The UK Department for Work and Pensions is currently trial testing a blockchain-based prototype that may be used to deliver a more robust system of welfare payments.
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The news was revealed at the Payments Innovation Conference 2016 on July 4 by Minister for Welfare Reform at the Department for Work and Pensions, Lord Freud. Additionally, a press release from GovCoin Systems Limited, a fintech company dedicated to the project, stated that other legacy institutions are also involved in the project. Specifically:
We have been working with GovCoin Systems and their partners, Barclays, RWE npower and University College London for this trial.
The proof-of-concept began trialing back in June and welfare recipients use their phones to toggle benefit payments where all actions are recorded on a distributed ledger system. The project aims to create a more secure and highly efficient welfare infrastructure that can prevent fraud.
Jeremy Wilson, Vice Chairman, Corporate Banking at Barclays, says the initiative adds a richer layer of data and identity between government officials and claimants.
“We are keen to see how the positive potential of