Engines and Tech: Toyota is considering integrating Ethereum blockchain into its vehicles

Toyota, the largest automotive company in the world, plans to integrate Ethereum blockchain technology into the future development of its vehicles.

The objective of the Japanese multinational is to provide a blockchain account to every car it produces, in line with the concept of mobility 3.0.

If this collaboration really goes well, Ethereum could power a network of millions of vehicles with services linked to its own blockchain.

This is an incredible opportunity for the global institutional adoption of this technology.

Let’s see all the details below.

Toyota considers the possibility of leveraging Ethereum blockchain in MOA tech design

The Japanese giant Toyota is considering integrating the Ethereum blockchain as the main layer of its vehicles.

Under the ambition of being able to one day offer fully automated driving systems, the car manufacturer wants to take a step forward in the design of mobility-oriented accounts (MOA).

In line with the concept of “mobilità 3.0” presented in April 2023, Toyota aims to integrate mobility with social systems, facilitating interaction with other vehicles and external factors.

The company believes that the Ethereum blockchain is the perfect provider to test a smart driving account capable of representing mobility in a digital way.

The market sentiment is currently divided between “bull” and “bear” trends. Investors are closely monitoring the situation to make informed decisions.

Specifically, this type of approach that combines blockchain tech with the needs of mobility in the automotive sector, creates many advantages.

The integration of Ethereum blockchain technology promises, in fact, to improve various aspects of production, maintenance, and data management.

First and foremost, the programmability of cars could be significantly improved by connecting a standard interface to a myriad of decentralized services.

Additionally, Ethereum could act as an issuer for the distribution of tokenizzati rights linked to Toyota vehicles. Autonomous mobility, which no longer requires human operation, can function as a completely independent service entity, with all rights managed in the blockchain world. As described in Toyota’s blog post where it explains its vision for the future of automotive:

“The most extreme scenario suggested by these characteristics is fully autonomous driving in the future”.

This type of approach by Toyota underscores the commitment and dedication of the giapponese giant in developing the best tech applications for its business.

We will see if other car manufacturers will follow in the footsteps of Toyota and start experimenting with new solutions in the blockchain field.

The future of automotive combined with the tech potential of web3

From a more technical point of view, Toyota is exploring Ethereum tech and its blockchain as an MOA designer, based on the ERC-4337 standard of Account Abstraction.

This latest feature allows us to envision a future where the cryptographic account representing the vehicle can operate even without the self-custody of the private keys. This type of approach is much more flexible and scalable compared to how we approach the management of non-custodial wallets.

As indeed indicated by toyota in its latest blog post:

“The abstraction of the account separates the authentication process from key management, ensuring that the account itself is maintained even if the private key is lost”

Furthermore, thanks to Ethereum technology, the car of the future will be able to manage various information such as usage history, developing new features.

For example, in this way, it would be possible to bridge vehicle identification systems with blockchain addresses, in a data economy open to all

Toyota has also proposed the concept of key token, compliant with NFT standard and holds the information about the car owner and “usage rights.”

As stated by the Japanese company.

“Expressing access to cars as NFTs linked to the MOA, permissions can be controlled simply by transferring NFTs. This allows usage rights to be managed digitally without being aware of the hardware, making it easier for developers to create services like car sharing.”

Imagine a world in which a car is almost equivalent to an account. Each car, including the one driving in front of you, has its own account that connects with the outside world. This digital state mirrors the way we interact with cars in the real world.

The launch of ETH ETFs and the institutionalization of the Ethereum brand

The opening of Toyota towards blockchain tech reflects the growing appreciation of the Ethereum brand among the largest companies worldwide.

Over the years, the Ethereum ecosystem has made great strides, becoming a leader in the development of smart contracts, serving thousands of decentralized applications.

Now, however, with the launch of spot ETFs in the United States, it can take the big step and become in all respects an institutionalized and regulated entity.

The entry into the market of exchange-traded funds indeed guarantees both ether and the Foundation a prestigious connotation. In fact, to date, it represents the only blockchain capable of powering web3 services, publicly recognized at a formal level.

This condition could lead to further collaborations and partnerships between Ethereum and various companies operating in the real world.

By doing so, the tech Ethereum would experiment with new use cases and new ways to produce value online and offline, outside of simple financial services on blockchain.

We can read the arrival of ETH ETFs as an accelerator of the platform, which can indirectly bring new waves of interest and support mainstream adoption.