Among the many speculated areas where the Blockchain can be implemented, applying it to real estate transactions is one of the most recent achievements as Ubitquity records its first property ownership transfer on the Blockchain public ledger.
The purchase transaction performed by Marina Reznik of Atlantic Sotheby’s International Realty goes down as the first Blockchain real estate transfer. This was completed using the Colu Coloured Coins protocol.
Since the creation of Bitcoin and its associated technology, the Blockchain, acceptance by governments and societies has been one of the key aspects which has created a lot of debate and concern. Several achievements have been recorded by individuals and organisations within the Bitcoin ecosystem. Yet, due to reasons such as the struggle for control and probably the lack of trust in both the cryptocurrency and the Blockchain, there remains a reasonable level of reluctance from governments in fully embracing the technology.
This position of government was confirmed by Christian Saucier who is the CTO of Ubitquity, while speaking to CoinIdol.
“The government doesn't have any official position at this time. We expect this to take a long time. Of course, with regards to real estate, we are talking about multiple "governments" since most of the official records are held in county offices.” Says Saucier.”
Another factor that may be of concern to the Real Estate community is the security of information on the public ledger, especially with the troubles of an Ethereum based system, the DAO, in recent times.
Saucier exorcised those security fears by explaining that the specific reason that Ubitquity decided to use the Bitcoin Blockchain is for security purposes. However, he maintains the opinion that Ethereum will have an important part to play in the future of Blockchain technology.
“The DAO was an ambitious project built on a platform (Ethereum) that is still under development. We believe that Ethereum will have an important part to play in the future of blockchain technology. However, one of the main reasons why we decided to use the bitcoin blockchain is specifically for security purposes. The Bitcoin blockchain is a much simpler system than Ethereum, it is secured by much more mining hashing power, and it has been running in production for many years.”
Having recorded its initial successful transaction, the next step for the company is to sell this idea to the larger community and find ways of introducing it fully into the real estate market. In line with that, Saucier tells CoinIdol.com that his company has already started product evangelism.
He says that Ubitquity is approaching the market from multiple angles.
“We are talking with county offices, builders, real estate agents, financing companies, and title insurance companies.”
Saucier is of the opinion that the popularity of the system will grow as users get on board and demonstrate value, particularly at a local level.
Also, he insists that trying to tackle title records at the national level is bound to fail even as he identifies some very exciting opportunities in non-US markets, particularly in countries where title recording is not as reliable or with various cities that are looking at modernizing their records-keeping infrastructure.