New Blockchain-Based Real Estate Business to Launch in Japan, Thanks to Sumitomo and bitFlyer
- The real estate industry is starting to increase interest in the use of blockchain technology.
- A new partnership between a Japanese business giant and a crypto exchange will make it possible to handle rental transactions from a smartphone.
Blockchain technology is one of the most innovative solutions to come from cryptocurrency, and the traditional banking industry has begun to examine the use of this ledger as well. However, the complications involved with the real estate industry has been working to minimize their complicated paper processes by introducing this immutable ledger technology.
The most recent change in this industry involves a collaboration between Sumitomo Corporation and bitFlyer, who will be working to launch a blockchain real estate business.
The bitFlyer Blockchain will be creating an umbrella platform that is focused on renting real estate, which will involve smart contracts. Yuzo Kano, the managing director of the bitFlyer Blockchain, stated that he hoped the project would allow anyone involved with a rental property to handle all of the data on a smartphone.
Speaking with CNET Japan, Kano stated, “It can greatly simplify the real estate rental contracts process, and the intermediary company can also reduce its significant administrative costs.”
According to the publication, while the full rollout of the project isn’t expected until 2020, the prototype should be ready before the end of 2019.
This announcement comes around the same time that the real estate industry begins to gain more attention with the use of blockchain technology. Malta, for example, recently stated that all of their real estate rentals would be logged on the blockchain, and the idea of tokenizing this industry is also gaining traction.
This development is also a major milestone for bitFlyer Blockchain, entering a new market with their exchange operation. This month, the company only just started accepting new accounts, following a year-long holdup over their compliance with regulations governing the exchange.