SHANGHAI, June 6, 2018 /PRNewswire/ -- The global automotive market has more than 1.3 billion cars and is a 10 trillion US dollar market. However, it is a typical lemon market due to asymmetric information. George A. Akerlof won the Nobel Prize in Economics for his paper "The Market for Lemons: Quality Uncertainty and the Market Mechanism". He gave a used car market example to illustrate that asymmetric information will cause the bad money drive out the good, and the whole market will shrink.
Automotive consumers suffer from being surcharged by low quality products and services.
AlphaCar.IO will use blockchain technology to solve this problem. By putting all transaction records on a public blockchain to make it immutable, we will build a trustworthy automotive community. All contributors to the AlphaCar community will be rewarded with ACAR tokens, which will make consumers become stake owners.
In today's corporate world, profit of a corporation is shared by shareholders and has little to do with consumers. However, a corporation cannot be successful without its consumers and partners. In the AlphaCar CTE (Community Token Economy), benefits will be shared with consumers and partners.
The AlphaCar CTE also follows the network effect, which means its value will be proportional with the square of its members. This paradigm shift will create an immense wealth creation effect. The earlier people or business join the CTE, the higher return they will get.
AlphaCar has built a strategic partnership with AXATP, the JV of AXA and will start providing UBI (Usage Based Insurance) to car owners in China by 6/8/2018. AlphaCar has also built a startegic partnership with CheXiang.com, the leading car service enterprise in China to provide one-stop car maintanance and repair service to car owners and reward them with ACAR tokens.
AlphaCar founder and CEO Bill Deng was a Ph.D. student under Prof. Vernon Smith, 2002 Nobel Prize winner in Economics and father of Experimental Economics. Mr. Deng has served as the CIO of top automotive enterprises such as Chery and GAC-FCA. The AlphaCar elite team members are from FCA, Intel, AIG, Deloitte etc.
AlphaCar CTE will provide one-stop trustworthy services including Design Sharing, R&D Sharing, Car Sharing, UBI, Car Trading, Maintenance and Repair, and Financing around the world. We expect members will grow to 50 million in two years.