After Satoshi Nakamoto’s whitepaper, the first use case of the blockchain was, of course, Bitcoin. Implicit in this use case, however, was the fact that the blockchain has always been an excellent place to store any sort of information in an immutable fashion. With this in mind, numerous possibilities abound as to what sorts of data could be stored on the blockchain?
Think beyond monetary data. What presents itself first in that case? In a general sense, the answer is anything that can be “tokenized.” Though Deloitte and many other companies make this out to be something beyond the blockchain’s basic use cases, it really isn’t. Tokenizing an asset means representing it as a crypto token on a blockchain, which is a process that begins with recording it on a blockchain. Once this is done, people who want to purchase this asset or pieces of it can easily do so and have their ownership verified by the record on the blockchain in question.
Because all of this can be done without any intermediary, the process of acquiring a particular asset has never been simpler. With that in mind, it’s easy to imagine all of the industries that will change as a result. What about the real estate industry, for example?
As Cointelegraph and many others have noted, shifting the way we prove the ownership of a certain area of land is one of several ways that such a change will likely take place. If land is put on the blockchain, then theoretically, anyone will be able to invest in it. In addition to this, governments would likely be able to cut waste related to land registries on a monumental scale.
Judging by Cointelegraph’s report on the subject, however, most of the projects that have attempted to start blockchain land registries have failed to get past the pilot stage. This has likely happened because of the bureaucracy in existing government systems. In other words, paper-based government agencies typically need to give the go-ahead to such projects. Short of suggesting a complete government overhaul in this respect, perhaps a new, more agile agency will need to be created. Until that or something similar happens, it is reasonable to expect that no blockchain land registries will scale.
By: BGN Editorial Staff