Breaking News
Get Actionable Insights with InvestingPro+: Start 7 Day FREE Trial Register here
Investing Pro 0
Ad-Free Version. Upgrade your experience. Save up to 40% More details

Why Governments Are Slow to Innovate and Adopt New Tech – Such as Blockchain?

CryptocurrencyOct 18, 2021 01:00AM ET
Saved. See Saved Items.
This article has already been saved in your Saved Items
Why Governments Are Slow to Innovate and Adopt New Tech – Such as Blockchain?

Why aren’t governments better at innovating and adapting new technologies? We won’t keep you in suspense – they simply aren’t built to pivot and be nimble. Government bureaucracies are designed to “stay the course” and are more akin to super oil tankers rather than speed boats.

Regardless if the technology is genomics, artificial intelligence, quantum computing, or blockchain they don’t have innovation encoded within their organizational DNA. Instead, their institutional inertia seems purpose-built to squelch adoption of technology such as blockchain, and here are a few reasons why.

Self preservation

Blockchain is an immutable, transparent, distributed, open ledger that was designed to work without the need of large financial institutions such as banks and lenders. Government agencies are the penultimate arbitrators. If widely adopted by bureaucracies, blockchain technology would put complete agencies out of business by eliminating the intermediaries and go-betweens in Washington, D.C.

Politicians don’t want to solve problems – they want to stay in power

If jobs get created, if wars cease, if people are healthy and living longer, if there’s no civil unrest, if the economy thrives, if people don’t need social services…etc. there’s no justification for politicians to stay in office. There’s no justification for continuous tax hikes, runaway spending, or politician’s pet taxpayer-funded projects for the folks back home to ensure the politos’ reelection. Blockchain tech helps solve problems but problems keep politicians in power. The cycle of legislative delay and political gridlock is intentional to keep their gravy train rolling.

Frequent leadership change

Every newly elected administration typically comes in and fires old appointees in favor of their own patronage appointments. Blockchain could provide immutable consistency in several of these agencies in the face of constant leadership turnover. Instead, this never ending game of political musical chairs ensures a steady reboot of vision, priorities, goals, strategies, and tactics – to the detriment of us all.

Many public agencies lack a clear mission

While remits for some government divisions are clear such as the Department of Justice and the Department of Defense, there are several cabinet-level departments with much fuzzier reasons to exist. What’s the stated mission of the Department of the Interior? Or the State Department? Or the Department of Commerce? Or the Department of Education? Or the Department of Agriculture? Of course they all do things but many of these issues are mainly managed at state-level such as commerce, agriculture, and education. Frenetic federal-level action is not a mission statement, goal, or strategy – it’s just a waste of taxpayer dollars and fractured federal focus.

Bottom line, governments are not incentivized to innovate or adopt novel technologies such as blockchain because of the risk to their continuation as a bureaucracy, risk to their power base, risk to political gridlock, and risk to the status quo.

On The Flipside

  • Governments could use blockchain to streamline many functions from passports, taxation, food and medical safety, immigration, secure voting and elections, payment of federal assistance and social welfare and much more.
  • However politicians don’t want to improve things, they want things to stay the same or worsen to justify their own existence.

Why You Should Care?

In democratic societies and representative republics, elected officials are supposed to serve the interests of the people who elected them. Unfortunately, too many politicians view their elected office as some kind of entitlement, and that kind of thinking serves no one.


Join to get the flipside of crypto

Upgrade your inbox and get our DailyCoin editors’ picks 1x a week delivered straight to your inbox.

[contact-form-7] You can always unsubscribe with just 1 click.

Continue reading on DailyCoin

Why Governments Are Slow to Innovate and Adopt New Tech – Such as Blockchain?

Related Articles

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with other users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind:  

  •            Enrich the conversation, don’t trash it.

  •           Stay focused and on track. Only post material that’s relevant to the topic being discussed. 

  •           Be respectful. Even negative opinions can be framed positively and diplomatically. Avoid profanity, slander or personal attacks directed at an author or another user. Racism, sexism and other forms of discrimination will not be tolerated.

  • Use standard writing style. Include punctuation and upper and lower cases. Comments that are written in all caps and contain excessive use of symbols will be removed.
  • NOTE: Spam and/or promotional messages and comments containing links will be removed. Phone numbers, email addresses, links to personal or business websites, Skype/Telegram/WhatsApp etc. addresses (including links to groups) will also be removed; self-promotional material or business-related solicitations or PR (ie, contact me for signals/advice etc.), and/or any other comment that contains personal contact specifcs or advertising will be removed as well. In addition, any of the above-mentioned violations may result in suspension of your account.
  • Doxxing. We do not allow any sharing of private or personal contact or other information about any individual or organization. This will result in immediate suspension of the commentor and his or her account.
  • Don’t monopolize the conversation. We appreciate passion and conviction, but we also strongly believe in giving everyone a chance to air their point of view. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at’s discretion.

Write your thoughts here
Are you sure you want to delete this chart?
Post also to:
Replace the attached chart with a new chart ?
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
Are you sure you want to delete this chart?
Replace the attached chart with a new chart ?
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Continue with Google
Sign up with Email