8.2 C
New York
Thursday, October 21, 2021
HomeTechnologyAuto1 FT is revolutionizing the auto industry with smart contracts on the...

Auto1 FT is revolutionizing the auto industry with smart contracts on the Ethereum blockchain

The Ethereum blockchain serves as a platform for smart contracts. (Photo: dpa)
Remember Article

Auto1 FT, a financial partner to the automotive industry, is the first European company to finance the purchase of vehicles with smart contracts based on the Ethereum blockchain.

As stated in a press release, the company wants all manual input and Abolish paper processes in its core business, car financing, and replace them with solutions based on smart contracts.

Auto1 FT is the first car financer in Europe switched its entire ecosystem to this method. Every vehicle financed by Auto1 FT now receives a smart contract based on the Ethereum blockchain.

Auto1 FT hopes for efficiency advantages for car dealerships

“Our digital solution brings enormous efficiency advantages for car dealerships and sets new standards in the mobility industry”, says Auto1 FT managing director Taimur André Rashid.

Reduce the use of smart contracts the total effort and the documentation of a car financing to a minimum. The increased data security as well as faster and cheaper applications ensure a high level of efficiency, the report goes on to say. In addition, errors or mix-ups are now ruled out, as the blockchain is a forgery-proof database. The transactions can be viewed transparently, so that all activities on the blockchain can also be traced in retrospect.

Nuno Vaz , Head of Information Technology, adds: “Smart contracts are based on the outstanding properties of the blockchain: They are tamper-proof, unchangeable and transparent and are verified by the community. That makes them so valuable for our purposes. “

Smart contracts could be used similarly in many areas

In principle, in the future, smart contracts could almost used in any area where contracts are drawn up. This also makes use of Auto1 FT.

With Smart Contracts, Auto1 FT provides all vehicle-related contract details in a single agreement. These smart contracts contain all information and processes relating to the vehicle. This includes the checkbook as well as the vehicle history including payments and previous ownership.

In the future, smart contracts could also be used, for example, for mobile phone contracts or even the purchase and sale of real estate.

For Auto1 FT, smart contracts are just the beginning

The introduction of smart contracts is just the beginning for Auto1 FT to support the to expand the digital value chain. Rashid comments: “In addition to new business areas that we can develop more easily with our digital processes, we plan to use them to work with innovative platforms that have established themselves.”

The Auto1 Group only went public in February. This represented the largest IPO since 2019 and made the two founders Hakan Koç and Christian Bertermann billionaires.

You might also be interested in

Follow World Weekly News on

Adrian Ovalle
Adrian is working as the Editor at World Weekly News. He tries to provide our readers with the fastest news from all around the world before anywhere else.

Leave a Reply

Must Read