Implementing Blockchain Technology in the Egyptian Context Opportunities and Challenges Amira Rady Mahmoud.

Supervisor:
Dr. Mohamed Mamdouh Awny.

Thesis (M.A.)—Nile University, Egypt, 2022 .

"Includes bibliographical references"

Contents:
List of Abbreviations ----------------------------------------------------------- 1
List of Figures -------------------------------------------------------------------- 2
List of tables ---------------------------------------------------------------------- 3
Abstract --------------------------------------------------------------------------- 4
Chapter 1 InTroduction ------------------------------------------------------- 5
Chapter 2 Blockchain Technology ------------------------------------------- 9
2.1 Blockchain Technology Fundamentals ------------------------------------------------ 9
2.1.1 Ledger ------------------------------------------------------------------------------------------- 9
2.1.2 Consensus --------------------------------------------------------------------------------------- 9
2.1.3 Smart Contracts ------------------------------------------------------------------------------- 10
2.1.4 Hashing ----------------------------------------------------------------------------------------- 10
2.2 Blockchain Technology Innovation --------------------------------------------------- 10
2.2.1 Public permission-less and private permissioned Blockchain ------------------------- 10
2.2.2 Cryptocurrency -------------------------------------------------------------------------------- 11
2.2.3 Decentralized applications (Dapps) -------------------------------------------------------- 12
2.2.4 Tokenization ----------------------------------------------------------------------------------- 12
2.2.5 Initial Coin Offering ICO-------------------------------------------------------------------- 13
2.3 Blockchain Technology Adoption ---------------------------------------------------- 14
2.3.1 Benefits ----------------------------------------------------------------------------------------- 14
2.3.2 Blockchain Potential Sectors and Applications ------------------------------------------ 15
2.4 Global Outlook --------------------------------------------------------------------------- 21
2.4.1 United Arabs Emirates ----------------------------------------------------------------------- 21
2.4.2 The Kingdom of Bahrain -------------------------------------------------------------------- 23
2.4.3 European Union ------------------------------------------------------------------------------- 24
2.4.4 Africa ------------------------------------------------------------------------------------------- 25
2.5 Challenges to Adoption ----------------------------------------------------------------- 30
2.6 Conclusion -------------------------------------------------------------------------------- 34
Chapter 3 Problem Statement, Research Objective, Methodology, and Limitations ---------------------------------------------------------------- 37
3.1 Research Problem ----------------------------------------------------------------------- 37
3.2 Research Question ----------------------------------------------------------------------- 37
3.3 Research Objectives --------------------------------------------------------------------- 38
3.4 Research Method ------------------------------------------------------------------------ 38
3.4.1 Research Design ------------------------------------------------------------------------------ 38
3.4.2 Data Acquisition ------------------------------------------------------------------------------ 39
3.4.3 Sampling --------------------------------------------------------------------------------------- 41
3.4.4 Analysis Method ------------------------------------------------------------------------------ 43
3.5 Research Limitation --------------------------------------------------------------------- 44
Chapter 4 Research Results ------------------------------------------------- 45
4.1 Blockchain Adoption Outlook --------------------------------------------------------- 45
4.2 Blockchain adoption opportunities ---------------------------------------------------- 46
4.2.1 Potential Sectors ------------------------------------------------------------------------------ 46
4.2.2 Potential Blockchain applications --------------------------------------------------------- 49
4.2.3 Reflections about the benefits of adopting the Blockchain in Egypt ----------------- 52
4.3 Main challenges of adopting Blockchain technology ------------------------------ 53
4.3.1 Market ------------------------------------------------------------------------------------------ 53
4.3.2 Resistance to Blockchain adoption -------------------------------------------------------- 54
4.3.3 Regulations ------------------------------------------------------------------------------------ 55
4.3.4 Lack of a national blockchain adoption strategy ----------------------------------------- 56
4.3.5 Awareness ------------------------------------------------------------------------------------- 56
4.3.6 Lack of Egyptian Blockchain skills -------------------------------------------------------- 57
Chapter 5 Discussions -------------------------------------------------------- 58
5.1 Egypt and the global blockchain experience ---------------------------------------- 58
5.1.1 UAE--------------------------------------------------------------------------------------------- 58
5.1.2 European Union ------------------------------------------------------------------------------- 59
5.1.3 Bahrain ----------------------------------------------------------------------------------------- 59
5.1.4 Africa ------------------------------------------------------------------------------------------- 60
5.2 The Egyptian Blockchain benefits, sectors and applications. --------------------- 61
5.2.1 Benefits ----------------------------------------------------------------------------------------- 61
5.2.2 Potential sectors and applications ---------------------------------------------------------- 61
5.2.3 Permission in Blockchain ------------------------------------------------------------------- 63
5.2.4 Blockchain adoption challenges ------------------------------------------------------------ 63
Chapter 6 Conclusion and Future Research ----------------------------- 65
6.1 Opportunities for adopting the Blockchain technology in Egypt. ---------------- 65
6.2 Challenges for the Blockchain adoption in Egypt. ---------------------------------- 66
6.3 Recommendations to mitigate the challenges --------------------------------------- 67
6.3.1 Blockchain awareness ------------------------------------------------------------------------ 67
6.3.2 Blockchain Egyptian Talent----------------------------------------------------------------- 68
6.3.3 Blockchain Egyptian Research ------------------------------------------------------------- 68
6.3.4 Blockchain technology ecosystem --------------------------------------------------------- 69
6.3.5 National strategy for Blockchain technology adoption --------------------------------- 69
6.3.6 Encourage the Blockchain innovation ----------------------------------------------------- 69
6.4 Future Research -------------------------------------------------------------------------- 70
References ---------------------------------------------------------------------- 73
Appendices --------------------------------------------------------------------- 79
Appendix 1 - Interview Questions ---------------------------------------------------------------- 79
Appendix 2 - Interviews Schedule ---------------------------------------------------------------- 82
Appendix 3 – Paper published by the researcher: Proceedings of the 30th International Conference of The International Association for Management Of Technology, IAMOT 2021 - MOT For The World Of The Future. Pages 1068 – 1081 (2021). ------------------- 83

