Blockchain and Real Estate
If you’re a newcomer to the bitcoin and cryptocurrency space, perhaps you haven’t heard about blockchain technology disrupting the real estate industry. Maybe you’ve heard about it, but you haven’t fully appreciated the immense potential of this phenomenon. In a Bitcoin Magazine post about blockchain and real estate, the article cites Hernando De Soto and Preston Byrne,
“by making property rights and claims of individuals publicly recorded and globally verified, they can enable the poor to safely unlock the value of their land”*
Blockchain, the underlying technology for cryptocurrency transactions is secure, distributed and decentralized. Real estate on the other hand, is always territorial, national and centralized. Frictions can arise like land disputes, inheritance challenges and state appropriations. Centralized authorities in the form of the courts system are usually the ones that mediate. Fusing together two conflicting paradigms seems to be an immense task. But if successful, the rewards will be immense.
This course will take a look into the blockchain startups that are delving into the blockchain real estate space. We’ll highlight the challenges and the platforms that each seeks to address. We’ll also look at some interesting news about properties that have been sold for cryptocurrencies.
Global Real Estate is worth $217 Trillion
According to London based real estate advisory firm, Savills,
“The value of global property in 2015 amounted to 2.7 times the world’s GDP, making up roughly 60% of mainstream global assets and representing an important store of national, corporate and individual wealth. Residential property accounted for 75% of the total value of global property.” *
Global investors could unlock the potential of this $217 trillion dollar market if transacting real estate could be made more liquid. Red tape, bureaucracy and the various nuances of different real estate laws in various jurisdictions slow down development and acquisition.
A global land and real estate property registration system could be the key.
Credits and References
- Nelson, Andrew. “De Soto Inc.: Where Eminent Domain Meets the Blockchain” BitcoinMagazine.com. March 5, 2018.
- Barnes, Yolande. “Around the World in Dollars and Cents” Savills. January 28, 2016.
- Lectures 4
- Quizzes 1
- Duration 50 hours
- Skill level All levels
- Language English
- Students 418
- Assessments Yes