Categorizing and relating implementation challenges for realizing blockchain applications in government

Abstract

PurposeBlockchain technology (BCT) can be used for a wide variety of applications across domains and can bring many benefits. BCT-based applications can be beneficial for the government as well as businesses. Despite the many promises, BCT implementation lags behind. The purpose of this research is to identify a roadmap of critical implementation challenges that influence BCT implementation by governments.Design/methodology/approachThe study develops an ISM-based model spread across seven levels to analyze the inter-relationship among the selected BCT challenges. The MICMAC analysis further helps in evaluating the variables based on their driving power and dependencies.FindingsThe findings show that all challenges have a strong impact on implementing BCT. The foundation for implementation BCT is to define standards and develop appropriate regulations. Next, the findings show the need for a shared infrastructure meeting the basic technical and societal requirements and developing viable business models to advance BCT implementation. Many challenges hinder the development of blockchain applications meeting the technical and ethical requirements.Originality/valueExisting research has analyzed the relationship among challenges. To the best of the authors' knowledge this is the first paper to collate these implementation challenges and incorporate them to develop a hierarchical model using interpretive structural modeling technique. The results can be used to prioritize the tackling of the challenges.

A Decision Framework for Assessing and Improving the Barriers of Blockchain Technology Adoption

“…How to integrate new rules on blockchain systems into legacy regulations is an urgent issue for companies; however, there seems to be no effective initiative. Regulations and policies that cannot keep pace with blockchain development are important determinants of adoption impediments (Tseng & Shang, 2021;Luthra et al, 2022).…”

“…Weill and Woerner (2018) also indicated that this new technology can make corporations be more ready for future markets and strengthen their profitability by 16% in contrast to traditional corporates. This technology has drawn the widespread interest of businesses since 2009, and an excellent and full discussion of it appears in the literature (Luthra et al, 2022;Singla et al, 2023;Vincent et al, 2020;Yadav et al, 2020).…”

Unveiling Roadblocks and Mapping Solutions for Blockchain Adoption by Governments: A Systematic Literature Review

“…Data privacy, quality, and integrity are significant concerns, discussed in 9 articles each. Public or opensource blockchain platforms are susceptible to tampering and security breaches, while the decentralised nature of the system exposes them to a similar threat -unauthorised data manipulation (S. Alam et al, 2021;Alsaed et al, 2021;Clavin et al, 2020;Majumdar et al, 2020;Mintah et al, 2021;Nath et al, 2021;Thakur et al, 2020) The Norwegian government's decision to discontinue e-voting platforms reflects concerns about potential cyberattacks (Vladucu et al, 2023), clarifying the lack of trust in BC from government agencies (Hiwale et al, 2023;Khan et al, 2022;Luthra et al, 2022;Schwarzman et al, 2020;Sung & Park, 2021). The complexity and immutability of BCT add to the security concerns faced by governments, which in turn creates hesitancy towards adopting or transitioning to blockchain for their operations.…”

“…The scalability challenges encountered by public blockchain platforms, characterised by the growing size of blocks and limited transaction throughput, hinder the efficiency of transaction processing (Clavin et al, 2020;Farnaghi & Mansourian, 2020;Rana et al, 2022). The substantial costs involved in implementation and maintenance, encompassing storage capacity and network infrastructure, also pose financial obstacles for government adoption as transaction costs are notably higher in permissionless (public) blockchains compared to centralised solutions, exacerbating the cost concerns (Alsaed et al, 2021;Baharmand et al, 2021;Clavin et al, 2020;Luthra et al, 2022;Prux et al, 2021;Schwarzman et al, 2020;Thakur et al, 2020).…”

“…This study unveils 14 factors that hinder organisational progress, with the organisational culture of resistance, limited support and participation from top management, and inadequate human resource capability emerging as the most prevalent issues, each mentioned in seven articles. (Baharmand et al, 2021;Danwar et al, 2022;Farooque et al, 2020;Luthra et al, 2022;Prux et al, 2021;Rana et al, 2022;Shahaab et al, 2023). Insufficient stakeholder engagement, weak leadership, and scepticism towards BCT further hinder progress (Alnafrah & Mouselli, 2021;Farooque et al, 2020;Jattan et al, 2020;Khan et al, 2022;Murphy et al, 2021).…”