Barriers Affecting Higher Education Institutions’ Adoption of Blockchain Technology: A Qualitative Study
Abstract
:1. Introduction
2. Benefits and Obstacles of Blockchain Applications in the Higher Education Sector
3. Methods
3.1. Research Approach
3.2. Participants
3.3. Data Collection
3.4. Ethical Considerations
3.5. Data Analysis
4. Results
4.1. Technological Barriers
4.1.1. Immaturity
“We need the staff to understand this technology, they need to adopt this for their needs, change the infrastructure or the platform, there are different types of blockchain, how they can decide which type is the best to adopt, which information can be stored on the blockchain and which type.”
“The adoption of blockchain is subject to the need to use blockchains and the limitations of this technology. So, it is good in some respects and it is not so good in other aspects, probably they haven’t identified a use case and the requirements blockchain can meet.”
“If there’s not a critical mass of a team or many people are interested or working with blockchain, the things can’t come to fruition easily. I mean, most people have heard what blockchain is now. But it is not known what it is, and I think most people still think of Bitcoin. But blockchain technology could be used at the university’s administrative level.”
“Maturity is a problem with Blockchain technology. Because this technology changes a lot, it is a dynamic topic.”
“There are already some blockchain-based solutions that are mature and that can be applied. So, I don’t think it is immaturity the reason that they are not widely adopted.”
4.1.2. Poor Usability
“Administrative and scientific staff, end-users, professionals and students need to use easily blockchain-based solutions. They must therefore have usable interfaces and useful tools to use and configure these solutions.”
“Everyone in the organization must have the ability to use blockchain applications easily. I think that somehow usability is one of the most important challenges in the adoption of blockchain in HE.”
“Algorithms can be useless, not good, or they cannot be used sufficiently in 10 years. This means that they will not be usable.”
4.1.3. Lack of Scalability
“In the public blockchain, each node in the blockchain network should verify the block, which means low transaction speed and high energy consumption. And then the blockchain in general scales up. it is very important to think about the scalability of the system in this setting.”
“The high number of transactions causes problems in our university due to the heavy network load, especially in the examination period.”
“Slow transactions are associated with public blockchains because it supports a lot of nodes, if we use a small private blockchain, then transaction time should not be a problem, but the universities are not ready today to develop a private blockchain in terms of experts, software and hardware.”
“Slow blockchain transactions for issuing credentialing may be a minor issue but handling educational tokens or attempting to pay university fees may present a much more significant issue.“
“Slow transactions could be a problem for real-time applications or public-facing applications where an end-user expects to read the data instantly.”
“Many new blockchain systems provide high throughput and fast confirmation latency and low energy consumption. If the use cases are properly analyzed, the correct system can be determined with the right combination of properties and trade-off achieved.”
4.1.4. Limited Interoperability and Standardization
“The absence of common standards is because the majority of projects employ a variety of blockchain platforms and solutions, each with its own set of protocols, programming languages, consensus mechanisms, and data security measures.”
“The issue of interoperability arises at different levels, such as the interoperability between blockchains and data, business processes, systems with different consensus algorithms and different platforms.”
“Ark is a solution that offers universal interoperability. Cosmos is another alternative that uses the Inter blockchain communication (IBC) protocol to enable blockchain to operate outside the silos and to transmit files.”
4.1.5. Integration Complexity
“The HEIs decide to use blockchain system, so they must entirely restructure their older system or develop a method to effectively integrate the two systems.”
“Restructure or align the business processes and create interfaces to facilitate data communication and sharing among blockchain and related legacy systems, such as the Enterprise Resource Planning system (ERP).”
“The lack of experts is the reason why integration is a challenge in HEIs, but this issue can be mitigated by depending on a third party.”
4.1.6. Security Issues
“Keeping educational material on blockchain may cause a risk since errors in the application, platform, or data input can occur. In addition, users often do not sufficiently protect their private keys. Furthermore, data leakages that possibly will cause a security risk can happen as a result of many upgrades.”
