Blockchain technology enables individuals and organizations, even those who are unfamiliar with each other, to collectively agree on and securely record information without the need for a central authority. This innovation has the potential to transform how we share information and conduct online transactions, offering enhanced trust in data.

The European Commission has developed a strategy aimed at establishing a “gold standard” for blockchain technology in Europe, aligning with European values and principles within a legal and regulatory framework. This “gold standard” encompasses several key aspects:

Environmental Sustainability: Blockchain technology should prioritize sustainability and energy efficiency.

Data Protection: It should align with and support Europe’s robust data protection and privacy regulations.

Digital Identity: The technology should respect and enhance Europe’s evolving digital identity framework, including compatibility with e-signature regulations and support for decentralized and self-sovereign identity systems.

Cybersecurity: High levels of cybersecurity should be a fundamental feature of blockchain technology.

Interoperability: Blockchains should be able to interact seamlessly with each other and with existing systems.

Key elements of the European Commission’s blockchain strategy include:

Building a Pan-European Public Services Blockchain: The European public sector is leading the way by developing its blockchain infrastructure, including plans for interoperability with private sector platforms. The European Blockchain Partnership is overseeing this effort, resulting in the European Blockchain Services Infrastructure (EBSI).

Promoting Legal Certainty: The Commission recognizes the importance of legal certainty and is developing a pro-innovation legal framework for digital assets (tokenization) and smart contracts. This framework aims to protect consumers and provide legal clarity for businesses while avoiding regulatory fragmentation.

Increasing Funding for Research and Innovation: The EU offers funding for blockchain research and innovation through programs like Horizon Europe, supporting startups and projects in the field.

Promoting Blockchain for Sustainability: Blockchain technology is seen as a tool to foster sustainable economic development, address climate change, and support the European Green New Deal.

Supporting Interoperability and Standards: The Commission actively engages with standardization bodies to promote the importance of standards in advancing blockchain technology.

Developing Blockchain Skills: Initiatives focus on developing the necessary skills to meet the growing demand for blockchain expertise across Europe.

Interacting with the Community: The Commission engages with the private sector, academia, and the blockchain community through organizations like the International Association of Trusted Blockchain Applications (INATBA) and the European Blockchain Observatory and Forum.

Source: https://digital-strategy.ec.europa.eu/en/policies/blockchain-strategy