Global Automotive Blockchain Market

Key Market Insights:

The global automotive blockchain market was valued at USD 0.74 billion in 2024 and is projected to reach USD 5.65 billion by 2031, growing at a CAGR of 33.2% during the forecast period. This market reflects the growing integration of blockchain technology in the automotive value chain—from manufacturing and supply chain management to vehicle identity verification and mobility-as-a-service (MaaS) platforms.

Blockchain brings unprecedented transparency, security, and decentralisation to data sharing within and between automotive stakeholders. Its adoption is primarily driven by the need to combat counterfeit parts, ensure data immutability, enable smart contracts for leasing and financing, and support digital vehicle identities in autonomous and connected vehicle ecosystems.

While still in its nascent stages, blockchain technology is witnessing growing pilot programs and consortia formations across OEMs, mobility providers, insurance companies, and technology vendors. As EV adoption and smart city infrastructure progress, blockchain will increasingly act as the backbone of trusted mobility networks.

Latest Trends:

Blockchain-Enabled Mobility-as-a-Service (MaaS) Ecosystems

One of the prominent trends shaping the automotive blockchain landscape is the rise of blockchain-enabled MaaS platforms. These systems use distributed ledgers to coordinate shared vehicle access, manage ride-hailing payments, and integrate real-time data for dynamic pricing, insurance, and fuel or energy usage. By enabling secure peer-to-peer vehicle sharing and real-time transaction settlement, blockchain improves trust, reduces platform fees, and simplifies payment validation across mobility services.

Companies like DOVU, MOBI, and RIDDLE&CODE are pioneering tokenized mobility networks that reward eco-driving or shared rides using blockchain wallets. This is further amplified by cities pushing for low-emission zones and smart infrastructure integration. As urban mobility becomes increasingly multimodal and decentralized, blockchain provides the transparency and auditability essential for future-ready transport models.

Driving Factors:

Combatting Counterfeits and Enhancing Supply Chain Transparency

The global automotive industry loses billions annually due to counterfeit parts infiltrating supply chains. Blockchain’s decentralised ledgers enable tamper-proof documentation of every component’s origin, movement, and quality certification across suppliers, logistics providers, and OEMs.

By integrating blockchain with IoT sensors and RFID systems, manufacturers can track shipments in real-time and ensure authenticity throughout the chain. Leading players are adopting blockchain consortia like MOBI and the Blockchain in Transport Alliance (BiTA) to create shared standards for part tracking, document verification, and provenance validation.

This improves supplier accountability, quality compliance, and recall management while also supporting just-in-time manufacturing. Automakers also benefit from reduced paperwork and faster customs clearance via digitised smart contracts and audit trails.

Restraining Factors:

Scalability and Interoperability Concerns in Legacy Ecosystems

Despite its potential, blockchain implementation in automotive processes faces technological and operational hurdles. Scalability remains a challenge, particularly for public blockchains where transaction throughput and latency are often insufficient for real-time automotive applications such as autonomous vehicle coordination or high-frequency part tracking.

Many legacy systems lack APIs or connectors required for blockchain compatibility, and upgrading IT infrastructure is costly and time-consuming—especially for tier-2 and tier-3 suppliers.

Security and privacy concerns over sharing proprietary data across decentralized networks further hinder adoption. Moreover, the regulatory ambiguity around data ownership and liability in decentralized ecosystems creates compliance uncertainty for OEMs and partners.

Segmental Analysis

By Provider Type

Infrastructure & Protocol Providers Lead Blockchain Adoption in Automotive

The global automotive blockchain market by provider type is segmented into infrastructure & protocol providers, middleware providers, and application & solution providers. Infrastructure & protocol providers accounted for major share the market in 2024, accounting for approximately 40% of the share. These include foundational platforms like Ethereum, Hyperledger, and Corda, which enable automotive stakeholders to build, scale, and manage blockchain networks.

Application providers—such as VeChain and Xain AG—are witnessing the fastest growth, driven by rising deployment of custom-built solutions for mobility tracking, digital car wallets, and decentralised insurance validation.

By Application

Supply Chain Management Remains Dominant Use Case; Vehicle Identity Registers Gain Traction

The market is divided into supply chain management, financing & leasing, vehicle identity verification, insurance, mobility solutions, and others. In 2024, supply chain management accounted for the largest market share at 38.7%, reflecting automakers’ focus on traceability, authenticity, and anti-counterfeiting.

Vehicle identity verification applications—offering secure, tamper-proof digital twins of vehicles—are growing rapidly, especially for used car markets, EV battery tracking, and regulatory inspections. Smart contracts for automated leasing, insurance payouts, and EV charging billing are also expected to grow significantly over the forecast period.

