How the Top 12 Companies Are Using Blockchain to Sell Them – Cryptopolitan

by Arthur · March 7, 2023

Tokenized real estate has gained traction in the US market in recent years as the rise of tokenization and blockchain technology has revolutionized the way businesses operate. Tokenized real estate offers a number of advantages for both buyers and sellers, including more efficient and secure transactions, transparency and the ability to fractionalize ownership of real estate assets.

Table of Contents

How property tokenization works

Tokenization involves taking a physical asset, such as real estate, and digitizing it on the blockchain. We can break this process down into three steps:

1) split an asset into tokenized shares;

2) create digital tokens representing the shares;

3) to put these tokens on a blockchain, thus creating a digital ledger. Investors can buy, sell, exchange or pledge the digitized asset.

Benefits of tokenized real estate

1. Tokenized real estate removes geographical and political boundaries, allowing investors worldwide to invest in real estate without traveling or being physically present.

2. Transparency – The blockchain system allows for greater transparency, giving buyers and sellers a single source of truth that you cannot change or manipulate.

3. Cost Effectiveness–Tokenization of real estate eliminates many costs associated with traditional transactions, such as legal fees and paperwork fees.

4. Liquidity – Unlike traditional investments, tokenized real estate can be quickly sold and exchanged on the open market, creating liquidity previously unavailable to investors in physical real estate.

5. Fractionalization – Tokenized real estate allows buyers to purchase a fraction of a property, making it easier for investors of all sizes to get involved.

6. Security – The blockchain system is secure and encrypted, providing a layer of protection against fraud and theft that traditional investments lack.

7. Automation – You can automate transactions using smart contracts on the blockchain, eliminating the need for lengthy paper work processes and enabling near-instant settlements.

Considerations when choosing companies that sell tokenized property

1. Regulation: Ensure that the company complies with applicable local laws and regulations. This will ensure that your investment is safe and protects you from potential legal risks.

2. Security: Check if the company has taken steps to protect investors’ funds, such as implementing two-factor authentication or using cold storage wallets.

3. Fees: Make sure the company’s fees are reasonable and transparent before investing in their tokenized real estate investments.

4. Liquidity: Investigate how liquid an asset is so you know what type of return on investment you can expect.

5. Reputation: Research online reviews or ask other investors about their experiences with a particular tokenized real estate company.

6. Technology: Evaluate the technology that the company uses to ensure that it is reliable and efficient.

7. Team: Research the team behind a project and check their credentials, experience and track record to judge the quality of their work.

Companies selling tokenized real estate in the US market

There are several companies that have offered tokenized real estate in the US. Some prominent examples include:

Ceiling carpet

Founded in 2015, Roofstock is a San Francisco-based real estate investment marketplace with a goal to make real estate investing radically accessible, cost-effective and easy.

Led by an impressive team of lawyers, crypto enthusiasts and graduates of the Wharton School’s Cypher Accelerator program, it has come a long way since its inception. Today, the platform has taken significant leaps forward by introducing a tokenization model that provides even greater accessibility.

Already, the platform has been very successful, with $5 billion in transactions since its launch. This puts Roofstock in a prime position to become the world’s leading marketplace for property investment.

HoneyBricks

HoneyBricks offers investors a unique opportunity to gain exposure to the commercial real estate market in a new and exciting way. Through its platform, it allows investors to tokenize investments in approved projects, thereby providing fractional ownership of assets backed by the Ethereum blockchain.

With its team of experts in various industries such as crypto, capital markets and compliance, HoneyBricks is an ideal option for people interested in diversifying their real estate portfolios who want to move away from real estate investments. HoneyBricks manages all investments with transparency and accuracy, so investors can feel confident in their contributions.

Arrived

Arrived is looking to revolutionize the way we invest in rental properties and holiday rentals. Founded by Ryan Frazier, the company seeks to make wealth building through real estate more accessible through its streamlined and intuitive platform.

Not only does the platform simplify the process and lower the cost of investing in these assets, but it also offers a unique browsing feature with pre-set filters such as ‘value focused’ or ‘new build’, making it easy for users to find exactly what they are looking for. Whether you’re a first-time buyer or a seasoned investor, Arrived puts you in control of your purchasing decisions and introduces new opportunities to build wealth.

SolidBlock

In 2018, a team of investors developed SolidBlock to end the limitation of accessing real estate investment opportunities. Their aim is to make the sector more accessible, liquid and transparent to give everyone an opportunity to invest in property.