“I think that the social engineering attack may occur due to the lack of user knowledge on blockchain.”
“Hackers can alter portions of a blockchain and roll back transactions if they succeeded to attack 51% of nodes, this may cause a delay in initiating a new transaction, which causes a crash in the network.”
“If a student loses his/her private key information necessary to establish ownership, he/she will lose all his/her information on the blockchain, and he/she can’t get this information again, he/she may lose his/her academic credentials.”
“I don’t think it is a problem or a challenge, because we can have cyber-attacks and other security issues in any system. It depends on how the system is built and secured.”
“In the media, you hear about attacks on the blockchain system. In some cases, these attacks can’t break the blockchain or the peer-to-peer system itself, but this attack affects, for example, the centralized platforms that are often used to exchange money.”
“We know several security issues in the blockchain. But I think private blockchains, d the Hyperledger Fabric or other security solutions are less vulnerable to security threats.”
4.1.7. Privacy
“When we adopt a blockchain, we must think a lot about protecting the student’s private data. Students’ data will no longer be regarded as private if it is preserved in a public ledger.”
“I think we can preserve privacy by choosing the right blockchain solution. For example, the public type is not suitable to store data. Although the data is encrypted, there are various tools to decrypt it.”
“GDPR does not allow the storing of private data in an immutable storage system, such as a blockchain, additionally, the data must be anonymized.”
“In blockchain, it is not allowed to change or remove data, even for legitimate reasons, which is in opposition to the freedom to be forgotten under the GDPR.”
“Privacy-preserving techniques such as zero-knowledge proofs (ZKP) are becoming increasingly popular for blockchains so this should not be an issue any longer.”
4.1.8. Immutability and Lack of Flexibility
“Because a block in a blockchain is copied in several nodes, it cannot simply be modified. No one can alter a student’s credentials once they are stored on a blockchain.”
“Immutability is a key feature for building more trust between all individuals involved in the chain, but it would eliminate the ability for students’ records to be altered for valid purposes.”
“Immutability prohibits removing educational data for legal reasons. Although data can be modified by authorized authority, the original data will still be kept in the blockchain forever, which disputes with the GDPR’s right to be forgotten.”
“If I’ve signed a contract with the university and I would like to resign or request a salary increase, the old contract will be stored in blockchain, even if it is no longer valid. Moreover, we should create a new block in the chain.”
“It depends on the application you are using. I don’t think it is a problem. For example, in issuing certificates.”
“Blockchain immutability could help detect plagiarism in the student’s assignments stored in blockchain.”
4.1.9. Data Unavailability
“Holding data in the hands of the students themselves could cause this data unavailable and can influence the educational applications that depend on this data.”
“Currently, data handling is the responsibility of the educational institution’s administration division. But the blockchain minimizes the duties of the management department because all data are stored there. Then, additional issues emerge: Whose owns the data? Who has the right to utilize it?”
“The availability of data in the blockchain depends on several technological factors, including the specific block size, the network’s communication speed, the proof-of-work protocol.”
4.2. Organizational Challenges
4.2.1. Lack of Adequate Skills
“Blockchain is a new technology, so one of the reasons to hinder adoption of this technology is the shortage of qualified staff who can work on this type of technology.”
“There is a lack of expertise and competencies required to handle student data in a blockchain network. So, this could be one of the causes of the lack of trust in this technology. In Sweden, there are developers of smart contracts. For example, we work on our project with an expert on Hyperledger. But they’re not enough for all blockchain projects.”
“The type of blockchain technology utilized has an impact on the number of specialists and professionals that are available. For instance, Ethereum has a large developer community.”
“The crucial step for the effective application of blockchain technologies could be to prepare the academic and administrative staff on how technology can be managed and maintained.”
“I am also co-creator of a big blockchain educational project with 20 partners. We have developed reports on the lack of required skills to implement this project since there is a shortage of administration staff and experts.”
4.2.2. Financial Barriers
“Because the blockchain blocks must be copied on each node of the blockchain network, most blockchains, especially public blockchain, need extremely high storage capacity and energy consumption costs because the computing resources required to achieve cryptography.”
