What are the Benefits of Blockchain in Government and the Public Sector?
A blockchain-based digital government can protect data, streamline processes, and reduce fraud, waste, and abuse while simultaneously increasing trust and accountability. On a blockchain-based government model, individuals, businesses, and governments share resources over a distributed ledger secured using cryptography. This structure eliminates a single point of failure and inherently protects sensitive citizen and government data.
A blockchain-based government has the potential to solve legacy pain points and enable the following advantages:
- Secure storage of government, citizen, and business data
- Reduction of labor-intensive processes
- Reduction of excessive costs associated with managing accountability
- Reduced potential for corruption and abuse
- Increased trust in government and online civil systems
The distributed ledger format can be leveraged to support an array of government and public sector applications, including digital currency/payments, land registration, identity management, supply chain traceability, health care, corporate registration, taxation, voting (elections and proxy), and legal entities management.