A new London based startup SmartLands is now offering real estate through Stellar based tokens. It uses blockchain to connect British clients, real estate agents, and the asset holders on a single platform.
The UK-based startup showcases a message on their website “Embrace a New Era of Property Investment,” and they are correct to do so. Tokenizing the real estate using digital ledger technology (DLT) to liquidate the transactions process seems like a swell idea.
It is feasible for both the customers and the vendors, as the company chief executive officer (CEO) Arnoldas Nauseda explains.
The company has its headquarters in Vilnius, London, and Kiev while the team behind the idea comprises of a number experienced staff coming from different sectors such as banking, compliance, fintech, venture capital and, of course, blockchain technology.
The startup aims to build a crowdfunding platform (2.0) for which they will be receiving both crypto coins and fiat.
Smartlands is, initially focusing on student accommodation buildings in Nottingham. This project is priced at twevle million Euros (£12 M). Institutional intervention or pension funds tend to play out nicely in student accommodations usually, but with tokenizing the property business, things are about to change.
For a minimum amount of five hundred Euro (£500), a token can be bought by retail investors to confirm that they own the property and any earnings as rent, that they make off it- belongs to them.
Handing over the property to a new buyer will be made easier this way by cutting out the long journeys to the attorney’s office and just giving up the Token to the new owner who is buying the house.
With respect to wider horizons, there are no boundary sanctions when it comes to cryptocurrency. The same rules apply to the objects to which this currency acts as an asset. Hence, global trading in real estate will be a breeze.
“Negligible transaction fee (.00001 XLM ~= $0.0000002). 10 XLM/offer deposit (refunded when offer filled or canceled). No gas fee for computations.”
In January 2018, Smartlands carried out an Initial Coins Offering (ICO) on the Stellar Blockchain and hence, the property tokenization will be done by Stellar as well. The stellar network is cost-efficient, as stated on their website.