Tomorrow Labs is building a blockchain-based digital trading system for the residential real-estate market
Two of the largest banking groups in Finland have joined forces with technology company Tomorrow Labs to build a blockchain-based digital marketplace for the residential real-estate market. The trading system is built on R3’s Corda technology.
Currently the trading process in Finland is based on paper certificates. The government has decided to digitize it. As a result, from 2019 onwards all new ownership certificates will be created digitally and the migration from old paper-based ownership certificates will begin.
The new trading system is a permissioned and secure network between banks and government officials. Blockchain technology, specifically smart contracts, makes it easy to enforce the terms of the bill of sale. For example, we can make sure that the collateral is transferred simultaneously with the ownership, thereby eliminating a scenario in which the collateral would be transferred and the ownership wouldn’t.