Regional Government of Kaliningrad to Test Blockchain Payments

A Russia state-owned bank known as Vnesheconombank (VEB) has arranged with the government of Kaliningrad to test a new blockchain-based payment system. Blockchain technology is expanding in the Russia and in the whole world. Different governments are using this technology in order to improve different services.

Kaliningrad to Test Blockchain Payments

Russia has been working and implementing different blockchain uses in various regions and governments. For example, some days ago we wrote that the first Blockchain school was launched in Moscow. Additionally, Moscow has also implemented a voting system based on the Ethereum’s platform.

During the last week, different officials including Anton Alkikhanov, Kaliningrad’s governor, met at the Russian Investment Forum in Sochi in order to sign an agreement underpinning the trials.

In a statement, Alikhanov commented that the development bank will help Russia to improve the quality of management decisions. Kaliningrad is the westernmost part of Russia and it is separated from the rest of the Russian territory. It shares borders with Poland, and Lithuania.

The government and the bank believe that the technology will be able to improve the quality of social services, increasing transparency and reducing costs. This trial between the government and the bank show how public and private interest meet making it possible to improve the liveability of the region.

Among the main services that the government wants to implement we find blockchain based social payments and electronic services that will help to improve the efficiency of public and corporate governance.

Sergei Gorkov, VEB chairman commented:

“The Kaliningrad region is on of the most active subjects of the Russian Federation in terms of implementing advanced technologies that support the development of Russia’s digital economy.”

Russia is working with blockchain technology in many different areas and since long time. President Vladimir Putin has decided to create Russia’s own cryptocurrency and now is being under development. During the last year, two cryptocurrency agencies were opened in the city of Vladivostok to promote the use and knowledge of blockchain technology. Vladivostok is 7357 km away from Kaliningrad’s region.