Blockchain VC fund NEM Ventures invests in ridesharing initiative Mobi

NEM Ventures, the venture capital and investments arm of the NEM blockchain ecosystem, has announced a seed round investment in ridesharing app, Mobi.

Founded in 2017, Mobi is a carpooling app that allows individuals heading in the same direction the ability to carpool for commuting purposes.

In an online post dated July 26, 2018, NEM explained that Mobi leverages the NEM blockchain to allow users to facilitate transactions between both parties while removing the need for other third-party payment platforms such as PayPal and Stripe.

The app will use NEM Catapult's aggregate transactions as an escrow service, expected to be available shortly after NEM's public chain Catapult release. It also plans to use the NEM blockchain solution in other areas such as recording multi-party payments, loyalty points, and storage of data on carbon emissions and sustainability measures.

“By incorporating NEM Catapult, Mobi is able to utilize the protocol’s many features to provide an enhanced app experience for commuters. We are always looking for ways to utilize blockchain to promote social change, which is what drew us to this project in the first place,” David Mansell, Director and Co-founder of NEM Ventures, said.

“Mobi aims to further the sustainability agenda with a focus on creating long-term shareholder value while driving home the fact that profitability is not a trade-off for sustainability.”

The app allows commuters to pre-arrange rides up to a week in advance, by selecting which dates and times they will be requiring or providing services. They will also have control over who they choose to ride with, both parties can connect in advance via the app’s chat function and funds are held in escrow, which reduces counterparty risk. Mobi also plans to build an incentive-driven partner network to enable businesses to connect employees for their commuting needs.

Daniel Logan, Co-founder of Mobi, said that the app creates a sustainable solution, which would help limit carbon emissions, travel congestion, and free up parking spaces across densely populated cities.

“In Melbourne, the first city on our roadmap, there are approximately 2.1 million commuters and 1.3 million car drivers. Mobi bridges this gap by creating a convenient and affordable way to make commuting a more positive experience for all,” he said.

According to the press release, Mobi has a Minimum Viable Product (MVP) tested with a live pilot of nearly 200 users and has confirmed partnerships with 3 major universities across Australia giving access to circa 40,000 potential users to begin scaling.

Mobi is currently in its post-trial refinement stage and will be available on iOS and Android devices in the final quarter of 2019.