The new blockchain-powered application “City N” – designed by The Russian state of Nizhny Novgorod – is being put up for a trial run for its ability to handle state administration works.

Reported by ForkLog, the state authorities partnered with the blockchain project Vostok, to develop “City N”, which enables users to “distribute their own taxes between the categories of budget expenditures” on Vostok system, along with providing ID verification for Nizhny Novgorod residents. The app can also keep track of the amount of money, contributed to the state budget from the residents, via the online portal of public services Gosuslugi.

Gleb Nikitin – Nizhny Novgorod Region Governor – has expressed his perspective towards blockchain’s ability to boost transparency, as well as the expectation from government to increase civic engagement with the newly introduced app.

“Thanks to new technologies, residents will be more actively involved in managing their city through proactive, so-called ‘participatory’ budgeting. The blockchain technology will allow us to ensure maximum transparency and honesty in relations between a person and the state.”

The pilot phase of the blockchain-based project is set to launch in various areas, following the 2020 budget allocation of the government fund. The National Center for Informatization of Rostec State Corporation will be in charge of supervising the launching process of the app across the country.