Chapter 5: Blockchain Technology Adoption in Smart Cities: A Critical Analysis of the Opportunities and Challenges in the African Context

Across the globe, cities have contemplated practical measures to handle sustainable development issues which vary from environmental, social and to economic problems. Despite this, Africa has continued to fall behind in the implementation of smart city development. Yet, one of Africa's most cherished goals is achieving sustainable human settlements to keep up with the present and future urbanisation rates. The backbone to achieving sustainable human settlements is having efficient, well-capacitated, municipal systems and committed public servants. African Governments, however, continue to have failing municipalities with corruption being rife in both small towns and cities, yet there are chances to evolve and become smarter. Blockchain technology is a novel and disruptive innovation that has the potential to empower smart cities by providing a platform for interoperability, coordination and governance among multiple smart city initiatives and actors. However, the adoption of blockchain technology also faces several challenges and barriers to its adoption and implementation in smart cities, especially in Africa, where there is lack of awareness, regulation, infrastructure and access to ICT. This chapter examines the current state, opportunities and challenges in the adoption of blockchain technology in smart city development in Africa, a continent that faces multiple urbanisation issues, such as poverty, inequality, environmental degradation and lack of infrastructure. As such, the study adopts two theories, the diffusion of innovation (DOI) and the technology–organisation–environment (TOE) framework to view the use and opportunities placed by adopting blockchain technology through municipal stakeholders and citizens to enhance smart city development.