Sweden’s paper-based and time consuming processing of real estate transactions will now be transformed and streamlined by a smart contracts application developed by the coloured coins technology innovated by ChromaWay.
This new system that would be tested out in Sweden would be specified to the country's land registry system and would be based on blockchain, the underlying technology that supports the digital currency bitcoin. This was disclosed by the Swedish Land Registry department.
Consulting firm Kairos Future, and telecommunications service provider Telia apart from the Swedish blockchain company ChromaWay are also part of the program, the registry said in a statement.
A white paper and technical demonstration of how the Swedish land registry would work on blockchain was displayed where all the agencies and companies claim to have come up with a framework or the so-called "proof of concept".
Permanent, public "ledgers" of all transactions that could potentially replace complicated systems such as clearing and settlement are created through the blockchain technology and are replaced with one simple database.
"In the first phase of the technology, we have tested the process with some banks. Now we're on the second phase of the project where we will test in a full-sized environment," Magnus Kempe, director of retail and finance at Kairos Future, told Reuters in a telephone interview to Reuters.
Kempe believes the project could go live in the fall this year.
Kempe said that once the buyer and seller agree on a deal and a contract is made, the real estate transactions would be put on blockchain and this is the central plan of the project. The progress of the deal once it is completed can be tracked directly from the bloakchain by all the parties involved in the transactions -- the banks, the government, brokers, buyers, and sellers.
Currently, from the time the parties agree until the contract is completed, it takes months to complete a real estate deal in Sweden.
"Digital documentation of property transfers and good technology will enable the confirmation for all parties in a real estate transaction (with) the highest level of security," said Mats Snäll, head of development of real estate registration, at the Swedish Land Registry.
"Being able to assign pending title deed is also something of value for all parties. Everyone will benefit from this," he added.
"For this project we are not using the coloured coins technology. We have a new solution for smart contracts and we can make it independent of the underlying blockchain - it could be based on a public blockchain, like Bitcoin or Ethereum, or a private blockchain,” Henrik Hjelte CEO ChromaWay told IBTimes.
“What we are doing is modelling the workflow of selling a house. The buyers, sellers, land registry, real estate agents: they all see the same information. Only the parties involved can see the information, and need to see it,” Hjelte added.
(Source:www.reuters.com & www.ibtime.co.uk)
This new system that would be tested out in Sweden would be specified to the country's land registry system and would be based on blockchain, the underlying technology that supports the digital currency bitcoin. This was disclosed by the Swedish Land Registry department.
Consulting firm Kairos Future, and telecommunications service provider Telia apart from the Swedish blockchain company ChromaWay are also part of the program, the registry said in a statement.
A white paper and technical demonstration of how the Swedish land registry would work on blockchain was displayed where all the agencies and companies claim to have come up with a framework or the so-called "proof of concept".
Permanent, public "ledgers" of all transactions that could potentially replace complicated systems such as clearing and settlement are created through the blockchain technology and are replaced with one simple database.
"In the first phase of the technology, we have tested the process with some banks. Now we're on the second phase of the project where we will test in a full-sized environment," Magnus Kempe, director of retail and finance at Kairos Future, told Reuters in a telephone interview to Reuters.
Kempe believes the project could go live in the fall this year.
Kempe said that once the buyer and seller agree on a deal and a contract is made, the real estate transactions would be put on blockchain and this is the central plan of the project. The progress of the deal once it is completed can be tracked directly from the bloakchain by all the parties involved in the transactions -- the banks, the government, brokers, buyers, and sellers.
Currently, from the time the parties agree until the contract is completed, it takes months to complete a real estate deal in Sweden.
"Digital documentation of property transfers and good technology will enable the confirmation for all parties in a real estate transaction (with) the highest level of security," said Mats Snäll, head of development of real estate registration, at the Swedish Land Registry.
"Being able to assign pending title deed is also something of value for all parties. Everyone will benefit from this," he added.
"For this project we are not using the coloured coins technology. We have a new solution for smart contracts and we can make it independent of the underlying blockchain - it could be based on a public blockchain, like Bitcoin or Ethereum, or a private blockchain,” Henrik Hjelte CEO ChromaWay told IBTimes.
“What we are doing is modelling the workflow of selling a house. The buyers, sellers, land registry, real estate agents: they all see the same information. Only the parties involved can see the information, and need to see it,” Hjelte added.
(Source:www.reuters.com & www.ibtime.co.uk)