By Danyil Poliakov
Over the past decade, technological innovation speed has broken any limits we could imagine before. Fresh advancements now emerge monthly, and sometimes even weekly. Breakthroughs in generative AI represent just one illustration of this rapid progress.
We can expect even more revolutionary technologies in the near future, each iteration arriving faster, cheaper, and more efficient than the last.
Despite these amazing developments, day-to-day business, still grapples with outdated legacy systems and inflexible legislation. These challenges faced by citizens, particularly in government and public institutions, are often the consequence of stifled innovation and hence a result of the slow adoption of transformative technologies.
Let us take a tangible example, and a situation most citizens come across at least one time in their lives : Land Ownership
Land ownership underpins capitalism by supporting economic stability and wealth creation. However, many current land title systems rely on outdated, paper-based processes that struggle to keep pace with modern demands.
These systems are often vulnerable to human error and bureaucratic delays, leading to inaccuracies or incomplete records. Such flaws frequently spark disputes over property ownership, fuelling mistrust among stakeholders.
The lack of transparency in traditional systems can also enable fraud and corruption, undermining the integrity of property transactions. In addition, cumbersome procedures for transferring titles create administrative overheads, slowing deals and stifling economic growth.
We can now consider a possible solution to alleviate most of the complexities, decrease costs, and increase trust among stakeholders.
Blockchain technology.
Blockchain technology records every transaction on a transparent, immutable ledger, making it nearly impossible to alter data. This robust security has strengthened user trust and paved the way for programmable assets. Smart contracts execute automatically when predefined conditions are met. As a result, these innovations foster a more liquid and efficient market, where assets move quickly and seamlessly. This dynamic shift fundamentally changes how value is stored and exchanged.
Shifting Malta’s land registry onto a blockchain-based system would link property ownership with the wider ecosystem. This integration creates abundant opportunities for citizens and investors.
Storing titles and transactions on a decentralised ledger enables simpler access to the system itself, making external integrations, or even communication across Government Departments and various stakeholders more robust and secure.
As a result, real estate becomes more liquid and widely accessible – all the actors within this sphere benefit, the landowner, the buyer, the notary, the financial institution offering financing, Government agencies, Tax departments, architects and even real estate agents.
Blockchain’s inherent security, immutability, and transparency also reduce fraud and disputes, boosting stakeholder trust in property records. Ultimately, this innovative system places a State at the vanguard of the new economy, empowering users with a more connected and efficient real estate market.
A blueprint for blockchain-based land registries already exists. In the Republic of Georgia the current DLT-based land registry shows how digitised titles and transparent transactions are yielding a more trustworthy real estate system.
Building on such achievements other countries can leverage to quickly adopt and expand a similar initiative. This is especially true if the country is small and agile in its approach. This approach may even help to leapfrog more cumbersome bureaucracies elsewhere.
If Malta embraces this innovation now, the country can lead a new era of efficiency, security, and inclusivity for property ownership – a move that will further entrench the nation as a forward-thinking hub of the modern economy.
Launching a DLT-based land registry can be a perfect first step in the process of digitalization that we mentioned before in our article published on March 30th and become a stepping stone towards a more robust and efficient system of governance.
Once all land titles are stored in an immutable ledger, a perfect next step would include integration with other digital services and moving most of the related processes into a new era of a programmable economy that negates the human factor and eliminates any existing friction.
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