To help achieve this goal, they are also focusing on educating their partners and customers in asset tokenization and transitioning to a digital technology-driven environment. SolidBlock has shown strong progress since its infancy, providing anyone with the goal of investing access to real estate that was previously unavailable to them due to its private nature. This paved the way for greater financial inclusion, where even the smallest investor now has access to better deal terms that are usually reserved for sophisticated investors.

RealT

RealT is a revolutionary company founded by real estate and blockchain experts in addition to a strong team of marketing, e-commerce and technology professionals.

The goal of this venture is to transform the way businesses do business in the real estate industry by introducing tokenized real estate ownership. With a minimum investment requirement of $50, it is one of the best choices for those who want to invest in the real estate market with reasonable ease.

RealT’s mission to evolve traditional real estate markets through innovation makes it truly stand out as an industry leader looking to change the future of investing.

Republic

Republic is revolutionizing the investment industry with its unique platform. By giving clients access to private markets such as real estate, gaming and crypto, investors no longer need to be constrained by traditional public market investments.

With no platform fees and flexible minimum investment requirements, Republic presents an accessible way for investors aged 18 and above to diversify their portfolios. When it comes to real estate investment, the Republic goes a step further by putting in place a rigorous vetting process. This ensures that all options on the platform meet customers’ expectations in terms of risk level and interests. If you are interested in investing in private markets but don’t want to worry about being taken advantage of, Republic is a great option for you!

Weird

Cincinnati-based Vairt is revolutionizing the way people can supplement their income by investing in real estate. Using its proprietary platform, users have all the resources and guidance they need to make informed decisions as they create their real estate network.

The support includes market overviews, neighborhood insights and thorough property analysis to evaluate any sub-investments. In addition, Vairt implemented the use of blockchain technology to guarantee the greatest security when making transactions and managing your portfolio. Discover how easy it can be to maximize your financial future with Vairt today!

RealBlocks

RealBlocks is helping to revolutionize the real estate investment industry by using blockchain technology to allow investors to buy fractions of assets instead of entire portfolios.

Based in New York, RealBlocks eliminates fees associated with traditional investment models, streamlines processes and provides more liquidity options than ever before. By using tokenization through blockchain technology, RealBlocks opens doors for investors worldwide to access more opportunities and make more informed decisions.

Own

Based in Palo Alto, California, Owny has revolutionized the real estate investment game. It uses blockchain technology to facilitate investments in real assets and offers a range of features and services to make the process easier. Registering is easy; users can create an account and be verified in less than a minute, freeing them to focus on their investment efforts. Once they start investing, they can track their progress using the dashboard. Owny’s innovative approach has caught Coinbase’s attention and resulted in the company becoming an investor in Owny.

Torture key

Martelturnkey’s innovative investment model allows investors to generate a strong passive income by tokenizing a portfolio of rental properties in areas with promising economic indicators.

The company handles all due diligence, purchase and management of the assets, while investors benefit from spreading risk over several portfolios.

A minimum investment is required; However, this service is only available to accredited investors. It gives non-accredited investors access to potentially lucrative returns that would be difficult to find elsewhere. With this unique combination of experienced real estate experts and efficient use of innovative technology, investing in tokenized rental properties has never been easier or more attractive.

Red Swan

Redswan is a marketplace that allows both US and non-US investors who meet the Accredited Investor requirements to invest in quality institutional real estate such as multifamily, office and hospitality real estate.

With a minimum investment of $1000-$10000 per project, Redswan not only offers individual investors the chance to own a piece of commercial real estate, but also helps property owners tokenize their equity for secondary market transactions such as sales or leasing.

Furthermore, Redswan facilitates the creation of funds that help investors who are more interested in diversification and passive management of their investments rather than analyzing individual projects on the platform.

When they invest with Redswan, they pay out income quarterly or annually for a one-year holding period. Redswan provides small investors with valuable opportunities for value creation through safe investments in real estate projects.

Harbor

Harbor leads the blockchain real estate compliance space – as a San Francisco-headquartered platform, it specializes in the technicalities of handling private securities and also offers tokenization services for various assets such as funds, real estate and private REITs. As they aim to improve liquidity and transparency while managing complex investments, investors can leverage the flagship Digital Subscription Platform, Investor Portal and Dividends feature or Marketplace as a Service to facilitate the process. This comprehensive suite of solutions provides a more holistic alternative investment experience.

Conclusion

Blockchain technology is revolutionizing the real estate industry, making it easier than ever for investors to make money. Through tokenization, companies like Owny, Martelturnkey, Redswan, and Harbor are bringing more accessible options to investors of all types, enabling them to make smarter decisions with their investments. With the right platform and research, investors can access the lucrative returns that real estate offers. So if you want to put your money to work for you and invest in real estate, now is a perfect time!