The telecommunications giant from Japan, Nippon Telegraph and Telephone (NIIT) recently filed a blockchain patent application with the US Patent and Trademark Office. It seems that the fourth largest telecommunications provider in the world is interested in inventing new contract agreement systems that will work on blockchain technology.
New blockchain contracts to store documents without tampering
As per the report, the new invention will make a signing, storing and managing mobile subscription plans possible on the blockchain in a decentralized way. The new type of contracts based on blockchain will include the signature of both the receiver as well as the sender. As of now, only the signature of the seller/sender is included in the contract. In this way, the application will be used for storing contracts albeit without tampering the documents. This new system from NIIT will use the blockchain technology for both encrypting the contract and also for storing it in a decentralized way.
It will make the overall process simple and will also eliminate the requirement for centralized management. According to the patent document,” The present invention uses a blockchain as evidence of a contract made among a plurality of parties. A contract here refers to a sales contract, a deed of transfer, an application, a consent agreement, or the like, and is a document describing the content of a contract made among two or more individuals or bodies.”
Patent to include ‘agreement verification apparatus’
Blockchain-based contracts are immutable which is why NTT is interested in using this technology. Moreover, having a blockchain-based technology solves all the issues related to centralized management as blockchain operates on a decentralized platform. Once the Japanese company gets the patent, it would form an “agreement verification apparatus” from the US authorities to establish that the evidence of a contract on the blockchain is correct. It will do so by comparing the keys used by the public for electronic signature with the ones used by them at the end.
The blockchain-based system works effectively when the transaction is made using virtual currency. While addressing the problems related to cryptocurrency transaction, the system can be used to prove whether the contract has been signed by one, two or even multiple parties. Also, the technique of electronic-signature used in the contracts based on blockchain for digital currency does not require remittee’s electronic signature.