What Are the Best Blockchain and Software Development Countries?
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Recently, blockchain and crypto became buzzwords for the majority of users across the world. Ideas of decentralized money independent of governments and payment processors and packed with next-gen security have captured the minds of various investors, traders, and ordinary users. Enthusiasts now foresee the emergence of new cashless societies driven by benefits of blockchain: immutability, transparency, safety, and convenience.
But the world is still old-fashioned. To success, crypto startups have to deal with regulations and laws which differ from country to country. Some states like Switzerland build crypto-friendly ecosystems while others like China ban ICOs and exchanges. Hence, developers and users become more loyal to blockchain ideas in regions with favorable conditions where people can work with crypto freely.
Further, we’ll try to answer the main question: what are the best blockchain and software development countries? For this, we want to look at regulations, technology implementations, and overall popularity. Obviously, the best climate for developers will be in states with loyal governments. So, let’s find out the answer!
Perfect Countries for Blockchain Projects
As we’ve mentioned, the list of top-rated countries features ones with good governmental regulations focused on developing blockchain-friendly community. The reviewed states also have proven results of using crypto for various local, regional, and global tasks. As a rule, small nations such as Malta and Estonia focus on the most innovative ideas but further you will find big platers, as well.
Additionally, you can find examples of countries with good conditions for general software developers on Diceus website.
Widely known in the world, a small municipality Zug in the eponymous canton is a real paradise for blockchain teams and users. Enthusiasts call it Crypto Valley because of numerous governmental and private initiatives, lowered taxes, and favorable conditions. Switzerland has chosen a nice approach to regulations by adapting existing law system to crypto ideas instead of creating brand new legislation.
As for results, citizens of Zug now can verify identities using blockchain-driven platforms developed by uPort, participate in municipality elections using a decentralized secure e-voting system, and even purchase real estate. Switzerland clearly realizes how profitable blockchain community can be, so tries to attract more developers. To name a few startups, Bancor and Shapeshift are based in Zug.
Malta is main Switzerland’s competitor in terms of building a blockchain society. On this small island, the government focuses on developing fresh legislation rules which are quite successful now. Malta has introduced a completely new framework with several strategic directions including the creation of the local Digital Innovation Authority and accepting acts related to tech innovations and virtual assets.
The best mark of success is high interest from leading crypto exchanges. Recently, Binance has moved to Malta after facing strict regulations in Japan. In addition, another top-rated trading platform OKEx also expands to Malta proving the title of Blockchain Island. Nevertheless, several startups face problems with opening bank accounts on Malta which could be dangerous for the atmosphere of crypto freedom.
3. United States
Mainly, Silicon Valley helps the USA to become the desired home for startups. Thanks to the insane concentration of smart minds and top-notch technology solutions with perfect infrastructure, the country was successful to feature more than 40% of the world’s crypto startups. Entrepreneurs start ICOs here regularly because they want to attract rich investors who live in the USA. However, the country has its issues.
Despite a high number of developers and startup records in popularity and revenue, the USA features some crucial challenges. Mostly, the SEC (Securities Exchange Commission) is the main obstacle on the decentralized road as this authority slows down the progress by rejecting various initiatives from Bitcoin ETFs to simple ICOs. Without defining clear regulations and laws, the USA will lose the race for blockchain leadership to Switzerland and Malta.
4. United Kingdom
Following the USA, the UK features a lot of blockchain startups, too. Local regulators started from making BaaS (Blockchain-as-a-Service) available for citizens in 2016. This decision allowed various companies to process welfare checks, loans, pensions, and other public services. Later, more industries recognized the advantages of a decentralized economics. For instance, a big energy company OVO has invested in a fresh startup called Electron.
When it comes to financial services and trading, the UK also focuses on loyalty. A few days ago, the London Stock Exchange has launched a blockchain ETF for all investors. This isn’t the one and only ETF featured blockchain companies, though. Talking about concerns for the UK, Brexit will be the main one because it will disrupt dozens of business links and partnerships, for sure.
5. Other Nations
Apart from the mentioned states, there are way more ones trying to adopt ideas of decentralization. Here are the most notable of them:
- Bermuda – develops new legal frameworks to become the best offshore platform for business all around the world.
- Chile – utilizes blockchain to optimize processes in the energy sector. Chile uses decentralized systems to track data and money, mainly.
- Estonia – builds an all-in-one ecosystem for citizens who are able to use blockchain in daily life. People can be sure that their data is secure, for instance.
- Georgia – adapts blockchain to create the next-gen land register. Decentralized platforms cut expenses up to 90%, streamline processing, and fight corruption.
- Singapore – apart from several financial initiatives related to crypto and banks, Singapore uses blockchain for education, healthcare, energy, and public services.
- UAE – the country creates a blockchain city in Dubai by launching a paperless government, AI-driven services, and decentralized market sectors.
Pure Numbers: Where Blockchain Developers Gather?
To understand how developers spread over the world, we’ve analyzed information from Dappros which conducted global research in September, 2018. The company collected data from open sources like LinkedIn and social media to reveal where developers work and which field they specialize at. As a result, the researchers got two pictures.
The first one unveils the absolute number of blockchain programmers in various states (196, to be precise, including even Vatican City and San Marino). The total estimated number is 107,210 persons who work with Ethereum, Solidity, Hyperledger, and Blockchain, at all. By counties, numbers are as follows:
- United States: 27,876.
- India: 12,509.
- United Kingdom: 7,656.
- Canada: 4,544.
- France: 4,283.
- Germany: 4,008.
- Netherlands: 3,312.
- Australia: 2,753.
- Spain: 2,612.
- Brazil: 2,189.
As you see, most of the leading states are either highly-developed countries or states with a lot of citizens. Thus, the second research focused on the ratio of developers to the population is more illustrative. For the entire world, there are 2.44 experts for every 100,000 ordinary people. Just compare these stats with leaders:
- Malta: 46.
- Luxembourg, Singapore: 36.
- Switzerland: 24.
- Netherlands: 19.
- Cyprus: 16.
- Slovenia, Ireland, Estonia: 14.
- Canada, UAE: 12.
- United Kingdom, Australia, Andorra: 11.
- Lithuania: 10.
- Denmark: 9.
Even considering that there are more than 10 countries because some have the same average ratio, only 4 states match: Netherlands, Canada, United Kingdom, and Australia. Other regions are way smaller than leaders from the first list which proves our insight that such nations try to create a favorable climate for innovations and, particularly, blockchain.
A Final Word
Basically, any country can become a good place for blockchain developers. The problem is that a lot of states are afraid of innovative and somehow disruptive ideas introduced by decentralized companies. Hence, governments slow down progress by accepting unfavorable laws, banning exchanges, and prohibiting mining. It’s natural as big counties like the USA and the UK are responsible for their stability and leading roles.
Wherein, smaller nations which have to do something new to become new leaders introduce innovations actively. Switzerland and Malta, Singapore and Estonia – these states welcome developers with low taxes and good legal/tech surroundings. We can’t predict which country will lead the game but we as users should be happy because of this competition. At the end of the day, we will benefit from it regardless of citizenship.