Distributed ledger technology and property registers: displacement or status quo

Abstract

There are two primary purposes of property registers. First, they make public the proprietary interests that exist in a piece of property (disclosure). Second, they provide confidence to the holders of proprietary interests that their rights will be enforceable against other parties and will take priority over lesser competing interests (assurance). However, disclosure and assurance are only useful to the extent that the information held on the register is accurate and trusted. Accuracy and trust have traditionally been ensured by using an independent intermediary. However, many existing property registration systems based on intermediaries have limitations and fail to provide a complete, accurate and fully reliable public record. This article addresses whether distributed ledger technology (‘DLT’) is better equipped than intermediaries to achieve the primary aims of disclosure and assurance. In considering the efficacy of DLT in this context, the article analyses three specific use cases as examples: the company charge register, registrable intellectual property (patents and trademarks) and copyright. The article argues that DLT cannot overcome all problems associated with achieving full disclosure and assurance, but in certain contexts it can offer specific advantages over existing registration systems.