South Korean Agency for Military Acquisitions Launches Blockchain Pilot Project

An agency in South Korea that’s in-charge with military acquisitions has initiated a blockchain pilot project, intended to enhance business operations in the defense sector.

The Defense Acquisition Program Administration (DAPA) revealed on April 10 that the initiative would include developing a blockchain platform to avoid “illegal alteration” of defense business information.

Korea’s Agency for Defense Development and Defense Agency for Technology and Quality are working with DAPA on the effort. The three agencies jointly anticipate enhancing the “credibility” of defense procurement operations by logging the acquisition process on the blockchain, from initial bids to final evaluation.

In addition, to remove the “inconvenience” of the conventional paper document process, the organization of business proposal submission would be automated.

According to DAPA, the blockchain system would also have possible functions outside acquisition, assisting to “reduce the burden” on defense companies by enabling a unified record of firearms transportation permits and notifications.

DAPA senior planning and coordination officer Kim Tae-gon stated that the project is part of the agency’s plan to position blockchain within defense business systems and offer advanced public services.

Several government agencies from South Korea have been testing blockchain’s use case in the public sector over the last year.

Ministry of ICT’s suborganization, the Korea Internet & Security Agency (KISA), stated last September that it would increase the number of blockchain pilot projects from six in 2018 to 12 this year. According to the agency, it would boost the budget for blockchain pilot budget this year to over $9 million, on top of the previously set funding of $9 million for both 2018 and 2019.

The nation’s Ministry of Science, Ministry of Oceans and Fisheries, and ICT and Future Planning have also introduced a blockchain pilot intended to enhance transactions involved in container shipping industry.