Philippine city adopts blockchain for governance pilot

Baguio City, a city located in the northern Philippines, has announced that it will pilot “GoodGovChain,” a blockchain-powered governance platform developed by BayaniChain Tech Inc. The initiative is part of Mayor Benjamin Magalong’s campaign to strengthen good governance at the local level.

In a Facebook post, the city government confirmed that Magalong led the signing of a memorandum of agreement with BayaniChain, a Filipino-rooted blockchain firm known for introducing blockchain into public systems.

Magalong said the platform will enhance transparency

“One of the basic principles of good governance is transparency, and the use of blockchain will allow us to be transparent, especially in our government transactions, financial transactions, and infrastructure projects,” Magalong stated. “What is very important here is the security of all these documents and transactions, and the only way we’ll be able to truly have open data is to ensure everything is placed on blockchain before publishing it.”

The GoodGovChain platform records budgets, procurement data, and infrastructure projects on a hybrid public-private blockchain. The setup makes transactions immutable and auditable while safeguarding sensitive information. BayaniChain said the system was designed for nationwide scalability, giving citizens access to verified records through an online dashboard.

“By equipping him [Magalong] and the City of Baguio with GoodGovChain, we are providing the tools and digital infrastructure to make government data open, auditable, and accessible to every citizen,” Gelo Wong, Co-Founder of BayaniChain, said in a LinkedIn post. “More than technology, it’s a step toward rebuilding trust, empowering communities, and showing that public service can be transparent by design.”

BayaniChain’s digital public asset framework

GoodGovChain is built on BayaniChain’s Digital Public Asset (DPA) Framework, which treats public records as immutable digital assets. The framework uses a hybrid blockchain to balance public access and data security. Powered by Prismo Protocol and Lumen BaaS, the infrastructure supports governments and enterprises in publishing verifiable records while keeping confidential files secure.

BayaniChain is also behind the Department of Budget and Management (DBM) Blockchain System, which secures Special Allotment Release Orders (SAROs) and Notices of Cash Allocation (NCAs). That project was recognized by Senator Bam Aquino in his advocacy for blockchain-backed national budgeting.

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Blockchain bill for national budget

At the national level, Senator Paolo Benigno “Bam” Aquino IV has filed Senate Bill No. 1330 to create a National Budget Blockchain System. The proposal would upload all budget records as digital public assets, viewable in real time through an online portal.

“By using modern technology, we can make sure that every peso in our national budget goes to its intended purpose. Citizens will be able to verify that funds are being used properly, down to the last centavo,” Aquino said in Filipino.

Aquino noted that budget documents today are “closed, highly technical, and difficult to understand,” adding that “This bill seeks to modernize budget transparency and accountability through the use of blockchain technology. The goal is not only to make sure that the budget is publicly available, but also to ensure that it is accessible and open for citizen engagement.”

If enacted, the Department of Information and Communications Technology (DICT), DBM, and Commission on Audit (COA) will build the system. Oversight bodies, local governments, and citizens would be able to track the flow of funds from allocation to spending.

“This ensures that every peso can be tracked by the public. No more ‘fly-by-night’ contractors. No more hidden projects unknown to local governments,” Aquino said.

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Blockchain as a tool against corruption

Aquino has positioned blockchain as a deterrent to corruption.

“No one is crazy enough to put their transactions on blockchain, where every single step of the way will be logged and transparent to every single citizen. But we want to start,” he said at the Manila Tech Summit.

Because blockchain records cannot be altered, every peso spent would be permanently logged, allowing citizens to independently verify expenditures.

Apart from the issue of corruption, President Ferdinand “Bongbong” Marcos Jr. previously emphasized the impact of adopting emerging technologies in shaping the Philippines’ digital economy.

“For Filipinos, digital technology means shorter queues, faster transactions, making it easier to pay bills, renew licenses, and access government services. It also means farmers can register their products online, teachers can access digital tools, and entrepreneurs can sell to larger markets. In other words, technology allows more opportunities to reach every Filipino,” he said during the Manila Tech Summit in August.

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Building on DBM’s blockchain project

Aquino’s proposal builds on the DBM’s blockchain platform, which publishes immutable versions of SAROs and NCAs. Citizens can verify documents by scanning QR codes or searching by agency.

The DBM said the blockchain records reduce verification time and guarantee authenticity even if physical files are altered. “Blockchain addresses the authenticity issue by providing independent verification,” the agency noted.

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Watch: The Philippines is moving toward blockchain-enabled tech

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