10 Million Used Cars on a Blockchain?

10 Million Used Cars on a Blockchain

Fusion, Automotive eXchange Platform (AXP) Intend on Digitizing 10 Million Used Cars via Blockchain

Cryptocurrency non-profit, the Fusion Foundation, and the Automotive eXchange Platform (AXP) are joining forces to bring the U.S. second-hand automobile market and its insurance coverage and financing to a blockchain. The initial step in the collaboration, according to a Monday announcement, is to incorporate Fusion’s blockchain platform and digitize AXP’s current database of 10.5 million autos, so they can be effectively tracked and audited. The vehicle market has long had a problem with an absence of transparency and prevalent information mistakes from titles all the way through financing, said Max Kane CEO and co-founder of AXP, including,

“There’s a million vehicles on the road that have ‘washed’ titles, which means there is fraud there. The insurance industry is hit with billions in fraud because of missing information, drivers providing the wrong information and inaccurate reporting.”

car-loans-on-the-blockchainThe AXP network encompasses some 25, 000 independent cars and truck dealers across the U.S. and this reaches relationships with counterparties in finance and loan origination, Kane said. John Liu, chief item officer at the Singapore-based Fusion Foundation, stated the pilot, which is now underway, might be reached state-based federal government firms and the Department of Motor Vehicles (DMV).

Dealing with 60 to 100 Million Car Loans

The system, which will go live by the very first half of this year, is anticipated to deal with $60m–$100m of car financing loans, he said. Fusion is known for having actually raised over $40 million in an oversubscribed token sale a year ago (many investors were turned away and the sale had to be stopped after 24 hours). The company has ambitious objectives when it concerns tokenizing assets, having actually previously partnered with companies involved in asset management and vehicle financing– opening up a prospective $12.3 billion in assets, Reuters reported.

Used Cars on a Blockchain

Fusion’s creator, DJ Qian, said the blockchain his company has actually developed was influenced by ethereum and will have both public and permissioned parts. “We didn’t want to reinvent the wheel,” he said.

Lui included that “spinning up a node will be as simple as in something like bitcoin or ethereum,” but stated only a specific group of validators will be running such nodes, to begin with.

He continued on:

“We don’t need the government or dealers to worry about running a node yet. We want them to use an application that they are familiar with. The number of nodes will be as much as we need to support a secure blockchain.”

About Fusion Foundation

Fusion Foundation is a non-profit organization on a mission to build the ideal financial infrastructure. By providing innovative companies and developers with the open source technology they need to build peer-to-peer time and value-based applications, the world will enjoy financial transactions that are more accessible, efficient and transparent than previously possible.

Automotive eXchange Platform (AXP) Explained

The Automotive eXchange Platform (AXP) is a blockchain-based platform produced by DASHUB to improve DASHUB’s current automotive business. DASHUB intention was to integrate its primary website dashub.com with the AXP using an Application Programming Interface (API). Being the first interface for AXP, consumers will interact with the AXP through dashub.com and an incorporated wallet.

At the core of the AXP is a decentralized dispersed ledger and a special type of Smart Contract called a Vehicle Smart Contract. Basically, through a series of preliminary business and consumer Use Cases (detailed below), a new type of public vehicle history will be created. And because the AXP’s token (AXT) will be essential to the performance of the platform, a brand-new kind of economy can emerge from within the automobile environment. Within this possible brand-new economy DASHUB is checking out a pioneering revenue-splitting model, preparing for mass industry-appeal and mass industry-adoption.

Used cars image via Shutterstock

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