Digital Real Estate Investing: What Is Tokenized Ownership?

What Is Tokenized Property Ownership?

Tokenization is an updated version of traditional fractionalized property ownership. Tokenizing ownership means converting a physical asset such as real estate into several digital tokens; those who buy the tokens then own a portion of the equity in that asset.

Tokenization has the potential to provide market access to people currently priced out of real estate investing by making it more affordable.

Typically, when you invest in a tokenized property, you’ll be rewarded daily or weekly with a portion of rental payments in proportion to your initial investment. This payment is usually made in stablecoins or the platform’s native currency.

The Benefits of Tokenized Ownership‍

‍Affordable Investment

There are a few benefits to tokenized ownership, especially with real estate as an asset. The most blatant benefit would be that it doesn’t require the investor to purchase the entire property; the investment amount is completely customizable.

‍Passive Income

One complaint of real estate investors is that when you purchase a property, you have to refurbish and…