The Mobility Open Blockchain Initiative (MOBI) Releases Standards to Reduce the Costs of Vehicle Ownership and Improve Customer Experience

June.29.2021

MOBI's Finance, Securitization, and Smart Contracts (FSSC) Working Group recently released standards that provide industry-wide guidance on the benefits of implementing blockchain (including distributed ledger and related technologies) in the vehicle finance life cycle. The standards are intended to reduce fraud, improve data privacy, simplify the vehicle financing process, increase trust, and make the process more transparent for industry stakeholders, including lenders, manufacturers, dealers, consumers, and investors.

Orrick's Howard Altarescu and Chris Min advised on the development of these standards. In particular, Chris provided critical guidance on auto securitizations' data and structural requirements and the auto finance market in general.

Howard noted that "auto and dealer floorplan financing through securitization is critical to the economics of the auto industry, and there are innumerable blockchain applications that can make securitizations more secure and efficient. There are even more exciting V2X opportunities to harness data from the vehicle data marketplace and to provide financing, including through securitization, for roads and mobility infrastructure."

You can read the full press release by the FSSC here. To read the standards in full, please visit dlt.mobi/standards.