Fighting Automotive Fraud with Blockchains
Around 450,000 vehicles are sold each year with falsified odometer readings, resulting in a cost of more than $1 billion annually.
Cryptowerk is at the SAP Automotive Forum this week, meeting with auto industry leaders to talk about the practical applications of blockchain to combat fraud.
Detecting and deterring fraud is a top priority for auto companies that are increasingly challenged to digitize processes, comply with new industry and government requirements, and create new innovations such as driverless cars and intelligent digital displays. They need the ability to swiftly capture and verify digital moments from the time the car is being manufactured, throughout the supply chain, and even after the car is sold.
Blockchains have vast potential to help auto makers safely speed these innovations to market by creating an immutable, tamper-proof “digital twin” record of parts provenance, logistics, driving conditions and more. This record can then be verified at any time, allowing auto companies to know when counterfeit or inferior parts enter the supply chain, and prevent those components from ever making it into a car—saving money and lives.
“Blockchain and related trust enhancing technologies are poised to redefine the automotive industry and how consumers purchase, insure and use vehicles.”
—Chris Ballinger, chairman and CEO, Mobility Open Blockchain Initiative (MOBI), former CFO and Director of Mobility Services for the Toyota Research Institute
Unfortunately, embarking on a blockchain project can be time-consuming and expensive. Also, because distributed ledger technology is changing and improving at a rapid rate, it can be risky to place all your bets on a single underlying blockchain.
Cryptowerk’s automotive industry solution verifies digital moments at scale, helping auto companies around the globe solve these complex challenges.
Using Cryptowerk, automotive industry leaders can:
- Secure and validate automotive supply chain processes by attaching digital tokens to parts and digitally notarizing supply chain data with a digital seal, creating digital “fingerprints” that can be compared to the original data to verify authenticity between all parties in the chain, improving information transfer and logistics coordination, detecting counterfeit items, and reducing leakage and errors in ordering and inventory cataloging.
- Verify the integrity and quality of the code automotive manufacturers use in self-driving and other integrated software by providing a tamper-proof record of applications and code at any moment in time, improving security, trust and transparency throughout the software development and distribution process.
- Capture and verify digital moments from the time a vehicle is being manufactured, sold, maintained, and operated to combat fraud and comply with industry and government requirements.
- Seal sensor data, vehicle operation data and other data collected from real-time maintenance, manual and self-driving operations, and accidents for audit and litigation situations.