The two countries that have legalised cryptocurrency have hugely impacted the world and are powerful leaders. The two countries are El Salvador and the Central African Republic. As a result, the California State government has agreed on how they want to move forward with the technology. The state government has passed a bill that will encourage the state government, businesses, organisations, and the citizens of the State to adopt blockchain technology in one way or another. This is a huge move considering how influential the State of California is to the United States of America and the entire world.
We are about to see the butterfly effects of the bill passed as it leads to an increase in the adoption rate and much more. The entire process started with the California state governor, Gov. Gavin Newson, giving an executive order to other leaders in the State. This happened after President Joe Biden gave his executive order for state and federal organisations to research and develop a report on what would happen if blockchain technology was adopted and used in the country. His executive order made Gov. Gavin Newson push his peers and employees to discuss the bill and make a decision on whether the bill was good enough to be adopted in the State of California. The decision was arrived at after the researchers identified the significance of adopting the technology to state and federal governments.
Although the bill was passed, not many people know what the bill means for the people and organisations in California. Some of the details incorporated in the bill include; the first is that the state government of California would create and enforce laws that would govern blockchain technology and cryptocurrency use in the State. This means that although the technology will be used in the State, people will have to follow the laws to ensure that people and wealth are protected and the technology is not used for illegal practices.
The second thing is that the State would adopt blockchain technology in their daily practices. This means that services offered by the state government will change over time to the technology. Although some countries and cities have already developed systems where citizens can pay for government services through cryptocurrency, California is about to change everything people thought and believed about blockchain technology. Some of the ways the technology will be applied and their effects include;
Use of cryptocurrency
The first and the most obvious will be the use of cryptocurrency in the State. When the bill starts to be enforced, the first thing that will happen is that more government services will be offered through cryptocurrency.
People will be able to pay for government services through technology, which will improve efficiency and speed. This will lead to private organisations adopting crypto, and more companies and businesses based in California will start allowing their customers to buy products using this.
A good example is how Gucci has already decided to allow its customers to start buying their products through cryptocurrency. They will slowly roll out these services to their stores, but the first two stores are based in California and New York. This might be a coincidence or perfect timing, but I believe the company did this due to the developments on the bill passed in the State.
The second use of blockchain technology that will be adopted is NFT in administrative roles. Many might think that NFT can only be used in developing art by creatives, but they are wrong. There are many things that people might do with technology that might have a huge impact on administration, businesses, and personal life. NFTs are initials for Non-fungible tokens. The real meaning behind NFT is that they are a setoff non-interchangeable units of data. This means that people cannot change the data once introduced to the system. The information is developed on blockchain technology and gives the information authenticity and proof. In administration, this will be one of the most useful technology.
There are many situations where NFT technology might help to improve services and help deal with many of the problems affecting administration and society. Some of the many applications where NFTs can be used include; the first is in keeping important records. This includes funds during budgeting and allocation to ensure that the leaders are accountable for all the funds used to offer services to the citizens. The police can also use technology to ensure accountability and reduce corruption. Since the technology is ono-interchangeable, it might be used during elections to ensure the chosen leader is the right leader and reduce rigging cases in the future.
The blockchain technology bill passed by the State of California might have several impacts on the State, the entire country, and the world. Some of the main impacts the adoption of the technology might have included the following:
The first impact will have to be on the government and the citizens of the State. Some of the main impacts the technology will have will include; the first is saving people and organisations a lot of time and cost when offering services to the citizens. Since the information will be readily available, people will not need physical documents when getting services. This introduces the second impact, which is leading to automation for most of the services in the State.
Other impacts include improving public opinion by creating trust in the government and improving government services’ transparency, reliability, and accessibility. This will greatly impact the performance of the state government and the entire State at large. Due to the impacts, the adoption will have on the State, other states and countries will realise the impacts, leading to more governments adopting the technology. California will lead the way to a world where blockchain technology will have a huge role in the administration. This might eventually get to some African countries where the leaders support democracy and services to the people.