India’s land ownership system is apparently fraught with fraud — so one state is exploring the application of blockchain technology to make it more transparent.
The government of Andhra Pradesh has partnered with Swedish start-up ChromaWay to build its blockchain-based solution.
Distributed ledger technology allows data to be stored in vast groupings, which are encrypted and tamper-proof. It is maintained across a network of computers around the world and has no central authority to oversee it.
“The current system is rife with corruption,” J. A. Chowdary, special chief secretary & IT advisor to the chief minister of Andhra Pradesh, told CNBC in an email Sunday.
It is estimated that $700 million is being paid in bribes at land registrars across India, Chowdary said.
“Fraud is rampant and disputes over titles often end up in court. Matters related to land and property make up about two-thirds of all civil cases in the country.”
ChromaWay has already piloted a blockchain project in Sweden focused on the process of buying and selling real-estate. This time it wants to combine the features of a traditional land registry database with that of blockchain technology.