Nov. 29, 2017—In an interview with the Digital Journal, the co-founder of CarFix, Vladimir Lupenko, spoke about how blockchain technology provides opportunities for streamlining the approach to relationships in the auto repair industry.
"CarFix is a comprehensive ecosystem that includes repair shops, spare parts distributors, fleet managers, car manufacturers, dealers," Lupenko said. "A consumer or a fleet owner can use their respective applications to obtain transparent and most cost efficient repair and maintenance services.
"Manufacturers can monitor the dealers’ maintenance pricing policies and ensure their adherence to manufacturer's suggested retail prices. Repair shops and dealers receive pre-paid customer flow that generate spare part order flow for spare part distributors."
CarFix has issued the Vehicle Lifecycle Blockchain (VLB) token. Through this, the company aims to reshape the $1.8 trillion vehicle lifecycle industry by integrating blockchain technology.
CarFix announced its initial coin offering for the VLB token on November 27, 2017. This move follows other industries who have introduced alternative ways to raise funding, eschewing other models like seeking venture capital.
When asked about the advantages of blockchain technology, Lupenko said:
"Putting the entire history of a vehicle from the moment it comes off the factory floor to the moment it is recycled in the junkyard on a blockchain creates a wide gamut of advantages for car owners and automotive industry players. For example, to name a few it increases resale value of vehicles; it allows auto manufacturers to increase efficiency of warranty services and reduce warranty costs; it allows insurers to save on claim management costs; it creates transparency in collision repair between insurers and repair shops. It also creates transparency in car ownership costs and leverages transparency to reduce maintenance costs for fleet owners."
Lunpenko said 300,000 customers and 500 auto repair shops currently use the system.