Malta to register rental contracts on blockchain

Katie McDonaldKatie McDonaldJune 25, 2019
Blockchain rental contracts

Malta’s prime minister Joseph Muscat has unveiled plans to register rent contracts on blockchain as part of a suite of upcoming rental law reforms. 

The island nation’s real estate sector will get a digital makeover and say goodbye to the paper-based processes that have governed the industry as early as this year. 

“We will now be showing people the added value of this technology through applying it to something which they will use in their daily lives. Such a contract cannot be tampered with and only those authorised will be able to access it,” said Mr Muscat. 

Malta’s government is set to announce further details of the proposed rent reform in the next few days.

Under Muscat’s leadership, Malta has quickly become a hub for blockchain. 

In May the country’s Parliamentary Secretariat for the Digital Economy awarded inaugural blockchain scholarship grants to 19 students

Malta was also one of the first countries in the world to establish a national strategy based on blockchain technology, when the Maltese parliament passed three blockchain and cryptocurrency related bills into law last year. 

And in July last year Binance, one of the world’s biggest crypto exchanges, chose Malta as the home for its new Founders Bank in Malta. 

 

Building a case for blockchain

Real estate markets worldwide are exploring blockchain as a solution to numerous industry problems. 

Barclays and the Royal Bank of Scotland are among 40 companies that have tested out a blockchain-powered platform developed by Instant Property Network, which claims to streamline the process of buying and selling property. 

Earlier this month Dubai’s land department and telecoms firm Etisalat signed a memorandum of understanding regarding the implementation of real estate blockchain technology, to create digital contracts for property transactions. 

Startup business Australian Commercial Real Estate has developed a new proptech platform that it says will allow investors to use crypto to buy fractional ownership in Australian real estate.

America’s tech scene has also developed several real-estate related blockchain platforms including Propy, a global property store and decentralised title registry, which this week confirmed the sale of a US$1.6 million San Francisco property. 

Read more about Propy here

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