By Timeswatch
Introduction
On May 29th of this year, Nigeria is anticipated to shift to a fresh administration. The recent approval of the National Blockchain Policy for Nigeria by the federal government in Abuja on May 3, 2023, is viewed as a positive move towards improving Nigeria’s governance strategy. For it to work, its execution is essential.
A digital ledger system called Blockchain employs a decentralized and distributed approach to record and confirm transactions across numerous nodes or computers. It allows for the safe and clear preservation and exchange of digital assets or data without the involvement of a central entity or middleman.
Essentially, a blockchain is a sequence of blocks that encompass a record of transactions within each one. The validation of these dealings is done by individuals involved in the system by means of an agreement process, like either Proof-of-Work (PoW) or Proof-of-Stake (PoS). After verifying a batch of transactions, it becomes a part of the current blockchain, forming an immutable and indelible log of all past transactions.
Allow me to provide a succinct overview of the essential features of blockchain technology:
Decentralization – Blockchain works on a decentralized system where every individual node has a complete duplicate of the blockchain on a peer-to-peer network. The absence of a central authority through decentralization enhances the system’s endurance, clarity, and decreases the likelihood of isolated failures.
Transparency and Immutability – The blockchain ensures that all transactions are transparent and immutable, allowing all members to view and access them. Once a record is added to the blockchain, it becomes unchangeable and cannot be erased, resulting in an indisputable and secure record.
Security – Crypto techniques are utilized by Blockchain to ensure secured transactions and maintain the authenticity of the information. A series of blocks is formed by encrypting every transaction and connecting it to the preceding transaction. The encryption measures used in blockchain technology guarantee that the information held within it is genuine and remains uncorrupted.
Consensus – The order of transactions on the Blockchain is determined and validated through consensus mechanisms. This guarantees that every participant in the network agrees on the status of the blockchain, thereby preventing any deceptive or contradictory transactions.
Smart contracts – This refers to agreements that are written in a code format and automatically execute specific actions once specific conditions are met. The blockchain enables the storage and execution of these agreements, thereby facilitating the automation of multiple operations without requiring any third-party intervention.
Blockchain technology has the potential to revolutionize multiple industries, such as finance, supply chain management, healthcare, voting systems, and decentralized applications (DApps), aside from its association with cryptocurrencies. The utilization of blockchain technology holds immense potential to transform current systems by promoting transparency, security, and decentralization. Its implementation can increase effectiveness, decrease expenses, and equip individuals with more authority over their digital assets and information. As a result, Blockchain has become a revolutionary presence in diverse industries. The potential of its ability to fundamentally change governance is frequently underestimated. The goal of this piece is to examine the potential of blockchain technology to improve governance in Nigeria, where various issues such as corruption, fraudulent elections, and poor record-keeping have been a recurring challenge. Let us look at the following –
1. Transparent and Immutable electioneering process:
One of the significant obstacles that loom over Nigeria is the occurrence of electoral misconduct, which erodes the trustworthiness of the democratic procedures. Nigeria has the opportunity to create an electoral system that is both transparent and unalterable through the use of blockchain technology. Blockchain-enabled voting mechanisms offer a foolproof and safe framework for casting and tabulating ballots. The blockchain enables the documentation of every vote as a transaction, guaranteeing transparency, anonymity, and precision. The implementation of this technology could have a substantial impact on decreasing electoral misconduct, boosting voter trust, and fostering equitable elections. The ongoing legal dispute surrounding the recently concluded 2023 elections could have been effortlessly resolved from the start if the implementation of Blockchain Technology had been considered.
2. Anti-Corruption Measures:
The problem of corruption has deeply infiltrated Nigeria, impeding progress in terms of economic growth and undermining confidence in the effectiveness of governance. The employment of Blockchain technology holds great promise in transforming the combat against corruption through the provision of accountability and transparency. By utilizing blockchain technology, it is possible to keep track of public monetary transactions through a decentralized ledger that is accessible to all relevant parties. The openness of financial records makes it harder for corruption to occur as any attempts at manipulation or concealment become more challenging. Intelligent contracts are automated agreements based on blockchain technology that can streamline procedures by removing middlemen and decreasing the likelihood of corruption and illegal appropriation.
3. Effective Supply Chain Management:
In Nigeria, the use of blockchain’s distributed ledger technology has the potential to bring about a groundbreaking transformation in the field of supply chain management. The nation encounters predicaments associated with forged goods, illicit importation, and untransparent monitoring mechanisms. Smart implementation of blockchain-based supply chain solutions enables the tracking of the origin and journey of goods through every step, commencing from production to final delivery. The genuineness and excellence of goods are maintained through transparency, which also safeguards consumers and promotes equitable commerce. In addition, blockchain technology can enhance administrative procedures by eliminating bureaucratic delays and automating paperwork.