By Mobility Type

Personal Mobility Holds the Largest Share, but Shared Mobility to Outpace in Growth

Based on mobility type, the market is segmented into personal mobility and shared mobility. Personal mobility held a 64.8% share in 2024, mainly due to blockchain-enabled features like maintenance tracking, vehicle identity management, and personalised insurance.

Shared mobility services—including ride-sharing, car-pooling, and subscription-based models—are expected to grow at the highest CAGR of 36.9% through 2031. Blockchain helps manage decentralized ownership, usage logs, dynamic billing, and driver validation securely and cost-effectively.

By Vehicle Type

Passenger Cars Dominate, While Commercial Vehicles Gain Blockchain for Fleet Management

The market is segmented into passenger vehicles and commercial vehicles. Passenger cars constituted 72.4% of market share in 2024, supported by rising deployment in infotainment logging, predictive maintenance, and digital registration for connected vehicles.

However, commercial vehicles—especially fleets—are adopting blockchain for route validation, freight verification, driver behaviour tracking, and cargo monitoring. The segment is expected to grow at a CAGR of 34.7%, driven by logistics and fleet operators seeking transparency, asset utilisation, and predictive analytics.

By End-User

OEMs Lead Blockchain Adoption, While Mobility Service Providers Show Strong Potential

The global automotive blockchain market is segmented into OEMs, mobility service providers, insurers, and dealers & fleet owners. OEMs dominated the market with a 49.1% share in 2024 due to growing investment in blockchain pilots and partnerships for digital vehicle passports, warranty tracking, and decentralised production networks.

Mobility service providers are projected to witness the highest growth, supported by blockchain-based ride-hailing, peer-to-peer car rentals, and tokenised loyalty programs. Insurers are increasingly leveraging blockchain to access real-time driving data, automate claim approvals, and reduce fraud.

Regional Insights:

The automotive blockchain market is assessed across North America, Europe, Asia Pacific, Latin America, and the Middle East and Africa.

• North America leads the market with early adoption from major OEMs and tech companies, strong venture capital funding, and government pilot projects for V2X and EV infrastructure. The U.S. remains at the forefront of blockchain innovation, with high penetration across vehicle history verification and supply chains.
• Europe is a strong contributor driven by sustainability mandates, connected vehicle rollouts, and GDPR-compliant blockchain frameworks. Germany and the UK are piloting automotive blockchain solutions for supply chain security and EV incentives.
• Asia Pacific is the fastest-growing region, supported by smart city initiatives, rapid digitisation, and public-private collaborations in China, Japan, South Korea, and India. Blockchain is increasingly used for EV battery lifecycle tracking, warranty validation, and secure financing.
• Latin America is witnessing uptake in fleet insurance, vehicle leasing, and cross-border logistics optimisation via blockchain. Brazil and Mexico are showing early momentum.
• Middle East & Africa are gradually adopting blockchain in EV charging, traffic management, and parts procurement transparency to align with national mobility transformation goals..

Key Industry Insights:

OEMs and Tech Giants Form Alliances to Accelerate Blockchain Rollouts

Leading automakers and blockchain vendors are collaborating to build shared infrastructure and interoperable platforms. Consortiums such as MOBI (Mobility Open Blockchain Initiative) and BiTA are helping standardise applications in vehicle identity, tokenisation, autonomous mobility, and usage-based insurance.

Automotive blockchain is witnessing significant R&D investments from startups and global tech providers. Companies are experimenting with blockchain-enabled driver licenses, warranty management systems, and usage tracking for car subscriptions.

Partnerships with cloud providers (AWS, IBM Cloud, Oracle) are enabling faster deployment of blockchain-as-a-service (BaaS) for automotive use cases. Tokenisation, interoperability, and decentralised identity management are emerging as critical focus areas for future market expansion.

Key Industry Players:

• IBM Corporation
• Microsoft Corporation
• Accenture PLC
• VeChain Foundation
• Helbiz Inc.
• NXM Labs Inc.
• ConsenSys
• Xain AG
• Riddle & Code
• BigchainDB GmbH

Key Developments:

• February 2025: Cario, a blockchain-based vehicle titling platform, is at the forefront of transforming the traditional paper-based car ownership system in the United States. As the nation shifts its attention toward improving government efficiency, there is a unique window to digitise vehicle titles through secure, decentralised technologies. Missing this opportunity could result in a future where vehicle ownership is dominated by centralised government systems, potentially restricting individual autonomy and stalling innovation across the automotive sector.
• January 2023: Oxhead Alpha has successfully completed a proof-of-concept for a blockchain-based vehicle titling system. This initiative was driven by the DMV’s interest in modernising its operations, in line with the goals outlined in the California Blockchain Working Group Roadmap. The DMV partnered with Oxhead Alpha to develop a platform that prioritises responsible innovation, consumer protection, and the use of emerging technologies to serve the public interest.