Blockchain Application In Government

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Blockchain has the potential to improve government services and foster more transparent government-citizen relations. More efficient and secure data sharing is enhanced. Through blockchain technology, governments can improve the way they deliver services, prevent tax fraud ,eliminate bureaucracy and reduce waste. Digital cash transactions can help reshape financial transactions between the government and its citizens. The existing and inefficient pen and paper way of doing things has plagued the public sector, bureaucracy and corruption. Blockchain creates a trustless environment for regulatory activity and works to combat slow, expensive multistep process that require several intermediaries. Decentralized technology can help the government achieve more streamlined operations. It could help alleviate populations from high taxation thereby instilling trust in the government. Unbiased technology is the next frontier of public sector management with blockchain.

Centralized government and public sector operations

This has earned public services a bad name over the years. People often dread having to do anything involving government offices from the long lines and wait times while filing taxes and while accessing any other government services hence citizens feel government offices are inefficient. Bureaucracy is the only thing protecting us from fraud and security breaches.

Blockchain use cases in governments


1.Facilitation of legal enforcement

Government can use data from public blockchain to track the financial dealings similar to how money transactions are monitored to make sure that the system does not facilitate illegal dealings.

2. Fixing the taxation problem 

Blockchain could be the long awaited solution for fixing double taxation. Decentralized ledges technologies have the capacity to foster more transparency in financial transactions. This can help deploy protocols that can be used to reduce VAT deficits and reduce tax burden by eliminating double taxation.

3.Protect vital government infrastructure

Blockchain applications can ensure better protection over critical infrastructure therefore keeping cyber attacks at bay. Most of the critical government systems that facilitate service delivery are connected to the internet. Data is secure and therefore cannot be hacked hence it is potentially the best solution. This reduces data attacks and tampering.

4.Boost efficiency of welfare distribution

Decentralized ledger technology can significantly improve the process of registration as well as payment thus allowing the government to handle matters related to welfare with more efficiency. Blockchain can be used to deploy faster service delivery allowing citizens to benefit directly. Blockchain powered payment system would reduce the amount of money that is lost or wasted therefore saving money for the taxpayer.

Blockchain technology can be used to facilitate proper allocation of funds to government projects. Blockchain technology can also be used to track such funds and find out how they are used in projects.

How can government use blockchain


  • Land registry

Deed insurance and land registry usually involves a lot of paperwork and the transfer processes can be quite lengthy. Blockchain can be used by the government to develop solutions that will make the whole process more straightforward and transparent.

  • Real estate

Governments can use blockchain to make the property market more accessible to more  people by digitizing the process while also speeding it up.

  • Healthcare

Blockchain technology can be used to improve the healthcare sector of their countries.for example; blockchain can be used to develop healthcare systems that deliver more efficiently, especially when handling and storing medical data.

  •  Border control

Adoption of blockchain to create a system that can be used by customer agents to record and safely store passenger data.

  • Energy 

Old energy systems are constantly overwhelmed as population and industries grow thus resulting in the demand for more power. Government can come up with energy management systems based on blockchain.

  • Tourism

An  example is the use of cryptocurrencies to make it easier for tourists to spend money without having to worry about exchange rates.

  • Taxation

Integration of systems to track finances and eliminate double spending. Achieve more efficiency in its tax management systems. 

  • Waste management

An example is China’s development of RFID technology that is built on a blockchain network to handle management data.