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Tech To Revolutionise Malta’s Property Market And Combat Fraud Is Ready To Go

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Readymade technology exists which could herald a new era of transparency and combat fraud in Malta’s property market; all notaries need to do is reach out and grab it.

In October 2017, tech company Ledger Projects launched LP01, which was widely hailed as “the first Maltese blockchain app”.

Economy Minister Silvio Schembri (back then parliamentary secretary for the digital economy) hailed the technology as proof that Malta is moving fast in adopting blockchain technology and said the government intends to make use of such technology to improve efficiency within the public sector.

However, Ledger Projects CEO David Schranz confirmed with Lovin Malta that the government has yet to commit itself to make use of the technology.

He explained that the technology has the potential to revolutionise Malta’s property market, allowing people to view the average cost per square metre of different types of property by locality.

Buyers will therefore be able to know as a fact whether the house they’re eyeing is a bargain or not and investors will be able to spot market movements before deciding where to put their money.

The tech will inform buyers of the history of the property they’re looking at, allowing them to know if, for example, its previous owner had failed to acquire a certain permit due to issues with local plans or if its airspace had already been purchased. 

It will also easily inform people of any planning applications or permits on nearby land, therefore avoiding frustrating situations such as buying an apartment for the sea view without realising that a block of apartments will soon be built right in front of your window.

Homeowners will also be notified whenever planning permits are applied for and approved in their neighbourhood, giving them a chance to inquire further and perhaps lodge a formal complaint.

This kind of transparency could also tackle notarial fraud, in cases whereby a notary would accept taxes from a property vendor and buyer but not pass the money on to the Tax Department.

It could also clamp down on people falsifying notaries’ signatures on purchase deeds.

Notaries will be given access to an internal system, whereby they will be able to monitor which notaries oversaw which contracts, with the names of the purchaser and vendor kept confidential.

Therefore, if a property owner tries to sign the second promise of sale for the same property, it will be immediately flagged.

All the information LP01 makes use of is already accessible to the public, but the technology will make it much easier for people to access.  And the fact that this technology is blockchain-based means the information will be secure, immutable and distributable among interested parties. 

“The system is built and we presented it to the government a few years ago,” Schranz said. “The government can start accessing it if it wants to.”

Lovin Malta has reached out to Silvio Schembri to confirm whether the government intends to deploy this technology but is yet to receive a response.

The full Ledger Projects proposal can be found here:

Should the Maltese government adopt this technology?

READ NEXT: Maltese Can Now Be Used In Chat Boxes As University Launches New AI Research 

Tim is interested in the rapid evolution of human society and is passionate about justice, human rights and cutting-edge political debates. You can follow him on Instagram or Twitter/X at @timdiacono or reach out to him at [email protected]

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