Blockchain Revolution: How Bitcoin Technology is Transforming Money, Business, and Global Systems

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Traditional Chinese Edition Preface

Taiwan’s Opportunity in the Blockchain Revolution

I am delighted to have delivered several keynote speeches in Taipei this year (2017) to corporate executives, government leaders, and entrepreneurs about the blockchain revolution.

Twenty years ago, during my first visit to Taiwan, I discussed the rise of the internet and the World Wide Web as transformative communication mediums. I emphasized that this presented a pivotal opportunity for Taiwan—but only if the nation could foster leadership willing to embrace this new technology.

This year in Taipei, I returned with a similar message: we stand at the threshold of another groundbreaking communication medium—one with immense promise but also significant risks for societies that fail to adapt.

The Internet’s Second Era

Fundamentally, the internet is entering its second era. The first era brought us networks, social media, mobile computing, big data, and cloud computing—advancements that paved the way for progress across nearly every aspect of life. Yet, these breakthroughs only scratched the surface of the internet’s potential, particularly for businesses and consumers.

Since the Industrial Age, the deep structures of businesses have remained largely unchanged, characterized by hierarchies, vertical integration, and bureaucracy. The digital revolution has so far failed to substantially improve overall living standards. In many developed nations, while digitalization has generated wealth, it hasn’t proportionally created jobs, leaving social inequality unresolved. Privacy—the bedrock of free societies—has been eroded by data miners extracting and selling digital footprints.

Moreover, most of the world’s population hasn’t benefited from the digital economy. Over two billion people still lack access to basic banking services.

Technology as Both Problem and Solution

Technology is a double-edged sword. Former U.S. Secretary of State John Kerry cited research at the 2017 World Economic Forum in Davos, revealing that 85% of job losses in America weren’t due to outsourcing but automation. Today, robotics and disruptive business models are displacing jobs at an unprecedented scale.

The internet has also disrupted intellectual property (IP) models, where creators—such as musicians—often aren’t fairly compensated for their work.

The Promise of the Blockchain Internet

What if, alongside the information internet, we had a value internet—a global, decentralized ledger enabling secure, private storage and transfer of assets like money, stocks, bonds, music, votes, and credentials? Imagine reducing friction by transacting peer-to-peer, bypassing intermediaries like banks and governments.

This new internet is taking shape, powered by blockchain, the foundational technology behind Bitcoin and the most exciting innovation in computer science in decades.

Blockchain is an open, programmable platform capable of unleashing applications that transform daily life. At its core, it’s an immutable global database, recording everything of value:

Blockchain data is highly accurate, validated through mass collaboration, eliminating the need for traditional trust mechanisms.

Reinventing Industries

Crucially, blockchain enhances existing business models by improving security, lowering costs, and streamlining operations.

Financial services are a prime example. Institutions like banks, insurers, and pension funds already recognize blockchain’s benefits:

Individuals also benefit from peer-to-peer interactions, reducing bureaucratic hurdles in banking, tax payments, and licensing—all while maintaining privacy.

Risks and Opportunities

While blockchain empowers incumbents to achieve more with fewer resources, it also lowers entry barriers for disruptors, challenging traditional players in every sector.

Originally Bitcoin’s backbone, blockchain has evolved into a vast ecosystem. Since this book’s English publication in 2016, new initiatives like:

have emerged, driving enterprise adoption.

Taiwan’s Potential

Could Taiwan lead this revolution? With its strong tech infrastructure, computer science expertise, entrepreneurial culture, and government support, Taiwan is well-positioned.

We’ve established a global think tank exploring blockchain use cases, opportunities, and challenges—a multimillion-dollar initiative spanning nine industries, focusing on financial services.

Founding members include IBM, Accenture, SAP, NASDAQ, and PepsiCo. We invite Taiwanese banks, corporations, and governments to join us in realizing blockchain’s potential.

We hope you enjoy this book and join us in shaping a fairer, more prosperous world through blockchain.

Don Tapscott (with Alex Tapscott)
Toronto, Canada | May 2017

FAQ

1. What is blockchain technology?

Blockchain is a decentralized digital ledger that records transactions across multiple computers securely and transparently.

2. How does blockchain improve financial services?

It reduces fraud, lowers costs, and enables faster transactions by eliminating intermediaries like banks.

3. Can blockchain be used beyond finance?

Yes! Applications include supply chain tracking, healthcare records, voting systems, and intellectual property management.

4. Is blockchain secure?

Blockchain’s decentralized nature and cryptographic validation make it highly resistant to hacking.

5. What’s the role of smart contracts?

👉 Smart contracts automate agreements, executing terms when predefined conditions are met, reducing paperwork and disputes.

6. How can businesses adopt blockchain?

Start with pilot projects, partner with tech providers, and educate teams on blockchain’s strategic benefits.

👉 Explore blockchain’s transformative potential in your industry today!