How Blockchain Can Transform Public Welfare: From Data Trust to Transparent Charity

Speaker Introduction

Author Bio He Baohong China Academy of Information and Communications Technology (CAICT) Director, Cloud Computing and Big Data Research Institute

This transcript is based on Dr. He Baohong’s live broadcast "Blockchain Empowering Public‑Welfare Platforms" organized by the CAICT and the People’s Posts and Telecommunications Newspaper.

The talk focuses on two key terms: blockchain technology and public‑welfare platforms.

On October 24, 2019, the 18th collective study of the CPC Central Politburo elevated blockchain to a national‑strategic technology, placing it alongside 5G, artificial intelligence, and big data. The goal is to accelerate blockchain innovation and industry development.

The speaker notes that the COVID‑19 pandemic has exposed shortcomings in medical‑health, public‑welfare, supply‑chain, government data sharing, and support for SMEs. Blockchain’s ability to ensure data flow while maintaining security makes it highly relevant for epidemic control and post‑pandemic applications.

Lecture Outline

Background, purpose, and significance of blockchain. Introduction to blockchain technology (non‑technical, popular‑science style). Case studies and future possibilities of blockchain in public‑welfare.

1. Background of Blockchain

Blockchain originated from Bitcoin, which has been operating stably for over 11 years since January 2009. Bitcoin’s price surged to about US$10,000 during the pandemic, highlighting four basic characteristics of blockchain:

All‑open source: anyone can read and modify the code.

Globally distributed: anyone can participate without permission.

No single responsible entity: nodes are equal, there is no central authority.

No external credit backing: value is supported by mathematics, cryptography, and algorithms rather than traditional institutions.

These features inspire questions about the nature of companies and money, suggesting that blockchain represents a new form of organizational structure and a new type of asset.

Blockchain is a new type of database technology. Compared with traditional single‑party maintained databases, blockchain offers:

Multi‑party maintenance (equal participants).

Cross‑validation and consensus.

Network‑wide consistency.

Resistance to tampering.

Data is treated as an asset rather than mere information. In the era of big data, data ownership, protection, and transfer require new technical solutions; blockchain provides a mechanism where the last holder of a data asset is recognized as the true owner.

2. Blockchain Technology Overview

Blockchain can be viewed as a new database technology with three layers:

Conceptual layer: a data‑management system.

Technical layer: multi‑party maintenance, cross‑validation, network consistency, and immutability.

Implementation layer (for developers): data storage, consensus mechanisms, and smart contracts.

Key Technical Components

Data storage: blocks linked by cryptographic hashes ensure tamper‑evidence.

Consensus mechanisms: PoW, PoS, voting‑based, etc., achieve agreement among distributed nodes.

Smart contracts: programmatic contracts that execute automatically when conditions are met, improving efficiency and reducing disputes.

Blockchains can be public (permission‑less) or private/consortium (permissioned). Public chains are open to anyone, while private chains require authorization, and hybrid chains combine both models.

3. Blockchain Applications in Public Welfare

Blockchain’s current global application distribution (according to CAICT data) shows 37% in cryptocurrency, 12% in the internet, 11% in finance, and the remaining percentages in other sectors such as public‑welfare.

Examples of public‑welfare use cases:

Transparent donation tracking and provenance of relief supplies.

Blockchain‑based invoicing and reimbursement systems that prevent fraud and improve efficiency.

Secure, immutable electronic evidence for judicial processes.

Data‑sharing platforms for government services that protect privacy while enabling cross‑departmental collaboration.

Specific projects mentioned include:

Alipay’s anti‑epidemic material information service platform.

China Xiong’an Group’s charitable donation management system.

Wuhan University’s national anti‑COVID‑19 protective‑material information exchange platform.

Various blockchain‑enabled charitable initiatives such as the “Angel Public‑Welfare Plan” and “Good Charity Visible” projects that issue blockchain‑based certificates to donors.

Blockchain can improve public‑welfare by:

Ensuring data transparency and traceability.

Providing immutable records that prevent tampering.

Automating contract execution through smart contracts, thus increasing operational efficiency.

Facilitating secure data sharing among NGOs, donors, beneficiaries, and regulators.

The speaker emphasizes that blockchain is not a universal solution; it is most valuable in multi‑party scenarios where trust is low. In single‑party contexts, traditional databases may suffice.

Finally, the talk stresses the need for a trustworthy, self‑regulating blockchain ecosystem to avoid misuse and scams, advocating for standards and third‑party verification of blockchain implementations.