Dutch banking major ABN Amro has collaborated with tech giant IBM to roll out a pilot project to explore how its blockchain application can be used for real estate transactions record and exchange information.
Dubbed Torch, the pilot will be accessible by various party involved in real estate transaction such as buyers, sellers, tenants, landlords, appraisers, notaries, banks, the Land Registry Office, the Chamber of Commerce and regulators.
In blockchain pilot, commercial real estate customers financed by ABN AMRO are given the opportunity to enter their lease contracts for properties in the Torch app. The contract can then be validated by client’s relationship manager.
ABN Amro said: “If the property needs to be valued, the bank employee uses Torch to send the necessary details directly to an appraiser. When the valuation report is finished, the appraiser shares it with the bank and the client. Torch also unlocks additional information from the Land Registry Office and the Chamber of Commerce.
“The potential of blockchain lies in the fact that trust is built into the technology’s design. In addition, it makes transactions programmable by means of so-called smart contracts.”