Blockchain in

Government and

the Public Sector

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聽
• 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聽digital currency/payments, land registration, identity management,聽supply chain traceability, health care,聽corporate registration, taxation,聽voting (elections and proxy), and聽legal entities management.

Enterprise Blockchain Solutions for Government

An Enterprise Ethereum Solution for Government

Using our full stack of enterprise tools, ConsenSys is building the blockchain operating system for public sector organizations. Our government enterprise solution utilizes OpenLaw smart contracts, Treum asset management solution, the uPort identity management solution, and process automation from Pantheon and Kaleido.聽

Our solution provides a private, enterprise chain developed specifically for government. It features the ability to assign different levels of access to authorized users, ensuring independent validation of transactions and operations that establish full security and accountability while complying with relevant privacy standards.聽

Our solution enables citizens, residents, and businesses to participate and manage their data, creating a secure system that will streamline government-citizen interaction, while securing information against hacking and fraud.

The ConsenSys Government Stack

On top of our secure blockchain architecture, ConsenSys is building out a core set of functional elements that will allow for an initial set of typical government functions.

• Identity Management: Sotara will enable government workers and citizens to register their identities on the blockchain, manage assets and security, send and request credentials, authorize transactions, and securely manage data
• Smart Regulation: Sotara will allow agencies to design and create legal documents and regulations with tamper-proof blockchain-based smart contracts
• Asset Management and Process Tracking: Sotara will model and facilitate government processes and increase the ability to track digital and physical assets
• Budgeting and Financial Management: Sotara will track and reconcile government transactions immediately and transparently dramatically reducing costs and increasing efficiency.

The interoperability of the platform will allow for additional applications as more public sector functions transition to blockchain-based solutions.

What are the Blockchain Use Cases in Government and the Public Sector?

• Smart Cities
• Central Banking
• Validation of Education and Professional Qualifications
• Tracking Vaccinations
• Tracking Loans and Student Grants
• Payroll Tax Collection

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How will blockchain impact smart cities?

A smart city uses information technology and data to integrate and manage physical, social, and business infrastructures to streamline services to its inhabitants while ensuring efficient and optimal utilization of available resources. In combination with technologies, IoT, cloud computing, and blockchain technology, governments can deliver innovative services and solutions to the citizens and local municipalities.聽

Blockchain can provide the mechanism to create a secure infrastructure to manage these functions. Specifically, it can provide a secure interoperable infrastructure that allows all smart city services and functions to operate beyond currently envisioned levels. ConsenSys has worked toward realizing smart city initiatives in Dubai and Zug.

How will blockchain impact central banking?

Real-time gross settlement is the continuous process of settling interbank payments in central bank records as opposed to settlement at the end of each day. Blockchain enables a significant increase in transaction volume and network resilience which enables central banks to process RTGS at a faster pace, with heightened security.聽

How will blockchain streamline the validation of educational and professional qualifications?

Keeping academic and professional attainment data on an encrypted identity wallet empowers individuals to control access to their data. It also enables schools, universities, and employers to validate 鈥渁ttestations鈥� for courses and work achieved.聽

How will blockchain technology impact vaccination tracking?

Recording vaccination data on the blockchain enables schools, insurance, and medical providers to validate vaccinations quickly. This process automatically triggers corresponding micropayments and delegates access to benefits based on medical status.

How will blockchain technology manage tracking student loans and grants?

Smart contracts can be programmed to manage loan and grant applications, dispense loans, and track compliance with the terms and conditions. This automated performance tracking enables real-time data and increased transparency, compliance, and security.

How will blockchain technology impact the collection of payroll tax?

Smart contracts can streamline the tax collection process by matching tax data with income transactions and calculating tax and social security deductions. A blockchain-based system automatically transfers net salary and tax payments to their respective recipients. Coordinated automation brings efficiency, speed, and security to tax collection.