China Launches New Blockchain-based Initiative for Car Rental Service

January 15, 2020      Tony Philip

Car rental service in China is set to be a lot easier after the country launched the first blockchain-based initiative that uses facial recognition to complete the process. The new system will remove the tedious process that is often associated with renting a car, involving attendants and several documents. Conducted on the Alibaba’s affiliate platform Alipay, the initiative utilizes facial recognition technology that enables drivers to finish the car rental process in just two minutes. The technology dubbed “swiping your face” was launched on Monday, January 13, 2019, in Kunming, China.

New Year Festivals Boost Car Rental Service

According to reports, the upcoming Chinese New Year festivals could push the demand for rent-a-car service. The event scheduled for January 25 enables consumers to engage in self-driving tours. To make things easy, Alipay has collaborated with Wukong Car Rental to install a machine that allows consumers to start driving their cars after facial interaction.

The new model, together with the facial recognition payment system from Alipay, drivers can now complete the entire process in the absence of an attendant. Importantly, you don’t need to carry any identification card or credit card. Only a face swipe initiates the transaction. Additionally, consumers with a Sesame credit score of 550 and above are eligible to waive the deposit. The new model also embraces blockchain features that make it easy to monitor the car rental process and minimize disputes.

The First Kiosk Already Up

The first kiosk is now available at the Kunming Changshui International Airport. Car rental consumers can launch the Alipay app and place their orders in the comfort of their handsets. Once the app is ready, you’re prompted to “swipe your face” at the kiosk. Once the order is confirmed, you simply select particular features of the car and use your Smartphone to unlock the doors.

According to reports, the new service will be rolled out in the entire Yunnan Province in line with President Xi’s objective. Late last year, China’s President Xi Jin Ping reiterated his goal to see the country leading in the implementation of blockchain technology. Blockchain enables users to monitor transactions securely on an immutable ledger, contrary to the usual biometric solutions.

A similar car rental program is also available in the U.S. after Hertz launched it in 2018. The Fast Lane service utilizes fingerprint and facial recognition in kiosks spread across various airports in the U.S.

Tony Philip
Tony Philip

Tony is a writer and a crypto enthusiast. He discovered cryptocurrency in 2017 and believes it's one of the ways to make the world a better place. A graduate of creative writing, he synthesizes blockchain and cryptocurrency topics in a way he only can. Reach him on Twitter @Wordsvan