Blockchain isn’t just for digital money anymore.
A new partnership shows how it can change real estate.
One company helps turn physical assets, like buildings, into digital ‘tokens’ you can invest in.
This process is called Real-World Asset (RWA) tokenization.
This company is now working with an investment firm.
Their big plan? To turn $1 billion worth of US real estate into these digital tokens.
Vera Capital, which is part of a larger real estate investment company called Vera Group, is handling this project.
They’re creating an online marketplace.
Imagine an online shop where investors (from the US or other countries) can buy small shares of properties.
These shares are represented by the digital tokens.
The technology for this marketplace comes from Blocksquare.
They have experience doing this in over 20 countries.
The goal is to let more people invest in ‘institutional-grade’ US properties.
What does ‘institutional-grade’ mean?
Usually, these are big, expensive commercial buildings that only large companies or very rich people could invest in before.
Tokenization helps by splitting the investment into smaller digital pieces.
They’ve already started.
They successfully turned a $5.4 million commercial property in Florida into tokens.
Denis Petrovcic, the head of Blocksquare, thinks this $1 billion plan by Vera Capital is a big deal for using tokenization for US real estate.
He said they are not just testing blockchain; they are using it in a big way to open up these high-value properties to investors worldwide.
To get things going, Vera Capital got support through Blocksquare’s special launch platform (called Oceanpoint).
They received a lot of support from the community.
People showed support by ‘staking’ (locking up) over 100,000 of Blocksquare’s digital tokens (called BST) for this project.
Vera Capital plans to launch their new marketplace very soon, likely in the next few weeks.
When it starts, it will offer parts of many properties from seven US states.
So, let’s recap: what is ‘tokenization’?
It’s the process of turning ownership of physical assets, like the buildings Vera Capital uses, into digital tokens.
These tokens are securely recorded on a blockchain, which is like a shared, secure digital record book.
Why is this important for investors like you?
The main advantage is breaking down big, expensive assets into small, affordable digital pieces that you can potentially buy or sell.
This could mean that regular people, not just big companies, might be able to invest in things like commercial buildings without needing a huge amount of money.
Does this idea of tokenizing real estate sound interesting? Let us know what you think in the comments!
Key Takeaways:
- Blocksquare and Vera Capital aim to turn $1 billion of US real estate into digital tokens.
- Tokenization means representing ownership of physical assets (like buildings) as digital tokens on a blockchain.
- Vera Capital is creating an online shop to invest in shares (tokens) of high-value properties.
- This technology could make investing in expensive real estate possible for more people with less money.
- The project gained community support through ‘staked’ (locked up) BST tokens on Blocksquare’s platform.
Also read: Indonesia Crypto Revolution: Tokenize Indonesia Accelerator Launches to Transform $88B RWA Market
