The United States Treasury Section has well-nigh completed tests of a blockchain-based grants payment capability as part of the exploration of how the tech can ameliorate such operations.

As the Business of Federal Technology reported on Jan. 10, the Treasury Department launched a program designed to discover whether blockchain could provide more efficiencies into the operations of a blockchain-based grants payment organization. Currently, the agency has about completed a Proof-of-Concept for a blockchain-based letter of the alphabet of credit for federal grant recipients.

More than efficient tracking

Describing the principle of the program's performance, Craig Fischer, innovation program manager at the agency, explained that the platform tokenizes electronic federal messages of credit sent out to grant recipients, thus helping trace the distribution of the grant payments and making the transaction more than secure. The tracking feature besides enables the government to run across data such as recipient identification, grant corporeality and primal dates like when it was awarded.

To receive a tokenized letter, the recipient would need to have an electronic wallet associated with a bank account. The tests are expected to be finished by the end of Jan.

Blockchain in transactions and products tracing

Blockchain has been widely used to track transactions and products. Earlier in January, IBM and Farmer Connect – an arrangement committed to increasing transparency and sustainability in agriculture supply chains – demoed a blockchain-based app that allows consumers to learn about the coffee beans they purchase. The mobile app provides consumers with an interactive map to show the journey of their coffee by scanning a QR-lawmaking.

Terminal December, the 2nd-largest power utility in Japan, the Kansai Electric Power Co Inc (KEPCO), extended its trial of a blockchain-powered arrangement for transacting renewable energy credits.

A written report from Cointelegraph Consulting and Swiss enterprise blockchain house Insolar equally of last December showed that blockchain applied science could reduce supply chain-related costs for businesses between 0.four% and 0.8%.