From Plantations to Blockchains: A Review and Synthesis of the MBS and DeFi Literatures

Abstract

This paper provides a systematic review and synthesis of two converging financial literatures: mortgage-backed securities (MBS) and decentralized finance (DeFi). I trace the evolution of MBS research from the 1970s through the 2008 financial crisis to present day, while examining how blockchain innovations create new possibilities for real estate finance. The methodology combines traditional literature review techniques with bibliometric analysis, utilizing Google Scholar and Google Trends data to document the shifting research landscape and public interest in these topics over time. The findings reveal that while MBS research peaked following the 2008 financial crisis, DeFi and real estate tokenization research show more recent growth trajectories since 2016. The synthesis highlights how blockchain technology offers potential improvements in transparency, transaction costs, and liquidity for real estate markets, while acknowledging significant regulatory and governance challenges. This review contributes to understanding the current state of research at the intersection of traditional real estate finance and emerging blockchain applications, providing a foundation for future empirical investigations.