The Intersection of Blockchain and Real Estate: Opportunities, Challenges, and Future Prospects
Arvind Singh Panwar, Urvashi Sugandh, Neha Sharma, Jyoti Agarwal, Achin Jain · 2024
Blockchain technology is approaching the real estate market, and this turn of events is expected to be radical for the industry. This paper explores potential benefits, challenges, and visions of the future for the association between blockchain technology and real estate. The research starts by overviewing blockchain technology itself, its most critical features, and its practical application in many spheres. After this, the current state of the real estate market is analyzed. This investigation points to continuing difficulties and leftovers in terms of transactions and management, including low levels of trust and openness and the high costs associated with mediators. Finally, the research paper provides a list of potential applications of blockchain technology in the real estate industry. Some of the most remarkable examples are tokenization of possessions, extensive opportunity for ownership, applying smart contracts for automation of transactions, and ownership verification using blockchain. These technologies could increasingly alleviate the necessity for mediators and, as a result, boost morale and confidence among the stakeholders and become more transparent and efficient. Nevertheless, the paper also identifies factors and barriers that would hamper the spread of blockchain in real estate. Some of them are regulatory barriers and legal aspects, technical limitations, and shrug from properties and existing businesses. In the last part of the investigation, the paper outlines potential effects of blockchain on real estate over the next years. Some of them include formation of new business models, projected expansion and adoption, and implications of real estate investment and ownership. In conclusion, research provides a beneficial investigation and some recommendations for real estate market participants facing the same pros and cons of adopting blockchain technology.