Welcome to the Asset Backed Cryptocurrency Token Superpage: Installment number two.
What is a SuperPage?
- A SuperPage is an article which will have multiple parts, and each a number and different topical aspect of one subject.
- This article will grow as new information is added in an attempt to create a definitive guide to a topic.
- The purpose is to provide large amounts of information and multiple links to other webpages with useful information.
- The other purpose is to achieve a high ranking on Google search. This increases the chance people will click on the page and come to Leofinance and Hive.
- Once readers are here the colorful User Interface and picture menu encourage them to check out other features on the sight.
Special Note:
- In part one we focused on the definition, explanation and vocabulary needed to understand Asset Backed Cryptocurrency Tokens or ABCTs.
- In part two I provide mostly reference material about companies involved in the actual tokenization of real estate, and the sale of the resulting Asset Backed Cryptocurrency Token on unique cryptocurrency exchanges created specifically for the purchase and sale of these asset backed Cryptocurrency tokens. These exchanges are used exclusively by whitelists of registered and accredited investors, or exception investors.
Note Two:
- This article starts with Part Two, but Part One is listed below Part Two, so if you missed it, your could skip down to Part One, then come back to the top to read part two.
Asset Backed Cryptocurrency Tokens, Part Two.
Introduction:
- It is important to realize that the majority of Asset Backed Cryptocurrency tokens are SEC compliant. These are delineated by the SEC as either security token projects or as utility token projects, and both kinds are operating in the United States and Europe.
- These projects comply with all known SEC rules and regulations, including KYC (Know Your Customer), AML (Anti-Money Laundering) and qualified investors rules, or exceptions to qualified investor rules.
- This last part is important because it allows non-qualified investors, as in those who have less then one million dollars in assets, to invest in your SEC compliant project.
- These are Cryptocurrency token exchanges for these SEC complaint Security Tokens and Utility Tokens, where registered investors buy and sell these Security Tokens and Utility Tokens, in a transparent and compliant manner.
- There are companies in America, Europe and Asia, who are actively involved in creating asset backed security tokens to improve the liquidity of normally illiquid assets. These projects are growing in number.
- This material deals in depth with companies tokenizing realestate.
Examples of real Estate Companies and Asset Tokenization Companies and Asset Backed Cryptocurrency Token Exchanges.
- This is reference material with cited sources:
SEC Complaint Asset Backed Cryptocurrency Token Projects and Exchanges
10 blockchain Real Estate Companies
Moving on, we’ll introduce you to the top 10 blockchain real estate companies that are bound to revolutionize the industry in the upcoming years.
**1. Republic **
So far, the digital real estate company’s supported over $250 million worth of investment opportunities. It’s worth adding that many companies that work with Republic are backed by well-known “angel investors” and venture capital firms.
2. SafeWire
Second on the list of the top blockchain real estate companies is SafeWire—formerly known as SafeChain, situated in Columbus, OH. The company is primarily focused on offering a solution to the growing number of wire fraud challenges, which are considered one of the main setbacks for real estate agents, firms, clients, and the industry as a whole. Wire fraud is IT-based fraud practiced by hackers with the intention of intercepting online transactions. SafeWire attempts to find solutions to protect targeted real estate agents and ensure safe real estate transactions. The platform also works toward authenticating buyers and sellers in the process.
3. Vairt
Another blockchain company situated in Ohio is Vairt.
The company is aimed at real estate investors who are interested in generating a secondary income as a part of the global real estate network. It’s a robust platform that provides a wide range of tools and resources, helping investors maximize their profits and make their plans a reality. Vairt sources and screens investment properties by using a 100-point screening tool backed by a third-party valuator for confirmation.
What’s crucial to mention here is that, with Vairt, there’s no lock-in period; investors are free to “exit” the property at any given moment. The data-driven, highly analytical approach and long-term support offered by the Ohio-based blockchain real estate company are a definite plus.
4. RealT
The next on the list of major blockchain companies is RealT, located in Boca Raton, FL. The company is actually an international one, allowing investors worldwide to explore and take a chance on investing in the US housing market. The RealT platform aims to assist investors in buying tokenized property, which allows them to access low-maintenance ownerships and cash flows. The Florida company is based on real estate tokenization, enabling fractional ownership of assets and a secured blockchain income. It simplifies the entire process—and allows the owners to collect revenue based on token shares.
ManageGo
ManageGo is another NY-based blockchain business that deserves mention here. The platform essentially leverages blockchain technology for owners of rental properties. To be more specific, ManageGo assists both owners and property managers in overlooking and processing payments, maintenance ticketing, and running credit checks. So, ManageGo simplifies the process by offering assistance when it comes to checking the renters’ backgrounds. Tenants are required to submit their maintenance tickets online. The idea behind it is simple. Improving the relationship between tenants and landlords. In case you’re interested, know there’s also a ManageGo app available for download via Google Play.
