In order to be able to map the entire house sale completely via a block chain, a large hurdle has to be overcome.
However, ChromaWay and Kairos Future are confident that the cryptosoft system will work
“It would be ideal if the cryptosoft processing of a house sale could be completely digitalized. In contrast, however, the law requires personal signatures on the papers,” explained Kempe. While trust in digital contracts is developing hesitantly, he argued that cryptosoft blockchain technology can generate the trust needed to move forward.
“Once the legislator understands that this is possible, I think it will become a reality,” says Kempe.
In this process, the EU adopted a directive in 2016 that puts more emphasis on digital signatures and could ultimately influence Swedish policy.
“Currently, the Land Registry Authority does not store much physical paper, they receive the contracts in PDF form, which are signed electronically. Our idea is that they register the contracts digitally in the blockchain in the land register, so that the land titles can be allocated and are no longer dependent on the physical archive. “
External interest of crypto trader
ChromaWay and Kairos Future say they have been contacted by more than a dozen crypto trader authorities from other countries interested in the crypto trader project.
The team explained that they do not hold patents for the platform, with the purpose of having other organizations work on similar systems, which will eventually lead to more collaboration.
The Swedish blockchain tests for land titles are perhaps the most ambitious applications of the technology in the real estate sector. But others are also working on the concept. Early last year, land registry authorities in the Eurasian nation of Georgia began working with the BitFury blockchain startup, which signed a report in February to expand testing for other government agencies.
According to ChromaWays CEO Henrik Hjelte, the blockchain could be used for developing countries to manage property and improve transparency in real estate sales.
On the other hand, the proof-of-concept tests conducted in Honduras by the end of 2015 were put to the test by a collapse in communication between the government and Factom, the company that was to conduct the audit.