Cryptocurrency to Automobile

Daimler AG is looking to bring cryptocurrencies to the automobile sector with it’s latest positive reinforcement initiative. This latest initiative provides potential benefits for Daimler AG, bringing cryptocurrencies to the automobile sector as well as for society, as the initiative could make the world a safer place.

The growing adoption of cryptocurrency in mainstream functions and the psychological and social effects that these digital assets could have on one’s everyday life can hardly be argued upon anymore.

While these factors get mixed reception more often than not, they sometimes get commended – and even adopted – by influential forces in such a positive manner that it gets difficult for naysayers to hold arguments just for the sake of having them.

That is why, when Daimler AG, the business giant behind companies such as Mercedes-Benz and smart, announced the plans to have its on digital currency, it was met with overwhelming response, not only by that segment of the cryptocurrency community which sometimes represents the Venn diagram between high-end cars (read “lambos”) and cryptocurrencies, but also to those who crave encouraging news about the cryptocurrency world.

This could introduce cryptocurrency to the automobile industry

Unveiling the digital currency that Daimler AG has dubbed as “mobiCoin”, the company announced its plans of using it as a positive reinforcement mechanism to encourage safe driving for its customers.

Having announced its pilot phase in February 2018, the mobiCoin program works through a specialized app that records the driving data of participating customers and rewards them for maintaining safe and effective driving practices.

The concept behind the program is simple enough: the more environmentally-friendly you drive, the more mobiCoins you earn.

While explaining the functionality of the program during the Mobile World Congress 2018, the company mentioned that it will be testing the program with about 500 drivers, and will reward the participants for safe driving behavior accordingly.

It was mentioned that the mobiCoins which the customers would earn could be exchanged for in-company benefits as well as prizes including exclusive tickets to prominent events, such as the Berlin Fashion Week.

It remained unclear whether the mobiCoins could function as a “cryptocurrency” would for its technical term – where it is created on a blockchain network under highly secure cryptographic mechanisms. It was also not mentioned whether the mobiCoins that will be shown within the app are tradeable with other users, or this being highly unlikely: enchased into fiat.

That being said, the initiative is being commended by a noticeable sector, since it not only shows a use case of cryptocurrency in the automobile industry, but also how it can be used to benefit the society by rewarding the assurance of the safety of others, including the environment.

Highly reminiscent of another coin that used positive reinforcement

The initiative being led by Daimler AG makes one think back to Sweatcoin, the digital app-based currency that allowed users to earn Sweatcoins, which could then be traded for specific goods within the app.

While Sweatcoin had also not been based on a blockchain or acted as a traditional cryptocurrency, it created enough buzz to be used by over 2 million users as of January 2018.