California DMV to digitize automotive title administration system by way of Tezos


Related articles

The California Division of Motor Autos (DMV) is testing out the digitization of automotive titles and title transfers by way of a non-public Tezos blockchain.

The transfer is a part of a collaboration between the California DMV, Tezos and blockchain software program agency Oxhead Alpha, with the latter announcing t profitable proof-of-concept on Jan. 25.

The California DMV has tapped Oxhead Alpha to construct on a non-public Tezos testnet that it has dubbed a “shadow ledger.” It’s basically designed to grow to be a blockchain-based replication of the company’s present database.

The California DMV’s chief digital officer Ajay Gupta told Fortune on Jan. 26 that the company is trying to have the shadow ledger ironed out throughout the subsequent three months.

Following on from that, it’s trying to roll out purposes corresponding to digital wallets to carry and switch NFT automotive titles, with the DMV performing as a intermediary to supervise such operations.

“The DMV’s notion of lagging behind ought to undoubtedly change,” Gupta instructed Forbes.

Oxhead Alpha’s president Andrew Smith outlined that the California DMV’s blockchain initiative will serve a variety of use instances for the company, significantly regarding the modernization of its present paper-based techniques.

Smith highlighted examples corresponding to transaction fraud, by which automotive sellers conceal key details about the car’s situation to dump a dud or “lemon” onto unsuspecting patrons.

Whereas defective automobiles have a particular designation on their titles in California, Smith famous that sellers can transfer the automotive over to a different state and conceal the defective designations with relative ease.

With the usage of blockchain-based report preserving, nevertheless, and with different DMVs probably adopting the tech additionally, it might be a lot simpler to digital monitor the precise historical past of automobiles, Smith steered.

“So far as the profit for having a persistent digital title, it is a very apparent use case,” he mentioned.

Commenting on why Tezos was a good fit for the DMV, Smith outlined within the agency’s Jan. 25 announcement that the blockchain “solves among the actually onerous issues in blockchain in a chic approach.”

“The mixture of accountable consensus, on-chain governance, and institutional grade safety makes Tezos an amazing platform for delivering production-ready options,” he mentioned.

Associated: Venture capital investments into blockchain continue to free-fall: Report

The transfer from the California DMV is prone to be adopted by others within the state shifting ahead. In Might 2022, California Governor Gavin Newsom signed an executive order to direct and discover alternatives for blockchain tech integrations with state authorities companies.

“California is a worldwide hub of innovation, and we’re establishing the state for fulfillment with this rising know-how — spurring accountable innovation, defending shoppers and leveraging this know-how for the general public good,” mentioned the governor.