Dubai Land Department, Mashreq Bank to develop blockchain-based mortgage platform

Dubai Land Department (DLD), a government department under the Executive Council of Dubai, has signed a license agreement with the UAE-based Mashreq Bank to launch a blockchain-based mortgage platform to modernize its system, The National reported on Monday.

According to the report, the new system will help speed up and enhance the home loan registration process, as Emirates bids to digitalize its services and attract more investment in real estate.

“The development and launch of the new e-mortgage system come as part of our ongoing efforts to enhance automation applications and systems in our transactions to reduce paper transactions and the number of visit,” Sultan Butti Bin Mejren, DLD Director General, said.

Following a property sale, Mashreq mortgage holders will be linked to the DLD's blockchain-based system, which would serve as a repository for mortgage records and help streamline registration and recording of mortgages. The system will also allow modifying mortgage details as well as log liquidations and payment defaults.

“We will continue to seek the best partners to ensure the comfort and happiness of our customers as well as develop the system and support it with the latest technologies,” Majid Saqer Al Marri, the CEO of the registration and real estate services sector at DLD, said.

Meanwhile, Dutch bank ABN Amro is also planning to launch a digital blockchain platform that aims to securely and effectively manage post-trade processing of commodity transactions. The new platform, called Forcefield, leverages blockchain, Internet of Things (IoT) sensors, and near-field communication (NFC) chips to provide real-time trade inventory insights.