U.S. House Advances Blockchain Pilot for VA Claims Modernization Awaits Floor Vote

The U.S. House of Representatives is advancing a legislative proposal to establish a blockchain pilot program for the Department of Veterans Affairs (VA), aiming to modernize its claims processing system. The "Veterans Affairs Distributed Ledger Innovation Act of 2025" (H.R. 3455), introduced by Rep. Nancy Mace, has passed a key procedural milestone with a June 11 hearing before the House Veterans’ Affairs Subcommittee on Oversight and Investigations. The bill now awaits a full House floor vote before moving to the Senate [1]. If enacted, the legislation would mandate the VA to study how distributed ledger technology—commonly associated with blockchain—could enhance the transparency, efficiency, and fraud resistance of benefits adjudication. Lawmakers have framed the initiative as a response to longstanding criticisms of slow processing times and data inaccuracies that delay payments to veterans [2].

The bill requires the VA Secretary to conduct a year-long study evaluating blockchain’s potential to securely track claims, verify documentation, and flag anomalies in benefit delivery. The VA would also need to collaborate with technologists, veterans’ service organizations, and other federal agencies already experimenting with distributed ledgers. A final report to Congress would include recommendations for pilot programs and any legal or administrative adjustments needed to implement the technology [3]. Notably, the legislation includes a precise definition of “distributed ledger” to prevent ambiguity, ensuring the VA cannot fulfill its obligations with conventional databases repackaged as blockchain systems [4].

The proposal aligns with broader congressional interest in blockchain innovation, as seen in companion bills like the Blockchain Regulatory Certainty Act (Rep. Tom Emmer) and the Deploying American Blockchains Act (Rep. Bernie Moreno). Supporters argue that blockchain’s immutable records could reduce administrative delays and errors, while critics caution that integrating the technology into the VA’s complex bureaucracy poses logistical and scalability challenges. The VA has not publicly commented on the feasibility of the pilot, but advocates highlight its existing digital infrastructure—such as telehealth services—as evidence of its capacity to adopt new technologies [5].

The legislation’s path forward remains uncertain. A July 10 report noted that a Senate Agriculture Committee draft addressing VA claims modernization is expected in September, though specifics remain unannounced [6]. Partisan dynamics also play a role: House Republicans emphasize the bill’s potential to “modernize” the VA, while Democrats have raised concerns that it may prioritize technological experimentation over addressing immediate veteran needs. A House floor vote, if scheduled, would determine the pilot’s scope and funding.

The outcome could set a precedent for federal blockchain adoption in agencies facing similar administrative bottlenecks. However, the VA’s ability to navigate technical challenges, such as interoperability with legacy systems, will be critical to the initiative’s success.

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Source: [1] [Legislation on a blockchain pilot for Veteran Affairs claims ...](https://cryptoslate.com/legislation-on-a-blockchain-pilot-for-veteran-affairs-claims-awaits-house-floor-vote/)

[2] [Legislation on a blockchain pilot for Veteran Affairs claims ...](https://cryptorank.io/news/feed/fec09-us-senators-unveil-draft-bill-to-bring-clarity-to-crypto-regulations)

[3] [Legislation on a blockchain pilot for Veteran Affairs claims ...](https://cryptoslate.com/)

[4] [House Floor - House.gov](https://live.house.gov/)

[5] [Legislation on a blockchain pilot for Veteran Affairs claims ...](https://cryptoslate.com/)

[6] [Senate Ag Committee set to release a draft in September ...](https://cryptorank.io/news/feed/86681-senate-ag-to-release-cftc-crypto-draft)