Technological advancements bring greater efficiency, safety and sustainability to the mobility and transportation sector. From smart cars and self-driving automobiles to hybrid vehicles and fleet-sharing, these innovations reshape how people and goods move from point A to B.
Blockchain technology serves as a powerful ally in autonomous mobility transformation. Blockchain seamlessly complements the technologies implemented in the sector. Whether enhancing trust and transparency or improving security, blockchain in the automotive industry revolutionises how people perceive and interact with transportation.
Learn more about automotive blockchain in this infographic as it sheds light on how it can drive the world towards efficiency and safer roads.
What is autonomous mobility?
Autonomous mobility presents a paradigm shift in transportation. Advanced technologies equip vehicles with varying degrees of autonomy, from basic driver assistance to fully self-driving capabilities.
At its core, autonomous mobility places the customer at the forefront of the transportation experience, revolutionising traditional notions of travel and ownership.
Central to autonomous mobility is digital integration. Technologies allow vehicles, infrastructure and users to communicate in real time. They also facilitate dynamic route optimisation, predictive maintenance and enhanced safety features to provide passengers smoother journeys.
Another facet of autonomous mobility entails sophisticated personal data management systems to keep user information private. Blockchain in the automotive industry safely stores sensitive data, such as location history, payment details and personal preferences.
Apart from convenience, autonomous mobility offers a seamless user experience with easy-to-use interfaces, constant connection and tailored services. Smart vehicles give people more freedom to engage with their environment without the hassle of owning a car.
Blockchain-based solutions for autonomous mobility
Various facets of the automotive industry can benefit from blockchain. Nowadays, enterprises and end users interact with transportation systems in a modernised way. From enhancing supply chain transparency to facilitating seamless payment transactions, blockchain has diverse applications in autonomous mobility.
Below explores its implementation for both enterprises and end users:
Enterprises
- Building and selling
Blockchain enables transparent record-keeping throughout the production and sales process. Manufacturers can enhance trust and traceability by storing vehicle specifications, production data and ownership history on a decentralised ledger.
For instance, Tesla utilises blockchain to track vehicle components and ensure authenticity, reducing the risk of counterfeiting in the supply chain.
Furthermore, smart contracts can automate agreements between manufacturers, suppliers and distributors. Blockchain-enabled contracts ensure compliance and efficiency throughout the manufacturing and distribution cycle.
- Supply chain monitoring
Supply chain monitoring involves tracking and overseeing the entire supply chain network, from raw material sourcing and production to inventory and delivery.
Blockchain gives direct visibility into the movement of parts and components across the supply chain. Each transaction records details of materials to enhance traceability and reduce the risk of counterfeit parts.
Companies like BMW use blockchain to track the provenance of raw materials, monitor logistics processes and verify compliance with sustainability standards. As a result, they can practise ethical sourcing and reduce environmental impact.
- Materials sourcing
While supply chain monitoring covers a broader scope, materials sourcing focuses on procuring raw materials or components required for manufacturing products. Through blockchain, enterprises can securely trace the origin and authenticity of materials used in vehicle production.
Ford collaborates with IBM on using blockchain to track cobalt—a key component in batteries—from mines to manufacturing plants.
With blockchain’s help, one of the world’s oldest car companies can observe responsible sourcing and minimise the risk of human rights violations. Immutable records ensure transparency and accountability across the supply chain, promoting sustainability and ethical practises.
- Complex products
Blockchain makes it easier to handle complicated products by keeping a secure record of all their parts and maintenance history. Car companies can store detailed specifications, maintenance records and service history on a secure and shared database. This transparency makes it easier to connect with other systems and parts.
Another example is Jaguar Land Rover, which is looking into blockchain to digitally copy raw materials for vehicles. Using a digital twin, the car manufacturing company monitors the leather supply chain’s development digitally and in real time. It also uses GPS data, biometrics and QR codes to track the movement of leather in the supply chain.
- Identity management
Blockchain offers a decentralised and safe platform for handling the digital identities of autonomous vehicles, manufacturers and stakeholders. Using cryptographic techniques, users can verify, authenticate and control their identities. These also enhance security and prevent unauthorised access.
- Quality assurance
Blockchain provides an immutable record of quality assurance processes, including testing, inspection and certification of autonomous vehicles. These protocols certify compliance with regulatory standards and enhance trust among consumers and stakeholders.
Just like most automobile industries, blockchain uses technologies to enable proactive maintenance that helps support optimal performance and safety standards.
End users
- Third-party integration
Blockchain facilitates secure integration with third-party services, such as navigation apps and smart contracts for autonomous vehicle rentals. For instance, Audi collaborates with IOTA to enable secure data transfer between vehicles and smart city infrastructures.
