Numerous companies and financial institutions aim to unlock the power of blockchain. JPMorgan has a very specific use case in mind that might affect the automobile industry.
It is interesting to note how banks are exploring the different opportunities ahead of them in the blockchain space today.
JPMorgan has a Blockchain Plan
For JPMorgan, there is a chance to affect the automobile industry in a rather unique manner.
The company also specializes in providing wholesale car financing to car dealers throughout the United States.
Following a recent patent filing, it seems this concept will receive a blockchain-oriented makeover, of sorts.
For every vehicle being sold in the US, there is a unique VIN number attached to it.
By anchoring that data to a blockchain, it can streamline the way dealerships perform their inventories on a regular basis.
In the current format, it is still possible the same car is allocated to multiple loans due to confusion and human error.
With a blockchain, all of these concerns would be eliminated from the equation.
It is a different way of finding new practical applications for distributed ledgers, as those use cases have remained elusive in recent years.
As the number of vehicles sold in the US continues to surpass 15 million every year, there is a growing need for more streamlined inventory solutions.
It is a bit unclear which type of blockchain will be utilized by JPMorgan in this regard.
The company has helped develop the Quorum chain, albeit it seems unlikely this one will be used for this specific use case.