VeChain, the world’s leading blockchain-enabled product management platform, who recently announced a collaboration with Groupe Renault to provide the manufacturer with a digital car maintenance book has today revealed that blockchain technology is also capable of stopping the practice of “car clocking”.
Car clocking is a growing international problem. In the UK alone, HPI Check, which checks mileages, said one in 16 cars that it ran checks on in 2016 had a discrepancy in its mileage, an increase from one in 20 two years earlier. The Times recently reported that more than half a million clocked vehicles were sold in the UK in 2016, with an estimated cost of £1 billion. While the practice of “clocking”, also known as odometer fraud or “busting miles”, is illegal in the United States, loopholes in EU legislation mean the practice is both legal and on the rise.
VeChain believes they can end car clocking by employing blockchain technology to create a distributed digital car logbook for each vehicle. Each log is a unique digital repository that contains all maintenance information together with the odometer readings that can be accessed and updated by the manufacturer, dealers, workshops and owners.
VeChain’s platform assigns a unique digital identity to each vehicle, which is stored in the blockchain. Participants are assigned private keys with data viewing and/ or editing permissions, which can be interacted with via RFID tags, NFC chips or QR codes.
When selling a vehicle, the dealer or owner will be able to provide the prospective purchaser with a complete history log, from mileage through to the smallest repair or replacement, all certified by the manufacturer that attests to the accuracy of the car’s mileage. With a smartphone app, car owners can check the actual mileage at any time and compare it to the in-vehicle display.
When it comes to car maintenance, another particularly grey area for 2nd hand car buyers, VeChain’s solution offers a far superior solution on traditional vehicle maintenance logging practices, which typically consist of logs held by multiple different parties, often in physical, rather than digital format. Such an approach makes it tedious and sometimes impossible to track the full history of a vehicle, meaning buyers may not know the true condition of the vehicle they are buying.
“Blockchain technology is able to create a reliable trust protocol,” commented Sunny Lu, COO of VeChain. “This is just one area where blockchain can have an impact on the car industry. We expect many other areas to benefit from the ability to store information in a tamper-proof protocol, such as crash reports, insurance claims, loan agreements, product recalls and much more,” concluded Lu.
VeChain, the world’s leading blockchain-enabled product management platform, revolutionizes how products travel through the supply chain. Established two years ago in Singapore, VeChain became part of PwC’s incubation programme in May 2017. The company works with Direct Imported Goods (DIG), China’s largest importer of fine wines as well as Renault and many others.
For more information please visit: https://www.vechain.com