The economic benefit of blockchain-based land registry for South Africa: A systematic literature review

Abstract

Background: Despite being a manual system, land registration in South Africa is globally recognised as one of the most reliable and accurate systems because of rigorous verification procedures at the Deeds Office that ensure authenticity and accuracy of the information. However, occasional disputes and errors still occur because of inherent limitations in manual processes. Various countries have adopted blockchain technology to prevent fraud and land disputes because of its decentralised, mutable and auditable features.
Objectives: To explore the potential economic benefits of a blockchain-based land registry in the South African context.
Method: This study uses a Preferred Reporting Items for Systematic Reviews and Meta Analyses (PRISMA) approach to systematic literature review (SLR) to identify all empirical evidence that fits the pre-specified inclusion criteria to answer research questions.
Results: The results generated from the final sample of 52 articles indicate that there are six related economic benefits: (1) promoting economic stability, (2) boosting investor confidence, (3) increasing tax revenue, (4) reducing litigation costs, (5) reducing transaction costs and (6) eliminating double spending.
Conclusion: Embracing a blockchain-based land registry as a socio-technical system presents a significant opportunity for South Africa to modernise its land administration processes. By leveraging the identified economic benefits, stakeholders can pave a way for a more efficient, transparent and trustworthy system that not only enhances property rights but also stimulates property growth across the country, thus reducing the financial burden on government and taxpayers, which can free up resources for other economic development projects.
Contribution: The knowledge gained through the application of an SLR and the adoption of GST will contribute towards methodological and theoretical development.