Blockapital reinvent the investment industry through tokenization of innovative investment vehicles.
Tokenization. A revolution ?
A game changer technology
A technological innovation is currently disrupting sectors as major as finance, tech and real estate.
This technology, it is Blockchain.
Mysterious and slightly barbaric term for the ones who don’t understand its usage. Revolutionary technology for the ones who see in it a disruptive innovation, like internet in the 2000s.
Some experts of the industry estimate that the blockchain industry in 2022 is as mature as Internet was in 1995.
In other words, Amazon, Google or Apple of the Blockchain are just being born.
In that context, tokenization disrupts deeply the way companies and people possess their assets.
Wanna know more ?
How does Tokenization works ?
Hold on, it’s easy !
Well to understand tokenization you first have to understand Blockchain.
What is a Blockchain ? A Blockchain is a huge ultra-secure ledger.
The same kind of ledger that a notary would use to know who is the owner of what at a given time.
Registers are used every day without knowing it:
– When you pay €50 for dinner at the restaurant by credit card, the bank will, in its register, move €50 from your account to that of the restaurant.
– When you buy an apartment, the notary will check in the land register that the seller owns the property and transfer the property to you.
The problem with these registers is that they are centralized; this generates :
– Slowness (a real estate transaction lasts weeks or even months)
– Material constraints (example: if you have to make a significant transfer abroad, the bank will ask you for supporting documents
– Financial constraints (significant transaction costs)
Blockchain is a technology that tries to solve these disadvantages by creating a decentralized and secure ledger.
With this technology, the property information is stocked in a secured algorithm.
It can be checked by all the users of the ledger without being possible to falsify it.
So... Tokenization ?
Now you can understand !
Now that you understand Blockchain, the concept of Tokenization is simple to explain.
Imagine an Asset. You can know separate this asset in a lot of small shares. It can be tracked in real-time who owns a given share.
Those shares, called “token” can be bought, sold and they can offer special benefits. All that with safe processes.
In other words, assets smaller than big NASDAQ companies can now be separated, totally or partially, into a shares-owned system.
This way, Project leaders benefits from an important fund raising potential through the power of Crowd Equity.
At the same time, Investors benefits from new potential and lucrative investment possibilities.
This is the Power of Tokenization.
Benefits of Tokenization
Among them
- Technological possibilities : Tokenization enables to digitalize assets that couldn't have been splited in many different "shares" before. This is the case for example of some real estate, all the non-listed companies, intellectual properties, rental vehicle fleet, etc.
- Simplicity of transaction : you can buy and sell tokens quickly, without needing the intervention of slow and often expensive intermediaries (agency, broker, notary, lawyer, etc.)
- Investment amount : Investing in a startup or in real estate often requires a big entry ticket. Thanks to tokenization, you can invest in an promising asset starting from tens or hundreds of euros.
- Diversification : Investing in assets often goes with some risks. With tokenization you can easily split your Investment on different assets. For example when it comes to real estate, instead of buying an apartment for the total amount of 100'000€, it's safer to buy 10 times 10'000€ of different apartments .
Wanna know more about Tokenization ?
Here are some Articles that seems really interesting to read
What Asset-Backed Tokens Mean for Business & Wealth Creation
"Asset-backed tokens are digital claims on a physical asset and so are backed by that asset. Gold, crude oil, real estate, equity, or just about anything else can be tokenized ..."
By Johannes Schweifer, CEO at CoreLedger
>> Read Article <<
The Transformation Of An Industry: Blockchain-Based Real Estate Assets
"Tokenization is having a significant and profoundly positive impact on the real estate industry. This process will ..."
By Garratt Hasenstab, >> Read Article <<
Tokenization – From illiquid to liquid real estate ownership
"The tokenization of real estate assets is a key topic in the real estate industry. Barely any other topic is currently being discussed as intensively as the blockchain-based technology of tokenization ..."
By Alessandro Lanzarotti, Senior Consultant Real Estate Valuation EY
>> Read Article <<