Fujitsu Eyes Cryptocurrency Trading With Cross-Blockchain Payments Tech

Japanese IT firm has unveiled a new payments technology designed to facilitate transactions between blockchains.

AccessTimeIconNov 15, 2017 at 7:15 p.m. UTC
Updated Sep 13, 2021 at 7:09 a.m. UTC
10 Years of Decentralizing the Future
May 29-31, 2024 - Austin, TexasThe biggest and most established global hub for everything crypto, blockchain and Web3.Register Now

Japanese IT firm Fujitsu has unveiled a new payments technology designed to facilitate transactions between blockchains.

Announced today, the "ConnectionChain" project is aimed at providing a way for two cryptocurrency networks to interoperate. In statements, the company – which is a member of the Hyperledger blockchain consortium and has developed several products based on the technology to date – suggested that rising activity around cryptocurrency exchanges and initial coin offerings (ICOs) is driving demand for such services.

"Settlement between virtual currencies managed using blockchains, however, requires a reliable application to handle the currency exchange processing at the boundaries between the blockchains, and ensuring transparency in this process has been an ongoing issue," the company said.

To that end, Fujitsu is looking at using a dedicated "cross-chain" that would encompass information from other blockchains, in addition to a transaction control mechanism for organizing when transactions are timed and executed.

Here's how Fujitsu described the product:

"Fujitsu Laboratories has now developed an extension of smart contract technology which inter-connects multiple blockchains by recording the series of related transactions on each chain in a dedicated blockchain, 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."

In statements, Fujitsu indicated that it could move to commercialize the product as early as next year – though such a move would be contingent on further testing and development, according to the company.

"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 firm said.

Chain crossing image via Shutterstock

Disclosure

Please note that our privacy policy, terms of use, cookies, and do not sell my personal information has been updated.

CoinDesk is an award-winning media outlet that covers the cryptocurrency industry. Its journalists abide by a strict set of editorial policies. In November 2023, CoinDesk was acquired by the Bullish group, owner of Bullish, a regulated, digital assets exchange. The Bullish group is majority-owned by Block.one; both companies have interests in a variety of blockchain and digital asset businesses and significant holdings of digital assets, including bitcoin. CoinDesk operates as an independent subsidiary with an editorial committee to protect journalistic independence. CoinDesk employees, including journalists, may receive options in the Bullish group as part of their compensation.


Learn more about Consensus 2024, CoinDesk's longest-running and most influential event that brings together all sides of crypto, blockchain and Web3. Head to consensus.coindesk.com to register and buy your pass now.