The evolution of blockchain technology has enormously revolutionized the world, particularly in the financial sector. Blockchain technology has made fast, cheap and even more significant transactions, decentralized through cryptocurrencies. It is true that blockchain and crypto are the future of payments.
The Ministry of Information Technology and Communications in Colombia has published its first-ever draft guide, which advocates the implementation of blockchain technology solutions for the public sector, such as crypto payments.
Blockchain technology use cases in the public sector
The draft guide titled “Guide for the use and implementation of Distributed Ledger Technology (DLT/Blockchain) in the public sector” the ministry outlines the benefits and cons of adopting blockchain technology. The guide cites examples from European countries, China, UAE, USA, and Canada.
Notably, the guide which was prepared by ViveLab Bogota, Universidad Nacional de Colombia, Bogotá City Hall, and the National suggested up to ten use cases of digital ledger technology in the public sector such as: crypto payments, registration of lands, blockchain-based voting, management of identification data, healthcare solutions, record-keeping in businesses, academic degree records, supply chain and management of public tenders and taxes.
According to the guide, blockchain solutions raise confidence through transparency by eliminating intermediaries within the security infrastructure. Technology experts claim that openness and collaboration fostered by blockchain technology should improve risk assessment processes and insurance.
Blockchain and crypto solutions
Moving forward, the Colombian Ministry of Information Technology and Communications also cites the Satoshi White Paper, which quotes the ‘Bitcoin: A Peer-to-Peer Electronic Cash System,’ published over a decade ago by Bitcoin’s creator. The Ministry points out that such crypto solutions are intended to protect crypto investors.
The government has unsuccessfully tried to regulate the cryptocurrency industry in Colombia. For instance, in April last year, Colombian legislators drafted a bill to regulate cryptocurrency exchanges. The proposal aimed to define general terminology on how companies offering crypto-exchange solutions in Colombia should operate.