{"id":1658,"date":"2021-09-02T10:00:11","date_gmt":"2021-09-02T14:00:11","guid":{"rendered":"https:\/\/www.deeds.com\/articles\/?p=1658"},"modified":"2024-04-25T23:19:27","modified_gmt":"2024-04-26T03:19:27","slug":"start-spreading-the-news-blockchain-deed-recording-comes-to-new-york-city","status":"publish","type":"post","link":"https:\/\/www.deeds.com\/articles\/start-spreading-the-news-blockchain-deed-recording-comes-to-new-york-city\/","title":{"rendered":"Start Spreading the News: Blockchain Deed Recording Comes to New York City"},"content":{"rendered":"\n<div class=\"wp-block-image\"><figure class=\"aligncenter is-resized\"><img loading=\"lazy\" decoding=\"async\" src=\"https:\/\/www.deeds.com\/articles\/wp-content\/uploads\/2021\/09\/blockchain-deed-recording-comes-to-new-york-1024x341.jpg\" alt=\"\" class=\"wp-image-1659\" width=\"1024\" height=\"341\" srcset=\"https:\/\/www.deeds.com\/articles\/wp-content\/uploads\/2021\/09\/blockchain-deed-recording-comes-to-new-york-1024x341.jpg 1024w, https:\/\/www.deeds.com\/articles\/wp-content\/uploads\/2021\/09\/blockchain-deed-recording-comes-to-new-york-300x100.jpg 300w, https:\/\/www.deeds.com\/articles\/wp-content\/uploads\/2021\/09\/blockchain-deed-recording-comes-to-new-york-768x256.jpg 768w, https:\/\/www.deeds.com\/articles\/wp-content\/uploads\/2021\/09\/blockchain-deed-recording-comes-to-new-york.jpg 1092w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\" \/><\/figure><\/div>\n\n\n\n<p>New York City\u2019s Department of Finance is trying out\nblockchain. Can the technology make recording and keeping deeds a better\nprocess? The test run, handled by Medici Land Governance (MLG), will find out\nwhether the method will work in a massive city, the company <a href=\"https:\/\/www.businesswire.com\/news\/home\/20210805005780\/en\/\" target=\"_blank\" rel=\"noreferrer noopener\">stated<\/a>\nin August 2021. MLG is owned by <em>Overstock.com <\/em>\u2014 an early adopter of blockchain\nin the retail sphere. Its blockchain recording system is proven to be tamper-resistant\nand easily searched.<\/p>\n\n\n\n<!--more-->\n\n\n\n<h2 class=\"wp-block-heading\"><strong>The Pain Points of Titles and Deeds<\/strong><\/h2>\n\n\n\n<p>There is no consistent title examination process across the\ncountry, but a title search usually entails researching multiple data systems \u2014\nand not necessarily finding everything. Errors, lapses and fraud are big issues\nfor city and county registries wherever property changes hands. <\/p>\n\n\n\n<p>Title companies exist to sift through the document history\nand confirm who really owns the asset and is in a position to convey it. Then,\nthe companies insure the findings. Lenders require title examinations and <a href=\"https:\/\/www.deeds.com\/articles\/real-estate-title-insurance-a-brief-explanation\/\">title\ninsurance<\/a> to make sure they are actually lending to the person with valid,\nunclouded ownership rights. In addition to the insurance that protects the\nlending bank, many homebuyers also purchase <a href=\"https:\/\/www.deeds.com\/articles\/home-buyers-cover-your-assets-choosing-between-standard-and-extended-title-insurance\/\">owner\u2019s\ntitle insurance<\/a>. <\/p>\n\n\n\n<p>All of this takes substantial time. And the title search\nalone can cost hundreds of dollars in New York City.<\/p>\n\n\n\n<p>A blockchain system could offer major improvements to\ntraditional searches. If a blockchain system turns out to be successful in New\nYork City, it could turn out to be the country\u2019s watershed use case.