Institutional context
Public funding requires accessible records of recipients, intended purposes, and changes to funding commitments. Canada’s National Research Council (NRC) explored whether Ethereum could make this information easier to inspect through its Industrial Research Assistance Program (IRAP).
The trial used Bitaccess’s Catena software to publish new and amended funding disclosures alongside existing quarterly releases on the Open Government website.
System design
NRC used Catena to publish details such as the recipient, amount, purpose, and funding period. Members of the public could search the disclosures through a website and, where needed, view the corresponding record on Ethereum, including when it was published and how it related to earlier versions.
Publication rules were managed by a smart contract, a program on Ethereum that allowed only authorized accounts to add or amend disclosures. When a disclosure was amended, the new record was linked to the previous version, preserving a traceable history of changes.
In August 2018, the website used to browse the disclosures was also made available through IPFS, a distributed system for storing and serving files. This provided another way to make the interface available, while the disclosure records themselves remained on Ethereum. Later software added a way to link agreement documents to disclosures using cryptographic hashes. A cryptographic hash is a short code calculated from a document’s contents; if the document changes, the code changes too. The system could also record approvals by authorized accounts.
Ethereum’s role
Ethereum’s public network provided a shared record of funding disclosures and their amendments. The original application stored disclosure details directly on Ethereum, so readers could independently review the published information and its amendment history.
Public access did not mean anyone could change an official disclosure. NRC retained control over publication through the application’s rules.
Status and milestones
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26 February 2020
NRC’s 2018–19 results report recorded more than 162,000 unique visitors from over 200 countries.
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1 March 2019
The experiment concluded.
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11 October 2018
The project’s code repository shows that an additional agreement-tracking program was deployed on Ethereum’s public network. It linked agreement documents to disclosures using cryptographic hashes and recorded approvals from authorized accounts.
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20 August 2018
Bitaccess announced IPFS hosting for the public explorer and published instructions for others to save a copy of the application and host it, so other people could access it.
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January 2018
NRC IRAP launched its public Ethereum disclosure trial using Catena, complementing existing quarterly government disclosures.
Implementation considerations
Institutions considering this approach would need to check information before publication, protect the access controls used to authorize updates, and decide what is appropriate to disclose publicly. Retaining earlier versions makes corrections traceable, but also means sensitive information needs careful handling.
Public access alone is not sufficient. Readers need understandable records, usable search tools, and channels for requesting explanations. Institutions would also need arrangements to maintain access to the records and the software used to read them after a pilot ends.
Sources
- Investigating the Use of Blockchain to Authenticate Data from the Statistics Canada Website19 September 2022
- NRC Departmental Results Report 2018–1926 February 2020
- Scientometric Study on Distributed Ledger Technology (Blockchain)March 2019
- Blocked and Chained: Blockchain and the Problems of TransparencyNovember 2018
- Cutting-edge fintech for cross-border remittance transfers13 November 2018
- DisclosureAgreementTracker contract11 October 2018
- Agreement tracker mainnet deployment commit11 October 2018
- How to run NRC’s Ethereum blockchain explorer on IPFS23 August 2018
- Government of Canada expanding Blockchain technology experiment with IPFS implementation20 August 2018
- Government of Canada exploring the potential of Blockchain technology19 January 2018
- Original DisclosureManager contract25 November 2017
- Original deployment configuration25 November 2017