Azerbaijan is undergoing a fintech revolution. The country’s government has made moves to start implementing blockchain solutions in its e-government and banking systems. These announcements surrounding the latest blockchain innovations were part of a government move to improve its overall efficiency.
Government officials have stated that blockchain infrastructure makes up part of its new program. Cointelegraph reported that the country’s State Customs Committee Chairman wanted to utilize the blockchain to construct a database for cargo transportation.
Last month, a Central Bank of Azerbaijan (CBA) official spoke on how the bank planned to implement blockchain and AI infrastructure into the banking industry.
This movement embracing blockchain began last October when Farid Osmanov first gave notice of their program to improve the economy by digitizing it. This included an agreement with IT giant, IBM. Farid Osmanov is the Chief Information Officer of CBA.
Azerbaijan plans to utilize digital ledgers in its housing, court system, and utility network. This “e-government” portal will allow Azerbaijani citizens the ability to use various government systems with just their smartphones.
However, this blockchain tech has yet to be completely unveiled. At the moment, blockchain infrastructure has only been implemented for digital identification. This tech was one the first of its kind to be installed across the globe.
The digital identification system relies on the Hyperledger Fabric Protocol. This open-source protocol is hosted by the Linux Foundation. This system should be completely operational in the next several months.
The system allows Azerbaijani systems to transfer personal data via digitally signed documents. These documents can be sent as official documents to credit and banking organizations.
What’s great about this program is that it actually gives citizens a lot of user control. They will be able to share the data they want with financial entities. This form of authorized data sharing will be of benefit to citizens, businesses, and the government. To read more on Azerbaijan’s initiative, check out the original here.
