SEOEL, December 30 (UPI) – A South Korean blockchain company and a Dubai real estate company have announced a partnership to allow buyers to use cryptocurrency.
The agreement, announced Friday between Bloom Technology and Arms & McGregor International Realty, will enable the purchase of real estate in Dubai, primarily through the use of the Locus token, the virtual money issued by Bloom.
The companies are also planning to collaborate on a global real estate platform.
Lee Technology, CEO of Bloom Technology, said that the company’s customers will be able to save compensation costs when purchasing property in Dubai.
“We are facing the new era in which many industries are transitioning to digital platform integration and technology acceptance at transaction level,” he said.
“And we believe that the real estate sector will be advanced with the use of digital platforms, also in a perfect marriage between fin-tech and prop-tech.”
In the long term, Lee expects the blockchain-based platform to make transactions in real estate more transparent.
Real estate transactions often involve multiple stakeholders and complex procedures that can lead to fraud or corruption. Blockchain has been advertised as an alternative technology to replace the opaque system of the industry.
Bloom has developed a new technology called Locus Chain, which is said to accelerate transactions on the blockchain to solve a ten-year problem.
The startup recently conducted a public test to show the processing of transactions in a fraction of a second.
Arms & McGregor, which represents many global real estate companies in the Middle East, said in a statement that the company expects the Bloom partnership to bring around 1,000 Korean real estate investors to Dubai.