HOW BLOCKCHAIN-BASED
SOLUTIONS WILL IMPROVE PUBLIC SERVICES
When applied in government sectors, blockchain solutions
have the capability to streamline processes and improve public service
delivery, which in turn garners public trust. In relation to mature economies,
the government must prove that blockchain technology is a worthwhile investment
in terms of saving money and improving operations. In emerging markets,
companies must decide how they can use blockchain to gain an edge over the
competition and foster trust with their clients.
Speed, Efficiency and Security the 3 proponents of
blockchain, are readily accessible. For this reason, many government officials
who see the massive potential of blockchain are pushing forward for integration
in their systems. Countries such as China, India, the UK, Canada and Brazil are
running trials, and pilot tests to see how the unique architecture can be
applied to day-to-day government operations, mainly for internal use. It’s
worthy to note that each application is different and depends on the
municipality, state and country.
Uses of Blockchain in
Public Services
Identity Management
Blockchain is the technology behind cryptocurrencies and
other assets. In order to have a successful integration, the asset must be
transferred digitally from paper to digital form in order to exist. The owner
must also create a digital link or identity that could act as a medium for
transactions. Public sectors realize that the challenge stems from the fact
that 20% of the world doesn’t have an official or legal recognized identity.
Current Pain Points:
·
First, there’s a lack of standards that come
with identity establishment.
·
Identity entry points and differing attestation
processes hinder public service provision and prevent economic engagement.
Value Proposition of
Blockchain:
Blockchain:
·
A self-contained, secure identity that enables
efficient transactions across different asset classes.
·
Both explicit and individual control over which
identity data may be shared for what purpose.
Land Registration
Titling and land deeds form a cornerstone for economic and
investment growth in developing nations, while protecting landowners.
Blockchain can provide a non-corruptible, unique record that can be changed in
a secure manner. Moreover, blockchain allows for property records to be created
for stovepipe systems or for land areas that have no owners.
Current Pain Points:
·
As of today, registry processes and licenses are
all paper-based, which makes transactions largely inefficient, costly and vulnerable
to unauthorized changes.
·
In the US alone, landowners paid $800 million to
cover real estate title risks during 2014 and 2015.
Voting
Blockchain developers are spending most of their efforts
looking for ways on how they can integrate blockchain in this critical public
function. Casting a vote can be likened to conducting any other secure
transaction; voters can also confirm their votes aren’t tampered with along the
way. Solutions are being generated to combine vital voting aspects such as
individualized ballot processes, anonymous vote casting, digital identity
management and ballot casting confirmations.
Current Pain Points:
·
High costs associated with electronic voting
machines, ballot printing, maintenance, etc.
·
Rising cyber threat attacks could delay or
compromise election results.
·
No transparency regarding audits of election results.
·
Added inefficiencies regarding absentee/remote
voting and delays.
Value Proposition of
Blockchain:
·
Blockchain-based voting can reduce voting costs
significantly.
·
Better vote audibility and enhanced security.
·
Chances of higher participation, including
remote areas.
·
Greater transparency.
Conclusion
Tech analysts have claimed that blockchain technology can
potentially save the financial services, health care and insurance industries
somewhere between $2 to $4 billion per year. With the ongoing research,
experiments, trials and prototypes happening all over the world, it’s just a
matter of time before governments start looking into blockchain as a viable
platform to integrate in their public sector systems. The only question is if
there’s a public servant who’s forward thinking and motivated enough to start
implementing blockchain solutions in order to enhance mission delivery, improve
overall cyber-security and cut down on government operational costs. Blockchain
solutions shouldn’t just be viewed at a technological standpoint. It’s a
game-changer that can modernize whole business processes, models and even
affect stakeholders and how they function. One thing to keep in mind is that
blockchain is not a silver bullet that solves any problem, and that it’s not
the end-all solution to every situation. Developers and users must still seek
out and address managerial and other technological challenges.
Blockchain can still improve in terms of systems
integration, data standardization, validation methods and platform scalability.
On the managerial aspect, there are still challenges regarding maturity,
transaction scale, incentive structure and business model transformation.
Blockchain can still improve in terms of systems integration, data
standardization, validation methods and platform scalability. On the managerial
aspect, there are still challenges regarding maturity, transaction scale,
incentive structure and business model transformation.
Governments can start on this one single question – Do you
want to take advantage of the newest technology and capture all the inherent
benefits of blockchain and its potential to change the whole world?
Check out Omni Integrations Blockchain Solutions
to learn more!
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