Startup supports incentives for cryptocurrency travel – despite the crash

Dutch mobility-as-a-service start-up MobiFi plans to offer crypto rewards for more sustainable travel behavior via its app.

Travelers will receive crypto tokens and non-fungible tokens (NFTs) for options such as taking the bus, choosing off-street parking, using shared micro-mobility and walking. They will be able to shop and sell NFTs that they do not use – for example, coupons for free trips. People can also use their tokens to upgrade memberships and earn more rewards, or exchange them for stack coins and withdraw money.

While some mobility providers are launching one-off or temporary offers, Yudi Xu, MobiFi’s CEO, says that this is not financially sustainable in the long term for private companies or public transport operators.

“The difference is that our entire system is built on web 3 – cryptocurrency and blockchain technology – we actually provide the financial incentive to change how people travel and choose more sustainable mobility.

“And that’s also the missing part – the financial incentives that the current business model for mobility does not have.”

The platform uses a “double token” system, which means two separate tokens for collection and use. This means that mobility partners do not have to deal with cryptocurrency, and aims to make the app user-friendly for people who are not familiar with the underlying technologies.

“You don’t even have to know what crypto is to use the app,” says Xu.

Crypto winter

It may seem like a surprising time to launch such a venture during what is called a ‘cryptocurrency winter’ as Bitcoin and other cryptocurrencies have plummeted in recent months.

But Xu said there is no risk to mobility partners and users because they do not invest in cryptocurrency.

For users, “it’s free money,” he said. “Small amounts, but free money.”

On the investor side, he acknowledged that risk is inherent – he himself is a crypto investor – but commented: “Do not think about the crash. It is the economic situation, the inflation, it is inevitable. Think longer term. This is a new type of business model that Web 3 is introducing. “

“Many members of society believe MobiFi is doing something good for society,” he added.

Instead of a service fee, MobiFi’s revenue model is based on taking a small cut from token and NFT trading.

Who’s on board?

The idea for MobiFi grew out of the Dutch mobility hackathon that Xus team won in 2019.

There will be different levels of rewards in the app, set by MobiFi and based on a comparison of how sustainable each mode of transport is.

So far, MobiFi has partnered in the Netherlands with ParkBee, which offers off-street parking, and a state-owned street parking company.

Xu said the company also has a contract with a national public transport provider in the Netherlands that will be announced soon.

“[Public transport companies] do not have enough customers after COVID, so they really want people like us to have new ideas and new ways to sell tickets, “he commented.

Parking may seem like an unexpected place to start if you want to drive a sustainable journey, but according to Xu: “We offer options. [Most people] Never think about why you should park indoors instead of on the street. We show that you can be rewarded for making room back in the city, and maybe the municipality can build a bicycle lane there instead of parking the cars. We are raising awareness for these drivers. “

MobiFi is working to sign several partners that offer different types of mobility services. It also plans to expand to more areas in Europe and the UK.

MobiFi uses the Polygon blockchain, which claims to be greener than other networks and has promised to be carbon negative in 2022.

Photo: Paul Lievens on Unsplash