The technology of Block Chain System In Pakistan.
Today’s world is on the verge of a technological revolution. Blockchain technologies are one such revolution that offers a wide range of development options among the technologies created by this boom.
When blockchain technology was just utilized to create cryptocurrencies like bitcoin and Ethereum, to mention a couple, that is old history. Another common misunderstanding about blockchain is that since cryptocurrencies are illegal, so must blockchain technology be. One of these characteristics of blockchain is the ability to mint cryptocurrency, among many others.
Blockchain technologies connect a decentralized network that enables users to send transactions and create applications without the need for a server or a centralized authority. The owner’s digital signature serves as a safeguard for the transactions connected to this ledger. Every transaction made through this ledger is legitimate and impervious to tampering thanks to this digital signature.
Blockchain technology is now used outside of developed economies.
Blockchain technology use is on the rise in Africa and the rest of the world as a means of accelerating e-commerce and entrepreneurship socioeconomic progress. They provide a variety of functions by eliminating middlemen, cutting expenses, facilitating quick transactions, bringing about transparency, and boosting credibility.
The uses of blockchain technologies in the banking and finance, real estate, supply chain, energy, healthcare, tourism, and education sectors have been lauded. The average global cost of sending $200 to low- and middle-income nations is 6.9%, according to the World Bank Group, which inevitably results in a reduction in the amount given to households. As part of the SDG agenda, SDG 10(c) intends to lower the cost of remittance to less than 3% in 2030.
About $21.84 billion of Pakistan’s foreign exchange comes through remittances. It has a lot of potentials to be used in terms of macroeconomic stability. The development of foreign exchange reserves is hampered by the unstable rupee, uncertainty, sluggish and expensive transfers, hassles brought on by banks, and FATF restrictions. Blockchain technology will soon be used for international transactions. In an effort to fight the financing of terrorism and money laundering, Pakistan implemented it in 2008 for cross-border remittances from Malaysia through Vaylou in collaboration with Telenor Microfinance Bank. The OECD and numerous higher-ranking Pakistani authorities have praised the deployment of blockchain technology as a “move towards financial inclusion and technical development.”
The lack of proper market prices and information on potential buyers and sellers has caused differences in Pakistan’s real estate market. Blockchain can be used to handle client profiles and property information, expedite financial transactions, and operate on a secure, decentralized system. Maintaining records of past transactions and customer information can assist in resolving ownership disputes and the establishment of Ponzi schemes, which are fairly common in Pakistan’s real estate market.
It has shown to be useful in the healthcare industry for managing patient and medical staff databases as well as patient personal information, health history, and test result data. It can store enormous volumes of data, making data storage easy to access, share, and keep private.
Pakistan has a really astonishing track record of destroying or tainting documents, particularly when it comes to large-scale development initiatives. Blockchain provides a practical, traceable, secure, and unhackable end-to-end encryption solution to this issue. Similar to this, the Sindh police force has deployed a blockchain-based resource management system to automate transactions while controlling inventory and distribution of police warehouses throughout the province.
Election-related scandals including false votes, double counting, and counting mistakes always surround voting in Pakistan. To ensure election transparency, blockchain technology provides traceable and automated blockchain-based voting systems that are accessible via mobile devices.
Pakistan’s economic growth and development have been hampered by its energy crisis. The electrification of rural areas using renewable energy sources including solar, wind, biogas, and microturbines may benefit from blockchain technology. The use of smart grids has resulted from the decentralization of renewable energy. The regulation and monetization of microgrids, which deters people from buying or selling them and using them for energy production, pose the main problem. Numerous energy-based applications that are user-friendly are available for blockchain technologies. It can control how much energy is consumed on microgrids and keep track of peer-to-peer energy transfers. Blockchain technology is also being utilized globally in the agriculture and tourist industries.
Numerous businesses in Pakistan, like Info Grains, SoluLab, Softtik Technologies, Genesis Lab, and Relymer, are dedicated to providing solutions based on Blockchain technologies as the industry in Pakistan develops. The Pakistan Blockchain Institute (PBI) also provides advisory, research, and instructional services in Pakistan related to blockchain.
Blockchain technology adoption in Pakistan is still in its infancy, and its full potential has not yet been realized. In a meeting with Jimmy Nguyen, president of the BSV blockchain association, the president of Pakistan recently discussed the necessity of adopting blockchain technology and voiced his worry on issues related to data silos in the regulatory functions of the government. It was suggested that Pakistan implement a “National Blockchain Strategy” and teach all government employees, including ministers.
The government must involve policymakers, blockchain professionals, and public-private players in order to create an effective policy-induced “National Blockchain strategy” at both the sectoral and government levels. Governments and policymakers can consult the Global Blockchain Policy Centre, which the OECD launched in 2019, for information on blockchain and other Distributed Ledger Technologies (DLT).
This center’s major goal is to assist governments in addressing the issues related to blockchain and DLT (Distributed Ledger Technologies) in order to take advantage of the potential it presents across sectors for attaining policy goals. In order to enjoy the benefits of blockchain technologies for economic development, Pakistan must move toward context-specific and policy-induced adoption of these technologies. This requires both the opening of discourse and discussion as well as the development of solutions.
