Decentralization and Distributed Innovation: Fintech, Bitcoin and ICO's

Abstract

This paper will review some of the innovation thoughts such as creative destruction, innovation paradox and leapfrog economics, and explore the idea of decentralisation and distributed innovation. Examples of growth of FinTech companies in China and FinTech policy response from Singapore will be used to illustrate the efforts in innovation. We look at the growth of decentralisation and distributed technology such as Bitcoin and ICO's and examine if there is value in them as innovation for sustainable development. The paper argues that Decentralisation may eventually solve the pain points of catch-up theory of Creative Destruction in Development Economics. Decentralisation via the Token Economy has great potential to level the playing field for those that are small, less endowed, and with a weaker degree of access.

Keywords: Decentralisation, Distributed, Innovation, Bitcoin, ICO, FinTech, Blockchain