Fusion’s technology is industry agnostic and can add value across different business environments. Automobile financing, music licensing, debt instruments, financial derivatives are where Fusion’s current partners are currently focused but that is just scratching the surface.
The first partner announced by Fusion, AXP, the Automotive eXchange Platform, are bringing transparency, data accuracy and new financing opportunities to the $2.8B pre-owned auto industry. The first step in the engagement is to digitize AXPs existing customer base of 10 million used vehicles onto the Fusion’s protocol.
Similar to the pre-2008 mortgage industry, the used-auto industry is dealing with high levels of financial fraud like income inflation and inaccuracies in vehicle information, these incorrect data points negatively impact the industry all the way down the value chain. The Fusion/AXP solution helps remove fraud by increasing the transparency of data and leveraging multiple industry participants to cross-validate that data. Fusion will also play a significant role in supporting AXP to increase financing opportunities in the industry by facilitating the digitization of assets and loans on its platform.
The first financing options on the platform will be simple debt instruments. Fusion and AXP have already released the first look POC where they have demonstrated the capacity to bring identity, vehicle and loan assets onto the Fusion blockchain. To complement AXP’s requirements, Fusion has built out an Asset Enhancement framework for non-fungible assets to capture all the relevant details for unique assets, like Vehicle Identification Numbers
The Fusion and AXP partnership is just one example of the real business solutions that can be developed on top of the Fusion protocol. Fusion has teased numerous other business use-cases that they are exploring with respect to entertainment licensing, financial derivatives and data aggregation.