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As a property investor(Non U.S.), I'm always curious about real estate related ICOs.
Getting various parties(governments, banks, property developers, etc.) to adopt the Propy Registry is going to be a huge challenge, unless they have no plans to build their own solutions based on blockchain technology, which is unlikely.
The next question would be the types of properties on Propy. Hopefully, it won't be left with luxury and unwanted properties that's been on the market for years.
Personally, the biggest problem in the housing market is affordability.