Blockchain ride-hailing app gets nod from Singapore taxi companies

Ride-hailing app Tada has signed up over 2,000 Singaporean taxi drivers to its new blockchain-based platform for licensed cabs, with a target of onboarding 5,000 by the end of the year.

MVL, the South Korean startup behind Tada, also announced a partnership with fintech and blockchain company Omise, which will see the two test-run cryptocurrency payments in Thailand.

MVL founder and CEO Kay Woo outside the startup’s office in Kampong Ubi, Singapore. / Photo credit: MVL

Drivers from Singaporean cab companies ComfortDelGro, Premier, SMRT, and Transcab are among those to have joined Tada Taxi, MVL’s new standalone app for hailing licensed taxis. While none of the firms has “formally endorsed” the app, MVL founder and CEO Kay Woo said that all four had consented to their drivers using the platform.

Woo suggested that perceived “disadvantages” tied to existing ride-hailing players in the market may explain the apparent lack of willingness on the part of the firms to enter into formalized partnerships with Tada at this stage.

Nevertheless, Premier Taxis managing director Lim Chong Boo said that his company “welcomes” the new app.

“We are happy to note that Tada supports our objectives to keep taxi fares affordable [yet] rewarding for our business partners,” he said. “The launch of Tada Taxi reinforces our efforts to serve our taxi drivers and commuters.”

MVL launched Tada as an e-hailing app for private cars in Singapore in July. As is the case for private-hire cars, taxi drivers that sign up to Tada won’t have to pay any commission out of their fares to the platform. They’ll be rewarded with MVL Coins for getting good reviews from users, while users will get tokens for contributing their feedback. Tada allows for immediate cashing out of earnings, providing another boon for drivers.

According to Woo, Tada has around 20,000 drivers and 100,000 riders in total signed up to its platform.

See: Another ride-hailing app enters Singapore’s post-Uber vacuum – and it’s on the blockchain

Woo said that Tada decided to create a separate taxi-hailing app after market research indicated demand from both taxi drivers and passengers for a dedicated platform, free from the surge pricing associated with private car-hailing. At peak times, customers bear higher costs due to surge pricing, while heavy traffic in Singapore’s main business and shopping districts means that taxi drivers often feel forced to pick up lower flat fares, Woo suggested. Tada Taxi solves these issues by allowing taxi drivers to respond to e-hails and offering only metered fares, giving users an estimated price for their ride in-app, he added.

While Tada Taxi has been launched as a dedicated app, taxi-hailing will also be available through the main Tada main app. However, the two services will be kept separate and clearly demarcated in-app, differentiating it from Grab’s JustGrab feature which scours both private cars and taxis.

Photo credit: viewapart / 123RF