China launches blockchain-based identification system for smart cities

China publishes a blockchain-based system for identification. The system will integrate with the existing infrastructure of smart cities, facilitating data sharing to make life easier for residents and improve local administration.

The blockchain-based identification system was jointly developed by three institutes in Shijiazhuang. Cities nationwide now can apply for their own unique city identification code. Source: GlobalTimes.

Zhang Chao, Director of one of the contributing institutes – ‘Zhongguancun Industry & Information Research’ said that the “system will be independently distributed and managed by China, with a unified distribution rule, a resolution of distributed storage and tamper-resistant code”.

Identification system use case: Energy optimization, IoT

Smart cities leverage smart technologies and data analysis to optimize city functions. However, they face the challenge of interoperability between several technologies and applications in use.

• Maintaining energy usage is one of the applications. With the identification system, energy consumption in each zone of the city is recorded in the blockchain. By analyzing this data, optimal energy can be automatically allocated from the grids.

• Another application that lies at the heart of the smart city is the Internet of Things (IoT). For instance, the insights collected by IoT devices in transport systems can be used to shape and improve urban planning. However, with different IoT devices in use, interpretability between devices remains a challenge. The blockchain-based identification system can interconnect these devices and communicate directly.

Recently China’s President Xi publicly supported the development of blockchain technology, urging the nation to take leading roles in blockchain research and development.

The endorsement of blockchain from the top Chinese official will put China ahead in the race of research and development of blockchain technology. China has been actively researching the blockchain technology for the last 5 years and soon plans to roll out their own digital currency.