from Hacker News

California DMV puts 42M car titles on blockchain to fight fraud

by jc_811 on 7/30/24, 3:48 PM with 59 comments

• by jc_811 on 7/30/24, 3:52 PM

  A question I have is, is this a real implementation of blockchain? Or a marketing implementation.

  If it’s real, and someone somehow steals someone else’s title (eg elderly scam or something of the sort) - does this mean there’s no recourse? Or is the state a centralized power that can re-assign titles at will? In that case, would a strongly managed traditional database have worked?

  Genuinely trying to understand what blockchain brings to to the table here when taking into account real world issues and mistakes.

• by daft_pink on 7/30/24, 4:24 PM

  Have they considered that this might increase fraud and not decrease fraud? Having your vehicle title digitally stored in a blockchain wallet on your phone seems like an invitation to fraud and scammers compared to the current vehicle title experience, where most title’s are held directly and managed by creditors, ie Bank’s with high credit ratings and extensive audits and high internal control procedures.

  My interpretation is that a blockchain based title system is better for the state to collect sales taxes as the title chain is more auditable and obvious, but that this will offer little to no benefit to the consumer.

• by ceejayoz on 7/30/24, 4:12 PM

  I'm pretty dubious about this reporting.

  > the agency and its technology partners exclusively told Reuters

  No quote from the agency, the reporter's based in Bangalore, and the only corroboration I can find of any such project is breathless PR pieces that, again, don't cite the agency at all.

• by yashg on 7/30/24, 5:50 PM

  Such articles shilling blockchain had disappeared for some time. It seems they are back. Yet another in a series of good old IT project that doesn't actually need "blockchain" but uses the term to make headlines. Here in India I use an app provided by RTO (India's equivalent of DMV) where I can see my car's registration details, insurance, PUC (Pollution Certificate) and even my driving licenses details. There's another app that shows my traffic rules violation tickets and I can even pay the fines online if there are any. None of it requires "blockchain". This project is most probably using the good old SQL database at the backend to store actual data and there's an app front end. Even if uses a blockchain - it's a private blockchain and offers zero benefits over a regular database.

• by goalonetwo on 7/30/24, 4:09 PM

  So no different than a database. Why did this need to be a blockchain. The information comes from a centralized database anyways

• by vsuperpower2021 on 7/30/24, 4:06 PM

  California DMV is notoriously bad even outside of California. This could either lessen the pain a bit, or cause immense human suffering.

  >The project, in collaboration with tech company Oxhead Alpha on Ava Labs' Avalanche blockchain, will allow California's more than 39 million residents to claim their vehicle titles through a mobile app, the first such move in the United States.

  I'm not sure I'd download a car. It seems like you're relying on the app to verify you, which is fine, but I don't see how any of this works more than a normal database. Why even write an article on technology if you don't have any information or technical expertise?

• by BobAliceInATree on 7/30/24, 4:18 PM

  Blockchain only makes sense for Decentralized uses. DMV records, by their very nature, are the epitome of a centralized authority of knowledge. This is a waste of time, money and CO2.

• by skybrian on 7/30/24, 4:13 PM

  I’m pretty skeptical about this one. Why hasn’t the California DMV published a press release about it?

• by wantsanagent on 7/30/24, 4:29 PM

  I look forward to the day when losing my phone also means losing provable ownership of my car!

• by upon_drumhead on 7/30/24, 4:12 PM

  Are there no taxes or fees associated with title transfers in California?

• by mindcandy on 7/30/24, 4:26 PM

  As a drooling crypto bro, a single organization creating a blockchain by itself for itself doesn't actually accomplish anything. Blockchains enable decentralized trust. And, there's nothing decentralized if a single org controls everything on the chain.

  Corporate/Government attribution chains can make sense. But, only for rare circumstances because the primary requirement is relinquishment of control on the part of the Corpo or Govt. Truly rare indeed...

  So, if a group of organizations want to make attestments, and if they all want to be able to recognize those attestments, but they do not want any one of them to be in control of the records, then it can make sense.

  So, the articles example of digital car titles could possibly make sense if multiple states get on board. And, maaaaybe it would make sense for car dealerships to be able to participate directly. Preferably with some sort of on-chain collateral as a fraud deterrent. But, even this would need to be fleshed out a lot before I'd get excited about it.