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The real estate market, estimated at $217 trillion, offers investors high returns. However, it still remains closed for a wide audience because of the high entry ticket, lack of liquidity, slow ownership transfer, and high transaction costs. Alt.Estate, a financial technology company, created the protocol and the platform for real estate tokenization to push the real estate market to become truly decentralized.
Driven by the idea of the real estate investments democratization, Alt.Estate has a strong potential to become an industry standard for the blockchain-based real estate transactions. Among the main project’s advantages are a strong technology stack, a go-to-market strategy with 10X leverage, a working prototype with three tokenized apartments in major geographies, community support, and a solid pipeline of enterprise deals.
Real Estate Industry Standard
Alt.Estate addresses the market difficulties, and its Protocol aims to become an industry standard for the tokenized real estate. It includes the smart contract technology, corporate structure and legal compliance aspects of property tokenization. Real estate developers, brokers, marketplaces and crowdfunding platforms get a turnkey solution for property tokenization with no infrastructure costs from their side. 20+ smart contracts and a smart contract builder were already created. The latter allows to develop them in a quick and simple manner and to ensure the legal property rights guaranteed with tokens.
Alt.Estate Platform is a marketplace for primary sales and secondary trading of tokenized assets. Together with the Protocol, the Platform allows users to trade real estate in fractions and ensures higher liquidity and lower costs.
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Working Prototype Before the Crowd Sale Start
Alt.Estate’s competitive advantage is a working prototype. Three apartments in major real estate markets – Japan, USA, and EU – have already been tokenized. It is possible to buy the fractions of the properties on the company’s website.
“Win-Win” approach
Alt.Estate’s solution is beneficial for various audiences:
- It opens the market for the mid-size investors. Often they cannot easily purchase an entire property or there are local law restrictions for non-accredited investors. With Alt.Estate, they can buy and sell multiple properties’ tokens from the secondary market and create their own diversified portfolio. For example, they can own shares in Manhattan apartments, Bali villas, bungalows in Hawaii and Hong Kong offices instead of owning just 1 expensive property in one geography.
- With real estate tokens, new opportunities open for crypto community members. By investing it in real estate, they can protect their assets from the volatile exchange rate.
- Crypto traders can build a global real estate portfolio in 1 click and trade its tokens. Even though Alt.Estate doesn’t make any recommendations about any particular investment, the Platform provides investors with tools, market data, sponsor information, property and third-party information.
- Crypto whales can purchase properties for personal use. They get a convenient and low-cost way to buy expensive real assets.
Such approach is a “win-win”. Thanks to Alt.Estate, real estate companies can use a built-in ready-to-use widget to boost their sales, without huge costs to develop their own solution. While customers get a chance to buy property with as low as $100 and get affordable real estate fractional ownership deals. Alt.Estate receives commission and builds strong sales and marketing via existing large players, leveraging their huge budgets.
This widget allows Alt.Estate to have a massive leverage in marketing: for each raised dollar the company can spend 3-10 dollars of real estate developers’ marketing budgets instead of 30 cents. Using 10X leverage in marketing budgets, Alt.Estate protocol has a potential to scale faster, become a standard in the real estate industry quicker and at a lower cost for the company.
Strong Demand from Institutional Investors and B2C
The demand for ALT tokens will be primarily driven by the B2B segment. Blockchain offers even better risk/return perspective, higher liquidity, lower costs and less complicated cross-border transactions. The private equity funds and other institutional investors are expected to buy tokens in huge amounts to leverage the opportunities of the platform.
In 3 years the Platform trade turnover is expected to reach $4 billion. The demand for ALT tokens is forecasted to be 10 times higher than the initial token supply.
Team and Advisors: Diverse Experience and $4B in Real Estate Deals
Alt.Estate’s core team includes professionals with a background in IT, real estate, investments, marketing, and operations.
To enhance Alt.Estate expertise and accelerate the development in different countries, strong professionals have joined the advisory board. Company’s advisors work for the leading real estate companies with more than 2000 offices in 150 countries: top-notch software engineer Matthew Falk, early Ethereum investor and sales executive Evan Huddleson, PwC director Sayan Tsyrenov, legal expert Brian Meegan, partner at Cushman & Wakefield and Head of CEE Research Denis Sokolov, Savills partner Alexander Shatalov and Knight Frank partner Stas Tikhonov.
Alt.Estate’s team and advisors have a combined experience of $4 billion in real estate deals.
Approval of the Crypto Community
The last but not the least is the crypto community support. Alt.Estate already has the approval of early Ether investor Evan Huddlesone and it was warmly welcomed by the wider community. For example, the number of followers across social media platforms exceeds 16K.
There are different community reward types: up to 25% of all commission is paid as block rewards on the internal blockchain, analysts can earn tokens for selecting the properties and appraisal services, promoters – for marketing etc.
Alt.Estate’s ALT pre-sale started on March 30, 2018, and will last until April 10, 2018. The public token sale will run from May 1 to May 31, 2018.
Do you have any questions about Alt.Estate? Check our website or reach our team on Telegram. Also, follow them on Twitter and Facebook.
Images courtesy of Alt.Estate and ShutterStock
The post Alt.Estate Allows Everyone to Invest in Real Estate appeared first on Bitcoinist.com.
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