Citizen Access and Disclosure of Expenditures for National Accountability (CADENA) Act

The flood control project scandal in 2025 exposed the alleged massive corruption committed by high government elected officials, heads of government agencies such as the DPWH as well as private contractors in government funded projects. The alleged corruption was done through money received as commissions from project funds that resulted in sub-standard, unfinished, and ghost projects with estimated losses to the government amounting to hundreds of billions of pesos. People marched in the street to protest. President Ferdinand Marcos Jr. addressed the issue by ordering an investigation to make those responsible persons answer for their acts.

Massive outpouring of protests from the people also led to demands for reform measures to curb corruption. In relation to it, Senator Paolo Benigno “Bam” Aquino IV filed Senate Bill 1506 called Citizen Access and Disclosure of Expenditures for National Accountability (CADENA) Act.

Under that act, budget allocations by different government agencies are uploaded in a digital portal through a blockchain which is a technology wherein data such as a transaction is added to a computer network, and a block representing that data is created. Then the block is broadcast to all the nodes or computers in the network. Each node participant chooses to approve or deny the new block. If approved, the new block is added to the chain permanently. Blockchain technology is thus a system for recording information in a way that is secure, fast, transparent, and exceedingly difficult to change or hack. It prevents fraud and unauthorized activities.

CADENA Act mandates the full disclosure of government transactions through the establishment of digital budget portal to enhance transparency, accountability, and public participation in the Philippine budget process which make the use of fund verifiable even by ordinary citizens. The verifiable data includes the amount of allocation, the contractors, the cost of materials, time stamp, procurement records, project details and other pertinent information or records regarding the use or history of the budget flow.    

The bill which is certified as priority legislation by Pres. Marcos already passed the third readings in the senate on December 16, 2025, with 17 yes votes and no negative or abstention. However, the lower house has yet to pass their own version of the bill.      

In a related development, the Department of Information and Communications Technology (DICT) through Secretary Henry Aguda committed to implement the bill within just one budget cycle once it is passed into law.     

In overview, CADENA Act orders all government agencies to upload all their budget allocations with their related documents on a verifiable digital platform that is secured through blockchain technology to make it accessible to the public. Government officials who fail to comply may face administrative and criminal penalties. The passage of this law by both houses of congress and its final signing by the president will significantly minimize corruption in government offices.