Is it a transformative technology for the government?


nnThe global block-chain project is slow to watch, including data-centric projects. Several states are also taking different measures, government agencies have begun to use the block chain and related technology applications. Among them the Illinois project is the most active. Obviously block-chain technology can improve efficiency and may replace some human positions. But at the same time it can bring more new job requirements, so do not worry about human employment caused too much impact.n
nTranslation: Annie_Xun
In recent months, chain chains have been quietly developing at the government level. At 2016, the National Association of National Information Officers (NASA), no one placed the chain in the key location The NASCIO survey this year found that most CIOs have begun to discuss the block chain technology through formal discussions. The report released by the agency in May called it the “next major change technology” of the government. Eric Sweden, director of enterprise architecture and management at NASCIO, said:n
n”This is more important than the Internet when it is more dramatic.It will greatly affect our business approach, accounting methods and audit methods, any data related to everything.”n
nThe block chain is a distributed book technology (now many people use “interchangeable” to describe), allowing users to record data and real-time transactions, and can not attack. The key to understanding the block chain is that each distributed account is maintained and stored by any party, but many users can access and develop. Each person’s changes can be displayed in real time in each user’s books, through the encryption to ensure that records can not be modified and deleted. So each new block permanently associated can not break the chain.n
Distributed book (DLT) is used to develop encrypted currency bitcores. Due to the anonymity of Bitcoin transactions and the lack of central control, the digital payment system was quickly criticized by the world for being welcomed by black market users. But in addition to opening a new direction for the US Federal Bureau of Investigation (FBI) cybercrime, Bitcoin offers something else: it introduces a chain as a new business way. Now the private sector and some government agencies have begun testing DLT smart contracts, a technology that can help both parties to transparently engage in funds, property rights, shares or any exchange of value.n
Jennifer O’Rourke, business liaison officer for the Illinois Blockchain Initiative, said the business community and the government spend a lot of time to ensure that every copy of the document is the same Then
n”It is important that each of our documents is exactly the same, so how can we ensure that the audit is working in a timely manner? This technology can provide a solution.”n
nEarly enthusiasts believe that the block chain can improve the accounting of different areas, including commercial transactions to medical records, to ballots. So far, exploration is limited to a few areas. In the private sector, financial institutions see the technology as a way to eliminate administrative barriers, so IBM has developed chain chains for banks such as Deutsche Bank and HSBC. In the public sector, the Asian and European governments explored the concept of a combined record. Estonia has long used a block-like chain of technology to protect medical records, and the Kyrgyz Republic’s Public Registry recently transferred its land registration to the chain. Sweden is also testing land based on block-based registration, and Dubai plans to achieve full government operations in distributed books in 2020.n
The Securities and Exchange Commission has passed the ICO regulatory framework. Some block chain supporters say this will bring a big obstacle to technological development.n
States and places also have some initiatives. Some places focus on pilot projects, but Illinois is the most direct reflection of this initiative by actively advocating and investigating how the government uses the technology.n
Illinois officials are well aware of exploring unknown areas. The state’s chief technology officer, Michael Wons, says the advantage is that you can trade seamlessly at low cost. For example, the cost of 500 US dollars, a few months of government licensing applications can take only one day, very little cost, “may” is the key word. He admitted that “there is a gap, so we hope to attract entrepreneurs to help us solve these gaps.”n
Illinois block chain project is to carry out the direction of the study. This was the innovation project that began last year, with six states and local government agencies: the Illinois Pollution Control Board, the Cook County Recorder of Deeds. The main objectives are three: to ensure a reasonable and appropriate technical management, to support the economic development point of view to build a chain chain ecosystem, to promote the adoption of the technology.n
