China’s National Audit Office considers Blockchain to organize Data Infrastructure 7184
Asia
Roshni Vayyapuri
Apr 25, 2018 at 5:00 PM

People's Republic of China’s National Audit Office announced on their website that they are considering  Blockchain as a solution to eradicate the problem of what they describe as the “endless cycle of data storage and management” for its present infrastructure. The announcement was published on their website on April 24.

The National Audit Office deals with government-related auditing of financial transactions, also manages a data center that is centralized. This center stores the relevant information for every subsidiary auditing bureau in China.

The problem it faces is an “infinite expansion of data center hardware and software equipment requirements” to administer a massive amount of centralized data, as well as a complex system.

The article is trying to put forward a distributed ledger technology which employs “distributed node consensus algorithms to generate and update data, and encryption and decryption algorithms to secure data transmission and access,” will ultimately decrease the workload of the central government.

Equal rights and obligations are given to collect, maintain and manage data and information, for every subordinate in the auditing bureau. The confidentiality and the legality of subordinate auditor’s data operations will be supervised by the data center. Also, data center saves the timestamps. The article also states the potential for using smart contracts to automate data management processes.

“The author believes that the future big data audit work will be composed of the chains of auditing personnel operating time stamps generated by audit departments of all provinces (municipalities) and departments of internal auditing agencies of various departments. Audit will be based on blockchain data structures to validate and store data, use distributed node consensus algorithms to generate and update data, use encryption and decryption algorithms to secure data transmissions and access, and use smart contracts composed of automated script code to program and operating data. Of course, the above ideas are still limited to the initial concept of technology. To be truly applied requires extensive, in-depth, and rigorous argumentation studies at the legal level and the actual level. The author hereby initiates an elaboration and hopes that it can lead to more theoretical attention and empirical research., Promote big data auditing to achieve a breakthrough in large-scale development.” Statement says

 

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