Supreme Court Advises Centre to Use Blockchain for Transparent Land Registrations

The Supreme Court has recommended a comprehensive reform of India’s land registration and titling framework, adding that there is an urgent need to update colonial-era property laws.

The apex court said that the current system often results in procedural complexities and legal disputes for both buyers and sellers.

A Bench of Justice P.S. Narasimha and Justice Joymalya Bagchi asked the Centre to consider the use of emerging technologies, such as Blockchain to improve transparency and reliability in property registration. The court also asked the Law Commission to conduct a detailed review and propose suitable reforms in consultation with relevant stakeholders.

Outdated Legal Framework Behind Rising Property Disputes

The Supreme Court observed that India’s property transaction system continues to function under colonial-era laws that include the Transfer of Property Act, 1882, the Indian Stamp Act, 1899, and the Registration Act, 1908. Although these laws were framed for a different time, they still form the foundation of the country’s real estate framework.

“The Registration Act only requires registration of documents, not ownership titles. A registered sale deed does not guarantee ownership; it merely serves as a public record of the transaction with presumptive evidentiary value,” the Bench noted, according to a report by Live Law.

According to the Supreme Court, property-related disputes make up around 66 per cent of all civil cases in India. This highlights the scale of challenges linked to land and ownership issues, the Bench said, adding that the outdated legal system has led to a range of problems, including fake and fraudulent documents, land encroachments, procedural delays, reliance on intermediaries, and inconsistent rules across states.

Digital Reforms Must Go Beyond Record Computerisation

While acknowledging the government’s recent steps such as the Digital India Land Records Modernization Programme (DILRMP) and the National Generic Document Registration System (NGDRS), the Court said that digitisation by itself cannot resolve the underlying issue of unclear ownership titles.

“If the original record is inaccurate, incomplete or subject to dispute, the digital version will simply perpetuate the flaw,” the Court said.

The Bench said that technology, when integrated meaningfully, could play a decisive role in improving transparency and security in land registration. It highlighted Blockchain technology as a potential turning point for generating tamper-proof and verifiable property records.

“Blockchain technology can transform land registration into a more secure, transparent and tamper-proof system. Each entry, once validated into the distributed ledger, becomes part of a cryptographically linked chain that cannot be altered without detection,” the Court said.

The judgment added that the use of Blockchain could ensure immutability, transparency and traceability in record-keeping, thereby reducing the scope for fraud, manipulation and unauthorised alterations.