The main inefficiency of modern economics is the massive amount of “idle” assets. Information asymmetries, transaction costs and a lack of mutual trust prevent investors from entering into many potential markets. We have already written about how a symbiosis between the blockchain and the Internet of Things (IoT) will create a completely new market for real estate investment or about how securitization will be transformed into tokenization.

But there is an asset even more common than real estate, and more commonly idle — the car. There are over a billion cars in the world. But they spend most of their lifetimes parked — a car only sees active use for 5% of its lifetime on average. There it is — the truly unusable asset.

So here goes our story.

Meet our hypothetical friend — Bob. Bob is happy with his life: he has stable income, two children and the means to take a two-week seaside vacation twice a year.

Bob reads the news and knows about the blockchain, the dangers posed by AI and the way Uber is changing the economy. News headlines about technological progress leave Bob feeling uneasy: some are making money by renting out their spare rooms on Airbnb, others bought Bitcoin a year ago and are now boasting about returns, others still are preparing to hold an ICO. Might it be worth it for Bob to find his place in the technological economy as well? Why turn your back on the future?

The sharing economy is built on providing people with ways to earn money with temporarily unneeded property: a spare room, a spare bicycle, a spare seat in the car. Bob knows for sure that he has at least one asset sitting idle for a minimum of four weeks per year, which Bob also rents a garage for.

This asset is Bob’s Ford.

The world of fintech offers a solution, monetizing the idle car. The special BANKEX Proof-of-Asset Protocol allows turning your car into a means for car sharing for the duration of your vacation, generating considerable income.

Each year, Bob spends 4 weeks at a seaside resort while his car gathers dust in the garage. Four weeks equal 7 x 4 x 24 = 672 hours. Bob’s car sits in the garage for 672 hours while hourly car rental revenues range from $5 per hour in some US states to $20 in Germany.

Let’s perform one more calculation: 672 hours x $5 equals $3360 over 4 weeks. This is as if Bob was gifted a MacBook Pro, iPhone X or a free holiday in one of the best hotels in Paris for the use of his idle car.

But Bob fears for the safety of his car. Bob hardly loves the idea of handing his car over to strangers for 672 hours. What if someone damages the car? How would he then know who out of hundreds of users left a particular scratch? It might be possible to create some system of control (with cameras, for example), but who wants to spend their vacation looking at camera feeds, lest someone damage their car?

Bob jokingly says: “If only the car monitored its own use and notified me of violations or, better yet, if it fined the clients by charging their cards, I could rest easy!”

The BANKEX Proof-of-Asset Protocol was created exactly for this — to solve asset safety problems. It works like this: Bob visits the BANKEX office where a team of lawyers, economists and fintech professionals verifies all documentation regarding the car. As soon as the documents are uploaded to a database, the car is equipped with special IoT sensors.

The car now functions like an intelligent being. It constantly notifies the owner about any changes: movement, damage, even someone smoking inside!

After raising $20 million USD in the private contribution period, BANKEX public token sale is ongoing. For more information, please visit http://www.bankex.com/ or read our article about the participation.

And so the blockchain has helped ease Bob’s fears about his car, but how will he find buyers? Hasn’t Bob simply found himself a second job — the never-ending search for clients? The solution to this problem combines the token economy with the sharing economy: BANKEX hands Bob’s car over to a professional company like Uber, while Bob receives tokens backed by the future income from renting the car.

For instance, before leaving for 4 weeks, Bob hands the car over to BANKEX and receives 672 tokens (1 token = 1 hour of rental). After every hour of car use, one of the tokens turns into money on Bob’s account. He can either wait for all of the money to be transferred to him, or, if he really needs money now, he can sell his tokens on the secondary market. This works just like any sale of obligations: the company owes Bob money which is due in 4 weeks, but, if necessary, Bob can receive slightly less money now by selling the debt to someone else.

Bob can now truly consider himself an efficient entrepreneur: all of his assets work for him; in addition, he has used the possibilities of the blockchain and has immediately turned the work completed by his car in the future into money by selling the tokens before even getting on the plane. In a few hours, Bob was able to make 3000 dollars simply for not taking his car with him on vacation — this is exactly what the new economy enables us to do. Moreover, Bob isn’t even worried about his car: its status is constantly reported to the BANKEX office, and in the event of any damage, a “smart contract” automatically charges the credit card of the guilty party.

Just five years ago, such levels of efficiency were unimaginable. Information asymmetries and transaction costs constituted extremely high barriers. Today, however, a completely new way of thinking is developing, built fundamentally on the blockchain. It is exactly this that allows companies like BANKEX to help people make large amounts of money with their unused assets.