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>The New Project Will Be Informed by Past Success<\/strong><\/h2>\n\n\n\n<p><a rel=\"noreferrer noopener\" aria-label=\" (opens in a new tab)\" href=\"https:\/\/www.millionacres.com\/market\/new-york\/new-york-city\/\" target=\"_blank\">New York City<\/a> residents e-record their real estate documents with the Division of Land Records through the <a href=\"https:\/\/www1.nyc.gov\/site\/finance\/taxes\/acris.page\" target=\"_blank\" rel=\"noreferrer noopener\" aria-label=\" (opens in a new tab)\">Automated City Register Information System<\/a> (ACRIS). That system will continue to serve as the main data source for real estate records as the blockchain test takes place. <\/p>\n\n\n\n<p>In the test, blockchain will record 500,000 documents to\nstart, with this part of the data only accessible to the NYC Department of\nFinance during a verification testing phase. <\/p>\n\n\n\n<p>The whole project will be informed by a smaller success MLG had\nwith deed records in <a href=\"https:\/\/www.globenewswire.com\/news-release\/2019\/06\/17\/1869648\/0\/en\/Medici-Land-Governance-Makes-Teton-County-Wyoming-the-First-County-in-the-USA-with-Blockchain-Registered-Land.html\" target=\"_blank\" rel=\"noreferrer noopener\">Teton County, Wyoming<\/a> (population: 23,464). Teton\nCounty&nbsp;is now hailed as the first U.S county&nbsp;to record deeds, mortgages,\nand other real estate instruments on the blockchain, assuring the clarity of\nchains of title.<\/p>\n\n\n\n<p>Dr. Ali El Husseini, the MLG\u2019s CEO, described that project\nas supplying a tamper-proof and transparent recording system \u201cfor title holders\nin any property transaction in Teton County.\u201d <\/p>\n\n\n\n<p>MLG also has a similar pilot project underway, which it\nkicked off in 2020, in <a href=\"https:\/\/www.businesswire.com\/news\/home\/20200413005490\/en\/Medici-Land-Governance-to-Develop-Blockchain-Based-Land-Records-and-Information-Platform-in-Carbon-County-Wyoming\" target=\"_blank\" rel=\"noreferrer noopener\">Carbon County, Wyoming<\/a> (population: 14,800). <\/p>\n\n\n\n<p>New York City, of course, is another story entirely \u2014 with 8.3\nmillion residents and some 40,000 annual deed recordings.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>What\u2019s Next for New York City Deed Records?<\/strong><\/h2>\n\n\n\n<p>After the New York City project constructs a ledger from a half-million entries, the Division of Land Records will continue to build it out with new recordings. The hope is that a successful new system could reduce insurance costs for homeowners, and speed up the time to closing on sales. The blockchain could keep one, comprehensive repository of information that is easily examined and continually verified. Human error, lost instruments, and fragmented sources of information would all be minimized. <a href=\"https:\/\/www.nasdaq.com\/articles\/new-york-city-to-explore-blockchain-for-preventing-deed-fraud-in-land-sales-2021-08-05\" target=\"_blank\" rel=\"noreferrer noopener\" aria-label=\" (opens in a new tab)\">Preventing deed fraud<\/a> could potentially be within reach.<\/p>\n\n\n\n<p>Moreover, once a blockchain system is in place, titles will\nhave standard data that can be easily grasped not just at local levels, but at\nthe level of global real estate transactions. And from a broader perspective,\nother facets of public services, too, could benefit from implementing new\nblockchain concepts in New York City and beyond.