“We use a lot of electricity. The Ethereum network gas charge is extremely expensive. whatever you do, you must pay for the gas.”
“It is a difficult and expensive task to find qualified developers, they expected to have different skills such as building blockchain platforms, including Ethereum and Hyperledger, experience in blockchain programming languages, and experience in building mobile or web applications.”
“The entire cost of transacting on the Ethereum blockchain platform is expensive, Stellar platform is a blockchain intended to reduce the transaction costs.”
“Developing a distributed application on a public blockchain like Ethereum, will be significantly less expensive than building it on a private platform.”
“When building a blockchain application from scratch, the price will rise, including those for infrastructure upgrades, smart contracts, transaction fees, cryptography, and consensus algorithms.”
“When universities start their projects, they need years and costs to finish their project but then they will get a benefit, and decentralization can also help reduce costs of administration.”
“Normally, all projects cost money and the IT department in the universities has a budget.”
4.2.3. Lack of Management Commitment and Support
“Without the support of my institution’s top management, it will be very difficult to manage and allocate resources and budget that could help to implement the project successfully.”
“Our project staff felt encouraged as the university showed high-level support for implementing the project.”
“In my institution, The transition to the blockchain was difficult for personnel because clear standards and rules are absent.”
4.3. Environmental Challenges
4.3.1. Legal Issues and Lack of Regulatory Compliance
“Blockchain’s immutability prohibits removing educational data for legal reasons. Although data can be modified by authorized authority, the original data will still be kept in the blockchain forever, which disputes with the GDPR’s right to be forgotten.”
“It is difficult for us to determine whether the data stored on the blockchain is sensitive. If the data are personal data, the GDPR must be respected, another issue is whether the data can be correctly anonymized to conform to GDPR.”
“We need to re-engineer some processes such as the process for verifying records or issuing certificates. I can say that we need to adapt internal laws or procedures to the new application.”
“I think the big problem is the regulation. it is even a European problem. We do not have a unique registration system in Europe, some standards are used such as Alternative Trading Systems ATS or other standards. but they try currently to develop a standard for the decentralized identity.”
“I think today’s laws and regulations work well for organizations. But If you look at saving certificates, you may encounter problems with the non-fungible token (NFT), and there are large question marks related to intellectual property and copyright.”
“Another problem is government intervention, as countries increasingly recognize that blockchain applications in the financial sector will lose government control over the economy and financial institutions.”
4.3.2. The Market and Ecosystem Readiness
“The stakeholders have a lack of knowledge in this area because it is a new technology. So, they need to raise the awareness about the benefits of this technology.”
“There is a gap regarding how and where a blockchain can be applied, as well as its outcomes and advantages, which requires significant training for other stakeholders involved in the blockchain projects.”
“The government in Sweden could be an important partner in helping blockchain adoption and increase trust on this technology, for example, by collaboration with universities, and industries.”
4.3.3. Sustainability Concern
“The lack of blockchain technology’s alignment with a clear philosophy of educational sustainability is the primary cause of the low level of real implementations of this technology in education.”
“The Proof-of-work (PoW) protocol consumes a considerable amount of power. So, I think this causes a risk of climate change and a greater carbon footprint.”
“Bureaucracy steals significant time and consideration away from the necessary activities in higher education. In Sweden, almost half of the budget is devoted to administrative tasks in several HEIs.”
