Using the blockchain for states, is it possible?

For some time now, blockchain technology has been advancing in giant steps.

In this post we are going to focus on how blockchain can help states.

Before going into the details of what blockchain technology is all about, you have it explained here, in what is the blockchain.

We want to emphasize that the blockchain has many uses, including document management.
In this post I want to focus on the potential of blockchain in the public world and its services, in fact several states are already working on pilot plans in this area, as is the case of the United Kingdom, Dubai, Estonia and Singapore.

Before by way of introduction, I would like to remind you of some basic concepts.

The idea of the blockchain is to have a ledger of verifiable transactions (authenticity, time, sequence, identification) in a collective scheme (nodes) and that contains a timestamp.
Every time a transaction occurs and it is validated by multiple nodes, it becomes part of the chain and cannot be modified and/or eliminated.

This makes the history of that transaction book remain unchanged.

knowing this, then the following question arise.

Can States use the blockchain network?

The answer is definitely YES, without hesitation, the blockchain can help states, below I want to explain some of the spaces in which we believe that these technologies can be a great contribution of public value:

• Contracts:

States must manage multiple contracts, internal and external, many of them associated with public procurement, provision of goods and services, or concessions, etc.
Since the contracts have transactions associated with their execution over time, they are one of the candidates for the use of the Blockchain.

• File management:

In the public world, all kinds of files are managed, which incorporate information as they progress and whose management is usually done manually, with little traceability and with potential risks, with inadequate identification of origin-destination for citizens.
On the other hand, it is very common that the history of transactions is not properly managed. (How many times have we seen the administration desks, full of papers.)
Let’s think for a moment about judicial files, legislative discussions, requests for rights (water, building and others).
All this could be simplified in the blockchain network.

• Records:

States must manage and maintain multiple registries, both in the field of people or civil registries (births, marriages, deaths, etc.), legal persons or business registries, changes of ownership.
In many countries these records have been digitized, but the process has focused on keeping the data but not its associated transactions and movements, being able to ensure its traceability (date, origin, destination, action).

• Identificación:

One of the challenges that states have had is to be able to adequately identify people in their online interactions. Blockchain could help give people confidence when interacting with administrations.

What attributes does the blockchain present in helping administrations?

• Complete traceability of the transactions that have had an information base.
• Security associated with the original data, which cannot be modified.
• Do not depend on a reliable 3rd person, with the risks and security breaches and corruption that this may imply.
• Low cost of transaction confirmation validations.
• Link the original data with the transactions that each process has, having a dynamic process of state changes.
• Use of modern and open technologies.

Can Dtracer help administrations?

Absolutely Yes, at Dtracer we have a document management department.
We can help public administrations to simplify their processes and register public data in the blockchain network.
With all the benefits mentioned above.

Did you like this post? please put your comment and let us know what your opinion is. We will be happy to answer all your questions.