The brainchild of Tesla and Space X entrepreneur Elon Musk, work will begin on testing the tech after finding a 50 acre plot in Nevada to "bring Hyperloop to commercial reality".
A one kilometre track will be built to test the Hyperloop, which creates a controlled environment within a tube through which air-propelled pods will travel. Speeds of up to 540 kilometres per hour will be reached - 335 miles per hour. The end goal is speeds more than double that.
The company is still scouting for a location to build a full-size, full-scale prototype, the next step in getting Hyperloop operating as soon as 2020.
Here's what it's going to look like:
As sci-fi as the idea sounds, Hyperloop Technologies employs more than 72 people who are busy working on the transport system which could take people from Los Angeles to San Francisco in just half an hour.
The venture has raised more than $37m (£24.5m) so far to make the dream a reality and is currently raising further cash from investors.