4. Land Ownership and Property Rights:
The Nigerian economy has faced substantial hindrances to growth as a result of conflicts over land and the presence of uncertain property ownership. The use of blockchain technology can present a dependable remedy to this problem, as it enables the establishment of a safe and unalterable system for recording ownership of properties. Smart contracts have the potential to form digital titles, document transfers of property and curb instances of fraud. This particular system would provide individuals with foolproof possession rights and simplify their access to funding, investment opportunities, and overall financial growth.
5. Transparent Government Spending and Budgeting:
Efficient handling of public funds is crucial to achieve a transparent and responsible government. The utilization of blockchain technology could enable the seamless and clear monitoring and handling of government expenditures and financial planning procedures. Public blockchain technology enables citizens to conveniently access and scrutinize the distribution and utilization of public funds through recorded transactions. By increasing transparency, it discourages fraudulent activities and encourages financial prudence.
6. Digital identity and Public Service:
Digital identity systems relying on blockchain technology have the potential to significantly enhance the availability of public services in Nigeria. Numerous individuals encounter hurdles in obtaining government facilities because of insufficient identification documentation or repetition of records. Through blockchain technology, individuals can establish secure and autonomous digital identities, obviating the need for conventional documentation to verify personal identity. This mechanism aims to simplify the process of providing services, decrease red tape, and boost the effectiveness of governmental services.
7. Joint Government and public management involvement:
The employment of blockchain technology can promote cooperative governance by facilitating clear and unmediated communication between the government and citizens. By utilizing blockchain-powered platforms, individuals can engage in decision-making procedures, cast votes on policies, and offer secure and decentralized feedback. By being inclusive and transparent, citizens are encouraged to be more involved, governance is viewed as trustworthy, and policies are tailored to meet the demands and desires of the people.
Conclusion
The potential for significant improvement in governance in Nigeria lies in the implementation of blockchain technology. Through the strategic use of its attributes including decentralization, immutability, and transparency, Nigeria can skillfully tackle significant governance obstacles such as deficient record-keeping abilities, electoral dishonesty, corruption, and the absence of confidence in governmental institutions. Revamping the electoral process with blockchain-derived solutions has the potential to significantly transform it, guaranteeing free and unbiased elections that repair the democratic system’s trustworthiness.
Additionally, blockchain technology can significantly contribute to the anti-corruption crusade by ensuring clear visibility of financial transactions, mitigating the likelihood of bribery and fraudulence, and promoting responsibility in governmental operations. The potential of technology to produce dependable digital identities, simplify the management of supply chain, and create unalterable land ownership records has the potential to promote economic growth, foster investment, and safeguard individual rights.
Additionally, the influence of blockchain on governance also encompasses clear visibility into government spending and budgeting procedures, providing citizens with effortless monitoring of how public funds are assigned and utilized. Nigeria can enable its citizens to play a more active role in the decision-making process by utilizing blockchain-based platforms, which will promote collaboration and citizen engagement. This will result in policies that better reflect the aspirations and needs of the people.
It is crucial to recognize that introducing blockchain technology into governance demands meticulous preparation, harmonious efforts amongst those involved, and sufficient infrastructure advancement. To fully utilize the benefits of blockchain technology in promoting good governance, the Nigerian government should allocate resources towards research, education, and establish regulations that support its applications.
In summary, the utilization of blockchain technology holds great promise in revolutionizing governance in Nigeria through stimulating transparency, responsibility, and citizen participation. Nigeria has the opportunity to conquer persistent obstacles, fortify its democratic frameworks, attract capital, and establish a prosperous and equitable future through the adoption of progressive technology. Collaboration between policymakers, technologists, and citizens is crucial in utilizing the benefits of blockchain technology to establish a governance system in Nigeria that is not only more efficient and transparent, but also more dependable.
Hon Engr Osita Arukweh is a Detail-oriented Nigeria Foremost Loss Control Consultant/Specialist adept at interpreting risk for extremely complicated Petroleum storage, transport and haulage procedures. Proven track record in creating accurate risk assessment reports, developing innovative ways for oil and shipping companies to offer cost-effective coverage and recommending coverage changes in extreme situations. He specializes primarily in creating and deploying systems to prevent, control and investigate complex petroleum losses using AI and Data Analytics. He is an Impactrepreneur, educationist and philanthropist.
