Advantages of Proposed System

Some main advantages of blockchain in Benefit Distribution Program are:

  1. Value chain made efficient: Multiple banking transactions (from the government to consumers) are replaced by a handful of transactions (from the government to Vendor banks).
  2. Fraud-proof system: The token is a digital code that will be sent to the end consumer’s mobile phone number. This digital code will be tagged to the Aadhaar number using a mathematical hash function, thereby making every digital code unique to the Aadhaar number.
  3. Automated Reconciliation: Using the blockchain technology as both the government agency issuing the tokens and the laptop vendors redeeming the tokens are using the same distributed ledger.
  4. Cost and Time efficient system: Following the simplification of reconciliation and Value Chain. The whole process will take less time and cost.

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