5. Discussion and Future Directions
6. Challenges and Limitations
7. Conclusions
Author Contributions
Funding
Data Availability Statement
Conflicts of Interest
Appendix A
Respondent | Theme | ||
---|---|---|---|
Immaturity | Financial Barriers | Legal Issues | |
Respondent 1 | “There is a huge amount of transactions as in all the institutions, this is a big problem, a big challenge, also immutability, because, as you know, you can’t change the information in the block.” | “We need a high speed and we need a high consumption of energy. So, it is not easy to afford this in our organization. So you need to this will reflect on the cost.” | “Basic challenge slides besides other challenges, for example, related to the privacy because the blockchain does not go on with the GDPR, for example, all the incidents, the GDPR so this is one of the big challenges related to the privacy and the legal issues.” |
Respondent 3 | “Immutability can be seen as a strength in case you want to be tamper-proof or prove something. But there are some, especially from the GDPR perspective. For instance, it can be a problem to have something somewhere that you cannot erase.” | “The cost of running the actual servers in terms of energy and it has been shown that permission has blockchain like Bitcoin consumes a lot of energy. So the problem is if you get to the sizes like that the cost, it’s huge.” | “And like uncertain about where the regulation stands like, what should you be doing? I believe so, yeah, I’m a bit more on the technical side. I can only imagine the challenges from a legal perspective, to be honest, if I must be compliant.” |
Respondent 4 | “I think it’s just still no maturity of the technology. I don’t think so because there is already a major technology in the field that can be used. So probably it’s more about complexity and adoption. So, if it’s not widely adopted, you have the problem of critical mass that you are.” | “It depends because the issue here is that with permission fewer networks, so the technology is complex so then you will have to pay to participate in that and you need some engineering cost if even if you are using permissionless.” | “I mean you have the Spanish legal system. So you have the degrees and how you admit them and everything. So just publishing them in an online repository like a blockchain network is not a problem at all. Probably the users would accept that or that that that this is published there, but I don’t see any legal constraints.” |
Respondent 7 | “The immutability of records doesn’t matter here. But maybe it matters not for the grades, but maybe for the evolution of the assignments. So if some assignments are submitted.” | “The cost for that I know. I think that’s the problem. The most crucial problem is to find dedicated people to work in that in Sweden there are specific smart contract developers.” | “I serious things to talk about. It’s not just, you know, a private person doing whatever they want with their own money, so to speak, but they won’t evolve this we do have to have specific legal frameworks specifically for blockchain. So the GDPR framework in the European Union is not enough.” |
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Participant No. | Job Title | Years of Experience | Country |
---|---|---|---|
P1 | Professor in Informatics | 13 | Sweden |
P2 | Associate professor in Software/IT | 7 | Canada |
P3 | Ph.D. student in Blockchain Systems | 3 | Norway |
P4 | Professor/European research project coordinator | 12 | Spain |
P5 | Associate professor/Co-creator European Blockchain project | 10 | France |
P6 | Professor in Computer Engineering | 7 | Spain |
P7 | professor in Construction Management/Blockchain researcher | 6 | Sweden |
P8 | Associate professor in Blockchain courses | 8 | Sweden |
P9 | Professor in Informatics and Information Systems | 11 | Sweden |
P10 | University IT manager | 4 | Sweden |
P11 | University IT developer | 5 | Sweden |
P12 | Computer Science department manager | 2 | Sweden |
P13 | University top manager | 3 | Sweden |
P14 | University administration employee | 3 | Sweden |
TOE Context | Technological Barriers | Organizational Barriers | Environmental Barriers |
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Themes |
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Mohammad, A.; Vargas, S. Barriers Affecting Higher Education Institutions’ Adoption of Blockchain Technology: A Qualitative Study. Informatics 2022, 9, 64. https://doi.org/10.3390/informatics9030064
Mohammad A, Vargas S. Barriers Affecting Higher Education Institutions’ Adoption of Blockchain Technology: A Qualitative Study. Informatics. 2022; 9(3):64. https://doi.org/10.3390/informatics9030064
Chicago/Turabian StyleMohammad, Abdulghafour, and Sergio Vargas. 2022. "Barriers Affecting Higher Education Institutions’ Adoption of Blockchain Technology: A Qualitative Study" Informatics 9, no. 3: 64. https://doi.org/10.3390/informatics9030064
APA StyleMohammad, A., & Vargas, S. (2022). Barriers Affecting Higher Education Institutions’ Adoption of Blockchain Technology: A Qualitative Study. Informatics, 9(3), 64. https://doi.org/10.3390/informatics9030064