Abstract:
Blockchain technology is an emerging technology that is evolving with diverse benefits worldwide. Each country has its own motives and barriers to adopting the applications/sectors of blockchain technology that suit its motives and barriers. Therefore, it is crucial to identify the benefits and the challenges of adopting Blockchain technology from the Egyptian perspective. This is the main objective of this research work. It identifies, further, the potential Blockchain applications/sectors that benefit Egypt much, and the possible challenges for that adoption. Literature has been exhaustively reviewed about this emerging technology to identify the benefits and challenges of the technology with respect to the different sectors of the countries globally. Then, due to the newness the technology, an exploratory nature, a qualitative research design along with semi-structured interviews have been followed in this research. The purposes of the field research are to identify the potential areas of Blockchain adoption and the implementation barriers and challenges which may be faced in Egypt. The interviews of a selected number of Egyptian experts revealed that the most potential sectors in Egypt that could be affected by the adoption of this emerging technology are supply chain management, real estate, banking and finance, and governmental services. Efficiency, trust, transparency, and security have been shown as the key Egyptian benefits of the adoption of this technology. Potential challenges are explored in relation to regulations, awareness, market, skills, and national strategy. This research work pinpoints the importance of implementing Blockchain technology in Egypt. Blockchain technology shall support researchers, entrepreneurs, decision-makers, and technology enthusiasts in the industry and government. This research suggests means to mitigate the difficulties and challenges in the Blockchain technology implementation in Egypt. This study can be considered also as an added value to the very little Egyptian literature written about Blockchain technology.

Text in English, abstracts in English.