This paper explores whether Blockchain could be a key technology on the way to private car rental. After the problem statement and the situation assessment, there is an in- troduction to the blockchain itself and specifically. After that, the recommendations – for im- proving car sharing nowadays with private car rental over the blockchain – will be discussed with a view to the implementation and the solved problem. In the end, we will have a look into the near future and at the next steps that need to be done for the realization of the idea.
In the current climate crisis, the target in the western world is to reduce the amount of fossil energy and raw materials. Every less produced car is, therefore, a step in the right direction to a more sustainable future. According to the Federal Environment Agency of Germany, one car-sharing car could replace four to ten private cars. Today's carsharing vehicles are newer on average and therefore have lower fuel consumption and carbon dioxide emissions than the average private car. In addition, car-sharing users often combine car-sharing journeys with public transport, so that utilization there increases and no additional fuel is consumed. Be- sides that, they also use bicycles more often or go by foot, instead of driving a car. In the future, the streets should be used less, the more car-sharing users there are, and the emission- neutral traffic routes such as cycle paths will have better utilization.
Besides these positive aspects, car sharing today has many issues to deal with. Low customer numbers and problems with profitability come together with availability only in the city center and a not completely satisfying service. For solving these problems private car rental over blockchain could be an alternative.
Table of Contents
2. Introduction
3. Problem Statement
4. Situation Assessment
5. Blockchain Technology
5.1 Blockchain Technology in General
5.2 Smart Contracts
5.3 Blockchain for private car rental
6. Recommendation
6.1 Financial incentives
6.2 Trust
6.3 Insurances
6.4 Comfort
6.4.1 Key Delivery
6.4.2 Fueling
6.4.3 Paying
6.4.4 Options
6.5 Less Cars
7. Outlook
8. Bibliography
Research Objectives and Core Themes
This paper investigates whether blockchain technology can serve as a key enabler for private car rental by addressing current inefficiencies in the traditional car-sharing industry. The primary research objective is to explore how decentralization, smart contracts, and transparent verification processes can overcome critical barriers such as trust, insurance complexity, and service limitations, thereby unlocking the potential for private vehicle sharing.
- Analysis of current challenges in the car-sharing market, including profitability and user trust.
- Technical evaluation of blockchain mechanisms (specifically permissioned networks) for mobility applications.
- Proposals for implementing blockchain-based solutions for insurance, automated payments, and digital "keyless-go" systems.
- Examination of the ecological benefits and potential for increased car-sharing adoption in rural or less populated areas.
Excerpt from the Book
6.4.1 Key Delivery
There is no difference in lending a car from e.g. Zipcar or a friend of yours. In both situations, you need the keys handed over. Especially in the private sector, this is an unnecessary obstacle. For running a private car rental with this problem successfully you always need two parties, who have time and be present when borrowing the car and returning it. Thus, it is impossible to lend your car if you are on vacation or on a business trip or you simply have to work at the required time. Fortunately, nearly all new cars come with a “keyless-go” system or they are at least capable of being upgraded to it. There you do not need to use your key to open your car. If you are nearby with the key in your pocket, the car will open automatically. With the use of this system, it is also possible to open your car with your phone through a digital key. This key could be included in a smart contract as well, so the borrower will receive the key after accepting the lending. Only for the previously determined time, the key could be used on the smartphone. Afterward, the rights for starting the car are missing, so the probability that a car is stolen is close to zero since the car can no longer be used after it has been stolen. Despite the security checks with ID and driver’s license and their storage on the blockchain, this point, unfortunately, had to be mentioned here, since fraudsters with counterfeits may not always be recognized and therefore cannot be prosecuted.
Summary of Chapters
2. Introduction: Presents car sharing as an essential pillar of environmental mobility while highlighting its current limitations in profitability and customer service.
3. Problem Statement: Discusses the imbalance between car-sharing demand and supply, noting that private vehicle ownership remains complementary due to trust and service gaps.
4. Situation Assessment: Reviews the current car-sharing market landscape, identifying high insurance costs and lack of trust as major obstacles to growth.
5. Blockchain Technology: Explains the technical foundations, specifically focusing on smart contracts and permissioned blockchains as tools for multi-party interaction.
6. Recommendation: Proposes implementing blockchain-based incentives for financial, trust, and insurance improvements, including automated key delivery and payments.
7. Outlook: Outlines necessary implementation steps and future developments, such as the digital integration of driver’s licenses within the blockchain ecosystem.
8. Bibliography: Lists the academic, industry, and statistical sources used throughout the analysis.
Keywords
Blockchain, Car Sharing, Smart Contracts, Private Car Rental, Mobility, Permissioned Blockchain, Insurance, Digital Key, Trust, Transparency, Sustainability, Tokenization, Automotive, Transport, Distributed Ledger Technology
Frequently Asked Questions
What is the core focus of this research?
This work examines the viability of using blockchain technology to transform private car rental, aiming to solve efficiency and trust issues inherent in existing car-sharing models.
Which central topics are addressed in this paper?
The paper covers the state of the car-sharing industry, the functionality of permissioned blockchains, smart contract implementation, and strategies for improving insurance and user convenience.
What is the primary motivation for this study?
The goal is to increase the utilization of private vehicles through a decentralized technical framework, thereby reducing the environmental impact and expanding the availability of mobility services.
What scientific approach does this paper follow?
The research uses an analytical approach, reviewing existing market data, identifying operational gaps, and proposing a blockchain-based technical solution to resolve those identified inefficiencies.
What content is covered in the main section of the work?
The main part analyzes the technical requirements of a blockchain network for car sharing, discusses specific solutions for fuel and payment management, and details how key delivery can work via digital smart contracts.
Which keywords help define the research?
The paper is characterized by terms such as Blockchain, Car Sharing, Smart Contracts, Trust, and Digital Key.
How would a digital key system work via smart contracts?
Upon entering a contract, the smart contract grants the borrower access to a digital key on their smartphone for a fixed, time-restricted period, automatically revoking access after the rental duration ends.
Can blockchain-based insurance overcome current limitations?
Yes, by storing driving data and verification status immutably on the blockchain, insurance companies can develop personalized policies that accurately reflect risk, potentially lowering costs for users.
Why is a permissioned blockchain recommended over a public one?
A permissioned blockchain is preferred because it allows for identity verification and controlled access, ensuring that all participants are known and trustworthy while maintaining data security requirements.
- Citar trabajo
- Michael Mauß (Autor), 2022, Blockchain. A Key Technology on the Way to Private Car Rental?, Múnich, GRIN Verlag, https://www.grin.com/document/1285203
