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Originally developed in finance, blockchain is a technological innovation filled with promise that arouses the interest of many players in various sectors.And especially the construction industry! Focus on the blockchain in the sector of construction.
Blockchain is a technology that stores and secures the transmission of information in blocks, between the different members of a network: 1.The “customer” performs his transaction, 2.The transactions are collected and stored in a block, 3.Each block is validated through decentralized links in the chain using cryptographic algorithms, 4.Then it is dated and added to the blockchain, accessible to all users (or even everyone, in the case of public blockchains), 5.The “supplier” receives the transaction from the “client”.
This technology was used in the beginning to manage cryptocurrencies, but it is developing in other sectors: insurance, banking, supply chain, energy, health but also construction and real estate.What are the advantages of blockchain for the construction sector?
Blockchain is a new transaction validation mechanism that should simplify many of the steps in acquiring a building.A blockchain is unfalsifiable.As a result, the risk of transaction fraud is reduced, and fewer control and expertise operations are carried out.It is for example possible to consult the history of a transaction at any time and to know with certainty who the current owner of a property is.
The construction and maintenance of a building require good coordination of the various actors and require a multitude of data.Thanks to smart contracts, the blockchain allows automatic ordering and delivery of a product, once the life of a component has expired.
In general, tracing the contributions and interactions of each stakeholder within a building would not only allow significant savings on maintenance and litigation, but also the construction of new services from this data.
These advantages have already won over several governments, which are entering into partnerships with start-ups in order to transfer their cadastral registers to a blockchain register.This is particularly the case in Georgia, where the authorities are working in collaboration with the start-up ‘Bitfury’ to host their property titles, notarial services, loans, etc.
on the blockchain.Similar projects have been launched in countries such as Sweden, Honduras or the United Kingdom.
Legal questions obviously do not fail to arise due to the opacity of blockchains and the impossibility of modifying them.How can the courts read smart contracts and identify all the parties involved? The legislator has not yet looked into the legal shortcomings of the revolution that this new technology will bring about.
By building on the blockchain, the real estate sector could gain flexibility, transparency and fairness.Blockchain applied to real estate transactions:
Blockchain is starting to develop in the real estate sector.
With more than 800,000 annual transactions, real estate represents one-tenth of France’s GDP.It’s a very tight market, which doesn’t always have the flexibility you would like.
That said, it has known, since the 2000s and the advent of the Internet, many innovations that are now used by French Proptech :
– virtual tours,.
