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Due to the sensitive nature of the government, authorities still need help tackling these extensive and convoluted networks. To make matters worse, data is classified as trade secrets. In a constant struggle for power between business owners and government agencies, blockchain technology could be an answer to this decades-long problem. See things to keep in mind for trading Ethereum if you're thinking about entering the Ethereum market.
In the below-mentioned portion, we explore how Ethereum's platform has aided in solving some of society's most significant problems using blockchain technology as a foundational core for decentralizing identity management and transactions.
FIXING THE HUGE IDENTITY PROBLEM
In the history of humanity, no one has ever been able to remain anonymous. Even in societies where people have adopted centralized currencies, identity theft has always been a rampant problem. Unfortunately, identity theft is more prevalent now than ever. It's estimated that over 1 billion individuals on this planet have somehow had their information stolen, and the number of people affected is increasing daily.
Banks and other financial institutions are the primary victims of identity theft, but these problems don't only affect financially invested individuals. In the case of governments, which are the most significant target of identity theft, governments lose office space, and some even lose their power. For example, in Argentina, where every citizen is required by law to have an ID card, they have been losing substantial revenue due to identity theft.
The victims include not only individuals who are financially invested but also thousands of businesses that need to maintain official business records in multiple jurisdictions. Under these conditions, it's easy for someone to assume another person's identity and commit fraud or illegal acts with no repercussions. Ethereum’s platform has been used to develop applications that people can use to solve this issue by encrypting sensitive data on a blockchain. This development has provided governments facing economic and political pressure with a way of strengthening their security measures. The use of Ethereum's platform for this task was made possible through smart contracts.
Government can use Ethereum for smart cities:
Ethereum has been used to develop solutions for many government agencies and organizations worldwide. People can use Ethereum to create contracts that expose the validity of a person's identity. It is essential in the blockchain environment to avoid identity theft. Furthermore, arrangements can be made by the user that shows who owns the data on a blockchain.
The contract could also require conditions, such as email confirmations or other verifications, which must be met before a given set of information is released. This service would allow governments to develop smart cities with intelligent contracts and securely manage sensitive data.
However, the applications of Ethereum go much further than just identity management. Governments can also use this technology to create a transparent and fair government. For example, the government could use the Ethereum platform to make all administrative tasks open to public scrutiny and accountability.
The benefits that result from the use of this technology are numerous. First, elected officials would have no place to hide anymore. They could no longer blame mismanagement on any third parties because all their actions would be publicly available for scrutiny. Second, it would give citizens a way of expressing their dissatisfaction with corrupted governments in a non-violent manner. Finally, a protest using this type of technology could allow them to expose corrupt individuals without getting into trouble with the law.
Government can use Ethereum for the voting procedure:
The government can use Ethereum to create a voting procedure that would make any process more transparent and fair. The complete transparency of the procedure would allow citizens to vote only for candidates they genuinely support democratically.
Furthermore, governments can also use blockchain technology to archive digitally signed official documents. It is essential in modern society as it makes it easier for people to prove their identity. When these documents are stored on Ethereum's platform, citizens will always have a copy of them, even if the original is lost or stolen.
Government can use Ethereum as an anticorruption tool:
Blockchain technology can keep corruption in check by recording all the expenses and transactions of elected officials and officials. People can also use Ethereum's platform to create a transparent voting system that would allow citizens to vote only for candidates they genuinely support. It will eliminate corruption and enable citizens to protest if they feel their elected representatives are not doing their job correctly. The transparency provided would deter people from participating in illegal activities. Local governments can use blockchain technology to launch new projects and allocate funds efficiently.