Dubai Department of Finance has launched a blockchain-powered payment system geared towards government entities in collaboration with Smart Dubai Office.
The Dubai Department of Finance (DoF) has partnered with the Smart Dubai Office (SDO) to launch a blockchain-powered payment system. The news was reported on by a local news site Zawya, September 23.
The new platform, called “Payment Reconciliation and Settlement,” was officially launched Sunday, September 23. It is reportedly geared towards government entities, such as the Dubai Police, Roads and Transport Authority (RTA), Dubai Health Authority (DHA), and others.
According to Zawya, the Dubai DoF and SDO intend for the system to provide for a more accurate and transparent governance process, as well as to enable real-time payments within and between government structures.
As Zawya reports, the currently existing process for transactions in Dubai government is time-consuming, requiring up to 45 days to complete any given operation.
The new system is reportedly already in use by the Dubai Electricity and Water Authority (DEWA) and the Knowledge and Human Development Authority (KHDA), with a total number of test transactions amounting to more than five million.
Dr. Aisha Bin Bishr, Director General at the SDO, commented that blockchain is “one of the most promising of [emerging] technologies.”
In 2017, the SDO group was granted the top honors at the Smart Cities Expo and World Congress in Barcelona, acquiring the City Project Award from among 308 other teams for their Dubai blockchain Strategy.
The Smart City project was reportedly introduced by Vice President and Prime Minister of the UAE and Ruler of the Dubai Emirate Sheikh Mohammed bin Rashid in 2013. Supported by the government, private sector, and institutional partners, the organization’s goal is to provide a smart ecosystem for cooperation between government entities and residents and visitors.
Smart Dubai is not the only government-backed initiative that intends to employ major emerging technologies such as blockchain in the country.
In April of this year, the UAE Vice President and Prime Minister launched the “UAE Blockchain Strategy 2021” initiative, with a goal to achieve the position of a global leader in adopting the technology.
In July, the Dubai International Financial Centre (DIFC) announced its partnership with Smart Dubai to develop a “Court of the Blockchain.” The organizations aim to explore the potential of the technology in addressing the shortcomings of the UAE’s legal system, for example by introducing blockchain-based verification of court judgements.
Source: Cointelegraph https://cointelegraph.com/