Porsche is using blockchain technology to ‘smartify’ cars

German car company Porsche has announced it will be piloting a new Ethereum-based blockchain system.

The sports car brand will be partnering with Xain, an Ethereum based blockchain start-up that won a Porsche Innovation Contest.

Porsche made the announcement in a video introducing their work, that stated:

“The car becomes part of the blockchain, making a direct offline connection possible – that is, without diversion through a server.

“Taking 1.6 seconds, the process of opening and closing the car via an app is up to six times faster than before.

“In addition, efficient cryptographic encryption takes place.”

According to Porsche, third-parties can easily be integrated using smart contracts, without the need for any hardware.

The blockchain technology can even allow temporary access to the car for, say, parcel deliveries.

Oliver Döring, the Financial Strategist at Porsche, says the new tech will give customers more peace of mind, saying:

“We can use blockchain to transfer data more quickly and securely, giving our customers more peace of mind in the future, whether they are charging, parking or need to give a third party, such as a parcel delivery agent, temporary access to the vehicle,”

Porsche has also tested a blockchain-based app to lock and unlock vehicles.

The app can be used for encrypted data logging as well as creating temporary access authorizations.

“Through auditable data logging, the data to be processed is encrypted locally in a distributed blockchain…

“With this basis, the future of autonomous driving will see improved functions on offer: Local data can be used to obtain regional learning effects, which can be shared securely with other vehicles.

“The customer can make use of swarm data, which is protected at the same time.”

Uses for the blockchain in cars

In the video below, Porsche shows other use cases, such as securely connecting vehicles to a blockchain-enabled charging station.

It also suggested that cars will potentially be able to communicate with each other through smart contracts.

The announcement is a clear sign that the automotive industry seems to be getting comfortable with this new technology.

Exploring its implementation within cars and perhaps other transport methods could mean endless opportunities for this technology.

Entire industries may soon open up to the benefits that vehicles with smart contracts can provide to services and individuals.

The possibilities for real-life uses for blockchain could be endless.