The market has grown around the world, but in Brazil some barriers may be dismantled in order to flourish in this sector.
Buy a digital piece of a physical product and even get an income from this investment. This is the concept of tokenization, which can even impact the real estate sector in Brazil and contribute to the future of investors.
In recent years, cryptomaps have become part of the financial news. With unprecedented innovations, the significance of investments has changed over the past eleven years.
With the emergence of Bitcoin, and consequently of blockchain, the world has gained a new experience. In this sense, tokenisation may be a trend for the coming years.
Brazil may have token properties in the future, as is already seen in other parts of the world
The world is going through a unique moment in 2020, especially with the new coronavirus pandemic. The arrival of a dangerous new virus has led many businesses to go digital.
This process has been driven by governments and private companies, including in the real estate sector. Speaking on the subject, Meetup Bitcoin São Paulo conducted a debate with Rubens Neistein last Saturday (26). He, who is the CEO of BlockMaster Brazil and co-founder of the start-up BlockImob, is a specialist in real estate tokenization.
With the theme „Blockchain and the Future of the Real Estate Market“, Rubens has been dedicated to work for the sector and could share a little of his experience. According to him, „the possession of a token gives its holder specific rights within that network of users“.
The specialist pointed out that the real estate market is now one of the largest in the world in terms of market value. With US$ 217 trillion in value, this is the largest market in the world today, he said.
However, the real estate market offers many resistance to investors. Liquidity, for example, is one of the problems of this market, in addition to the high cost of negotiating a property.
The future of property should be made by „Security Tokens“.
According to Rubens, the future of the property will be via tokenization of the properties. With the use of so-called security tokens, people will be able to have more liquidity and less bureaucracy in real estate negotiations.
Citing examples of real estate negotiations that use tokenization today, Rubens presented flats and houses around the world. In this way, investors interested in buying one meter of a flat, or two meters of a house, can easily make the investment.
This new technology even allows people to earn an income if the property is rented out. This proposal is different from real estate funds and allows investors to have direct access to the properties of their interest, including with their digital possession.
Some obstacles for the scenario to flourish in Brazil are still the regulation of these investments. However, Rubens said that the CVM is already looking into the matter and should take a legal stand.
Tokenization has been common in the investment business, and even a Ferrari was tokenized recently. The specialist said that shares, roads, among others, could be tokenized in the future. The main cryptomeda for tokenization is Ethereum.
Finally, it is worth noting that in Brazil the sale of real estate by cryptomoeda has skyrocketed. As Livecoins recently found out, a broker has made more sales by accepting these coins.