Lagos State’s real estate market might change due to the tokenization of properties, opening it up to more investors.
The state government of Lagos, Nigeria, has unveiled a bold proposal to tokenize real estate, utilizing blockchain technology to improve transferability, efficiency, and transparency in real estate deals.
According to the local media, the goal of this program, described in the Eko Revenue Plus Summit materials, is to increase significantly the state’s internally generated revenue.
Blockchain Technology is Revolutionizing Real Estate.
Tokenizing real estate entails transforming physical assets into digital tokens on a blockchain. Just as stocks reflect ownership in a firm, each token represents a precise share of ownership in a property.
People can invest more simply and conveniently by purchasing, selling, or trading these tokens on a blockchain network.
The tokenization plan will be implemented over sixteen months under the direction of the Ministry of Science and Technology in partnership with other organizations and partners. The state government has allotted 500 million naira ($314,465) to these entities to assist the program.
The Increasing Income is Produced Internally.
Real estate tokenization is emphasized in the Eko Revenue Plus Summit materials as a vital tactic for raising internally produced revenue in Lagos State. The government hopes to draw in more investors and increase revenue from property taxes and transaction fees by streamlining and streamlining real estate transactions.
Tokenizing real estate can also aid in addressing problems that have long beset Nigeria’s real estate industry, such as land title fraud and a lack of transparency in property ownership. The state can increase Investor confidence and security by guaranteeing that all property transaction records are tamper-proof and immutable through blockchain technology.
Cooperation and Financial Distribution
Practical cooperation in creating the required technology infrastructure, legal framework, and public awareness campaigns will be critical to the tokenization project’s success.
The 500 million naira budget would pay for several costs, such as worker training, public education, and technological development. The state government is dedicated to ensuring the project is carried out successfully and economically, emphasizing providing investors and the general public with observable advantages.
With the help of its National Information Technology Development Agency (NITDA), which reorganized the National Blockchain Policy Steering Committee (NBPSC) to reevaluate the guidelines directing the nation’s National Blockchain Policy implementation, Nigeria is moving closer to a more positive blockchain policy.
