Tokenized Real Estate? Cryptocurrency just added another use case to its already long and ever growing list. BrickMarket, a decentralized Swiss real estate-based investment and exchange platform inked a deal to acquire a building utilizing its blockchain’s native tokens.
The luxury property, located in a prestigious neighborhood called Banhofstrasse (52) in Zurich, Switzerland is prime real estate. The deal, worth $134 million, is the first tokenized real estate transactions of its kind.
According signed agreements, BrickMarket owns the building outright. In return, RFR Holding will receive 20% of BrickMarket’s total token supply.
The firm will issue “shares” to investors in the form crypto tokens backed by bond. Owners will receive monthly dividends from rental earnings on a monthly basis.
Consequently, the deal brokers believe the property value will rise due to location, and the fact that demands for tokenized real estate is expected to immensely increase in the next few years.
Additionally, the neighborhood is a mixture of high-value, in-demand retail shops, offices and luxury retail outlets. Those alone make the property a valuable asset to investors, while enjoying a luxurious lifestyle in the city.
BrickMarket’s CEO, Stefan Rind release a statement on social media website, medium. According to Ring, the company’s largest tokenized real estate deal so far just the start of a larger blockchain-powered real estate business plan.
Finally, what are your thoughts, does tokenized real estate have a future on the blockchain? Is it a good investment?
Mathieu is a Information technology professional with over 15 years of experience. He started one of the first bitcoin blogs existed in 2010. He started writing about, investing in bitcoin and promoting the first cryptocurrency when only a few technological savvy people knew about it. Mathieu is a world traveler who enjoys culture, technology, finance, salmon, rice and beans. He’s cool, collected and knows a great deal about blockchain technology.