Block66

A close friend of mine wanted some money some time last year to complete his second residential building having been massively impressed by the amount of money he was making from the inherited one he renovated, he decided real estate was the business for him and wanted to expand into the busines and probably acquire bigger property in more densely populated areas.

Even though buildings are not as expensive here in Africa, as they are in other parts of the world, they're still my friend didn't have that much money to start with. So he applied for a mortgage at a local bank, 5 months and several, several documents later, he eventually got the money to start his building...

A really long and strenous process that could have been a lot easier with Block66

The problems in the mortgage and money lending Industry

Without doubt, the most prominent problem with monetary transactions of this nature is the issue of trust. Do you trust that I'll return your money when the collection time is due?.

It's simple. You can't trust anyone. And you can't give out your money to just anyone on account of their "word" that they'll return it to you. It's simply not enough. This has made it harder and harder to acquire loans, especially for small business owners. The average bank loan takes more than 3 months to get approved, within which a lot of contracts will have to be signed, collaterals are insured, witnesses, undertakings and paperwork. Lots and lots of paperwork. Even lawyers are brought in from both sides. And all of this takes time. valuable time that if the money had been acquired earlier, could have been used productively.

Imagine applying for a loan in the summer in order to get an ice cream truck because of the summer heat that everyone wants to cool off, and your loan finally gets approved in December. So now you have an ice cream truck in the winter. That's next to useless.

Not only the borrowers are affected by this though, and because the lenders are quite quite trepidatious about giving out thier money considering the predominance of of mortgage scams and the like, they end up with a lot of money to give out, but a limited number of qualified borrowers due to the strenuous application processes.

Furthermore, the borrower and the lender always have a broker in between, who, when it comes down to it, may not necessarily have the best interest of the lender at heart, and may choose other borrowers that best suit his interests - perhaps a bigger cut, without necessarily providing all the options to the parties involved.

In essence, there is no real interactions between you and who you're giving money to. It's between you and the broker.

The BLOCK66 solution

Like with every other problem of the modern financial world the Trustless and decentralized blockchain technology seems the only viable solution. Block66 is project that will aim to revolutionize the lending and mortgage industry by bringing it onto a blockchain.

How?

Well, if you consider a traditional system, once you give someone money, you’re hoping you’ll receive the money back when the time is due, but once they has taken your money, they really don’t have any incentive to deliver. You’re relying on the government or the law to make things fair - In contrast, on a blockchain system, by executing the transaction as a record in a tamper-proof repository not owned by anyone, and by the use of smart contracts, the transfer of money and digital product is automated.

Block66 aims to revolutionize the mortgage and money lending industry by simply accommodating it into blockchain, and providing, in its earliest days, a sophisticated, yet transparent platform for borrowers and lenders to operate efficiently to the satisfaction of all.

The loans on Block66 will be issued on the blockchain, and funds will be drawn down using smart contracts. Human intervention will be kept at a minimum, and most of the steps will be automated.

All documents related to the mortgage transaction will be validated and stored on the blockchain providing unalterable history and reference for future use. This will ensure full transparency from both lender and borrower and also create a much cleaner path during a regulatory audits when they arise.

But that's not all..

Further along the road map, Block66 will come together with its partner BrickBloc to become the platform of choice for lenders to create tokenized mortgage-backed securities on the blockchain. This solution is aimed at joint mortgage asset ownership that would be represented by tokens, making them easily tradeable and transferable from one person to another

There is a lot more you can learn about Block66 that I urge you to download the whitepaper and read it from here
https://block66.io/themes/b66/assets/Block66_Whitepaper_English-update.pdf

Join the Telegram group https://t.me/block66_Official

Website. https://block66.io

Author bountyox username: Adamarie