Car falls into NFTs

Car falls into NFTs

The NFT craze is sweeping the World. From the luxury fashion to the finished car industry, news of the launch of NFTs of famous brand are being reported one after another.why are they paying attention to the NFT market, which has nothing to do with their original business? Find out about the NFT you are curious about.

NFT stands for Non-Fungible Token, a kind of certificate used in the digital world. Digital assets that can be copied and pasted to create indefinite copies are indistinguishable from originals. Therefore, it is difficult to recognize its value as an asset. Appyling NFT is a different story.

NFT uses blockchain technology to give digital assets a unique value. Here, the unique value refers to a summary and encryption of information such as the creation date, creator and owner to a digital asset. Because it is based on blockchain technology that divides and store data across multiple computers, NFTs cannot be forged or tampered with. So you can prove that a particular file is original and not a duplicate.

From a brand standpoint, NFTs are an attractive vehicle. Because it is based on promising future technologies, it can build an innovative and trendy brand image. In the case of a car brand with a long history, it usuallly gives off a profound and conserative impression. With NFT issuance, you can tell your brand story in a new and exciting way while giving it a fresh and trendy image.

Examples include Mercedes-Benz and Lamborghini. The Mercedes Benz G-Class is the model with the longest history among Mercedes Benz vehicles currently on sale. It is also developed for civilian use, which was originally a military vehicle. It can be said that is a model that reflects the history of Mercedes Benz which has been active in the defense industry for many years.

In response, Mercedes Benz, along with five artists active in the field of music, fashion, graphic design and architecture launched teh G-Class based limited edition NFT ‘The NF-G’ was issued. The interpretation of Mercedes Benz’s brand identity with a youthful sensibility received great acclaim.

Lamborghini introduced a NFT named ‘Lamborghini Space Key’. What makes this NFT special is that it uses an advanced carbon fiber composite material created by Lamborghini in a joint research with HMRI in 2019. This material sent to the International Space Station was subjected to stress tests in the extreme environment of space. After returning from space, advanced carbon fiber composites became part of space key.

Scan the QR Code embedded in the space key to see the Lamborghini Aventador Ultimae flying into space. The Lamborghini Space Key, which was put up for auction at Sotheby’s, was sold for 244 million won each, making it a hot topic at once. It served an opportunity to inform the public about the excellence of Lamborghini’s materials.

The usefulness of NFTs doesn’t stop there. Extending the coverage of NFTs to physical assets can create more value. A typical example is ‘car’.

By converting vehicle information such as vehicle model life cycle and parts history, customer information and maintenance history to NFT, you can transparently manage all processes from vehicle launch to disposal. Applying to the used car market makes it easy to secure transaction transparency. Vehicle appraisals and evaluations are based on accurate evidence giving both buyers and consumers peace of mind. Meanwhile, vehicle manufacturers can track how vehicles are distributed after they are first sold, making product management easier.

To this end, Toyota is planning to issue an NFT for each car it produces in the future. As part of this, Toyota established the Toyota Blockchain Lab in 2019. The following year, we also verified the use of NFTs in the used car trading market through collaboration with a blockchain company ‘Datachain’.

NFTs are expected to play an important role in the automotive industry in the future.