Blockchain technology has not yet turned out to be a game changer in the field of real estate investment and operations in the international market. Despite all the hype of the distributed ledger being accepted in all the domain the real estate market seems far from what is projected. However, the experts still believe that the technology is still evolving and has a much more to offer in the upcoming years.
McKinsey & Company financial services practice partner, Matthew Higginson, stated that blockchain continues to be an immature technology as of now. He further added that the code of behavior seen today and is certainly not what will be seen after a period of two or three years from now. Even in its experimental phase blockchain continues to get rapidly adopted in the business. Market leaders of various domains are looking forward towards blockchain based application and their proofs of concept which can be used in the commercial phase. (Via Urban Land)
Advantages Of Blockchain In Real Estate Sector
Real estate investment can receive a wide range of benefits from a blockchain powered system due to its impeccable in-built features. It not just offers a record-keeping database but makes it immutable for anyone to alter the entries done. However, participants can make changes after verifying their identities. Essentially, everyone who is a participant of this blockchain network receives a copy of the database which can be unlocked by making use of crypto keys.
The blockchain is far better from both analog and digital recordkeeping. This system can maintain property records and the history of the property’s ownership. It can help in establishing a single point of the source which can authenticate property information at one go.
There are companies that are already dealing with real estate investment though blockchain platform. An asset-management company Elevated Returns has recently sold $18 million in securitized tokens which is a representation of ownership stakes in the firm’s St. Regis resort in Aspen, Colorado, according to Commercial Observer.[The views and opinions expressed in this article are those of the authors and do not necessarily reflect the views and/or the official policy of the website. ]