The United Kingdom is becoming increasingly involved in blockchain technology and its potential for innovation. Two recent reports highlight the potential benefits of the technology. The main aim is to improve communication between government and citizens.
Blockchain technology and its potential for innovation and infrastructure improvement are the focus of recent reports. In its report „The Future of public service identity: blockchain“, the House of Lords pointed out that technology could change communication and the relationship of trust between government and citizens.
In the report, the initiators emphasize that blockchain technology can make digital identity projects much more secure. They compared four existing systems.
Four ways to manage the news spy
They have come to the conclusion that the news spy approach promises the least control by the user. In this approach, a single entity has control over the news spy and the digital identity. A second approach is the „federated“ approach. Several interconnected entities control identities. This model is currently used by gov.uk.
With the user-centric approach, as used by the Estonian government, individuals or administrators can control identity across different authorities.
The use of blockchain would now allow governments to take a completely self-managed approach to digital identity. This would allow individual users to centrally control their identity and simultaneously synchronize it with different authorities and instances without losing control.
In this way, all processes involved could be organized decentrally, making it easier to synchronize data. This means that people who spend more time in different places can avoid having to go through the same processes to confirm their data. At the same time, the data remains secure.
The government that uses the technology can record all rules or laws in Smart Contracts. These are then executed each time by themselves – a high saving of bureaucratic effort. Identification then simply takes place via a smartphone app.
More innovation through Blockchain
A report by Lord Christopher Holmes highlights the implications of the technology, which can improve the country’s infrastructure. The report highlights the benefits in the public sector. These include the decentralised organisation of insurance, border control, taxation and healthcare.
Among other things, the report recommends the creation of interdepartmental initiatives in public services. It is proposed to launch pilot projects. In addition, an independent organisation should be set up to provide the necessary insurance and technical support.