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Decentralized Automotive Data Economy. PART 1: Tokenization, Protocols and Infrastructure

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Data generated by modern vehicles is becoming the new “oil” of the digital age. It is valuable for many industries. Insurers analyze driving behavior to calculate dynamic rates. Automakers study real-world operating conditions to improve models. Cities use movement data to optimize traffic. Maintenance services predict breakdowns based on telemetry. The market for software-defined and connected vehicles is growing rapidly. Experts estimate it will rise from 200 billion USD in 2024 to more than 1 trillion USD by 2030. These figures reflect the enormous monetization potential of mobility data.

The Web3 approach aims to redistribute this value in favor of users themselves. In the past, all benefits from user data went to corporations. Now, thanks to blockchain, a model is emerging in which a driver who shares their vehicle’s telemetry receives digital tokens as a reward. These tokens can be used within the service ecosystem, for example to pay for electric vehicle charging or application subscriptions, or they can be converted into other cryptocurrencies or fiat money. A two-sided data marketplace appears. On one side, drivers and passengers provide anonymized information. On the other, interested companies purchase access to aggregated insights. Blockchain serves as the technological foundation, ensuring transparency of transactions and trust between participants. All data exchanges and rewards are recorded in an immutable ledger. This approach is already being implemented through the DePIN (Decentralized Physical Infrastructure Network) model, which creates a transparent and scalable economy around real-world data. In simple terms, a car becomes a network node that generates valuable data, and all participants can see and verify how this data is used and rewarded without relying on a central intermediary.

It is important to note that the value of data increases when it is aggregated into large datasets. For example, one driver sharing acceleration and braking history provides little value to an insurer. But if thousands of drivers provide such data, an insurance company can build reliable risk models and offer better rates to careful drivers. Decentralized data platforms make it possible to aggregate information from many sources without violating individual privacy while ensuring that each participant is rewarded. As a result, corporations gain access to a rich array of reliable data, and users are motivated to share it, knowing that their contribution is acknowledged with tokens and their privacy is respected.

Protocols and Infrastructure: From Telematics Devices to Blockchain

Let us examine how such a system is technically implemented using the example of the DIMO protocol, one of the leading platforms in decentralized automotive data. DIMO (Digital Infrastructure for Moving Objects) is an open ecosystem where any car can connect to the network, transmit telemetry to the blockchain, and participate in the data economy.

Connecting the vehicle. The owner equips the car with a special device or connects it through the built-in telematics module to the DIMO application. Typically, this involves a small hardware module inserted into the OBD-II diagnostic port, or integration via manufacturer APIs. The device collects data such as basic vehicle details (make, model, year), sensor readings (speed, fuel consumption or battery charge, engine temperature), geolocation, technical condition, and driving style (sudden accelerations, braking, turns). This data is then transmitted to the network through an encrypted connection.

Identification and recording of data on the blockchain. In DIMO, each vehicle receives a unique digital identifier implemented as an NFT token, which serves as the car’s “digital twin.” All collected telemetry data is tagged with this identifier and stored in the distributed ledger. Using the vehicle’s NFT passport ensures immutable, decentralized recording of all device data. No one can secretly alter or selectively edit this information. Any attempt at falsification would be immediately visible in the blockchain. Moreover, the NFT allows data control to be transferred with vehicle ownership. When selling the car, the new owner can receive the corresponding token and data history, with personal information from the previous owner removed. This model of data tokenization turns information on mileage, loads, and component condition into an asset tied to a specific digital object.

Access control and privacy. The key difference between a decentralized platform and traditional telematics services is full user control over who receives their data. In DIMO, data is collected and stored with a link to the owner’s identifier, and only the owner decides which applications or companies can access it. For example, a driver may grant access to anonymized data to several services at once: one for road condition research, another for an insurance discount program, and a third for fuel efficiency recommendations. The driver can revoke access at any time if they lose trust in the service or feel the benefit is insufficient. This architecture ensures maximum transparency and user focus. No third party can obtain telemetry without the owner’s consent.

Data reliability. Because decisions with financial or safety implications may be based on this data, the accuracy of telemetry is critical. The DIMO protocol uses multi-level verification, including authentication of the device itself so that only certified modules, not emulators, can send data to the network. Analytical algorithms detect anomalies in incoming streams. For example, if a sensor suddenly begins transmitting values that are clearly unrealistic, which could indicate tampering, the system flags this. Together, these trust measures create a reputation for the data, enabling developers and consumers to work with verified and accurate information.

Token rewards and the data economy. Once the vehicle is connected and transmitting data, the owner receives rewards in crypto tokens for participating in the network. The model typically works as follows. Third-party companies such as research organizations, manufacturers, or city municipalities pay for access to aggregated data. A smart contract distributes these payments among the participants whose data is included in the relevant dataset. DIMO issues its own tokens (DIMO token), which are given to drivers in exchange for providing data. Privacy is protected because sales happen in bulk and anonymously without transferring individual travel records. For example, an insurer receives averaged statistics from thousands of similar vehicles but cannot buy the exact movement history of your car. The platform also introduces privacy zones where geolocation tracking can be disabled at the user’s request, for example near home. This prevents surveillance and allows the user to decide when to share their route.

The received tokens can be stored in a crypto wallet, exchanged on the market, or spent on related services. This creates a tokenized vehicle ownership experience where data becomes part of economic exchange. By mid-2025, more than 180,000 vehicles worldwide were already connected to DIMO, and the ecosystem continues to grow. Another example is the DTEC platform developed by Dizayn VIP, which integrates an intelligent voice assistant into the car. This assistant adapts to the driver’s habits and rewards them with DTEC tokens for data on driving style and preferences. Blockchain is used to verify and track each participant’s contribution. Data contributions are transparently verified and rewarded, and DTEC tokens are programmed by smart contracts, for example, with a portion automatically burned during transactions to support economic stability. A new principle emerges: “your car works for you and generates income while you use it,” which reflects the Web3 philosophy of returning value to users.

Beyond direct benefits for drivers, an open decentralized infrastructure creates a platform for innovation. Developers around the world can connect to such protocols via open APIs and build new applications on top of the data. Based on DIMO, solutions are already being offered for peer-to-peer car sharing, where cars exchange data directly for trusted short-term rentals, for smart insurance with dynamically recalculated policies, and for fleet management where owners track location and condition of dozens of vehicles in a single dashboard. A cross-brand platform not tied to a single manufacturer makes it possible to aggregate data from different makes and models, which is particularly valuable for external services. As a result, decentralized data protocols break corporate silos and make automotive data a shared resource, with privacy conditions respected, on which many new services can be built. This is similar to how open government data once stimulated a wave of citizen-focused applications. Now, open automotive data such as traffic, environmental information, and driving statistics can spur service development in areas from logistics to urban planning.

In the next part of our corporate blog at RUTA, we will discuss cybersecurity and privacy aspects of modern vehicle data.

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