Bloom Technology, a South Korean blockchain company and a Dubai real estate firm have announced a partnership to allow buyers to use cryptocurrency to purchase properties in the UAE.
1,000 Property Investors
The agreement, announced Friday between Bloom Technology and Arms &McGregor International Realty, will allow the purchase of real estate in Dubai mainly through the use of the Locus token, the virtual money issued by Bloom. It is also expected to attract around 1,000 property investors to Dubai, according to a release by Arms & McGregor.
Bloom Technology CEO Lee Sang-youn said the company’s clients will be able to save remittance charges in purchasing real estate in Dubai.
“We are facing the new era where many industries transition to digital platform integration and tech adoption at a transactional level, and we believe that the real estate business shall be advanced with digital platform use also in a perfect marriage between fin-tech and prop-tech.”
– Bloom Technology CEO
Real estate transactions often involve multiple stakeholders and procedures which differs from country to country. Such complexity can lead grey transactions amounting to fraud or corruption. Blockchain has been touted as an alternative technology to replace the industry’s inefficient system. Thus, it is expected that the blockchain-based platform to make property transactions more transparent in the long run.