An executive for US operator AT&T sketched a blueprint for connected cars and IoT devices which included use cases involving mobile wallets using blockchain, arguing the move removed hindrances of current banking infrastructure.

Cameron Coursey, VP of mobility products for AT&T Business, told Mobile World Live the operator was considering multiple avenues to use blockchain for smart vehicle wallets, including an eSIM SDK.

Blockchain can safeguard information exchanges, a reason prompting automotive manufacturers to consider it for in-vehicle payment processes.

Coursey stated smart vehicles would at some point be required to make multiple transactions in a single day across various systems including road tolls, electric vehicle charging stations and in-vehicle entertainment.

Currently, traditional banking systems pose challenges for performing such transactions on the go.

Coursey noted “transactions are often slow”, with the typical use of intermediaries “like a bank with a higher transaction fee, meaning there is a central point of failure”.

“And there are issues in keeping track of all accounts and balances.”

Multiple systems also increases the risk of data being compromised, with Coursey arguing vehicle wallet transactions are more secure because they are cryptographically signed at each stage.

He asserted blockchain wallets will “help smart vehicles to exchange funds easily” with various verticals “with minimal point-of-payment failure and transaction fees”.

The wallets will be accessible from cars and personal devices while the privacy and identity of the users are maintained.

“It enables smart vehicles to perform instant transactions across geographies, and these are barrier-free, without intermediaries.”

Smart vehicle wallets also enable transactions across multiple cryptocurrencies, which Coursey stated would make conversions easier.

Large-scale deployment of smart vehicle wallets are not imminent, with AT&T currently focused on vehicle-to-vehicle communications.