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markwkw | 3 years ago

Home deeds, loans, mortgages are not accounting concepts, but more in the ... contract(?) land.

When a loan is made, a loan document exists; and accounting entries exist somewhat separately. A contract can be entered without writing, a contract can result in complex accounting treatment which may be investigated, rules clarified, decided, corrected when methodology errors were made.

Do you mean that the blockchain is supposed to help with the accounting side, or with the contract side, or both?

discuss

order

digitaltrees|3 years ago

These are separate things. The legal contract is separate from the legal document establishing ownership, separate from the government ledger which tracks the chain of ownership conveyed, separate from documents related to the performance of the contract such as installment payments, principal and interest balances, and lifting of the encumbrances such as liens. There are different systems and procedures for each. Some are fine. Some could benefit from a central ledger. Whether that’s a database or crypto I don’t really care. Just throwing the idea out there.

ElevenLathe|3 years ago

I think the dream is something like making a single commit that updates your code and the documentation that is kept alongside it in the same repo. A blockchain transaction would represent the entire transaction including the mortgage agreement, the deed, the asset on the lender's books, and the liability on the borrower's books. I say dream because there's no real path to this ever happening, and it's definitely not happened yet.