Finally, the vehicle-generated data becomes a tradable asset. DVDex, the world’s first automotive data exchange market, was officially launched today.
DVDex, the abbreviation of Decentralized Vehicle Data exchange, is a fully operational exchange market dedicated to automotive data transfers. From the key industry players to small businesses to ordinary drivers – all parties can now become automotive data sellers or buyers here.
The new exchange was founded to set a universal data standard and provide an infrastructure for fast and smooth automotive data transactions using cV, the carVertical token.
The value of automotive data
Let‘s start with the simple statement that looks obvious to some insiders. But the majority hasn’t realized that yet.
Vehicle data has value.
- When choosing a used car to buy, your decision is based on data: have the vehicles been damaged in the past, what their actual mileage is, etc.
- When the manufacturer (OEM) wants to improve its vehicles’ quality, it needs data: the common model faults, maintenance records, how long owners drive them before selling, etc. Data from OEM internal sources usually does not suffice, so they are searching for external data.
- Large financial funds make market predictions based on the automotive data, as it is a good indicator of specific economic signals.
Even the carVertical reports developing experience has proven: there is a massive demand for quality data, but there is not enough supply. Even though there are approx. 1,5 billion cars on the roads around on Earth, ironically.
Benefits for everyone
The golden opportunity lies in a great deal of mismanaged data collected every day by many medium to small size parties worldwide: workshops, dealerships, and even ordinary car owners.
At the moment, this data not being appropriately managed because of a fundamental lack of incentive. Frankly speaking, most data holders don’t care about their handled data because there is no articulated demand for it. On the other hand, potential data users don’t show their interest because they don’t envision the supply.
DVDex kills both birds with one stone by creating the incentive to trade data. The new exchange seeks to aggregate and standardize various bits of information from multiple sources and offer it to the market. So, correctly collecting, storing, and maintaining data becomes an activity that generates income.
This way, supply is guaranteed for buyers because DVDex provides enough data and ensures data quality, legitimacy, and a fair price.
Meanwhile, the new exchange also satisfies the data demand for sellers.
carVertical reports stand up front as a data liquidity provider. Every time someone buys a car history report, the system tracks which records were used for it, and distributes earnings to the seller.
All in all, public automotive data exchange is established where everyone can obtain the needed data. Everyone, even ordinary car owners, can be paid for the data their vehicles generate.
On the road to full decentralization
In the beginning, DVDex will operate as a marketplace. Buyers and sellers are already able to trade via the central entity, which aggregates all the data and ensures its standardization, high-quality, and legitimacy.
This stage is a natural step towards the peer-2-peer exchange. A team now is accumulating practical knowledge: dealing with real case problems and looking for solutions, especially legal ones.
Once main lessons are learned, DVDex will evolve into a fully decentralized exchange while maintaining all the advantages for traders: legal simplicity, data quantity, quality assurance, transaction speed, etc.
Currently, both cV token and traditional currencies are accepted. However, token users get more attractive offers. The decentralized exchange will have only one currency – the cV token.
Treating “diseases” of the whole industry
Besides an incentive and infrastructure for data trading, DVDex seeks to offer solutions
for a few core problems that plague the entire automotive data industry.
- Scattered and unused data
According to estimations, there are about 1,5 billion cars worldwide. However, an enormous amount of automotive data is unemployed: scattered across multiple digital and analog sources.
For instance, carVertical is currently working with 22 different data types spread across 400 various data sources. However, its global average for data coverage per vehicle still reaches only ~40% (in team observations, this is more than any competitors). By employing new data acquisition methods, DVDex should increase this percentage significantly.
- Unwillingness to disclose data and no perception of its actual value
As we have already discussed, the market hasn’t developed a transparent and widely recognized ecosystem to trade automotive data yet. Currently, neither data holders nor content creators have incentives to exchange data, as they have no use for it.
Also, even if holders are willing to trade, some parties overvalue their data while others underestimate the real value and could sell it too cheap. DVDex solves supply and demand problems and sets fair prices.
- Unfair vehicle trade practices and inter-country data loss
In most cases, fraudsters act faster than a bureaucratic state apparatus. Therefore, laws often fail to protect honest car buyers and sellers against illegal mileage rollback, concealing damages, and other fraudulent or even criminal practices.
First of all, enormous amounts of automotive data are still not digitized, so almost useless. Moreover, most governments aren’t able to share information in decent periods. Even if the institutions have a benevolent attitude, it often takes months for data transfers to complete.
Therefore, after a theft, falsifying documents, or faking odometer readings, scammers quickly sell a vehicle, and a link between the fraud and the person who commits it may be lost.
Of course, carVertical vehicle history reports already offer a solution. As carVertical successfully operates in 24 countries, the transparency level in the used cars sector is growing. However, DVDex will accumulate even more high-quality data and significantly improve an average used car buyer’s situation.
Trade your data now
Data is the future fuel of the whole automotive industry. Being the first and offering an excellent infrastructure, DVDex is set to become the world’s leading automotive data source.
Also, the new exchange will bring a natural and fundamental cV token utility.
Become a part of changes. Trade your automotive data now at dvdex.io.