Ever since I came to crypto, I had a soft spot for projects which I actually understood and I could see myself using.
Also, projects which give you passive income without really changing your behaviour is also something I look for.
carVertical was such a project. And recently it came down so much (okay like many other projects considering this bear market), that i believe it is worth giving it another look if you don't know it yet. Or maybe you just did not look into it as much as you should or could have.
SO WHAT IS THE USE CASE:
carVertical basically wants to put used cars on the blockchain. The aim is ambitious: To build the first global & decentralized car history register. On top of this an eco-system will be created which enables service providers to better target clients with tailored offerings at the right time.
MARKET DATA:
Market Cap: $8,1m (13/7/2018)
Circulating supply: 5,7b
Total supply: 9,9b
ATH: $0,024 (End of January 2018)
ATL: $0,0012 (End of June 2018)
ERC20 token
TARGETED INDUSTRY:
Consumers and all service providers of the second-hand car world. Each year between 90 to 100 mio used cars are being sold. These figures are likely to increase.
Only taking Germany in 2015 the size of the second-hand market had a value of €78b. And this is Germany!!! And the Chinese market is expected to be the focal point of the entire market in a matter of 4 to 5 years.
PROBLEMS THE $CV TOKEN ADDRESSES:
- Scattered data
- Unwillingness to disclose data or limited availability of information
- Inter-country data loss or absence of synced regulations between countries
- Various nature of data makes it difficult to draw conclusions or get market specific insights
- Unfair trade practices defined by law, but hardly traceable in terms of timing
- Lack of trusted source for vehicle value
ELEMENTS and BUSINESS MODEL OF THE #carVertical SYSTEM:
Wallet
The Wallet is the front end and will manage most services
1.1 The wallet will enable car owners to manage the visibility of their data I only make visible what I want to be
visible. However visibility is incentivized through the $CV token.
1.2 Through the wallet a car (and its related data!) will be registered / claimed as property
My car produces data, this data is sold (for $CV tokens) to service providers (One gets paid with $CV)
1.3 Marketplace (for service providers)
Service providers can buy relevant data (insurance renewal, oil change, tire age, etc.) to get access to a relevant
target audience (service providers pay carVertical)
1.4 Notifications (Tech inspections, Maintenance check-up’s, etc.)carVertical reports
When considering a car, you can purchase reports which give you a complete, easy to read history of the vehicle
(payment through $CV tokens, other crypto or FIAT)
carVertical Whitelabel
A franchise model which enables interested parties to run a car history registry business in their markets. (Fee for
carvertical)
carVertical API
Companies (insurers, leasing companies, claims handling, etc.) can obtain direct access to the information though
an API. (Fee for carVertical)
BUSINESS MODEL EXPLAINED:
The $CV token will be the central element which will be used in this eco-system.
The benefit for the consumers will be that fraud in this industry (odometer fraud, hidden accidents, etc.) will be reduced significantly.
Cars with a history of their lifecycle on the blockchain will sell at a higher price as one which comes with a history based on “good faith”.
Owning a car also produces data. The usage of this data by service providers will earn you $CV tokens.
These reports will need to be purchased. Either by the consumer him, or herself or the second-hand car salesman.
When I put my car on the car.Vertical blockchain, specific events (insurance, oil change, new tires, etc.) are certain. Service providers can purchase specific event related target data (insurers can get obtain lists of car owners whose insurance periods ends. Then they can send them an alternative offer.
TEAM & ADVISORS:
The team, while certainly being of the smaller teams out there, is reasonably sized.
The expertise of the team members seems solid. But especially the advisor side brings in some heavy guns with backgrounds from the like as FIAT, BMW, General Motors, but also from eBay, Rolls Royce Powertrain as well as Siemens and many more.
CONCLUSION:
PRO:
The opportunity can be huge, given the market they are aiming at (basically everybody owning a car + all companies in the car and related spaces). However, adoption of this service will take time.
The idea is excellent and the way it is set up can bring a win / win / win situation.
I like that I can feel like a whale where $500,- gets you nearly 370k $CV tokens.
No but really, it not being listed on larger exchanges leave it room for some quick new listing pumps (like we have seen with $KEY).
CON:
Unfortunately, they will have to go gather all data themselves. Nobody sits on this huge pile of info and is waiting for them. And the list of databases to tap in is massive. This means lots of partners will need to be convinced.
It is a long-term project. We are speaking 4 to 5 years down the road.
The project still suffers from a major communications misunderstanding. In the first half of 2018 they announced that they had partnered up with BMW, only to be corrected by an announcement of BMW themselves, stating that they were using data which was available for anybody to use.
Initially it was stated that revenue generation would begin in June but was delayed to July.
In all honesty, it is a long-term project with a high risk/reward ratio.