Record keeping, including the issuing of automobile ownership and the simplification of transfers of such ownership, will be handled by the blockchain, according to the California Department of Motor Vehicles.
According to a recent article by Fortune, the DMV has been using a private version of the Tezos blockchain, an open-source blockchain capable of facilitating P2P transactions and providing a foundation for launching smart contracts.
The action is the result of a joint effort by the California DMV, Tezos, and the blockchain software company Oxhead Alpha, which on January 25 announced the completion of a proof-of-concept blockchain-based car titling system.
Gupta was quoted as saying, “The DMV’s attitude of falling behind should surely alter.”
Blockchains, which keep a distributed and secure record of data, may be used for many things; automobile titles are only one example. In 2020, a Cleveland-based business received $5 million to digitise vehicle titles, and in the same year, California issued a study outlining potential blockchain experiments, with the DMV included as one of the alternatives.
In 2020, when Gupta first began working on the project, they were forced to pause their efforts owing to a pandemic. He did note that the agency’s future use of digital ledgers to create and transfer vehicle titles presents a chance to update its procedures.
Blockchain’s ability to ensure the integrity and safety of data records is a major benefit.
As stated, US Congressman French Hill intends to push for a progressive regulatory framework for digital assets so that “America remains the location for innovation in fintech and blockchain.”
According to a study published earlier this month, the World Economic Forum (WEF) considers blockchain technology to be an “integral” element of the current economic system. The group emphasised the vast range of uses for crypto and blockchain technology, noting their already noticeable impact on the financial services industry.
Disclaimer: The information provided in this article is for informational purposes only and should not be construed as financial or investment advice. Cryptocurrency investments are subject to market risks, and individuals should seek professional advice before making any investment decisions.