In recent years, we have seen many revolutions in the mobility sector. More and more people are giving up owning a car in the city and drive technolgy is changing. Now humanity is facing a new disruption. Autonomous driving is already being tested on the roads. Self-driving taxis could soon offer free rides, carry out transactions themselves and contact their customers via a decentralised network using blockchain technology. But how does it work?
First, let's look at a platform model (e.g Uber) based on blockchain technology. The blockchain matches providers with demanders (similar to Uber). The difference is that many processes in the blockchain are automated and cheaper than in a central platform with intermediaries. For example, the car can have its own wallet ID, which contains information about the pricing system. Via a smart contract, the transfer can be executed automatically from the human to the car. This then eliminates high transaction fees and platform fees.
The peer group benefits particularly from network effects, which is why it is difficult to enter the market oneself. The rapid acquisition of new network participants is therefore needed. The creation of new incentives for stakeholders could be the solution.
One idea could be that cars (sellers) are paid for their services with Car Tokens (C.T.). These tokens are only produced by the network in exchange for value creation (offering rides). Buyers (Users), on the other hand, have to pay with User Tokens (U.T.). The exchange of a Euro into a U.T. happens automatically. The U.T. has a fixed price, so that buyers are not exposed to price fluctuations. It is important to note that with every demand and the accompanying exchange from euro to U.T, a C.T is burnt. This has consequences for the market.
If the demand for U.T. increases, the number of C.T. decreases, causing the flexible price of the C.T. to increase. This gives the cars an increase in value on their portfolio. As the return for sellers increases, new sellers come into the network. This quickly creates more supply and therefore more demand.