The Mobility Open Blockchain Initiative or MOBI, a global consortium of car makers, whose members include Ford and BMW, has just proposed the creation of a blockchain certificate aimed at fighting fraud in the second-hand car market.
According to the announcement shared by the consortium, it aims to use cryptos’ underlying technology to track the purchase and maintenance history of used vehicles.
The consortium intends to leverage the distributed ledger technology using MOBI's second vehicle identification standard, "VID II." The system will help reduce fraud in the used vehicle markets. According to the announcement:
"Vehicle registration on blockchain allows formerly disconnected vehicle registration systems between states and countries to connect using a secure, shared, and trusted ledger. Maintenance traceability will provide a tamper-proof history to buyers, regulators, and insurers, therefore reducing vehicle information asymmetry."
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MOBI's VID II working group is co-chaired by BMW and Ford. Honda, IBM, Hitachi America and Quantstamp, among others, have also supported the initiative.
MOBI was created back in May 2018 with the objective of promoting the adoption of blockchain in the automotive industry through the adoption of a collaborative and open source approach to the development of tools and standards.