Blockchain the Budget Bill (SBN 1330): A New Chapter in Governance

This proposed measure, authored by Sen. Bam Aquino, seeks to use blockchain technology to make the utilization of the national budget more transparent, efficient, and accountable.

Positive Effects

Radical Transparency

The public will be able to see exactly where every tax peso goes — from the national budget to contracts and projects. No more hiding, no more loopholes.

Stronger Accountability

Officials can no longer deny where funds were spent since everything is recorded in the blockchain ledger and can be easily audited by citizens, the media, and civil society.

More Efficient Budget Execution

Ghost projects, duplication, and overpricing will be reduced. Fund disbursement can also be expedited through smart contracts.

Restored Public Trust

Public confidence in government will increase once people can see the real flow of funds.

A Weapon Against Corruption

Under-the-table deals will be harder to pull off since all transactions are transparent and accessible to the public.

Challenges Ahead

High Implementation Cost – Developing and running a nationwide blockchain system will be expensive.

Technological Divide – Not all Filipinos have access or the knowledge to use it, potentially limiting it to the tech-savvy sector.

Data Privacy Concerns – There must be a balance between transparency and the protection of sensitive information.

Resistance from Within – Politicians and officials who benefit from “gray areas” may oppose or slow down implementation.

Cybersecurity Risks – While blockchain is secure, entry points such as devices and data input remain vulnerable.

In Summary

If implemented properly, this could be a game-changer against corruption, bringing more effective, open, and people-centered governance.

But if not, it risks becoming just an expensive showcase project that ordinary citizens cannot benefit from.