Blockchain is a method of recording data — digital ledger of transactions, agreements, contracts — anything that’s needs to be independently recorded and verified as having happened. It knows who owns what at a certain time. It keeps track of transactions; it knows when a transaction took place and it ensures that there is always one single owner and no double usage of the same item or unit. Some of the characteristics of Blockchain are as follows in comparison with real world land registry.
In the world of land registry, it is common to use one source, one database with some back-up facilities whereas blockchain is a shared database, copied on multiple databases that are all connected to each other and each of these transactions can be put in each version of the database. In the real world of land registers, the transaction is updated in only one system. A copy of this transaction will be recorded in the back-up systems. Blockchain is also described as ‘shared single source of truth’ where you don’t have to trust the administrator as in land registry in real world. It is possible for anyone to keep a copy of the database and execute a transaction on that database.
In the current land registry systems, there is always a trusted third party that updates the registration. In a blockchain it is possible to create a dependency on another transaction where the fulfilment of this dependency can be monitored. In blockchain it is possible to securely keep track of the creation and modification time of a document or transaction. No one, not even the owner of the document, is able to change the (content of the) document or transaction once it has been recorded, provided that the integrity of the timestamp facility is never compromised.
To prevent any undesirable transactions taking place, blockchain can check whether the transaction is valid or not. In traditional land registry systems, the trusted third party is monitoring the validity of the transaction. The Blockchain is easily expandable (scalable). Everyone who would like to upload a transaction on the blockchain can do so. Blockchain logs all validated transactions in a sequence. It is a public register and unchangeable and therefore indisputable. In current Land Registry systems all transactions are part of a ledger and are traceable using an audit trail of some kind (validation).
By reading the comparison between Blockchain based land registration and real-world land registration above one would wonder if LandOrc is going to do land registration process via blockchain for governments. No, they are not. LandOrc works on a premise of lending platform for, mainly, land developers. For LandOrc, their purpose is not to take up this heavy challenge of converting all land documents of a country and convert them into NFTs. They will be converting the documents that are collaterals of developers who are going to seek funding through LorcFinancing into LandNFT (NFT). This method, in future, can pave way for land registration in most countries through NFTs. Many countries are already moving their land registries on blockchain networks. Examples being Vermont City in the US and Ukraine. It seems like a logical and inevitable step to use non-fungible tokens to represent real estate properties.
Through LandNFT, the transaction is recorded in blockchain. We trust the blockchain because it is a distributed ledger, its entries are immutable, and there are billions of dollars riding on that immutability. LandOrc merely holds the right to claim the ownership of the said NFT itself and the right to exclude others from claiming ownership of the NFT. In addition to that, they would have other legally binding agreement with the developers who seek funding, off-chain, through appointed SPVs [Special Purpose Vehicles] (local bodies or legal organisations of the respective countries) by LandOrc.
LorcNFT is an item that cannot be touched or held but has some level of value assigned to it. Like other personal property, it can, at least in theory, be bought, sold, gifted, bequeathed, mortgaged, used as collateral, and levied. When the developer settles his due based on the smart contract, the LorcNFTs attached to his collateral will be returned back. In case of payment default by the developers, LandOrc will have the rights over the NFT and also the property attached to it.
LandNFTs are connected and synchronized to the IPFS (Inter Planetary File System) database for storage of additional information on collateralized assets like owner information, periodic assessed valuations, GPS enabled visuals, local vicinity analysis, etc. In fact, those who are staking LORC tokens will be able to view these NFTs. LandNFT through LandOrc is indeed the working proof of future digitalization. They are having their private sale now with 3 months vesting. You can buy your LORC tokens through https://landorc.io/private-sale.html and be part of this future innovation in NFT.
Sources:
https://landorc.io/private-sale.html
https://www.elra.eu/wp-content/uploads/2017/02/10.-Jacques-Vos-Blockchain-based-Land-Registry
