Tokenization of Real Estate

Process of Tokenization by NFT and marketing in easy steps

Tokenization of real estate is the process of converting property ownership into a digital token like a non-fungible token(NFT), on a blockchain.

The NFT represents the asset in which all the characteristics in the real world is implemented in the digital world, as a secure, transparent and immutable digital deed.

Using smart contracts, the NFT can represent full ownership or fractional like a share in a company, making ownership of property more accessible, transparent and fluid to transact for everybody.

Step one for tokenization

1- Select your property to be tokenized and evaluated

An owner decides a property to tokenize as a NFT and has the value evaluated by AI considering the current property market.

2- Token as a NFT creation (minting):

A unique NFT is minted on a blockchain network by a smart contract, providing privacy and secured information on the ownership through the verification of the title deed.

3- Marketing phase:

The NFT, once issued, can be marketed on marketplaces until the token is sold.

Lawyer legalizing transfer property

4- Ownership transfer:

When a NFT is sold, the smart contract automatically transfers ownership of the NFT and the transaction has to be legalized by a notary or a lawyer to remove any legal issues about the property transacted.

Tokenization of Real Estate with Stellarise

Stellarise is an Innovative Marketplace to enable the sale of Real Estate safely through NFTs. Understanding Tokenization in Real Estate.

Tokenization of real estate is a revolutionary concept that leverages blockchain technology to enhance property transactions. By converting physical assets into digital tokens, real estate can be divided into fractional ownership, allowing more investors to participate in the real estate market. This innovative approach simplifies the buying and selling process, making it significantly more accessible.

The Role of NFTs in Property Sales

Non-fungible tokens (NFTs) play a crucial role in the tokenization of real estate. Each NFT represents a unique asset, ensuring that ownership records remain transparent and secure on the blockchain. This novel method of property sales not only minimizes paperwork but also enables quick transfers, thereby reducing the time and effort typically associated with real estate transactions.

Advantages of Blockchain in Real Estate

The integration of blockchain technology in the property market offers numerous benefits. With tokenization, transactions become more streamlined and less cumbersome. Moreover, the use of smart contracts guarantees compliance and reduces the risk of fraud, reassuring buyers and sellers alike. As more individuals recognize these advantages, tokenization of real estate with NFTs is poised to redefine the marketplace and expand investment opportunities.

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