A new global exchange crypto platform means UK property can now be bought and sold with Bitcoin.
Crypto is the new Klondyke, Bitcoin a new type of currency and the blockchain a new type of mint… all of which are probably the future of money.
This attitude has been reinforced now that blockchain applications company TrustMe has created a peer-to-peer platform and UK property can become a globally tradable asset.
The company says it is ‘revolutionising the global real estate market’ by allowing the fractional trading of individual properties using ‘asset-backed certificates’ on linked and Bitcoin-denominated global property exchanges.
TrustMe’s Whitepaper allows homeowners to trade shares (‘property certificates’) in their property on an open market as a new type of tradeable asset-class. Clients on the property exchanges will be able to purchase up to 49% of the value of a property or residential home with Bitcoin or fiat currency, while the 51% owner-occupier continues to live in and manage the property.
The first crypto exchange will be rolled-out in London in October, with parallel TrustMe Property Exchanges launching shortly in Toronto and New York. The company will announce other cities over the next three months and will establish regulatory compliance in each region it operates in.
London is the first choice for the location of the initial exchange as it has a buoyant £2 trillion property market and well-established property laws, rights and processes. TrustMe wants to ‘democratise’ ownership by removing the capital threshold that had previously restricted the owning of property to a privileged few.
“The London property market has long been prohibitively expensive and needs to be democratised. Our Property Exchanges will allow existing homeowners to unlock the value of their own house or properties and to use these assets as a form of stored liquid wealth, similar to a 30-90 day bank account, by trading as much or as little of their asset as they wish in an efficient, transparent and auditable manner,” said Antony Abell, Co-Founder & Managing Director of TrustMe.
A blockchain is a data structure that makes it possible to create a permanent digital public ledger of transactions and to share it among a distributed network of computers. It uses cryptography to allow each participant on the network to add to a record on the ledger in a secure way without the need for a central authority.
Once a block of data is recorded on the blockchain ledger, it’s extremely difficult to ever change it or to remove it. When someone wants to add to a record, participants in the network run algorithms to evaluate and verify the proposed transaction.
If a majority of nodes agree that the transaction looks valid (that is, identifying information, timing, location etc… matches the blockchain’s history) then the new transaction will be approved and a new block added to the chain.
For those with access it provides a permanent and secure record of ownership of all registered items for all parties who use it and it can provide automated systems to remove significant cost overheads in physical and transactional distribution systems.