Tokenization is a recent innovation that promises to revolutionize the real estate industry. It uses blockchain technology to divide a real estate asset into multiple digital units, called tokens, which can be bought, sold or traded on a blockchain platform.
In few steps
An owner of an office building could tokenize the asset to raise funds. The tokens could be sold to investors, who would receive a share of the rental income in proportion to the number of tokens they hold.
A real estate developer could tokenize a residential housing project. Investors could purchase tokens to finance the project, and receive a share of the profits from the sale of the units once the project is completed.
A farm could be tokenized to allow visitors to become co-owners of the farm. They could use their tokens to book stays at the farm, buy fresh produce or participate in agricultural activities.
A family property can be tokenized to facilitate division among heirs. Each heir could receive a number of tokens corresponding to their share of the inheritance, and could choose to sell their tokens or exchange them for other assets.
A residential condominium can be tokenized, allowing residents to own a fraction of the assets corresponding to their apartment. This could simplify the process of buying and selling apartments, avoiding the need for real estate agents and notaries.