Real Estate Tokenization is the process of digitizing a property and provide shared and trustless ownership. The Real Estate asset is represented digitally in the form of a token which is linked to a blockchain.
The tokens can be integrated with secondary markets on a global scale and tasks such as the payment of dividends and interests are automated.
When it comes to Real Estate, a variety of interests can be digitized (“tokenized”), such as:
Tokenized Real Estate can be traded on global secondary markets 24/7, enhancing drastically liquidity for its investors.
It allows funds to be raised on a global scale and the digital shares can be traded without any geographical restrictions.
It makes shared ownership in Real Estate more efficient, as tasks can be automated, such as the payment of interest and dividends.
Tokenization enables the democratization of Real Estate investment, as it allows property ownership to be fractionated easily.