Blockchain Challenges US$30+ Billion Market of Automotive Frauds
carVertical, a company specializing in employing blockchain-based solutions for automotive industry, will counter fight unfair trade practices by informing consumers about the actual state of each and every vehicle.
You might wonder how it will be different from existing similar services, CARFAX and AutoCheck in particular. Well, the essential differences are only two, but, honestly, they make carVertical a game changer:
- The data of vehicle history reports will be stored on the blockchain. This means the de-centralization of information, eliminating the risks of manipulations or frauds. Blockchain registry will be public and free;
- The database will be global, meaning that carVertical alone will cover all the lifecycle of a certain vehicle, even it has been exported. The company will minimize so called “inter-country data loss”, providing even more transparency to the market.
Both of the solutions are unique and unprecedented – no one has managed to build a global and de-centralized car history registry so far. And it looks like a good business idea, too.
In the short term, carVertical is going to monetize the case by offering vehicle history reports for individual customers and API along with white label solution for businesses. What is more interesting, that this is only the halfway to carVertical’s vision. And the latter is definitely worth a separate chapter.
Virtual ID of your car
Within 2 years of time, the company will launch an application called carWallet. carVertical defines it as a mobile gateway to virtually manage your car’s registration and maintenance records, perform insurance or technical inspection tasks.
But what is the actual logic behind it?
Well, imagine you have just bought a second-hand car. You install a carWallet app on your mobile device, authorise via blockchain superstar Civic secure identity platform and claim your ownership. That is all: the virtual ID of your car has been created.
carWallet will gather information from state registers as well as other official sources and assign it to the appropriate ID. Besides basic car information, the carWallet will as well contain the information about the validity of insurance, vehicle maintenance schedule and technical inspection dates. For the owner, this is an attractive possibility to emphasize the value of the car by leaving all the maintenance records on the blockchain.
While claiming the ownership, a person will also become familiar with the “history report” of that vehicle. This draws a very clear line of responsibility when it comes to selling the car and pretending not to know its previous condition.
carVertical is diving into the industry, where global consumer losses due to exaggerated values of vehicles exceed US$30 billion annually. And since the age of word’s car fleet is growing constantly, this definitely will remain an issue for the upcoming decades.