Bosch, a leading German engineering and electronics company, is making a bold move in the world of blockchain. Through a partnership with EnBW, a publicly listed electric utilities firm, Bosch is testing the viability of connecting a car charging station to the Ethereum blockchain to process payments.

The engineering and electronics company has its eyes set on the future which its CEO, Volkmar Denner, says will shift from just being networked for communication purposes but also for building business interdependencies.

Denner added:

“From the internet of things to the economy of things. Distributed ledger technologies such as blockchain may well become the key technology in these domains. By merging the physical and digital realms, we are making people’s everyday lives easier. In the future, things will not just be connected in order to communicate; they will do business together.”

With the partnership, users will be able to choose where they want to charge their cars depending on other services surrounding the charging station; coffee shops, playgrounds, etc. Transactions will be handled automatically on the Ethereum blockchain through the use of smart contracts. Bosch and EnBW will make the process as user-oriented as possible.

The two companies jointly observed:

“The Ethereum platform allows such projects, including for example, in the case of Bosch applications, the autonomous charging and paying EV.”

Apart from charging, the blockchain-based car system will cater for parking expenses.

“As soon as the car reaches the entrance of the chosen parking garage, it will identify itself at the entry barrier, which will then be raised without the driver having to remove a ticket from the dispenser. [When leaving], the vehicle will have already communicated with the exit barrier and settled parking fee in a digital transaction.”

When these happens, it will be a force to reckon with in the automotive sector.