Fujitsu, a Japanese IT giant, announced its new payment technology ‘ConnectionChain’ that interconnects multiple blockchains.
The ConnectionChain is basically a ‘blockchain that connects blockchains’. The technology aims to link different cryptocurrencies so that they can interoperate with each other.
The company released a statement saying that virtual currency exchange has been attracting a lot of attention among clients and companies.
“Settlement between virtual currencies managed using Blockchains [sic], however, requires a reliable application to handle the currency exchange processing at the boundaries between the Blockchains [sic], and ensuring transparency in this process has been an ongoing issue,” the company said.
According to Fujitsu, transactions on each blockchain are recorded in the Connecting chain to link a cryptocurrency exchange to a single transaction process.
“Fujitsu Laboratories has now developed an extension of smart contract technology which inter-connects multiple Blockchains [sic] by recording the series of related transactions on each chain in a dedicated Blockchain [sic], or a “connection-type chain,” to link to the currency exchange into a single transaction process that can be automatically executed. It has also developed a transaction control technology to synchronize execution timing of the transaction process on each chain,” the company stated while describing its latest technology.
The company plans to commercialize the product in 2018 and will be conducting trials in the variety of fields. However, as stated by Fujitsu, all this will depend on the additional testing and development results.
“Fujitsu Laboratories will continue expanding this technology beyond currency exchange to areas such as high-trust data exchanges between companies and contract automation, while also continuing to conduct trials in a variety of fields, with the goal of commercialization in fiscal 2018 and beyond.”
The Japan-based company had also teamed up with banking associations earlier this year to explore blockchain miracles in the banking field.
Fujitsu is not the first company that is exploring blockchain technology for commercial applications. According to a recent report, over 26,000 blockchain-based projects were launched on GitHub last year.