Benefits of Blockchain in Government

Blockchain Benefits

On January 3, 2009, an anonymous genius — Satoshi Nakamoto created Bitcoin, hitting the headlines as the first-ever cryptocurrency. Along with this emerged blockchain — the technology underlying Bitcoin. Blockchain brings new transparency, efficiency, and simplicity across several industries. Blockchain applications in the Government sector have taken the world by storm. Governments are using blockchain to help them transform various services and stimulate data privacy. Keep reading below to learn more about “Benefits of Blockchain in Governments” and its implementation.


Blockchain in government systems can potentially be applied in different use cases to achieve good governance and democracy. Reactive Space presents some of the most compelling use cases concerning the benefits of blockchain in government and democracy. 


Applications of Blockchain in Government


Blockchain for Democracy

Traditional governance models respond poorly to today’s complex city management, planning, and development. This malfunctioning of democracy results in low turnout in elections, therefore, it is essential to improve the citizen’s involvement in political procedures to all extent. 

Applications of blockchain in governments introduce new models with better functionality and security, like the latest methods for politicians to build authority and credibility. Aragon is a blockchain solution for managing council membership, ENS subdomains, contract upgrades, and network parameters. Its main purpose is to build organizations online with alternative management models. 


Blockchain Voting

Voters’ participation in elections is drastically decreasing due to disenchantments, insouciance, and the fact that voters still need to visit a polling station to cast their votes. The convenience to cast ballots right from home will increase voter turnout. Moreover, a large number of illegal votes are casted without any proper checks. 

Thus, blockchain applications in government can be an appropriate fit to develop secure and reliable e-voting systems. Moreover, as the blockchain in government use cases delivers transparency and immutability, it enables tamper-proof voting results and identity verification.

Currently, the city of Zug is using its blockchain-based digital IDs to run its first Blockchain-powered e-vote. Let’s learn more about this blockchain-based election technology.


Blockchain Voting Pilot Using Ethereum-Based IDs

In July 2017, a city in Switzerland reported plans to launch an ethereum-based application known as “uPort” to test self-sovereign IDs. The trial began in November, and by June 2018 more than 200 citizens signed up for the service. The main objective of this pilot phase was to analyze the security details of the voting system, focusing mainly on its potential on accomplishing: traceability, immutability, and testability while protecting voter’s confidential details. 

This blockchain-based e-voting system saw overwhelming response and voters praised each segment of the voting system. Zug’s city president, Dolfi Müller, appreciated the feedback and said, “It is nice to see that, despite some minor difficulties, many people in Zug are happy to live in such an innovative community and look forward to further research and development in the field of digital ID and blockchain technology.”


Blockchain for Law Enforcement and Legal Systems

Currently, records are kept safe on registers within the law enforcement and the legal systems; this causes a lack of transparency, lower speed of information processing, and data manipulation. 


Blockchain-based record-keeping systems add trust to the legal systems. Many blockchain solutions for law enforcement are in practice like tracing the use of police guns. Since it started, blockchain for law enforcement has supported investigation, interdiction, and prevented crimes. 


Can Blockchain Replace Governments?

Let’s clear this misconception that blockchain can make governments obsolete. It’s the other way around, blockchain applications in government institutes and services can streamline processes and eradicate a lot of bureaucracy. This will result in a more decentralized public sector by just elections on the blockchain, transparent financial system, and smart contract usage has the possibility of reducing government spending. 


E-Estonia: A Case Study

Estonia is a  successful example of blockchain in practice that is transforming the world. It gained independence from the Soviet state in 1991, and immediately after it’s freedom, it started exploring the perks of IT. By 1997, 97% of its schools were online. The country’s continuous efforts have led to its identification as the most digitalized society in the world.  It further leveraged blockchain to enhance security, transparency, and traceability in their systems. 


Estonia’s government services are based on blockchain, providing remarkable benefits to their systems. All their services such as e-voting, digital cabinet meetings, online tax returns, and e-residency are connected via one single platform. Presently, the Estonian government has initiated blockchain services in almost every domain of governance such as revenue, health, and others.


Did you know? 99% of all Estonia’s government services are online and available 24/7.


These digitized services use a mandatory ID card to function. People need to enter their data once and then it is stored in an unaltered blockchain. Every time the government needs citizen’s details, it can easily access the distributed and connected databases.

If you wish to achieve a similar degree of blockchain implementation in your country, contact Reactive Space, a top enterprise blockchain solutions provider , leading the way towards prosperity and success. 


Getting Started:

Blockchain is rapidly evolving with a large scope for ledger-based solutions. When implementing, the first step is to recognize the industry’s challenges and then test and develop corresponding solutions. With an expert team of blockchain developers, We foresee new and old unexpected applications of blockchain in government, ultimately intensifying trust, safety and efficiency for the government. Click here to get started. 

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