Deed must list the wallet address, like a property description. That's the only way.
Really? Will municipalities accept a wallet address? Highly unlikely.
Which countries does Swarm Fund plan to operate in? Can they prove that each of these countries will accept a crypto wallet address on a land title deed? Highly unlikely.
Let's say that these municipalities will, which is a stretch, how does Swarm Fund prove that my ERC20 token owns a percentage of the assets that their wallet owns?
I think the OP and you are both genuinely misunderstanding the Swarm Fund model. Also the OP's initial quote of Swarm Fund is clearly being used out of context...
Perhaps you should reread their offering.... but in short....
Swarm Fund are providing a platform for existing funds, such as the existing US-based Real Estate fund they are launching with, to gain access to new sources of capital from the crypto markets. Property title deeds are not held by Swarm or the users of the platform, they are held by the third-party RE fund. The investors sourced via Swarm will be issued asset-backed tokens that represent the dollar-value that they invested into that fund initially. As the Real Estate fund gains in performance the asset-backed tokens increase in value and may be exchanged at any time via the Swarm Network exchange, providing instant liquidity in what is normally a less liquid market.