Blockchain Technology in Elections Fintech: A Game-Changer for Democracy

February 17, 2023

Blockchain

The use of blockchain technology in fintech has already revolutionized the way we conduct financial transactions. However, the same technology can also be applied to the electoral process, making it more secure and transparent. Blockchain technology can help address some of the challenges that traditional electoral systems face, such as electoral fraud, data breaches, and lack of transparency. In this article, we will explore how blockchain technology can be used in elections fintech and how it can be a game-changer for democracy. Imagine adapting both internet voting and the usage of blockchain to count and show real-time votes across the entire country? This is what the PAFLA (Philippine Association of FinTech Lawyers) are advocating.

What is Blockchain Technology?

Before we dive into how blockchain technology can be used in elections fintech, let’s briefly explain what blockchain technology is. A blockchain is a decentralized, digital ledger that records transactions on multiple computers in a secure and transparent way. Each transaction is verified by multiple nodes on the network and added to the ledger, creating a block. Once a block is added, it cannot be altered or deleted, ensuring the integrity and immutability of the ledger.

How Blockchain Technology Can Be Used in Elections Fintech?

Blockchain technology can be applied to elections fintech in several ways, including:

Secure and Transparent Voting

One of the most significant benefits of blockchain technology in elections fintech is its ability to provide a secure and transparent voting system. Blockchain-based voting systems can be designed to ensure that each vote is encrypted, anonymous, and tamper-proof. Each vote can be recorded as a transaction on the blockchain, and once it’s recorded, it cannot be altered or deleted. This provides a high level of security and transparency, which is essential in ensuring fair and trustworthy elections.

Voter Verification

Blockchain technology can also be used for voter verification. With blockchain-based systems, voters can be verified using their unique digital IDs. This can eliminate the need for physical ID cards, making the voting process more accessible and convenient.

Counting and Tallying

Counting and tallying votes can be a tedious and time-consuming process. Blockchain technology can simplify this process by automating vote counting and tallying. The use of smart contracts can be programmed to automatically count and tally the votes, which reduces the chances of human error.

Auditability

One of the most significant advantages of blockchain technology is its auditability. With blockchain-based systems, each transaction is recorded on a decentralized ledger, making it easy to track and audit. This ensures that the election results are accurate and can be verified by anyone.

Benefits of Using Blockchain Technology in Elections Fintech

The use of blockchain technology in elections fintech can provide several benefits, including:

Increased Transparency

The use of blockchain technology can provide increased transparency in the electoral process. Since each transaction is recorded on a decentralized ledger, the voting process becomes more transparent and accountable.

Reduced Electoral Fraud

The use of blockchain technology can reduce electoral fraud by providing a secure and tamper-proof system. Since each vote is recorded on the blockchain, it cannot be altered or deleted, reducing the chances of electoral fraud.

Improved Efficiency

The use of blockchain technology can improve the efficiency of the electoral process by automating vote counting and tallying. This reduces the time and effort required for manual vote counting and ensures that the results are accurate and timely.

Increased Accessibility

The use of blockchain technology can increase accessibility to the electoral process. With blockchain-based voting systems, voters can cast their votes from anywhere in the world, eliminating the need for physical polling stations.

Conclusion

The use of blockchain technology in elections fintech can be a game-changer for democracy. It provides a secure, transparent, and tamper-proof system that can address some of the challenges of traditional electoral systems. Blockchain-based voting systems can provide increased transparency, reduce electoral fraud, improve efficiency, and increase accessibility. PAFLA was invited by COMELEC to start this initiative. I personally advocated internet voting for absentee voting and for the elderly or disabled voters during these Focus Group Discussions hosted by the COMELEC.

PAFLA is the first and official advocate of Blockchain usage for elections and Fintech for Comelec. Read more about it here.