California DMV Partners with Tezos for Digital Car Titles

Long lines at the DMV may soon be a thing of the past, at least in California. The agency is partnering with Tezos to streamline the process of transferring vehicle titles. 

California’s Department of Motor Vehicles (DMV) partnered with Tezos blockchain and crypto software firm Oxhead Alpha to create its private blockchain. 

The DMV’s distributed ledger would be a private version of the Tezos blockchain. The agency thinks a private blockchain would be more secure than a public one. 

The ledger would contain all data from the state’s database, which would help the agency combat title fraud. It would also enable owners to transfer ownership of vehicles through the blockchain. 

Ajay Gupta, the chief digital officer at the California DMV, revealed the collaboration in an interview with Fortune. 

Gupta said the agency hopes to create its own “shadow ledger” in the next three months. After that, the DMV would be ready to build customer-facing applications. 

“The DMV’s perception of lagging behind should definitely change,” said Gupta.

While cryptocurrency is still far from mainstream acceptance, blockchain tech may have already reached it. Both private and public institutions are embracing the benefits of distributed ledger tech. 

The DMV blockchain network is just one example that highlights the potential use cases for blockchain tech in government. 

For instance, blockchain software firm ConsenSys details several DLT use cases in government. For instance, blockchain tech could help power all the technical units in future smart cities without overwhelming current infrastructure.

Moreover, many central banks are already looking into blockchain-based Central Bank Digital Currencies (CBDCs).  

Blockchain can also help track educational credentials, land deeds, and tax receipts. The technology may track student loans, social security payments, or vaccination status.

Aside from spending less time waiting in lines at the DMV, crypto traders have other reasons to care about this development. If governments use blockchain tech more, this could remove some objections critics have about crypto.