Sydney, Australia – Chromaway AP, the Asia Pacific distributor and reseller for Chromaway AB, the international blockchain pioneer, has announced it will work with New South Wales Land Registry Services (NSW LRS) to create a proof of concept that is set to make electronic property conveyancing (eConveyancing) cheaper, more reliable, and more secure. The blockchain-based proof of concept is due to be completed early next year. It is built on ChromaWay’s open source consortium database technology, which has been in use since 2014 in the public and private sectors around the world.
The project aligns with the NSW State Government’s commitment to transition completely to eConveyancing by 1 July 2019, and for NSW LRS to investigate new technologies that can improve the services delivered to the citizens of NSW. From 1 July 2019, all mainstream property transactions in NSW must be lodged electronically and all paper-based Certificates of Title will be cancelled. (1)
Nicholas Delaveris, strategic advisor, ChromaWay AP, said, “We are excited to work with NSW LRS on this project. The goal of the project is to provide hands-on experience with developing blockchain solutions and to let NSW LRS evaluate potential cyber security, efficiency increases, and service improvements. At the same time, through the project, LRS will gain a deeper understanding in how this emerging technology can contribute to the smoother functioning of local and national property markets.”
Blockchain technology works by using a peer-to-peer computer network to validate transactions using known algorithms. A verified transaction can involve digital currency, contracts, records, or other information, making it perfect for land registration. Once the transaction is verified, it’s combined with other transactions to create a new block of data for the distributed ledger. That new block is added to the existing blockchain in a way that is permanent and unalterable.
Using blockchain to underpin land registry can deliver significant benefits in terms of maintaining the integrity and quality of land registry. The ChromaWay technology can facilitate transactions, provide smart contracts, and record data. This offers a superior and future-proofed approach and can contribute to lower eConveyancing costs due to increased competition in the market.
Under blockchain models, the data in a registry will remain secure and immutable, while also being accessible and searchable. It will provide an incontrovertible chain of ownership. It also has potential to transform land planning and development processes with a simplified, more efficient approach that removes burdensome paper-based processes and duplicated work that is currently the norm. Furthermore, it will provide a more complete and comprehensive view of land rights, restrictions, and responsibilities, which will streamline decision-making for government and land sector actors, provide increased information transparency, and reduce data duplication.
Adam Bennett, CEO, New South Wales Land Registry Services, said, “Rapid and far-reaching technology change is impacting traditional approaches to land dealings registration and general business operations around the globe. NSW LRS is embracing this new world by conducting a series of targeted experiments with globally-recognised technology companies.
“Blockchain and distributed ledger systems are being implemented in land jurisdictions overseas where they are already delivering significant benefits. NSW LRS is therefore working with ChromaWay to investigate and test selected use cases that might be relevant to our market. By working with a well-recognised blockchain partner such as ChromaWay, NSW LRS will accelerate our learning and leverage proven approaches from implementations in Sweden, India, and other countries around the world. Obviously, any changes to NSW LRS core systems, and core and non-core services will need to be approved by the regulator/Office of the Registrar General.”
About New South Wales Land Registry Services
Australian Registry Investments is the operator of New South Wales Land Registry Services (NSW LRS), which maintains a secure, efficient, and guaranteed system of land ownership for New South Wales. From the accurate examination and lodgement of plans, through to processing changes of ownership on the Registry, NSW LRS operations underpin billions of dollars of economic activity each year.
ChromaWay has been pioneering blockchain technology since 2014. An international startup headquartered in Stockholm, and with offices in Sydney, Tel Aviv, and Washington DC, ChromaWay first gained experience with blockchain land registries when it was chosen as the technology provider for a long-term pilot organised by the Swedish land registry, Lantmäteriet. ChromaWay leveraged this experience to build a proof of concept for a decentralised and immutable system for recording land ownership in Andhra Pradesh and is working on a range of other registry and real estate projects globally.