Contrary to popular belief,
the GDPR will also impact businesses outside of the EU if they collect data or
behavioral information from people in the EU region. Also, the implementation
of this new law is likely to prompt other regions to tighten their regulations
on big data. But with the robust growth of the Internet of Things (IoT) and the
ever-rising instances of consumer data abuse, it seems that strict big data
regulation is all but necessary.
However, there is a challenge
for businesses in terms of the costs and complexity of implementing these laws.
For instance, according to estimates by the International
Association of Privacy Professionals (IAPP) in collaboration with EY, Fortune
500 companies will spend a total of $7.8 billion to comply with the GDPR
regulation. This equates to an average of around $16 million per company.
The costs range, from the implementation
of compliant measures to financial penalties that might occur in the event of a
data breach, as well as the reputational damage from public rebuke by
regulators in the field. With regulations such as the GDPR in place,
companies may find themselves on the wrong side of the law, especially considering
the gray areas that exist in these regulations. The lack of clarity means that
it will largely be at the discretion of the regulators to decide what
constitutes a violation and what does not.
It, therefore, goes without
saying that businesses will need superior solutions to be able to adhere to
these regulations while keeping their costs low. Blockchains, the immutable
public ledger technology, are providing answers to most of these challenges
through a number of innovative solutions.
Blockchain technology is all
about shifting power from central bodies to individuals. In the big data
industry, this means allowing individuals to take control of their personal
data and capitalize on it. Traditionally, internet users have had little
control over how their data is collected and used by businesses and data
brokers. What’s even worse is that most people are unaware of the value of
their data and how data brokers are using it to generate immense wealth.
Blockchain technology is aiming to move the power back to the individual
by enabling people to choose when to share their data and to define how and
when it should be used as well. Moreover, blockchain platforms will make it
possible for individuals to make an income by sharing their personal data with
One innovative solution that
has reached a huge milestone in making the decentralization of the big data
industry possible is Endor, a blockchain platform
founded by MIT engineers. The project, known as “Google for predictive
analytics,” seeks to introduce a fully automatic, open platform for behavioral
prediction on which firms can ask predictive questions and receive instant
insights. On the other hand, data owners can choose to share their personal
data on the platform and get rewarded in Endor’s EDR tokens.
a blockchain platform that aims to solve India’s big data problem, is another
example of a big data solution driven by a blockchain. The project intends to
make high-value and sensitive data readily available for authorized business
purposes while securing and safeguarding it from hackers. Unlike the Endor
project, Zebi’s main focus is on protecting sensitive data elements such as
land records, education and health data, employee and salary information,
pension payments and others. With the Zebi solution, companies that handle
sensitive user information have a guarantee that they will not find themselves
on the wrong side of the law.
Solutions such as Endor and Zebi
will enable businesses to save on costs and comply with regulations without the
fear of unknowingly violating them. This is the best time for firms to start
embracing blockchain-driven solutions in their big data endeavors and save
themselves many headaches down the line.