploying advanced automation, networking

and surveillance across the Internet. In the World Economic Forum report (2016), $1

invested in digital technology has increased gross domestic product (GDP) by $20

CONTENTS

12.1 Introduction...................................................................................................203

12.2 Blockchain Technology: A Historical Overview...........................................204

12.3 Blockchain Technology and Its Potential in the Banking System.................207

12.4 Future Trends in Using Blockchain Technology in the Banking System......209

12.5 Blockchain Technology in the Banking System – a Typical Case Study

in a Developing Country................................................................................ 211

12.5.1 Banking Overview in Vietnam.......................................................... 211

12.5.2 Data and Methodology...................................................................... 212

12.5.3 Results................................................................................................ 212

12.6 Conclusions.................................................................................................... 216

References............................................................................................................... 217

DOI:  10.1201/9781003138082-12