<\/p>\n\n\n\n<p><strong>Supporting References<\/strong><\/p>\n\n\n\n<p class=\"has-small-font-size\"><em>BusinessWire<\/em>: <a href=\"https:\/\/www.businesswire.com\/news\/home\/20210805005780\/en\/Medici-Land-Governance-and-New-York-City-Department-of-Finance-to-Explore-Use-of-Blockchain-to-Address-Deed-Fraud\" target=\"_blank\" rel=\"noreferrer noopener\" aria-label=\" (opens in a new tab)\">Medici Land Governance and New York City Department of Finance to Explore Use of Blockchain to Address Deed Fraud<\/a> (Aug. 5, 2021).<\/p>\n\n\n\n<p class=\"has-small-font-size\">Leo Jakobson for<em> CoinMarketCap<\/em>: <a href=\"https:\/\/coinmarketcap.com\/alexandria\/article\/new-york-city-to-explore-blockchain-land-records\" target=\"_blank\" rel=\"noreferrer noopener\" aria-label=\" (opens in a new tab)\">New York City to Explore Blockchain Land Records<\/a> (Aug. 6, 2021). <\/p>\n\n\n\n<p class=\"has-small-font-size\">Jamie Crawley of\u00a0<em>CoinDesk<\/em> for <em>Nasdaq.com<\/em>: <a href=\"https:\/\/www.nasdaq.com\/articles\/new-york-city-to-explore-blockchain-for-preventing-deed-fraud-in-land-sales-2021-08-05\" target=\"_blank\" rel=\"noreferrer noopener\" aria-label=\" (opens in a new tab)\">New York City to Explore Blockchain for Preventing Deed Fraud in Land Sales<\/a> (Aug. 5, 2021).<\/p>\n\n\n\n<p class=\"has-small-font-size\">Kristi Waterworth for <em>MillionAcres.com:<\/em> <a href=\"https:\/\/www.millionacres.com\/market\/new-york\/new-york-city\/articles\/nyc-considering-digital-deed-ledger-blockchain-and-the-title-industry\/\" target=\"_blank\" rel=\"noreferrer noopener\" aria-label=\" (opens in a new tab)\">NYC Considering Digital Deed Ledger: Blockchain and the Title Industry<\/a> (Aug. 24, 2021).<\/p>\n\n\n\n<p class=\"has-small-font-size\"><em>Overstock.com<\/em> Investor Relations: Medici Land\nGovernance Makes Teton County, Wyoming the First County in the USA with\nBlockchain-Registered Land (<a href=\"https:\/\/investors.overstock.com\/node\/18756\/pdf\" target=\"_blank\" rel=\"noreferrer noopener\">PDF<\/a>; Jun.\n17, 2019).<\/p>\n\n\n\n<p class=\"has-small-font-size\">Sebastian Sinclair for CoinDesk.com: <a rel=\"noreferrer noopener\" aria-label=\" (opens in a new tab)\" href=\"https:\/\/www.coindesk.com\/markets\/2020\/04\/15\/overstock-subsidiary-to-put-wyoming-county-land-registry-on-the-blockchain\/\" target=\"_blank\">Overstock Subsidiary to Put Wyoming County Land Registry on the Blockchain<\/a> (updated Aug. 24, 2021). <\/p>\n\n\n\n<p class=\"has-small-font-size\">Photo credit: <a href=\"https:\/\/unsplash.com\/photos\/Zg9Jwm86LRw\" target=\"_blank\" rel=\"noreferrer noopener\" aria-label=\" (opens in a new tab)\">Marc Kargel<\/a>, via Unsplash. <\/p>\n","protected":false},"excerpt":{"rendered":"<p>New York City\u2019s Department of Finance is trying out blockchain. Can the technology make recording and keeping deeds a better process? The test run, handled by Medici Land Governance (MLG), will find out whether the method will work in a massive city, the company stated in August 2021. MLG is owned by Overstock.com \u2014 an [&hellip;]<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[85,126],"tags":[],"class_list":["post-1658","post","type-post","status-publish","format-standard","hentry","category-blockchain","category-new-york"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.4 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Start Spreading the News: Blockchain Deed Recording Comes to New York City - Deeds.com<\/title>\n<meta name=\"description\" content=\"New York City\u2019s Department of Finance is trying out blockchain. 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