How Blockchain Technology Can Change the Middle East
The Middle East is witnessing a gradual shift, with Blockchain technology emerging as a central catalyst for transformation. Previously, the Dubai Department of Finance and the Smart Dubai Office unveiled their blockchain-powered payment system, tailored for government entities such as the Dubai Police, Roads and Transport Authority, and Dubai Health Authority.
This innovative system aims to streamline governance processes, ensuring greater accuracy and transparency, while enabling real-time payments within and between government bodies. It significantly reduces transaction times, which currently can extend up to 45 days. Aisha Bin Bishr, Director General at the SDO, emphasized that blockchain is no longer just “promising” but actively delivering results in Dubai and across the Middle East.
In Kuwait, the Kuwait Finance House (KFH) made headlines by joining RippleNet to develop a cross-border remittance payment system, marking the first instance of a Kuwaiti bank leveraging blockchain technology in this capacity. Similarly, the Central Bank of Saudi Arabia and BankDhofar of Oman have also embraced RippleNet to enhance cross-border banking, money transfers, and payment settlement for their retail and business clients.
Moreover, Blockchain technology is gaining traction in academic and research circles. Turkey recently inaugurated the Innovation Center (BlockchainIST Center) at Bahçeşehir University (BAU), aiming to bridge the blockchain expertise gap and promote widespread adoption of the technology. Bora Erdamar, the center’s director, envisions it as a hub for research, development, and innovation in Turkey, fostering technological advancements in the country’s academic landscape.
Despite complex political relations, countries like Cyprus and Turkey are emerging as centers for Blockchain technology in academia. The University of Nicosia, renowned globally for its expertise in blockchain technology, now offers a master’s degree in the field. This trend suggests a potential for mutual academic cooperation, offering a pathway to alleviate conflict and promote collaboration between these nations.
These developments underscore the Middle East’s rise as a pivotal hub for blockchain technology, signaling its evolution into an interconnected center for both business and academia. Ultimately, leveraging blockchain for economic development and scholarly pursuits has the potential to transform the region from a zone of conflict into a model of technological partnership.