US Government Might Adopt Blockchain, Bill Says
The US government is set to adopt the blockchain technology, if the approval of a recent bill by both the House of Representatives and the Senate is anything to go by. The approval of the National Defense Authorization Act (NDAA), popularly known as the Defense Spending Bill, might be the first step that sets the mainstream acceptance of the technology in the key agencies of the US government.
The bill, which seeks to implement the Modernizing Government Technology (MGT) Act, will allow key agencies to forward their cost savings into a domestic working capital that they can use to modernize their IT systems.
If implemented, various agencies of the US government will have the control over how they invest their savings, a concept derived from the blockchain technology. This is according to Trey Hodgkins, senior vice president of the Public Sector of the Information Technology Industry Council.
Reiterating the concept, Hodgkins said Blockchain would create a flexible and decentralized currency that allows agencies to control their investments. It is against that backdrop that the Congress would want government agencies to consider it.
More Details on the Bill
According to the provision of MGT Act, government agencies have the authority to utilize their saved funds to modernize their sectors in three categories:
- Transferring legacy systems to the cloud
- Cybersecurity management
- Creation of new technologies and platforms
While it’s not mentioned in the bill, the Blockchain technology qualifies as a possible direction to facilitate the allocation of funds for further development at agency level.
Todd Miller of ChromaWay, a database provider, hints that they are already interested in the MGT Act because it promotes new technologies including Blockchain and smart contracts. According to Miller, MGT Act will encourage federal agencies to shift from high-end, low-performing heritage systems to new technologies such as the blockchain and smart contracts.
The National Defense Authorization Act (NDAA) has already passed the approval of the House of Representatives and the Senate. As circumstances stand, what remains of the Act is the signature of the US President Donald Trump to make it law.