Ever since Bitcoin (BTC) popularized blockchain technology worldwide, the tech has found its way into myriad processes, from finance to public adminis
Ever since Bitcoin (BTC) popularized blockchain technology worldwide, the tech has found its way into myriad processes, from finance to public administration.
What started as a flex statement for early adopters has now become a way of revamping legacy systems and improving immutability, transparency and decentralization.
Despite its proven real-world use cases, most government agencies continue to take a cautious approach to adopting and infusing blockchain into their paper-based processes, given its predominant link to the cryptocurrency ecosystem.
However, a change of heart is underway as emerging economies see blockchain as a rare opportunity to establish a trust-based system for society.
While still reluctant to legitimize cryptocurrencies fully, India has generally accepted blockchain technology.
Numerous initiatives by local and state governments in India — ranging from data management systems to verifiable certificate issuances — currently use blockchain technology at their core.
India’s expedited blockchain adoption is supported by an active developer and startup community, which builds custom solutions to tackle specific use cases.
Cointelegraph’s pursuit to decipher India’s affinity for blockchain led to a conversation with Ankur Rakhi Sinha, the co-founder and CEO of Airchains, a Web3 startup focused on a middleware software-as-a-service (SaaS) platform.
Speaking to Cointelegraph, Ankur explained India’s massive appetite for blockchain and how elected leaders have been driving the change.
Cointelegraph: What is the primary driver behind India’s blockchain adoption spree?
Ankur Rakhi Sinha: The driving force behind India’s blockchain adoption is the multitude of benefits it offers to enterprises and institutions. Within their ecosystems, organizations recognize the immense benefits of incorporating blockchain technology. It addresses various challenges at different levels, such as enhancing transparency, traceability and establishing trust.
These factors contribute to the growing interest and widespread adoption of blockchain within India.
India is one of the fastest-growing blockchain markets globally, with over 56% of Indian businesses reporting an inclination toward adopting blockchain technology. With a developer base of a whopping 10 million, the Indian talent pool has been recognized globally by leading Web3 firms with the aim of fostering Web3 innovation and growth.
CT: In your discussions with the government agencies, are there any talks of crypto adoption?
ARS: No, currently, regulatory clearances surrounding cryptocurrency adoption are still uncertain. However, government agencies are actively exploring various avenues and seeking improved regulations. They are open to the idea and are diligently working toward creating a conducive environment for cryptocurrency adoption.
CT: Can you share any data and/or use cases that show improvements from older systems?
ARS: Yes, our recent collaboration with the New Town Kolkata Development Authority (NKDA) showcases the real-life adoption of blockchain. With a vast expanse of 27,000 acres of land and a staggering 50,000 NFTs [nonfungible tokens] representing one million ownerships, the NKDA’s adoption of NFTs for land mutation [the transfer of property titles] has revolutionized the traditional approach, and these initiatives demonstrate the growing recognition and commitment to harnessing the potential of blockchain to drive innovation and efficiency across various sectors.
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CT: Is India betting big on blockchain? Are there any government initiatives that help drive this cause?
ARS: Yes, India is definitely betting big on blockchain. Various government agencies and bodies within India are actively seeking to collaborate with blockchain solutions. While there is yet to be a high-level blockchain initiative from the government of India thus far, there is a strong demand from government entities that Airchains is actively addressing. One of the profound use cases of blockchain adoption includes the remarkable first-ever NFT-based land mutation in India.
Additionally, in January 2020, NITI Aayog’s two-part report titled “Blockchain: The India Strategy” made it apparent that while regulations regarding cryptocurrencies and other digital assets are under consideration, the government is significantly aware of the promise of core blockchain technology to transform various systems.
Several Indian government bodies are supportive of blockchain technology adoption and have collaborated with Airchains to incorporate novel blockchain-based systems ensuring accountability and security. The Raigarh District Authority has collaborated with us to create a blockchain-based tree plantation monitoring system for the betterment of CSR [corporate social responsibility] initiatives, whereas the Firozabad Police Department worked with us to create a blockchain complaint management…
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