The thing that makes blockchain records unforgeable is public key signing, same as your boring chip and pin card, same as the HTTPS connection you’re viewing this on now. The blockchain is an irrelevance.
There is a huge difference between public key technology which, while secure in its essence, is wide open to fraud: stealing your chip and pin, hijacking an https session etc etc etc and blockchain which uniquely proves ownership in its shared open ledger. Crucially, it is not a single key pair, but a distributed sequence which defeats forgery under current, and current view of future, technology. Blockchain gives you a token. Either a fungible (eg bitcoin, every bitcoin is the same as the other) where holding it is proof of ownership or non-fungible "NFT" where each token is different and crucially links to ownership. The transaction is indeed validated by a private/public key pair (as established, this is secure in itself) but the underlying ownership is the pointer to the blockchain ledger, unique and unforgeable.
Given the value of cars, the amount of technology inbuilt into new ones and their propensity for being stolen, the application of blockchain technology to supplement and replace the current paper/number plate system is an obvious move that would be likely be welcomed by owners, I was floating the concept that the other benefit could be that owners could also be held to account, which would likely be less popular.
Of course any system with meatware is subject to exploitation, and people will be fraudulently tricked out of ownership I am sure, but the big difference is that just stealing the item will no longer be sufficient. Once you have the system established, its application is much wider to anything of value, especially with inbuilt technology and that brings into question the problems that exist with any monoculture, but that's a can we can kick for the moment.