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Blockchain Applications In The Automotive Sector

Blockchain has plenty of applications across a range of industries including automotive: from protecting real-time, on-board data and helping to deliver explainable AI systems, to providing trust across complex supply chains. Global brands like Ford and BMW, for example, have already implemented blockchain within their manufacturing processes. So how can blockchain help the automotive industry?

First, blockchain distributed ledgers can provide the trust and confidence required to help ensure transactions across all stages. Moreover, blockchain can be used with other technologies like IoT and AI to manage the massive amounts of data produced daily by automotive manufacturers. For example, blockchains can encompass vehicle component bills of lading, harness quality-inspection records from the production process and store Work in Progress data for each assembly line from beginning to end.

What is more, blockchain-based digital passports for vehicles would give the user a reliable way to verify the history and provenance of a particular vehicle, as well as share relevant information about a vehicle with third parties such as insurance companies and repairers. Blockchain technology will also have a resounding effect on how we buy, sell and transfer ownership of our vehicles using smart contracts.

Along with smart contracts for issuing insurance coverage, blockchain can also automate the process of submitting an insurance claim and store real-time mileage information, driver behavior data (where permitted), and other key facts.

Thus, it seems like the blockchain solution is a perfect match for the automotive industry and big auto companies have already started to implement this revolutionary technology. Of course, it is also important to remember that until governments will not provide smart and adequate regulations of blockchain technology, we can`t experience the full range of benefits that the blockchain offers.

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