The multi-billion real estate is very complex. There are different stakeholders involved the industry and each has a role to play. With every industry player seeking to get a piece of the cake, the sector has continues to be very complicated. Real estate tokenization is however set to simplify the industry.
The blockchain technology impact continues being felt across many industries; a disruption that is unstoppable. Real estate tokenization is the latest fad in the industry. Startups are now turning to issuing security tokens, a digital representation of real estate. Through a Security Tokens Offering (STO), Funder One-Capital is set to tap into the technology and turn real estate into an investment fund that can be traded in exchanges.
What is Real Estate Tokenization?
Real estate tokenization is an emerging trend in the market which involves investing in the blockchain technology. The idea behind the trend is to use tokens as assets to help players in the real estate raise capital in an effective way. By so doing, they will be able to access investments in real estate in a more transparent manner and enhance the sectors’ liquidity.
The use of blockchain will shorten the bureaucratic processes associated with the real estate sector. It will make transactions transparent and traceability will be easy. The Funder One-Capital Platform will help businesses and their consumers create “pseudonymous economic avatars” to use in transactions in a digital economy.
Funder One-Capital Role in Real Estate Tokenization
According to the Funder One-Capital whitepaper:
”Entry into the platform is invitation-only. This not only allows the network to grow organically as Owners invite their friends and frequent collaborators into the fold, but also helps establish a network built with human nodes, where the connections and points of convergence are key”.
The role of the Funder One-Capital digital asset is to act as an enabler for participants to join the ecosystem. This will be achieved through generating a unique user identity for the platform participant. This identifier will ensure there are no imposters or double identities in the network.
Technically, the identifier will prevent Sybil attacks and make it easy in resolving disputes. This is very critical given that this is the gateway to the real estate real world. The system anticipates complex real world use cases and Identity locked tokens will control the digital assets amount in the marketplace.
Funder One-Capital Real Estate Tokenization Entities
There are three subtle entities on the Funder One-Capital ecosystem; these are the ecosystem drivers. These pillars ensure that there is interaction and transaction on the platform. These include the Owners, Collaborators and Projects.
Owners: Just like in the traditional real estate, the owner initiates the project through project Compact designing. This outlines the asset created, developed and presented to the users on the ecosystem.
Collaborators: These entities help the Compact by ensuring its usability, maintenance and help develop the Project. Business partners, developers, designers, architects and general contractors fall under this entity.
Projects: These are autonomous entities that are brought together by unity of purpose. These are outlines in the Project Compact. This makes the Funder One-Capital user centric; users are ones responsible to drive the ecosystem to the next level given that it is an invite only platform.
Future of Funder One-Capital
With the real estate tokenization, Owners know their project and are the one charged with driving adoption. Participants are the native network nodes and Funder One-Capital acts as the gateway from the analog real estate system to digital ones.
As a digital marketplace, the needs of the users come first. The Funder One-Capital has a social aspect that ensures that Owners and Collaborators work together to grow the ecosystem in order to succeed in the real estate tokenization. This can only be achieved in a transparent environment where networking brings together a tight new real estate breed in the market.
Blockchain Tokenization for Real Estate
Blockchain tokenization for real estate appears to be taking the next generation shape thanks to the innovative Funder One-Capital. Gone are the days when the sector was flooded with stakeholders whose roles are unspecified. This invite only platform is set to bring together like minds players in the real estate industry and do away with middlemen.
