E-Government refers to the administration of Information and Communication Technologies (ICT) to the procedures and functions of the government with the objective of enhancing the transparency, efficiency and participation of the citizens. E-Government is tough systems that require distribution, protection of privacy and security and collapse of these could result in social and economic costs on a large scale. Many of the available e-government systems like electronic identity system of management (eIDs), websites are established at duplicated databases and servers. An (...) established validation and management system could face a single failure point and the system is prone to Distributed Denial of Service Attacks (DDoS), denial of service attacks (DoS), malware and other cyber attacks. The execution of a privacy preserving and a secure decentralized system is enabled by the block chain technology. Here any third-party organizations do not have any control over the transactions of the Government. With the help of block chain technology, new and existing data are encapsulated within ledger or blocks, which are evenly distributed through the network in an enduring and sustainable way. The privacy and security of information are improved with the help of block chain technology, where distribution and encryption of data are performed through the total network. This analytical paper maps out the analysis of the security in the e-government system, utilizing the block chain technology that provides privacy and security of information and thereby enhancing the trust among the public sector. Qualitative and theoretical analysis is made for the proposed topic and implications of privacy and security of the proposed system is made. (shrink)