How AI and Blockchain can solve problems in the property market
A large number of problems related to the lack of clear title have been encountered globally. The lack of clarity surrounding titles leads to numerous disputes, fraudulent activities and even legal battles.
To address these issues, we present the Interplanetary Title Registry (ITR). Built on innovative blockchain technology, the ITR provides a secure and immutable record of ownership transfer with a focus on privacy, scalability and data integrity.
The ITR is composed of two main components — a database and oracles. The database stores all of the title information in a decentralized and secure manner while the oracles provide additional information to create smarter records surrounding assets and ownership. This makes the system more accurate and efficient. The ITR also includes an app that makes it easy for anyone with a smartphone to participate.
What is the Interplanetary Title Registry?
The Interplanetary Title Registry is a blockchain-based platform designed to provide a secure and immutable record of ownership transfer. It is designed to provide a secure and scalable way for people to transfer title over a distributed network. The system provides an efficient and secure environment for managing title information and transferring ownership of assets.
What is a Digital Title Certificate (DTC): Immutable vs Chargeable Data Structure in the DTC?
A Digital Title Certificate (DTC) is a cryptographic representation of a title. A DTC is a digitally signed data structure that contains all the details pertaining to a title. It is a robust and immutable form of data structure, meaning that it cannot be changed. The DTC is designed to be chargeable, which means that only an authorized user can transfer the title. This ensures that the title is secure and that it is only transferred to authorized users.
DTC Composition
The structure behind Digital Title Certificates is a distributed ledger system that records the immutable and changeable data associated with a particular property. The immutable data includes the property’s location, owner, liens, tax map key, air rights, mineral rights, water rights, digital rights (for Metaverse properties), and any other elements that may be relevant. The changeable data is made up of two categories: encumbrances and descriptors.
DTC Immutable Content
Asset type
Location
Owner(s)
Rights (Air, Water, Digital etc).
Encumbrances are legal elements such as easements and liens that can affect the title holder’s ability to use the property. These encumbrances must be registered with the land registry in order for them to be legally binding. These encumbrances are often added and removed from the ledger, so it is important for them to be tracked in a reliable way.
Descriptors are pieces of information that help to describe the property. These descriptors can include details such as the size of the land, type of land, zoning, building materials, and so on. This information is important in order to understand what the property is used for and to ensure that it is properly utilized.
DTC Changeable Content
Examples
Encumbrances
Lien, right of access road, utility easement
Descriptors
3 bedroom/2 baths, 22 year old roof. 3 month old water heater
In addition to the information found in the distributed ledger system, Digital Title Certificates also contain a unique digital signature. This signature is used to prove the authenticity of the certificate, as well as to ensure that no unauthorized changes have been made to the property.
Finally, Digital Title Certificates also have the ability to be shared with multiple parties if needed. This can help to facilitate transactions between the parties and ensure that all parties involved are aware of the property’s status. This system makes it much easier for parties to securely and reliably transfer ownership of a property.
Overall, Digital Title Certificates provide an effective and efficient way to protect the ownership of property. By recording all of the relevant information on a distributed ledger system, and providing a secure digital signature, these certificates provide a secure and reliable way to transfer ownership and to ensure that all parties involved are aware of the current status of the property.
Ownership Changes
Ownership is a critical part of any property transaction, and it is especially important when dealing with immovable property such as land and mineral rights. When ownership changes, it is essential to record the change for future reference. The Digital Title Certificate (DTC) is the perfect way to do this.
A DTC is a digital record of an immutable property and all its elements, including ownership. Whenever ownership changes, the DTC is updated to reflect the new owner. This change is then publicized and recorded on the blockchain, where it can be accessed by anyone.
For example, if a mineral right is sold from Company A to Company B, the change of ownership will be published and recorded on the blockchain. Company B will receive a DTC that includes all the immutable and changeable elements of the property, including the new owner. This is a secure and efficient way to ensure that everybody is aware of the ownership change.
Another advantage of using the DTC for ownership changes is that it allows for a greater degree of transparency. Everyone who has access to the DTC can view the change of ownership in real time. This allows for better tracking and management of the property, as well as improved security.
In conclusion, the DTC is an efficient and secure way to handle ownership changes. It ensures that everyone is aware of the change, while also providing a greater level of transparency. This makes it easier to track and manage the property, as well as to ensure that the ownership change is properly documented.
Title insurance
Title insurance is an important consideration when it comes to real estate transactions, and it is something that should not be overlooked. Title insurance is designed to protect the buyer and/or lender from any potential claims that may arise from multiple ownership claims against a property. This is usually done through a title search, to determine if there are any outstanding claims.
While the use of Digital Title Certificates (DTCs) may eventually eliminate the need for title insurance, it is not the case today. In fact, many lenders and buyers still require title insurance even when using DTCs. This is because they want the extra security that title insurance provides.
In countries where title insurance and clear title are not yet available, DTCs and smart contracts can provide an immediate solution to title disputes. This is especially beneficial to countries where corruption is a problem, as these technologies can help to avoid the potential for manipulation.
The setup of DTCs and smart contracts on a country by country basis does require a significant amount of legal work and smart contract development. But the long-term savings by reducing litigation and disputes outweigh the initial costs.
In conclusion, title insurance is still an important consideration for any real estate transaction, and should not be overlooked. Even when using DTCs, many lenders and buyers still insist that title insurance be obtained. The use of DTCs and smart contracts in countries where title insurance and clear title are not yet available is an important step forward in helping to avoid potential disputes and litigation.
