With the end of the boom on (AND WHAT) and the emergence of the cryptocurrency trend in 2018, many analysts predicted that security tokens could fuel market competition in the real estate industry. However, along with halving bitcoin. Ethereum 2.0, and the recent emergence of DeFi attractive for markets kryptowalutowych. tokenization real estate is not so popular anymore and some people doubt its profitability.
“It is a very slow process when it comes to real estate, even though it has been seen as a new impetus in the industry for several years.”
Said Matthew McAuley, the company’s director of global research JLL providing real estate services.
Tokenization of the real estate market in 2017/2019
First sale of real estate settled with kryptokurwaluty took place in 2017, when a $ 60,000 apartment in the Ukrainian capital Kiev was purchased by TechCrunch founder Michael Arrington by Ether through the platform propyl.
Then designers and contractors of a luxury Manhattan apartment, valued at $ 30 million, put up an offer to sell through the company Fluidity and Propellr. However, in 2019, this offer was withdrawn and Propellr explained this decision with little interest among customers. The lack of secondary markets for trading in security tokens was also an obstacle to the development of this sector.
Mathew McAuley stated that blockchain is not yet able to have a direct impact on the real estate industry. He believes that more computing resources are needed and faster progressing legislation so that the sector regains momentum.
Although tokenization real estate could not keep up with the boom of the time at one point there was a breakthrough. Overstock tZERO recorded a monthly turnover of over $ 2 million in tokens prior to the launch of support for Aspen Coinwho recently changed its brand to aSPEN.
RealT, the platform, was another success tokenizacji assets sold 16 offers for tokens owned in Michigan. In addition, it is now actively selling properties in many other locations.
In April, Black Manta Capital, based in Germany, introduced security tokens worth USD 12 million, offering the issue of a fractional shareholding in an apartment in an area of 2,000 square meters located in Berlin. The Dubai government has also made significant progress in building the Dubai Real Estate Department in recent months Blockchain (DLDRE).