Hyundai Motor, Kia Reveal NFT-Based Technology for In-Car Payment Authentication, Accident Response

Hyundai Motor Co. and Kia Corp. have disclosed patents for technology that uses non-fungible tokens, or NFTs, to authenticate users of in-car payments and support accident response and vehicle history management.

Digital Asset, a media outlet focused on digital assets and cryptocurrencies, reported on October 12 that Hyundai and Kia this year disclosed in South Korea two jointly filed patents related to an "NFT Service System."

The first patent, published on Jan. 5, covers technology that generates an NFT based on a vehicle's manufacturing information and links it to the vehicle owner and actual user. A patent application covering the same technology was also published in the U.S. on Jan. 1.

The patent describes a structure for managing vehicle-related information by linking the car, the automaker's server, a vehicle information server and a blockchain network. It is also designed to connect NFTs with virtual characters representing the vehicle and its owner or user.

In the in-car payment process, the NFT is used to verify the person actually making the payment. When a driver requests a payment, the payment server sends user information to the system server. The system server checks information linked to that user in the NFT recorded on the blockchain and sends the authentication result back to the payment server.

That would allow the system to distinguish the person requesting payment even when a vehicle is shared by multiple users, such as family members. The NFT itself is not used as a payment method. Instead, it is used for user identification and authentication. Final payment approval is handled by a separate payment server.

User information linked to the NFT may include a name, emergency contact details, blood type, illnesses and medical records. The structure is intended to make information needed for rescue or medical treatment available in the event of an accident.

The patent also includes a function to record vehicle maintenance and ownership-change histories on the blockchain. When parts are replaced or maintenance is performed, the related information can be linked to the NFT to manage the vehicle's modification history.

Hyundai and Kia also disclosed another "NFT Service System" patent in South Korea on Feb. 13. That patent covers a structure in which an NFT is issued on a blockchain based on vehicle manufacturing characteristics and links the vehicle, owner and user information to a single NFT. A related patent application was also published in the U.S. on Feb. 12.

The patent disclosures do not mean the technology will be applied to actual vehicles or commercialized as a service.