Transparency of Land Administration and the Role of Blockchain Technology, a Four-Dimensional Framework Analysis from the Ghanaian Land Perspective
Abstract
:1. Introduction
‘Pro-poor support: rule of law is equal to all, and citizen has protected rights, Public confidence: greater public confidence, Economic growth: security of the land tenure and regulated transaction cost and taxation, Protection of state assets: legitimate use of state land for social and economic concessions, More effective and efficient public administration of land: formal market and reliable system, more revenue sharing for public services, Conflict prevention and resolution: equity, justice, and social stability’[9] (p. 13)
- To identify the essential elements and relations between blockchain technology and the transparency of land administration in the existing literature;
- To assess the potential of blockchain technology to improve the transparency of land administration functions—based on the Ghanaian land administration context.
2. Materials and Methods
2.1. Research Approach and Boundaries
2.2. Data Sources and Research Methods
3. Results
3.1. Theoretical Basis of Blockchain Technology and Its Operation
- A node/stakeholder with an account signs digitally and initiates the transaction;
- A timestamp is added to prove the time of transaction creation;
- Transaction is broadcasted by decentralization to all other nodes on the network;
- The transaction is mined (‘’which involves validation of a set of transactions (block) in the network by means of showing the computational proof of the work done’’) [24] (p. 20), by one of the nodes. After this, it is verified and validated as authentic, or declined if it is found otherwise by the majority of the nodes based on a consensus mechanism;
- The validated transaction is then recorded in a new block and hashed to the previous block to form the chain of blocks as is shown after Figure 1.
3.2. Summary Overview of Land Administration Processes in Ghana
3.2.1. Land Tenure Processes
3.2.2. Land Valuation Processes
3.2.3. Land Use Planning and Land Development Processes
4. Discussion
Transparency Issues of Land Administration Processes in Ghana and the Role of Blockchain Technology
- Openness: through the decentralized broadcasting of transactions to all the integrated stakeholders, every decision or action can be known to all and no action can be hidden. Thus, although the different stages of the registration process involve different stakeholders, every stakeholder is aware of each stage, as well as, what, how, and when work is done on the transaction which allows for openness.
- Availability and access to land information: information imbalance obstructs accessibility to credible land data which breeds ignorance and permits fraudulent deals as some stakeholders become oblivious of other happenings in the transaction. The decentralized broadcasting of transactions and all associated information across the stakeholders, coupled with the verification and validation, as well as the hashing of new transaction blocks to historical blocks allows for easy accessibility to all relevant information (both current and historical) on land ownership, parcel, and rights, by all stakeholders at all times. This will help eliminate information asymmetry and its associated challenges of bribery and corruption.
- Participatory processes: the verification and validation through the consensus mechanism foster maximum participation in the entire registration processes from all stakeholders, since this allows the majority stakeholders to be part of transactions’ decision making every time. The consensus mechanism takes place at every stage of the registration process until it is completed. Moreover, the broadcasting of process stages to all stakeholders automatically induces participation in the processes either actively or inactively. This is because everyone is aware of every happening and can give their contributions accordingly as and when necessary. That is, stakeholders are always privy to and aware of all the happenings and processes. This makes every stakeholder part of the transaction and registration processes in the participatory sense.
5. Conclusions
Author Contributions
Funding
Acknowledgments
Conflicts of Interest
References
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Steps | Activities | Output | |
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1 | Setting study boundaries |
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2 | Literature identification:
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3 | Initial literature review | Titles and abstract reading. |
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4 | Detailed integrative review:
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5 | Topic reconceptualization |
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6 | Conclusion and recommendations |
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Potential Benefits of Blockchain | Elements that Make It Possible | References |
---|---|---|
Transparency | Decentralization of transactions across all nodes (stakeholders), possibility for evaluating the authenticity of the transaction by all stakeholders, and the access to all transactions and their historical records by all stakeholders. | [10,20,23,28,29] |
Eliminating fraud and double sales | Decentralization—once a transaction has been completed, all stakeholders have copies and any further action on the transaction is known to the stakeholders. A second attempt to resell the land will be known to all stakeholders and therefore the transaction will not be validated since it has already been sold to another person. | [1,10,11,17] |
Enhancing trust | Immutability and consensus mechanism—immutability of blockchain coupled with the consensus mechanism by majority stakeholders helps prevent manipulation of land data, as well as misrepresentation of land data in the system. | [1,20,23,26,44] |
Establish clear ownership | Hashing—the existence and access to the historical facts on the transaction made possible by hashing allows ease in establishing the ownership status as well as all encumbrances. | [17] |
Eliminating corruption | Smart contracts—land transactions based on and carried out using smart contracts helps to eliminate all forms of corrupt deals since all the procedures involved in the transaction are clear and can be carried out without human intervention thus leaving no room for corruption. | [20] |
Eliminates manipulation | Decentralization and immutability—due to the distributed copies of transactions available to all nodes; and the difficulty to change blockchain data, any purported unauthorized changes or manipulation will be detected by all the stakeholders and will accordingly be declined or denied. | [10,23] |
Easy information access | Decentralization—information stored is available to all the nodes at all times. This enhances the ease of access to land transaction information as there are no intermediaries. | [20,23,44] |
Data quality, accuracy and integrity | Consensus mechanism—the verification and validation process inherent to the system ensures that the information accepted on the blockchain corresponds with reality on the ground. Any inconsistencies, and inaccuracies will lead to the rejection of the transaction. | [23] |
Enhances high participation by all stakeholders | Decentralization—stakeholders become involved in the transaction at every stage due to the decentralized distribution across all the nodes. This allows all stakeholders to know about the transaction and to partake in it through the consensus mechanism. | [1,23,26,45] |
Reduced human error possibilities | Smart contracts for land transactions help eliminate human involvement as all required actions necessary for carrying out transactions have been pre-programmed. Once a step is completed, the transaction moves to the next step without human actions until it is completed. | [10] |
Security and resilience | Decentralization and distribution—due to the decentralized and distributed functionality, data are stored in multiple databases of different stakeholders which are tamper proof, immutable and encrypted. It is thus difficult to hack all the different databases at the same time. | [11,15,24] |
Blockchain Architectural Categorizations | ||||
---|---|---|---|---|
Public Blockchain | Private Blockchain | |||
Permissionless | Permissioned | Permissionless | Permissioned | |
Participants | Anonymous | Identified | Identified | Identified |
Data accessibility | Anyone | Anyone | Authorized participants | Authorized participants |
Initiating transactions | Anyone | Authorized participants | Authorized participants | Network operator only |
Participation in consensus mechanism | Anyone | Authorized participants | Authorized participants | Network operator only |
Network types | Decentralized | Partly decentralized | Hybrid | Centralized |
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Ameyaw, P.D.; de Vries, W.T. Transparency of Land Administration and the Role of Blockchain Technology, a Four-Dimensional Framework Analysis from the Ghanaian Land Perspective. Land 2020, 9, 491. https://doi.org/10.3390/land9120491
Ameyaw PD, de Vries WT. Transparency of Land Administration and the Role of Blockchain Technology, a Four-Dimensional Framework Analysis from the Ghanaian Land Perspective. Land. 2020; 9(12):491. https://doi.org/10.3390/land9120491
Chicago/Turabian StyleAmeyaw, Prince Donkor, and Walter Timo de Vries. 2020. "Transparency of Land Administration and the Role of Blockchain Technology, a Four-Dimensional Framework Analysis from the Ghanaian Land Perspective" Land 9, no. 12: 491. https://doi.org/10.3390/land9120491