Relevance: GS Paper II – Governance & Technology
Source: LiveLaw, The Hindu
Context / Why in News
The Supreme Court of India has urged the government to explore blockchain technology for land and property registration, terming the current process “traumatic” due to frauds, delays, and lack of transparency. The move aims to ensure secure, tamper-proof, and reliable property ownership records.
Current System vs Blockchain-Based System
| Feature | Current System | Blockchain-Based System |
| Ownership Proof | Document registration; does not ensure clear title | Tamper-proof digital ledger with verifiable ownership records |
| Fraud Risk | High – duplicate deeds, forged documents | Extremely low – records immutable and time-stamped |
| Verification | Lengthy and manual | Real-time verification via distributed network |
| Uniformity | Varies across states | Enables standardised, national-level system |
Key Concepts: Blockchain and Tokenisation
Concept | Explanation |
| Blockchain | A decentralised digital ledger where each transaction (block) is cryptographically linked, ensuring data integrity and transparency. |
| Tokenisation of Assets | Conversion of a physical asset (like land) into a digital token representing ownership, allowing easier and traceable transfer on blockchain. |
Challenges and Way Ahead
Challenges | Way Ahead |
| Outdated land laws and inaccurate legacy records | Introduce conclusive land titling through legal reform |
| Lack of technical infrastructure and expertise | Build digital infrastructure and train officials |
| Data privacy and interoperability issues | Create a national blockchain policy for land data |
| Resistance to adoption | Pilot projects and public awareness on digital property rights |
Significance
- Could reduce 60–70% of civil disputes linked to land ownership.
- Enhances ease of doing business, rural credit, and citizen trust.
- Aligns with Digital India and SDG 16 – Peace, Justice, and Strong Institutions by strengthening governance transparency.
One-line Wrap:
Integrating blockchain into land registration can revolutionize property governance in India — ensuring transparency, efficiency, and trust in ownership systems.
UPSC Prelims Practice Question
With reference to blockchain in property registration, consider the following statements:
- Blockchain enables tamper-proof and transparent record-keeping of land titles.
- Tokenisation converts physical property into a digital representation of ownership.
- India currently follows a conclusive land title system.
Which of the statements given above are correct?
(a) 1 and 2 only
(b) 2 and 3 only
(c) 1 and 3 only
(d) 1, 2 and 3
Answer: (a)
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