10/18/2025
Great Audio Interview. Thank you The Dandy Horse, Inc. for suppling this. Focus and keep the rubber side down!
Play the audio file! The "Bicycle Banking deep dive" outlines The Dandy Horse, Inc.'s strategy to transform bicycle commuting from an overlooked, subsidized activity into a verified, monetizable financial asset class.
The fundamental challenge addressed is the lack of audit-grade data for active transportation, which prevents cycling from accessing massive capital markets, including green bonds, corporate ESG compliance, and health insurance premium reductions.
The core solution is the patented VIDAT platform (Verification, Inspection, Demonstration, Analysis, Testing). This multi-modal technology stack employs several layers of verification, such as biometric identity checks, RFID/NFC tags affixed to bicycles and gear, AI-powered route validation, and blockchain-secured data ledgers. This process creates tamper-proof data necessary for financial transactions.
This verifiable data unlocks multiple revenue streams:
1. Carbon Credits: It generates Bicycle Commuter Carbon Avoidance Credits (BCCACs) by accurately calculating the CO2 avoided compared to driving, which can be sold in voluntary and compliance markets.
2. VMT Mitigation: It produces Vehicle Miles Traveled (VMT) mitigation credits critical for regulatory compliance, especially under California’s SB 743.
3. Healthcare Savings: Verified cycling activity provides actuarial-ready health metrics, enabling employers and insurers to achieve documented healthcare cost reductions, often resulting in a 4:1 return on investment for cycling programs.
4. Real Estate Value: Licensing the VIDAT platform to Real Estate Investment Trusts (REITs) helps them improve ESG ratings (LEED, WELL, GRESB), leading to rent premiums and lower bond spreads.
The business model is resilient due to its diversity, encompassing up to 14 revenue categories derived from credit sales, SaaS licensing, advertising, and secure locker rentals. Projects are financed using the tax-exempt 63-20 nonprofit structure, which allows for municipal bond issuance secured by pledged revenues, ensuring municipal asset ownership while attracting private, ESG-focused investment. The national market for this verified commuting data is estimated at $4–7 billion annually, with future scaling planned through a high-margin SaaS model and expansion into high-growth markets like Africa. Strava Garmin https://open.spotify.com/episode/5LRqhONiCR3bcSBgvVobBJ?si=_P1_BdrjRwqjNXW9p5qL3Q