Reading Time
~ 3 minutes
Spread the Word
Advertisement

The Mexican government announced that it plans on directing a public procurement procedure on a blockchain network, according to Mexican business news outlet El Economista.

It is yet unknown what exactly will be put up for sale, but its organizers have given assurance that they will publicly make available the white paper and the object of the tender later in August.

The project first originated from a hackathon which was held in April this year, which developed the ­­context of Talent Land 2018. Yolanda Martinez Mancilla, the coordinator of the National Digital Strategy, said at that time that the country’s government was developing a project which would track bids for public purchases through the use of blockchain.

“The goal is to continue strengthening the prototype that was presented in April this year, within the framework of Talent Land 2018, and to launch in August the model of governance of the public network,” was quoted Mancilla to have said.

Several government agencies along with a consultative council comprised of notable figures from Mexico’s blockchain industry and international experts developed the governance model of the blockchain network for public acquisitions.

The model will feature a horizontal structure and will be made up of public institutions, universities, and public organizations. The transactions that will take place on the blockchain will be supervised and validated by both the academics and the organizations.

The bidding process will require the user to create a number of smart contracts, one contract for each specific phase of the procedure.

The first contract will execute the registering of the “Buyer Unit”, the government agency which handles the purchase of services or goods. The second contract will enable suppliers to register and it will also store their information on the blockchain.

The third contract will be created within the second contract, and it will have the role of verifying the information and the reputation of those that registered on the chain and if they took part in previous public tenders.

The fourth smart contract keeps the project’s information stored, starting from the registration phase to the outcome of the tender. The fifth contract then assesses the proposals and checks if they meet the required criteria, and then it gives the project to the winner.

Mexico is not the only country that is looking into blockchain solutions to increase transparency and reduce corruption. Another recent example would be Brazil’s state-owned tech firm Serpro, which just unveiled a blockchain that could help curb fraud and corruption in the government areas.

Advertisement
Read more articles related to this subject:
Notice: The information in this article and the links provided are for general information purposes only and should not constitute any financial or investment advice. We advise you to do your own research or consult a professional before making financial decisions. Please acknowledge that we are not responsible for any loss caused by any information present on this website.