ECONOMYNEXT – Sri Lanka cabinet has approved a proposal to look into blockchain technology aiming to digitalize the economy, State Minister for Digital Technology Namal Rajapaksa said on Wednesday.
“Sri Lanka is taking a leap forward today as the cabinet approves to establish a committee to propose policy on blockchain technology, digital banking and crypto mining! Forward thinking and proper regulatory framework will ensure that Sri Lanka will lead the digital economy in the region,” Rajapaksa tweeted on Wednesday (06).
Blockchain, according to online literature, is a technology analogous to Google Doc.
A blockchain is a database that is shared across a network of computers and once a record is added to the chain, it is very difficult to change it. To ensure all copies of the database are the same, the network makes constant checks.
When a document is created and shared with a group of people, the document is distributed instead of copied or transferred.
That creates a decentralized distribution chain that gives everyone access to the document at the same time and no one is locked out awaiting changes from another party, while all modifications to the doc are being recorded in real-time, making changes completely transparent.
Blockchains have been used to underpin cyber currencies like bitcoin.
In August, Minister Rajapaksa said on his blog that the idea to promote blockchain was to enable the existence of cryptocurrency and a larger digital economy.
“Going forward, Sri Lanka needs to concentrate more and use its potential to create e-commerce platforms that can go global as well as expand our digital economy,” he said.
“This industry can attract massive foreign exchange and also create large-scale employment.” (Colombo/Oct07/2021)