BLOCKCHAIN
Why Blockchain is Good for Infrastructure Research

2018-01-20 09:23:48
by Saffron Weale
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Why Blockchain is Good for Infrastructure Research

The state of São Paulo in Brazil is considering a blockchain-based solution to its infrastructure problems, caused by a struggling economy and the corruption of former contractors. If successful, it could pave the way for other governments to solve similar problems – such as wanting to invest in infrastructure, but not having access to the appropriate means or expertise.

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How they\'re doing it in Brazil is to set up a partnership for a blockchain-based project with an infrastructure consultancy and an altcoin company. 60,000 infrastructure experts, who can be accessed via the consultancy\'s global network, will be connected on the blockchain with contractors and whoever commissions the studies. The project will issue a cryptocurrency token to incentivise and pay contributors, taking the investment burden off government shoulders.

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An engineer in Scotland whose speciality is dams, for instance, could be asked to collaborate on producing a feasibility study for a dam commissioned by a government entity in Peru. She would be paid in altcoin, in proportion with contributions made by all the participants. If the scheme works as planned, the cryptocurrency will eventually become an alternative payment method within the same ecosystem, so she could perhaps pay for market research, training and subcontractors.

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 The advantage of using Blockchain is that, once the project is off the ground, its inherent value increases as more participating experts have the opportunity to join the network.

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