Does the Future of the World Lies in Blocks and Chains?

:thinking: It will be wrong to say that Blockchain today is what the internet was in 1995.

While the possibility of reformation that the Internet brought is the same as what Blockchain carries, the difference is in the role the two groundbreaking technologies play - Internet on the foreground and Blockchain in the background.

Like in so many other places, the role of Blockchain in Public Services and majorly in Government bodies will be behind the scenes, where it will operate to make government bodies efficient, secure, speedy, and trustworthy.

Where Does Blockchain Fits Inside Government?

The hyper-connectivity that can now be seen in the world around us, has not just given birth to more data but has also brought in a significant transformation in how the economy is now operating and interacting.

This era of constant change and the economical shift is demanding the government to become more transparent, efficient, cost-conscious, and real-time, which translates into a government that is truly citizen-centric.

Now, meeting the demand that is now being presented will call for a shift that would shake the grounds of a bureaucratic government body. A shift that will only be made possible to foster through the induction of a technology that is devised with the aim to make the world transparent and efficient - Blockchain.

The many benefits of a Decentralized Government that Blockchain app development companies offer, revolve around making Government Bodies more efficient, in not just how they work but also in how well they stand on the public loyalty chart.

A. Building Trust with the Citizens

At a time where the trust that citizens put in their government is on an all-time low, there is a need to reverse the trend of constant distrust.

And Blockchain, with all its different features, comes as the solution.

The primal feature - Transparency changes half of the sentiments by allowing citizens to view and verify data. Blockchain solutions allow citizens to allow their personal verifications of the claims that the government makes - something that expedites the whole issues resolving process.

B. Protection of Sensitive Data

Data hacks and stolen identities have become a sad part of today’s reality. And as a by defaulted record manager of the society, governments become the main target of hackers globally.

Issues like 2017’s Equifax breach where the personal details, including the social security number of millions of Americans, were exposed and 2015’s data loss incident where millions of government employees data were compromised straight from under the nose of the Office of Personnel Management is continuously responsible for bringing the citizens’ trust down.

Blockchain with its second primal feature - Immutability, holds the power to make a complete nation hack-proof. Blockchain data structure strengthens the security of the network by lowering the single point of failure mistake and can make even the trying of the hack, impossible.

Now when this power of immutability is added to an mGovernment application, the benefits that Blockchain and Security mix offers become uncontested.

C. Improvement in Efficiency and Reduction of Costs

For the leaders of nations that operate on a budget of X dollars to meet the need that amounts to X+1 expense, efficiently, Blockchain can be a lifesaver.

When used in the right manner, Blockchain can not just lower the costs but also limit redundancy, streamline the processes, increase security, decrease the audit burden and even ensure that the data integrity is maintained.

To explain this a little further, let us look at the fact that there are around a trillion dollars lying as the unreconciled funds within the federal budget. Now the process of reconciling of these funds is expensive, time taking, and create uncertainty in budgets. But when you include in a Blockchain-powered accounting and payment system, you get a permanent audit trail and a much-expedited reconciliation.

These benefits and the myriad of benefit strings that come attached with these have not gotten unnoticed by governments around the globe. There are many government bodies who have either started planning Blockchain’s addition in their process or have already introduced it.

How the Government from Across the World are Using Block chain?

China

The efforts that the country has been taking to become the Block chain powerhouse harnesses the energy of public and private partnerships. To penetrate Blockchain in China’s economy further, Alibaba has been working with Changzhou city to secure all the healthcare data on Block chain, while Tencent is developing a logistics platform driven by Block chain by partnering with China Federation of Logistics and Purchasing.

Even after the government ban that nipped the bud of China’s plans to become a leader of crypto mining, cities of Shanxi, Shanghai, Henan, Guiyang, Guangzhou, and Hangzhou have issued programs to promote the development of Blockchain and the Xiongan New Area is now being developed as a Blockchain innovation hub.

USA

In 2017, the US FDA announced that it has signed an agreement with the IBM Watson Health branch to find uses of Blockchain in safely sharing the patients’ data. This partnership is aimed at addressing the absence of transparency and safety in the process of how health data is collected and passed.

The Trump Government in 2018 also gave the Department of Homeland Security the green signal to award the grant of over $192,380 to Factom, a startup which would measure the ability of the technology in protecting data which is collected through the Border Patrol sensors and cameras.

UK

In 2018, the UK’s FSA became the torch-bearer of Blockchain’s adoption. They developed a pilot to track meat distribution the slaughterhouses to check if they followed compliances of the food sector.

Following the success that FSA saw, a number of other bodies soon caught up - Defra integrated Blockchain to better the process of food traceability while HM Land Registry is finding ways to add the technology in the process of investigation of how to improve property buying and selling process and land registration.

The Department of Work and Pensions is also assessing the technology’s power in checking how it can benefit the claimants by managing their money.

Venezuela

In an effort to revive the country’s dying economy, Venezuela has turned towards Blockchain. In October of 2018, The Venezuelan President, Nicolas Maduro announced the launch of Petro - a digital currency.

Coined as the first cryptocurrency issued by a federal government, Petro’s objective lies in offering a solution to circumvent the sanctions on the financial transactions and curb the black market.

Venezuelans are anyway considered to be one of the most crypto-savvy public who is very open to the idea of transforming their savings in bitcoins that would help preserve their value via the hyperinflation the country is facing.

In order to boost the acceptance of Petro, all the government institutions have been asked to accept the coin, while the country plans to add the token for selling oil in and from 2019.

Dubai

The Dubai government is working with the aim to become the first to have brought all the public transactions on Blockchain by the time we hot 2020.

They have estimated that Blockchain inclusion can help save over 5.5 billion dirhams that otherwise went into document processing alone, meaning they would be able to give back 25.1 million hours of their earlier occupied resources into the productivity of the economy.

With many Governments now becoming open to the idea of introducing the power of decentralization in making their processes efficient, does it mean Decentralized Government is what is the next logical expansion model for every second nation across the globe?

What Lies Ahead for Decentralized Government?

Well, what is undeniable is the fact that at a time when the global trust around the government is on an all-time low, a system that relies on transparency and facts carries a tremendous potential in shaping the economy of a nation.

But, the other undeniable thing is that Blockchain’s application used by draftkings mobile in changing the Governments is in the future. While we have started seeing the potential that the technology carries, we can also not unsee that the regulations which are being put on the technology hold the possibility of slowing down the transformation or even worse, not let it happen.

So, the future where the Government is decentralized enough to become citizen-centric can be a possibility and be impossible, all on the basis of how Government reacts to the decentralization and how openly they involve it in the different processes.