The California DMV (Department of Motor Vehicles) has announced it is planning to adopt blockchain technology for record-keeping purposes, including car ownership and ownership transfers. The development is part of a combined move by the DMV, the Tezos blockchain and crypto software firm Oxhead Alpha, which announced in late January the completion of a “proof-of-concept blockchain-based vehicle tilting solution.” The DMV’s chief digital officer, Ajay Gupta, said the plan should be completed within the next three months. Gupta had already flirted with a similar modernization initiative in 2020, but had to postpone his plans due to the pandemic.

The modernization of the DMV’s records has its benefits and doubts. Firstly, consumers will be protected, as vehicles – even from out of state – will be registered as having significant issues or defects, if that is indeed the case. This is not the case now, as cars registered outside California can be sold without such designation. On the other hand there are still some questions – that will undoubtedly be answered in time, once the project is fully under development – about the DM’s private blockchain, including how it is being hosted, how many nodes there are, and who is doing the validation.