according to materials from the site - By CryptoTale


Mass protests in the Philippines prompted the government to launch a blockchain-based transparency system for the Department of Public Works and Highways (DPWH). The Integrity Chain system was introduced on Wednesday, September 25, following demonstrations that involved over 130,000 people. Citizens demanded accountability after revelations of corruption in billion-dollar flood control projects.

The Integrity Chain was developed by BayaniChain Ventures as a secure, unauthorized-access-resistant registry that records contracts and key milestones of DPWH projects. According to BayaniChain co-founder and CEO Paul Soliman, the platform transforms government records into immutable and verifiable digital state assets.

Soliman added that after expanding beyond DPWH, the system could safeguard the country's annual budget of $98 billion. Public Works Secretary Vince Dizon confirmed that losses related to corruption in flood control projects could exceed a trillion pesos.

This amount could surpass $10 billion, allegedly accumulated by Ferdinand Marcos Sr. during his dictatorship several decades ago. Soliman emphasized that the role of the Integrity Chain is to ensure continuous, measurable, and unavoidable accountability in managing public funds.

Similar to the system previously implemented in the Department of Budget and Management, the Integrity Chain obtains data directly from DPWH databases. Each contract, budget document, and project milestone is formatted as a digital public asset. The orchestration level, called Prismo, manages the processing, encryption, and validation of data.

The platform operates on the Proof-of-Stake network of Polygon, a scaling solution compatible with Ethereum, which is used as a layer of consensus and transparency. Each record is timestamped, anchored in the blockchain, and then sent to independent validators. According to BayaniChain co-founder and development director Gelo Wong, this makes attempts at manipulation visible rather than hidden.

Validators include public organizations, non-governmental groups, universities, and media. Their feedback is recorded in an open manner, ensuring transparency. Validator keys are hardware-protected, periodically changed, and randomly distributed for verification. Each action is recorded in the blockchain as a separate public asset to detect misconduct or bias.

The protests that led to the implementation of the system took place on September 21, the anniversary of the martial law declared by former President Ferdinand Marcos Sr. Demonstrators highlighted inflated contract prices, construction defects, and ghost projects within the DPWH flood control program.

According to the Australian Institute of International Affairs, more than $33 billion has been allocated to flood control initiatives over 15 years. The launch of the Integrity Chain coincided with survey results published by the research company Tangere earlier this month.

A survey conducted on September 4-5 showed that 83% of Filipinos believe blockchain can fight corruption in government. Among respondents familiar with blockchain, 73% expressed confidence in its security.

Awareness of the upcoming 'Blockchain in Budget' bill reached 89% of respondents, 85% of whom supported its passage. The proposal, submitted by Senator Bam Aquino under bill number 1330, aims to ensure traceability and public auditing of every peso of the national budget.

If passed, the Department of Information and Communications Technology, together with the Department of Budget and Management and the Commission on Audit, will create this system.

Meanwhile, Representative Migs Villafuerte introduced the 'Bitcoin Strategic Reserve Act', urging the Central Bank of the Philippines to acquire 2,000 BTC annually for five years. At current prices, this plan would create a sovereign reserve of 10,000 BTC worth over $1.1 billion. Villafuerte called Bitcoin a modern strategic asset, and the bill also mandates quarterly disclosures of reserve holdings to ensure transparency. The launch of the Integrity Chain, nationwide protests, and legislative initiatives reflect a growing demand for accountability in managing the Philippines. By placing DPWH contracts, national budget data, and even sovereign Bitcoin reserves on the blockchain, authorities aim to address long-standing issues of corruption. These measures suggest a shift to systems where verification depends on public oversight and transparency of cryptocurrency data.


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