DBS Bank to Use Blockchain for Government Grant Payouts in Singapore
Ruholamin Haqshanas is a contributing crypto writer for CryptoNews. He is a crypto and finance journalist with over four years of experience. Ruholamin has been featured in several high-profile crypto...
DBS Bank has launched a pilot project to use blockchain technology for government grant disbursements in Singapore.
The bank will collaborate with Enterprise Singapore (EnterpriseSG) and the Singapore Fintech Association (SFA) as part of the project, according to a report from Fintech News.
The goal is to explore the potential of programmable grant disbursements to improve the efficiency, governance, and user experience.
The project utilizes a protocol known as Purpose-Bound Money (PBM), which ensures that funds are only released when predetermined conditions are met.
These conditions are verified through smart contracts, enabling automatic disbursements to the beneficiaries.
The system not only speeds up the distribution process but also reduces the need for manual oversight, thereby increasing the efficiency of fund allocation.
The pilot was conducted during the Singapore Fintech Festival 2023, where 27 local fintech companies, including notable names like Advance Intelligence, Aspire, and Experian Singapore, participated.
Using DBS’s permissioned blockchain, the process ensured that only authorized recipients received the grants once the specified criteria were fulfilled.
INTEL: Singaporean bank DBS has introduced a blockchain-based solution to optimize the payment of government grants
“Smart contract technology automates and streamlines grant disbursements for government agencies to enable faster, more secure disbursements and payments,” Han Kwee Juan, Country Head of DBS Singapore, said.
DBS’s involvement in this project is an
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