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National Infrastructure Initiative Gains Momentum
The Nigerian federal government’s initiative to develop an indigenous blockchain infrastructure has received considerable support from the National Blockchain Policy Implementation Steering Committee. Two weeks earlier, the government had revealed its plans to establish a domestic blockchain, stressing the importance of data security and privacy in the endeavor.
Approval by key stakeholders
Chimezie Chuta, Chairman of the Committee, expressed strong approval of the initiative during a discussion with The PUNCH. He hailed the concept of a national blockchain infrastructure as a significant and positive step forward. Chuta highlighted that other countries, including India, China, the United Arab Emirates, South Korea, and Singapore, have already established their blockchain infrastructure, suggesting that Africa’s third-largest economy should not be left behind.
Naming the National Blockchain
Chuta proposed several potential names for the Nigerian blockchain, such as “Nigereum,” “NaijaChain,” “NijaBlock,” and “AfriLedger,” drawing parallels with the Indian blockchain, known as “IndiaChain.” He advocated for a federated or consortium blockchain model, which he said would provide controlled access, facilitate collaboration among stakeholders, improve scalability and efficiency, support smart contracts, and improve regulatory compliance. This type of blockchain, he noted, would be governed by a group of organizations rather than a single entity.
Strategic Implementation Partner
Galaxy Backbone, a Nigerian government agency responsible for providing ICT infrastructure and services, was identified by Chuta as the most suitable entity to host the primary blockchain infrastructure. He argued that Galaxy Backbone should be officially named as a strategic partner for the implementation of the national blockchain infrastructure, highlighting its capabilities and existing role in the country’s ICT landscape.
Comparative analysis and future prospects
Comparing Nigeria’s blockchain aspirations with those of other nations, Chuta highlighted the potential for significant advances in data security, economic efficiency, and technological innovation. By establishing a national blockchain, Nigeria aims to join the ranks of countries that have successfully integrated this technology into their national frameworks, thereby enhancing their global competitiveness and technological sovereignty.
Wider implications for the Nigerian economy
The push for a national blockchain infrastructure is seen as a move that could bring significant benefits to the Nigerian economy. The implementation of such technology promises to streamline various sectors, improve transparency, and promote a more secure and efficient data management system. This could potentially attract foreign investment and strengthen confidence in Nigeria’s technological capabilities.
Additionally, the development of a national blockchain could provide a platform for various industries to innovate and collaborate more effectively. By supporting smart contracts and providing a scalable and efficient infrastructure, blockchain could facilitate new business models and drive economic growth.
Addressing regulatory and compliance challenges
A consortium-based blockchain model, as Chuta advocates, would also address regulatory and compliance challenges more effectively. By involving multiple stakeholders in governance, this model ensures that the blockchain operates within a framework that supports regulatory oversight and compliance, thereby improving its credibility and trustworthiness.
Conclusion: A strategic move towards technological progress
The Nigerian government’s initiative to establish a national blockchain infrastructure represents a strategic move towards adopting advanced technologies for national development. With strong support from key stakeholders and the potential for significant economic and technological benefits, this initiative is poised to position Nigeria as a leader in blockchain technology in Africa and beyond. As the country moves forward with this ambitious project, the focus will be on ensuring that the infrastructure is robust, secure, and capable of meeting the demands of a modern digital economy.