The Australian NSW LRS (New South Wales Land Registry Services) has announced that it will be carrying out a property conveyance project using blockchain technology. This is yet another government project that is looking to use the disruptive technology of the blockchain in search of a better solution to manage key areas of the country’s economy.
NSW LRS will be partnering with ChromaWay, a blockchain technology company that has been in operation since 2014. The company specializes in the creation of decentralized apps named Chromapolis. Applications designed by ChromaWay are used within the public and private sectors and use its platform to support finance and real estate establishments.
ChromaWay proudly made the announcement of its new-found partnership with NSW LRS on Twitter on October 16th.
The Project Is Already in The Testing Phase
According to the source report made by The Australian Financial Review a day before ChromaWay’s Twitter announcement, proof-of-concept is already underway.
ChromaWay has offered similar services in Sweden, which is where the blockchain start-up originates from. Their service came to light in 2014 when the company began forming a working relationship with the Swedish Land Registry.
Another prestigious client to add to their bustling list of international government-based clients is the Indian government. ChromaWay has been working hard with the Indian state of Andhra Pradesh to create land ownership apps that prevent fraudulent claims and purchases of land in the region.
Australian clearly sees the benefits of using such a system in which it will serve as the keeper of land rights records. NSW LRS CEO, Adam Bennett, has said that for the time being there is no definite deployment date, but the NSW LRS is currently in the testing phase to figure out how this new tech will work best for the organization.
Statement by ChromaWay Makes Their Intentions Very Clear
The company stated, in line with their white paper and mission, that using their blockchain platform to keep track of land rights will create an “incontrovertible chain of ownership.”
In other words, once the land ownership has been registered in the ChromaWay blockchain platform, much like the ownership of digital assets and cryptocurrencies, the true owner of the land will be irreversible unless a smart contract is formed, and ownership is transferred. This means that any government using the system will never suffer from loss of data or records because it will all be stored on the ChromaWay platform using blockchain technology.
This is a truly innovative new approach to the way government organizations can deal with property conveyance.
ChromaWay divulged further saying that its development processes offer a simplified way to transform land planning. With its much more efficient approach using disruptive tech to digitalize record keeping there will be no more paperwork, which removes the problem of duplicate paperwork entirely and thus fraudulent land claims will be wiped out.
Australia’s Failure to Find a Definitive Land Ordinance Solution
On the Australian government website for the state of New South Wales (NSW), it states the Land Registry Service (LRS) is “currently converting Old System parcels to the Torrens system.” This was part of a new plan by the NSW LRS to convert the entire land registry to a digitalized system. The idea behind the move is to replace all paper certificates of title, which will eventually be canceled, in favor of the digital system’s version of these titles.
Currently, the system being used is the Property Exchange Australia (PEXA). However, since it has been in operation, there have been a number of issues including that of a $250,000 fraud when hackers stole the amount from a lady that was in the middle of settling her house.
Even though the concept of digitalizing the system is a great idea just because the old Torrens system is 150-years-old and digital technology is the obvious solution in today’s digital era, the PEXA is not the answer and has only served as a stepping stone to digitalization.
Meanwhile, ChromaWay is a company with a proven track record with land ordinance in its home country as well as in India. Compared to the current off-chain PEXA system, ChromaWay says that it will give the NSW LRS greater security, increased transparency, as well as reduce the chances of duplication.