This partnership improves routing accuracy and traffic management. Here, blockchain technology contributes to developing more efficient, interconnected and user-centric transportation systems.
- Ride-sharing and car-sharing
Blockchain enables transparent and secure transactions in ride-sharing and car-sharing platforms, reducing intermediary dependency and enhancing user trust. Companies like Lyft are exploring blockchain to implement decentralised ride-sharing networks and enable peer-to-peer transactions. The technology also reduces costs for both drivers and passengers.
- Payment modes
Blockchain-based payment systems offer secure and efficient modes of transactions for autonomous mobility services. Using tokenised assets for payments provides privacy, low transaction fees and instant settlements.
Tesla integrates blockchain-based payment systems in its vehicles, allowing customers to pay for charging services and access premium features using digital currencies.
- Payment verification
Besides catering to different modes of payment, blockchain provides transparent and auditable records of payments and transactions in autonomous mobility ecosystems. Smart contracts automatically validate and execute payments based on predefined conditions. With tamper-proof verification, there’s less risk of fraud and disputes.
- Fleet access and availability
Blockchain gives end users improved fleet access and availability by providing transparent and secure access to vehicle-sharing platforms. They can quickly locate and reserve vacant cars through decentralised platforms, while automated contracts support seamless transactions and fair pricing.
Take a blockchain-based ride-sharing platform, for instance. It allows users to instantly access nearby autonomous vehicles, verify vehicle availability and securely pay for rides without intermediaries.
Additionally, blockchain’s immutable ledger translates to transparency in fleet management, enabling users to trust the accuracy of vehicle availability data and make informed decisions when accessing fleet services. Uber and Lyft use these similar concepts.
3 key challenges in blockchain-based solutions for transportation
Innovations in blockchain technology hold immense promise for modernising transportation systems. Although they improve efficiency and security, among other things, blockchain-based solutions still come with challenges. Understanding these potential issues can help unlock blockchain’s full potential in transforming autonomous mobility.
- Data privacy
Unlike in traditional databases, blockchain transactions are immutable and transparent. Data on the blockchain cannot be altered or deleted. While this feature ensures the integrity and trustworthiness of the data, it also raises issues regarding the exposure of sensitive information.
For instance, location data or personal details stored on the blockchain could become accessible to unauthorised parties. This could lead to privacy breaches or exploitation.
Moreover, the transparent nature of blockchain transactions means that all participants in the network have visibility into the stored data, which may not be desirable for classified information.
Careful consideration and robust privacy measures are essential when integrating blockchain into transportation systems. These mitigate data exposure risks and unauthorised access.
Fortunately, solutions such as BSV blockchain offer robust data privacy features. By implementing BSV blockchain’s privacy-enhancing features, transportation stakeholders can safeguard confidential information while leveraging the technology’s benefits.
- Code quality
Developing and deploying blockchain-based solutions for transportation requires high-quality code to ensure reliability, security and interoperability. These codes keep everything safe and working together smoothly.
However, blockchain programming is complex. Given the fast pace at which this technology advances, it can be tricky to maintain code quality throughout the development lifecycle.
Transportation companies must invest in rigorous testing, code review processes and continuous integration practices to address this challenge. Additionally, collaboration with experienced blockchain developers that adhere to industry standards can help mitigate risks associated with code quality issues.
- Subcontractor engagement
Multiple stakeholders, including subcontractors and third-party service providers, usually deliver goods and services to the transportation industry. Integrating blockchain-based solutions across diverse entities may present challenges in coordination, alignment of incentives and compliance with contractual agreements.
To overcome these challenges, transportation companies must establish clear communication channels, define roles and responsibilities and incentivise subcontractor engagement through smart contracts. Blockchain’s transparency and automation capabilities can help transportation companies make working with subcontractors and other partners more manageable and efficient.
Driving change and paving the way to innovation
Autonomous mobility is continuously breaking the old transportation limits.
Today, customers are not mere passengers but active participants in a digitally-enabled ecosystem. Likewise, enterprises are becoming architects of mobility solutions. They leverage advanced technologies like blockchain to optimise fleet management and enhance safety protocols.
There’s a lot of promise in blockchain-based solutions, but they come with difficulties. However, BSV blockchain can help address those. It offers robust features for handling data privacy concerns and warranting secure transactions. Its scalability and efficiency also make it well-suited for managing complex transportation networks.
Enterprise leaders in transportation can leverage the immense potential of BSV blockchain-powered solutions. By embracing blockchain technology, you can unlock more opportunities for innovation in the transportation sector.
If you want to learn more about blockchain, download our ‘What is Blockchain?’ eBook. You can also expand your knowledge by exploring BSV Blockchain’s extensive library of articles.
