What will the registration of property rights for assets (land, real estate, enterprises, securities, files(?)) look like in the absence of a monopoly registrar (USRN and others)? Will it be mandatory? And what about bundles of rights under ancap?
Free Reader
Bundles of rights are simply an analytical tool for a deeper understanding of the phenomenon we commonly call ownership. Any relationship between a subject and an object can be described through bundles of rights, regardless of whether it is ancap or socialism. It is simply that under socialism, a certain property, for example, does not grant the right to derive profit from it, while under ancap it does. Also, for instance, rights to a plot of land may imply the right to prohibit boundary violations, or they may be encumbered by an easement requiring the provision of, say, free passage. All these bundles of rights are formed both as a result of concluding direct contracts and simply by virtue of established traditions. Any right is a claim that is tolerated, and if a certain claim is contested, it means that specific right is under threat.
For those who struggle to understand what the previous paragraph is about, I recommend watching Boris Yurovsky’s video, which is titled: Property as a Bundle of Rights.
Now let’s move on to the registration of property rights. A title of ownership for any object that can be uniquely identified is very easily stored in one registry or another. These could be objects such as “a plot of land with such-and-such boundaries” or “a smartphone with such-and-such a serial number” or “a file with such-and-such a checksum.”
How do titles of ownership get into registries? They are entered there by the owners of the property assets to inform everyone of their ownership right, which is primarily necessary to confirm that this right exists. Maintaining a registry requires resources, so those who decide to engage in this will have to think through a monetization scheme for the service. One could charge money for placing information about a property asset in the registry. This risks the registry being incomplete. One could charge for obtaining information from the registry. This risks people obtaining information through cheaper means. One could establish a fund, feed it for some time, and once the registry begins to demonstrate its utility to a wide circle of people, the fund could quite possibly develop the registry through donations.
The alternative to registries is the archaeology of property titles, where, wanting to ensure that the property being purchased actually belongs to the seller, a potential buyer examines the document recording the acquisition of the property, for example, a purchase and sale agreement, then turns to the previous owner, finds out how they acquired the object, and so on until their paranoia is satisfied. In effect, this is the same methodology as blockchain analysis—just without the blockchain. Additionally, if we are talking about a plot of land, for example, one can ask the neighbors whether they truly know the seller as the owner of the plot or if he is an impostor.
But this will be of little help in a situation where the owner of a property asset sells it to several people simultaneously, takes money from each, and then leaves them to figure it out however they want. This is the very “double spend” against which, in the case of bitcoin transactions, it is recommended to wait for several confirmations before considering the transaction complete. Unfortunately, blockchain is not the Internet of Things, as Ivan Ivanitsky aptly formulated in his article on Habr. Information in a registry, whether centralized or distributed, may differ from the conditions of the transaction. To protect against most such fraudulent transactions, a temporary freeze of the funds paid for the acquired object is sufficient. During this time, the problem of multiple claimants to one title of ownership will have time to surface, but the seller will not have had time to secure the money, and it can be returned to the unsuccessful buyers. Such a payment delay can be implemented either through a trusted intermediary or, possibly, through smart contracts (although I am not an expert in this area).






