Barclays and RBS Join Blockchain Trial in Real EstateBy Apr 08, 2019 1 Min Read
Bloomberg reported that 40 companies including two major UK banks – Barclays and Royal Bank of Scotland (RBS) had joined the trial in Instant Property Network (IPN)– a startup using the blockchain R3 platform. IPN claimed that such technology could lead to massive time savings in property purchase, and resulted in a saving of $160 billion annually.
IPN said that the current approach involved in property transaction is “complex, slow, and inefficient”, as there are at least eight parties sharing documents and databases in each transaction, which the process is prone to errors and thus lead to delay in transactions.
Barclay thinks the prospect of blockchain application in real estate is promising. John Stecher, head of the group innovation office at Barclays in New York said: “When a person wants to purchase a house, the process encompasses a whole host of different interaction with different businesses and governmental entities that can be uncomfortable and drawn out”.
Dan Salmons, Director for mortgage innovation at RBS also noted “We are near the end of the hype cycle and have not found a great consumer solution for distributed ledger technology until now”. He added “Property is an industry that is ripe for this, where a complex difficult process for customers could be made cheaper and more transparent.”