Page 26 - bne magazine March 2017 issue

26 I Companies & Markets bne March 2017
project will allow Georgian citizens to transfer ownership on the Blockchain, sell property and more. One of the goals of this next phase is to make the process of registering land titles fully operational, so Georgian citizens can use their smartphones for each step of the land titling system.
“Of the 7.3bn people in the world, only 2bn have a title that is legal and effective and public regarding their control over an asset”
Tea Tsulukiani, Georgia’s justice minister, said that his ministry will be able to work with Blockchain technology from this summer to place real estate extracts in a totally safe and innovative system.
“The Bitfury Group is moving full speed ahead with the innovative government of Georgia to advance the creation of blockchain technology pilot projects, including our
blockchain land-titling project with the National Agency
of Public Registry,” said Valery Vavilov, CEO of The Bitfury Group, adding that the land-titling project is just the first
of many creative solutions projects that his company is “developing in concert with the Republic of Georgia and the Blockchain Trust Accelerator to better serve its citizens.”
Applying Blockchain technology to help citizens
title their property is about far more than just mak- ing it easier for people to buy and sell homes. If such systems were introduced worldwide, the renowned economist Hernando de Soto predicts they would help bring $20 trillion of what he calls “dead capital” into the world economy and lift millions out of poverty.
“Of the 7.3bn people in the world, only 2bn have a title that is legal and effective and public regarding their control over an asset,” explained de Soto. “Things are owned, but when they’re not adequately documented or recorded, they cannot fill the functions of creating capital and credit.”
“I have dedicated my life to improving access to capi- tal, and our work in the Republic of Georgia is the first in a series of many important steps to bringing corrup- tion-proof digital systems to all,” de Soto said.
Blockchain Registry: How Does It Work?
Citizen initiates his request via service hall or mobile application
The frontend part may say the same as in existing software – no confusing changes for the citizen
The backend side calls blockchain API and gets
a verification response
Blockchain executes contracts specific to requested action
Public blockchain stores system snapshot hashes to prevent possible collusion
Operation results along with its history is always available and cryptographically proved
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