Blockchain in automobile

A quick introduction to blockchain in Automobile industry

Blockchain is a revolutionary technology that works on blocks & hashes

blockchain introduction

What is block chain

It’s in its simplest terms is an interlinked chain of blocks.


Each block contains some data.


It also has a hash value (consider it as a fingerprint identity of the block)


Each block is also linked with its previous block. Thus a given block has two hash values, its own & of its previous block

Blockchain in automobile introduction Details

So what’s all the buzz about?

Blockchain acts as a distributed ledger, open to its users.


Once any data is recorded, it becomes very difficult to change it.


Because if we change the data in a block. the hash value also changes.


And if the hash value changes, that block no more remains the same block and all the subsequent blocks become invalid.


This is one of the reasons why blockchain is considered as secured

Its distributed

Blockchain is a decentralized system. It uses peer to peer network


The chain is open to its users, Each user has the same copy of the chain


If someone creates a new block, each user then verifies that block to make sure it’s legit


If everything is good, then the block enters the chain of all the users


If any malicious activity is found, the block gets rejected


This method improves the security a lot

Distributed Decentralized blockchain network

So the question is, is it useful in the Automotive industry?



We can use blockchain technology to create a virtual interconnected network of vehicles


A vehicle can be assigned a unique identity within this network


That car can communicate with other vehicles


We can also create a virtual twin of a physical vehicle


This can facilitate payments/ transactions that eliminate the requirement of a 3rd party assurer


Vehicles can report accidents in real-time


Vehicles can communicate speed, location, the direction of travel, braking, intention


…and more


We will talk more about blockchain & new technologies. So keep watching this space

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