In a survey published in 2017, the World Bank found that fewer than 30% of lands are subject to legal claims. One-third of the nations do not digitally track their property ownership. This is an issue because it makes the market more unpredictable and abrasive, which puts pressure on the legal system and other government resources.
There is a danger that these documents will be lost in the event of a natural disaster, as was the case in Haiti in 2010 following the terrible earthquake that left 1.5 million people homeless and destroyed 60 years’ worth of government data.
Despite the nation’s constant efforts to be rebuilt, thousands of plots had owners who could not be located or whose ownership was disputed. These problems have not yet been resolved.
Even if such a catastrophe never happens, land register systems often aren’t very good, especially in developing countries.
It takes a very long time to register land and even to investigate ownership claims. The administration occasionally needs to dig back through several years’ worth of records and documentation, some of which might even have been hand produced. Due of this, the procedure is incredibly ineffective.
The livelihoods of those in society who are most vulnerable are threatened by this kind of issue.
The basis for constructing resilient contemporary economies is ensuring property rights and a reliable land registration system.
Land titles still rely on paper records, which make them susceptible to theft, fraud, and poor management. In addition, a number of drawn-out and expensive legal processes are necessary for property transfers and permissions, which can prevent land from being used productively.
With blockchain, real digital assets can be used in place of outmoded paper deeds, and modifications are tracked on an immutable ledger that serves as a safe shared source of truth for papers between various individuals and organizations. Through the increased accessibility of transaction and property ownership records made possible by Ethereum, market transactions, investor confidence, financial inclusion, and community economic and social growth are all facilitated. Banks and business players have a fully operational blockchain-based digital land register platform, as does Sweden’s land registry authority.