36.5 Million Dollar Condominium Sliced Into Digital Shares with Blockchain Technology

Blockchain records

Blockchain technology has made it possible for individuals to own a piece of a condo in digital shares. This implies that it is now possible to buy real estate like you buy stocks. Users can own shares in a property or building on the Blockchain.

Tokenized real estate investment

A Blockchain startup, in partnership with a broker-dealer firm, has created tokenized real estate investment opportunity.

Propellr and Fluidity will offer tokens which represent shares in a 36.5 million dollar block of a condominium in Manhattan, New York. This gives buyers an opportunity to invest in any one they can afford.

The co-founder of Fluidity, the Blockchain firm, Michael Oved, believes that smart contract technology, as well as Blockchain, could revolutionize the concept of real estate completely.

Oved spoke of the current inefficiencies in the process of property buying as well as how the Blockchain technology can address it.

He said,

When we started to look at the real estate industry, it’s probably one of the most inefficient industries that exists currently. A lot of middlemen, a lot of lawyers, a lot of bankers.”

The aim of the partnership

This partnership is aimed at allowing the investors to purchase shares in the $36.5 million blocks of condos. Instead of selling the luxury apartments individually, the company plans to sell tokenized shares instead to people who want to take advantage of the opportunity.

The tokens will be issued on the Blockchain, so this automatically means greater security, transparency, and efficiency.

When the sale of the property is tokenized, it will be easier for those behind the idea to start repaying their loans. A part of the real estate agency team, Ryan Serhant said,

We have a bank deadline on us where we have to sell a certain amount of units or repay the entire loan by a certain date. If construction has been delayed, if the market turns, if competition pops up, and we’re not going to be able to hit that deadline, what do you do? So, by tokenizing the debt, it gives everyone breathing room to sell at a normal pace with the market instead of against it.”

This isn’t the only benefit; it is also possible to transfer ownership of the share with ease. Investors enjoy increased flexibility as well.

Serhant says,

Literally 25-30 million people can own a piece of this at a dollar a pop. When has that ever been possible?”

Anthony Pompliano, successful crypto entrepreneur and podcast presenter believes that this is just the beginning when it comes to the future of investing.

He said,

There are only four a.ssets you can own in the world: stock, bond, currency, or commodity. We think every single one of those is going to get digitized. Tokenize the world.”

Tokenized real estate opportunities

This condo block isn’t the first tokenized real estate investment opportunity. Earlier in the year, there was a report on IndieGoGo and Aspen Digital’s sale of tokens that represented shares in a ski resort. Also, two months ago, there were reports of an ICO financing and island where the token represents a share of the resort.

Considering the increasing frequency of such tokenization stories, it appears that the Blockchain revolution has already started.

 

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