Toyota explores blockchain to turn cars into tradable RWAs
Japanese automaker giant Toyota is exploring the financialization of car ownership, turning fleets into assets.
- Toyota has proposed a blockchain that links all key data on cars
- NFTs can represent vehicle ownership, and traders can bundle them in a portfolio
- The concept is especially useful in EVs, robo-taxis, and fleets
Toyota is actively exploring the concept of tokenizing cars. On Tuesday, August 19, Toyota Blockchain Lab released a white paper on the Mobility Orchestration Network (MON). This new blockchain would be able to track key vehicle data, potentially turning cars into tokenized assets.
The proposal explains that every vehicle, including logistic trucks, rental fleets, or even robo-taxis, leaves a trail of information behind it. This information, including registration, manufacturing, and maintenance, could be bundled as proof on the network into a token.
Diagram showing Mobility Orchestration Network connecting information across several regions | Source: Toyota Blockchain Lab
Each vehicle would have its own NFT, which comes together with all its history and key info. Potential buyers could then use this information to assess the car’s value. What is more, the network could enable users to buy these NFTs without having to physically control the vehicle.
How Toyota sees the future of car ownership
Toyota Blockchain Lab envisages several use cases for this network. For one, vehicles are expensive. However, unlike housing, they have so far eluded the trend toward financialization. With a blockchain network tracking their use, car ownership and use don’t have to be closely tied together.
For instance, carmakers could bundle multiple car NFTs into a fund, effectively enabling investment in car fleets. The same type of investment vehicle could be used to fund robo-taxi fleets or logistics fleets in emerging markets.
What is more, if cars can be securitized, fleet operators could be able to raise capital more cheaply than through loans. Still, the white paper does not go into how this financialization of car ownership could affect regular car owners or car prices.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
You may also like
Silver Price: A Strategic Play Amid Industrial Demand Surge and Geopolitical Tensions
- Silver market faces pivotal inflection in 2025 due to surging industrial demand and geopolitical supply constraints. - Solar energy (19% of demand) and electronics sectors drive 170%+ growth projections by 2030, straining 72% byproduct-dependent silver supply. - Geopolitical risks including Mexico's 5% production disruption and Russia's BRICS pivot compound 182M oz annual supply deficit. - Silver's dual role as industrial/commodity asset sees $38.59/oz price surge (56.7% since 2023), with $50/2026 foreca
Ethereum News Today: South Korea Aims to Build Crypto Powerhouse as Global Giants Watch Closely
- South Korea plans to allow listed companies to legally invest in digital assets, promoting crypto treasury companies (CTCs) as part of its global digital asset strategy. - Proposed stablecoin bills include 5B won minimum reserves and bans on interest payments, while others balance innovation with transparency requirements. - Global firms like Binance and Tether closely monitor Korea’s regulations, which could shape regional stablecoin adoption and challenge USD-backed dominance. - CTCs attract investor i
The Strategic Implications of Lunate's $2 Billion Abu Dhabi Partnership for Institutional Crypto Adoption
- Lunate and Brevan Howard's $2B Abu Dhabi partnership marks a major shift in institutional crypto adoption, leveraging ADGM's regulatory framework. - ADGM's FRT framework, DLT Foundations, and English law alignment create a neutral hub, attracting $137 funds and 107 asset managers by Q1 2024. - The deal reflects institutional capital's irreversible transition to crypto, with UAE Vision 2030 and sovereign wealth funds amplifying capital flows to regulated digital markets. - Investors are urged to prioritiz
The Stablecoin Revolution: How Citigroup and JPMorgan Are Pioneering a $3.7 Trillion Opportunity
- Stablecoins, projected to reach $3.7 trillion by 2030, are driving a financial shift with Citigroup and JPMorgan leading through distinct strategies. - Citigroup aggressively expands tokenized services and partnerships, while JPMorgan cautiously tests institutional solutions with its JPMD token. - The GENIUS Act, backed by both banks, aims to regulate stablecoins, ensuring institutional trust and market clarity. - Banks leverage regulatory expertise to dominate cross-border payments and treasury solution
Trending news
MoreCrypto prices
More
