Changing Real Estate with Blockchain Technology

As the Internet and virtuality become more prominent in our daily lives, it becomes more reasonable to build reciprocal links between different types of spheres. In this regard, blockchain technology is linked to real estate. Real estate used to be synonymous with cash, money, and smooth real-time transactions, but the arrival and impact of blockchain technology has changed all of that. Here’s how these two have become mutually beneficial.

An Out-of-the-Box Approach

Digital assets have never been included in real estate transactions of high-value assets. Because big money was still out of reach, face-to-face transactions were the norm. As a result of the appearance of Blockchain, all of this has changed. Blockchain platforms introduced smart contracts in order to tokenize real estate, which was the first and most crucial step. The result was that real estate deals could now be traded in the same way as cryptocurrencies such as bitcoin and ether.

Platform and Selling

Due to the primary purpose of real estate being to connect buyers and sellers of homes, blockchain technology needed to develop strategies for facilitating this process and bringing innovation. Real estate transactions were made more comprehensive by developing online platforms and marketplaces. Online trading is now possible for real estate assets like stocks.

By liquidating assets via a token sale, home sellers can tokenize assets. A percentage of the property can be transferred to the buyers by exchanging tokens for fiat currency.

No Middle Man

A real estate agent conducted the sale and purchase process of homes in the case of real estate. A number of other parties were involved in the process, including lawyers and banks. In today’s world, however, blockchain technology may allow for a significant reduction of these roles. As a result of the blockchain technology, the new platforms are taking over the listing, payment, and legal documentation functions. In this way, the middlemen are removed, leaving the buyer and seller to make more money. Due to the fact that no commissions or fees will be paid, this will only be possible.

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