The possibility of using the concept of dynamic clustering of the Proof-of-Work blockchain system to improve public administration systems

Abstract

Modern public administration faces numerous challenges, such as corruption, bureaucratic delays, inefficient use of resources and low level of trust of citizens. One of the promising ways to increase the efficiency and transparency of public processes is digitalization and implementation of blockchain technologies. Blockchain provides decentralization, transparency and immutability of data, which allows to reduce the risks of corruption and simplify interagency interaction, analysis of international experience shows the effectiveness of using blockchain in public systems. The classic Proof-of-Work (PoW) consensus mechanism, which remains the benchmark of decentralization and proven security, has significant limitations for its use in the field of public administration: high energy consumption and low throughput during peak periods. The paper proposes a modified method of dynamic clustering of nodes in PoW networks for the public sector, which allows combining nodes into clusters with intensive internal exchange and using local PoW for fast transaction processing. To achieve the final consensus at the national level, the PBFT protocol is used, which provides resistance to Byzantine faults and deterministic finality. The mathematical model confirms that optimizing the cluster size and combining PoW and PBFT allows to reduce the transaction confirmation time, increase the system throughput and significantly reduce energy consumption. In addition, periodic switching of nodes between clusters is introduced, which increases the resistance to 51% attacks. The proposed PoW+PBFT hybrid architecture demonstrates a balance between decentralized security, performance and energy efficiency. The methodology makes sense for implementation in large-scale government services, such as electronic voting, state registries, public procurement and social payments, ensuring transparency, speed and reliability of transaction processing