GovCoin chosen for welfare payments trial
Written by Chris Lemmon
GovCoin Systems has revealed that its distributed ledger technology is being used in a trail to support the government distribution of benefit payments.
GovCoin has partnered with Barclays, RWE npower and University College London for the pilot, which commenced in June. Its aim is to develop a secure and effective technology that claimants can easily adopt to handle their welfare payments through a mobile app.
Robert Kay, CEO of GovCoin Systems, explained: “GovCoin Systems brought together a team with deep expertise in core financial services infrastructure and global transaction services to build a platform with the potential to improve people’s lives. This proof of concept is the first concrete stage in that journey. We believe in a flexible, open and collaborative approach and are already working effectively with Barclays and RWE npower to develop creative answers to the complex problems faced.”
Backing the move, Lord Freud, minister for welfare reform at the Department for Work and Pensions, said at a payments industry conference earlier this week: “Claimants are using an app on their phones through which they are receiving and spending their benefit payments. With their consent, their transactions are being recorded on a distributed ledger to support their financial management.”