Why Cities Need to Embrace Blockchain Today

Blockchain is a digital asset management system, and it’s not just about money, although I’m sure you’ve heard about bitcoin and the ups and downs of this digital currency. It can also manage other digital assets such as certifications, photos, music, videos, graphics, and any other online asset.

Through this technology, these assets are managed through multiple computers and/or network nodes, plus a program that controls the digital assets known as a smart contract. This way of validating via consensus of technology ensures that there are several approvals in place. It also warrants efficiency and transparency in transactions.

Although a promising tech, there are issues still being surrounding security for blockchain. Allison Berk of Harvard Business Review says it well, “considering security at an early stage alleviates the difficulty of making fundamental changes to a product to address a security flaw later on.”

Blockchain is Coming

Over the last few years, men and women have been learning, building, mining, and planning. Every day, more developers and startups are joining the ranks of these early adopters. And, if that doesn’t convince you that this technology is taking off, look at the growing number of US business that are accepting bitcoins (a type of blockchain tech) on this coinmap.

How This Tech will Innovate City infrastructures

Blockchain is already spurring innovation for cities. For example, Dubai is working with IBM to have all city services running on this technology by 2020. The emirate of Dubai expects to have documents like bill payments, license renewals, and visa applications processed digitally. This plan could possibly save the city 25 million man-hours, which equals $1.5 billion per year in savings. The bulk of the savings is from going paperless.

How It Can Change Our Lives

As a citizen, can you imagine what that would be like? Getting in line for your driver’s license would be a quick and painless process. No more running home to grab one more thing to prove your identity or address, no waiting in line for 4 hours. Instead, all your information is automatically verified within minutes.

There are other things that cities can do to streamline their processes, as well as encourage more innovation.

Streamline City Services

Dubai is a great example of services that can be used with blockchain. However, there are plenty of other options to streamline city services with this innovation. Other applications for city services include the transfer of assets, ownership of assets, verification of identity for things like e-identities, voting, etc.

Support Organizations and Startups Looking into Blockchain

By working with and supporting those men and women who’ve been early adopters, city governments will have the opportunity to create strategic partnerships with the private sector. In addition, encouraging meetups of interested parties, cities can see an increase of blockchain tech.

A top supporter of blockchain and specifically bitcoin, the San Francisco and San Jose cities combined have the largest number of businesses, including restaurants, that are accepting bitcoin for payment. In addition, Kansas City, Missouri has its own growing blockchain and bitcoin enterprises spurred by meetups and the burgeoning entrepreneurial ecosystem.

Create Policies that Support the Creation of Blockchain Startups

An example of a city supporting this tech is Albuquerque. It currently has its own growing entrepreneurial ecosystem that includes support for blockchain.

Peter Ambs, City of Albuquerque, Director of Innovation and Technology, says, “As a city, we have created an Executive Instruction that says we will work with the local development community to promote and advance blockchain initiatives and look to piloting, demonstration projects within the City’s business processes to show the value. We are also in the application phase with the Government Blockchain Association (GBA) to establish a local chapter here in Albuquerque. This will go a long way in establishing credibility and integrity to local government blockchain initiatives.”

What We Can Do to Encourage Continued Innovation

The growth of blockchain and adoption by cities has to be supported and encouraged by everyone.

• Be an advocate for a secure version of the technology.
• Suggest blockchain solutions to your city.
• Support and learn about the technology.
• Attend related meetups.
• Be a dedicated bitcoin advocate.

If you’re in Albuquerque, here are some specific opportunities:

• Blockchain event for Monday, May 21 — CNM Blockchain in Education: A CNM Summit. 1–4pm, Main Campus, Smith Brasher Hall Auditorium SB 100
• Also on Monday, May 21 is a meetup happening with speaker, Peter AMBs
• Another meetup group for Albuquerque: Albuquerque Bitcoin, Ethereum, Altcoins & Blockchain Meetup
• New Mexico’s first major Blockchain conference arrives on October 13th at CNM. Save the date for BlockFiesta!
• Keep an eye on CNM. They’ve had train the trainer courses on Blockchain and plan on more innovative products and events.