Finally an interesting problem. Off the top of my head I'd guess you'd issue a new token to executor of the estate and establish that token as representative of the underlying asset rather than the original token.

If that can be done, can it be done through other processes? Like eminent domain? failure to pay property taxes? divorce settlements? property lien?

If a title-token on the blockchain can be changed through external systems that don't involve the transfer the title-token itself - saying that the old token is no longer valid, this new one is the valid one, how does the blockchain protect against title theft or fraud?

If there is the ability to mint a new title-token for a given property, what's the point of it and what advantages does it have over the existing records?

I suppose it could work a little bit like freezing your credit report. There is a school of thought that a credit report should be frozen by default (to deter identity theft) and only unfrozen for certain major events.

So with crypto, you could get benefits analogous to a default-frozen credit report, plus the ability to do some transactions, and would only "unfreeze" (ie give up the protection of crypto) for these rare, ultra catastrophic events such as loss of life, loss or compromise of private key.

> If that can be done, can it be done through other processes? Like eminent domain? failure to pay property taxes? divorce settlements? property lien?

So no it wouldn't be done for any other processes. You can still attempt to induce transfer of assets (there is still a legal and punitive system). But "ownership" now has a stronger meaning.