The real estate industry stands to benefit massively from the blockchain technology. Soon enough, one will be able to purchase rental houses, dream houses, and even parking spots on the blockchain.
Matter of fact, the newly formed industry (blockchain-based real estate) is gaining popularity fast as buyers, sellers, and even investors see it as a way to interact with each other and get informed about new properties.
By leveraging the blockchain, the real estate industry will be able to increase trust due to the transparent nature of the distributed ledger technology. Additionally, self-executing smart contracts will save time and reduce costs.
Given that real estate transactions are so immense, the industry stands to benefit from having a shared database that holds the lease and purchases data.
Also, the technology will offer more transparency through a transparent ledger system that allows brokers and agents to see the entire transaction history of a particular property.
In this piece, we are going to go through a few top companies that are using the blockchain technology to transform the real estate industry.
Wolfs Group is a consulting company based in Europe that is made up of several well-established companies that are listed on the stock market. The company focuses on three main areas, namely; fintech, new technologies, and real estate. Its real estate arm is run by Wolfs Development, which tries to merge real estate with economic innovation. The company has an ERC 20 token based on the Ethereum blockchain know as WLF token that will enable investors to get a slice of the company’s investments in real estate and other areas it’s involved.
Founded in 2018, RealtyBits is a blockchain-based real estate investing platform that allows investors around the globe to buy entire properties or fractions of the assets. Based in Palo Alto, the company aims to open up the American real estate industry to investors around the globe. Consequently, the platform helps real estate companies to raise funds through crypto investments. In the long run, the platform hopes to lower the cost of investing in commercial real estate.
Agents Not Needed
Founded in 2017, this platform seeks to replace the need for real estate agents by providing the buyer and the seller with a peer to peer platform that doesn’t need much management by intermediaries. The platform has embarked the blockchain revolution to the property transaction process, making it cheaper, faster, and secure. This platform, like its name, is for individuals and not agents. It offers people the necessary tools and a marketplace where they can communicate, arrange viewings, make offers, and sell their own property.
Founded in 2018, BrikBit is a blockchain-based platform that is working on decentralizing the real estate industry to make transactions more transparent. The platform aims to achieve its objective by empowering unique projects within the real estate industry to be able to create their own blockchains, which will act as sidechains of the BrikBit blockchain. By doing this, various projects can be customized to meet local regulatory requirements. The platform’s system will help with property management and fund collection.
CryptoProperties is a tech company that is building blockchain data applications that are focused on identifying issues within the real estate industry, reducing risk, and identifying new opportunities. The company is using the blockchain technology in multiple real estate areas, including finance, property development, brokerage transactions, investment management, and insurance.
Founded in December 2017, Briq is a data management blockchain-based platform that is designed to improve the real estate industry by placing development and construction data securely on the blockchain. Since its launch, the company has been working on digitizing aspects of the construction supply chain, like adding protocol layers that help manage the flow of materials. By doing so, the platform aims to streamline real estate development.
RealBlocks is a tech company that is using the blockchain technology to tokenize the real estate, thereby creating new avenues for investing in the industry. The company has created a platform that allows real estate investors to buy fractions of assets instead of the entire portfolios or properties. By tokenizing the sector, the company is helping reduce fees, provide liquidity, and speed up processes.
This list wouldn’t be complete without the mention of Propy; one of the first blockchain-based real estate projects that paved the way for the rest. Founded in early 2017, the platform is by far one of the most successful within the industry. It aims to solve the many problems that face online real estate transactions, including high costs, time wastage, and fraud. The solution is a platform that acts as a property store and asset transfer for the international real estate industry. Propy allows buyers, brokers, sellers, and agents to meet on the same platform and conduct transactions on the blockchain using smart contracts.
As exciting as the above projects are, it’s good to remember that we are still in the early days of blockchain uses within the real estate industry. And we are likely to see more applications than we can currently fathom come up as the technology matures.