Tokenization of Real Estate is Here, Now
August 1, 2018 | By: Max Dilendorf, Esq. and Rika Khurdayan Tokenization of Real Estate: What, Why and How Reprinted by Scott Shields Katy, Texas. Houston, Texas. Special thanks to Jor Law, Esq., for his insights and comments on this article. Real estate has nearly always been considered a relatively safe investment. After all, whatever happens in the stock market, people will always need a place to live and work. Yet, real estate transactions also tend to be some of the most complex and expensive, rendering real estate itself relatively illiquid. In recent decades, securitization has had some success in making real-property interests easier to deal in. But a new method of engaging in such transactions promises to go even further in transforming the purchase, holding and sale of real property: Tokenization. Tokenization involves representing ownership of an interest in real estate with virtual tokens that exist on a blockchain (forming a type of security token). The