Real Estate investments are currently illiquid and the involvement of middlemen results in expensive lending for issuers. As a result, suitable investors are limited and capital formation can be difficult to achieve. The involvement of many middlemen within real estate offerings can result in expensive lending for issuers and the lack of liquidity is a stumbling block for investors. Through tokenization, issuers can automate many middlemen functions and bring liquidity to an asset class that has been starved of it.
How It Works
Tokenization is the process of representing your shares on a digital infrastructure.