Blockchain Technology has been making a collective difference to the global economy. It’s refreshing approach to Information and Information Security has prompted governments around the world to adopt the technology for various public services.
Originally designed to provide a secure platform for Bitcoin transactions, Blockchain has emerged to being perceived as one of the biggest revolutions in the modern world, perhaps owing to the disruptive solutions it offers:
Most countries in the world have taken to the technology, while some are doing extensive research into it, many have already started to reap the benefits. Apparently, the Estonian government is known to render most of its public services through the Blockchain network.
Estonia having only 0.02 percent of the world population could be pointed to the rather seamless integration of Blockchain but countries like the USA, China and Dubai too have started using the technology to streamline land records and financial processes already.
Process as well as organizational efficiency is boosted with the use of Blockchain whose decentral network allows for secure transaction and communication.
Various welfare programmes which fail to improve the lives of needy owing to shortcomings in the traditional processes can be done away with as Blockchain provides an inventive platform to pass on such benefits in a more personal and transparent manner.
2. Integrity of Information
Data from the decentral network of the technology is unhackable as cryptographic hash function binds it in an impenetrable way. Audit trail and Time Stamping further ensures the integrity of data in the network.
Attempts to tamper data in the Blockchain network is identified and the identity of the manipulator is recorded. A genuine need to edit information is however enabled when majority of the relevant participants agree for such editing, this is called consensus mechanism
3. Better Relationship With Citizens
Many well-intended / funded projects from the government are notorious for their failure in implementation owing to mismanagement, corruption and alleged lack of political will.
When government benefits are passed through the Blockchain platform, corruption and mismanagement are directly eliminated as most processes are automated and offer minimal or no chance for foul play thereby improving citizen relationship with the government.
The emergence of Blockchain Technology (BCT) can be conveniently compared to how gradually the internet emerged in the 90’s and the early 2000’s. Though in its infancy, most countries in the world have used the decentral technology for a variety of reasons.
Potential Impact of Blockchain in Indian Governance
A palpable sense of dissatisfaction has forever enveloped the citizen-government relationship in our country. Though there have been a few commendable initiatives, the lack of application and futility in gaining citizen confidence has many a time made a mockery of the largest democracy in the world.
However, a panel discussion subject to Blockchain -Trends and Security at the Bengaluru Tech Summit 2017 in November 2017 envisioned a radically effective and dynamic public services from the government.
Sudin Baroakar, Head of Innovation at SBI and one of the panelists in the event emphasized the game-changing potential of the technology in the financial sector without a need for regulation from an authority.
Blockchain indeed enables an organization to make transactions without a need for regulation from a central authority. Crucial processes like authentication and verification of data is automated in the network thereby enabling the government to offer its services in a more resource efficient and citizen-friendly manner.