On the implementation of the two goals of the project, Wons made a concise summary of “hatching, rather than over-regulation”. For example, the project considers how the state handles the encrypted currency in accordance with the Currency Service Provider’s Transmitters of Money Act. Washington and other states have begun to supervise the online currency exchange, requiring the state currency exchange to submit the margin of the regulations have been so that some of the encrypted currency start-up companies to pack away. Illinois believes the measure is contrary to the goal of attracting companies and supporting the development of block chain technology. The state regulators decide that existing currency transfer regulations can be applied to encrypted currencies and have issued comprehensive regulatory guidelines for this purpose.n
As for attracting talent, the project recently launched a blockchain center in Chicago. The Center is responsible for promoting the development and cooperation of start-up companies and recruiting and training the top computer science talent in the state university system.n
The third goal of the project, that is, the use of district chain technology, has also been some in-depth understanding. Prior to joining the project last year, the Cook County Ownership Records Office has begun a block chain pilot project. In the block chain released nearly 2,000 Chicago idle real estate, to prevent fraudulent sales of illegal property does not belong to their own. The city government controls the unpaid real estate information, scattered in the five government offices, so prone to misuse of the situation, the fraud will take advantage of this point. Scammers advertise their houses for repairs, obtain a copy of the lease, for sale to the insecure home buyers. Once the buyer to pay the money, perhaps cash, perhaps the bill, the fraud will disappear. “Unfortunately, many homebuyers pay cash and put more money into maintenance,” says John Mirkovic, a Cook County real estate registrar. “Then they found that they could not register the property because they were not the head of the house.”n
But the pilot project eventually caused more questions than the answer. Building a block chain for 2,000 properties has been complicated. In order to expand to a nationwide, the need for the county unified real estate information entry. But this can save millions of dollars for the head of household and home buyers, because there is no need to buy property insurance. In the block chain, everyone can see the ownership history. “This is an opportunity to make public records better and more educational.”n
The Illinois project also started four other government pilot projects. The focus is on the education, birth records, medical service providers and energy credit market on the chain.n
Although the Illinois project is noteworthy, it is not the only state that has recognized the role of block chains in technological progress. This year Nevada took steps to encourage the use of the technology to prohibit the block chain tax. Arizona has adopted a statute that recognizes signatures on block chains and smart contracts. 2/3 Fortune 500 companies registered in Delaware through the bill, allowing companies to use block-chain technology to store and transfer securities and communicate with shareholders. This initiative will increase the transparency of the shareholder voting process and automate the annual and patent tax returns.n
Like Illinois, Delaware’s aggressive initiatives stem from leading other states. Andrea Tinianow, director of development for Delaware, said:n
n”I talked with a New York lawyer and said, ‘My client wants to issue a stock in the chain, but worry about eating a lawsuit’.” “This is the reason.”n
nThis year a lot of activity may just start. NASCIO’s Sweden predicts that the government block chain within ten years will become routine. But he suggested that slowly come For new people, the block chain technology can not let the organization Baidu not invaded. For example, last year, the project was erupted twice, affecting tens of thousands of users, resulting in tens of millions of dollars in losses. In both cases, hackers deceive users to send money to the wrong address, indicating that although the block chain itself is “not attackable”, but it is not completely impeccable.n
There is also a possible staff problem: making the record seamlessly possible to reduce job requirements. For example, Illinois Land Property Insurance Company may have speculated that the chain-chain technology was eliminated. Other places are more discussed in the financial services industry may be due to the verification of the technical losses and other related work. Data entry work and other similar government back-end jobs may also be replaced. But Mirkovic said the technology has the opportunity to create high-level jobs. “There is always a way for taxpayers to get more advanced services.If we replace 10 data entry posts, we can recruit 20 lawyer assistants and save money on taxpayers.”n
Ultimately, there is a cost. The government does not have a lot of money to invest is not necessarily useful test. The more practical approach is to support entrepreneurship and wait for private companies to develop the best practices. In other words, a little behind the trend does not matter. Wons said:n
n”If we look at it in a unique technology hype cycle, we are in the painful stage of enlightenment, that is, first wait, first try a small”.n

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