China Mobile Corporation Looks to Adopt Blockchain Technology
China Mobile Corporation plans to introduce the distributed ledger technology within its mobile system.
As one of the most important telecommunications players in China, CMC is interested in improving its products and adapting to technological changes in the market. According to a patent submitted to the Chinese State Intellectual Property Office (SIPO) in November 2016, the corporation is seeking to adopt blockchain technology in order to improve the transactions system of its mobile data top-ups and reduce their processing time.
According to the patent, once the user registers for the first time, an initial transaction will be processed together with his or her personal data. The collected information is to be stored on a blockchain-based network that includes the so-called “top-up nodes“.
For the following transactions requested by the same customer, the system will extract the required information along with the funds from the client’s account. Thus, the main role will be occupied by the blockchain nodes that will always check the identity of the individuals, thus eliminating long processing times.
In other words, the new system will keep your personal data and transactions history on a decentralized database. The document published on Tuesday reveals that the decision of such changes arose as a result of the growing customer network and their demands. If you’re wondering what might be the benefits of the new system, the company explained:
“A centralized structure imposes a significant cost of security and trust as it needs to integrate a system’s safety, privacy and anonymity into a design … which inevitably increases the difficulty of technology renovation with even a higher cost of maintenance. As such, we need a new decentralized technology to manage the mobile data allocation.”
You can read the full patent on Scribd.