RealBlocks
RealBlocks, the sixth on our list of the blockchain companies revolutionizing the real estate industry, is also located in New York. The NY-based company focuses on connecting investors to the leading alternative investment managers, allowing them to raise capital globally. It will enable investors to buy “fractional interest” instead of the entire portfolio. It automatically reduces fees and speeds up the entire process. It is essential to mention that the RealBlocks platform, in particular, is considered a pioneer in blockchain networks, given that it launched in 2019. And so far, it’s made quite an impact when it comes to using blockchains in real estate.
SMARTRealty
SMARTRealty, located in Seattle, is seventh on our blockchain real estate companies list.
With SMARTRealty, the investors follow the protocols established by smart contract technology. Allow us to explain: The platform operates by relying on smart real estate contracts associated with rental agreements and property purchases. If the protocols aren’t met, it automatically leads to termination of the agreement—which adds a layer of security. Essentially, SMARTRealty is characterized by three major elements—contract platforms that consist of template systems, listing platforms, and the RLTY tokens used for payments.
**Reasi
**We’re down to our eight company—Reasi, based in Santa Monica, CA. Reasi takes pride in the fact that it’s the first end-to-end transaction platform for real estate. It deals with all elements of selling and purchasing properties. With the Reasi digital real estate investing platform, you can finish the entire process of making an offer, buying, and then receiving the deed—online. All the documents are digitally integrated and encrypted, allowing the parties involved more transparency and lower service costs.
Harbor
Located in San Francisco, Harbor is a blockchain real estate compliance platform that specializes in dealing with private securities. And yes, it includes real estate, as well. Basically, it tokenizes all kinds of assets—funds, real estate, private REITs, and so on—all with the goal of increasing liquidity and transparency.
On a related note, Harbor’s main services include the Digital Subscription Platform, Investor Portal and Dividends, and Marketplace as a Service—all of which can help streamline your alternative investment experience.
The Bee Token
Last but not least, we give you The Bee Token—also located in San Francisco—which takes on a totally different approach to blockchain-powered real estate investments.
The platform’s focus is on decentralizing short-term rentals. In that sense, it’s quite similar to Airbnb; it allows homeowners and investors to rent out their properties. But in the case of The Bee Token, they do so in exchange for cryptocurrency.
So, in essence, it’s a housing-related crypto real estate business.
You’ll be happy to know that The Bee Token’s team includes engineers from Uber, Google, and Facebook—along with a team of advisors from leading financial and tech companies.
Is Blockchain Real Estate Secure?
The final question deals with perhaps the most sensitive issue—security.
Investors will be happy to know that, due to the nature of blockchains, this type of digital real estate investing is 100% legit and secure.
If you’re not convinced about the whole “blockchain and real estate” thing, here are some facts that back up the statement.
If you’re a part of a member-only blockchain, you won’t have to worry about outside sources tampering with your data—since permission for access is required.
The information that has been “recorded” is there to stay—forever. There’s no risk of deleting the data once it’s stored. It will remain in the system permanently.
Hacking is out of the question, as well.
The networks are so well-equipped and protected that even a minor threat to the data stored requires an enormous amount of money and resources—a risk that virtually no one is willing to take.
Related: Is Real Estate Investing Recession Proof?
Final Thoughts
So, we’ve managed to explain the significance of blockchain technology and list the ten major blockchain real estate platforms that are bound to make a huge difference in the real estate industry.
Now, here’s our final take on choosing to take this digital route while researching the housing market 2022.
If you’ve been considering this type of digital real estate trading, you must first understand the essence behind blockchains and how they work. These databases are designed to store all information regarding real estate transactions.
This business is thriving—and the number of companies dealing with real estate through the blockchain is on the rise, too. We’ve listed the ten most popular ones that provide different services to issuers and real estate investors—but the list will keep growing.
It’s crucial to remember that blockchain real estate is secure. Your information is permanently stored—and there is no risk of anyone altering or deleting it.
If you are interested in purchasing an investment property and, at the same time, making use of blockchain networks, you should consider using Mashvisor’s Property Finder. With the Property Finder, you’ll have a chance to explore different profitable markets across the US.
SOURCE
The End of Part Two: Asset Backed Cryptocurrencyt Tokens.
- The below material is the materials from Part One, reproduced here as the first part of this SuperPage Project.
Part 1 of ABC Tokens : Definitions and vocabulary.
ABC Tokens are Asset Backed Cryptocurrency Tokens
- They are also called Security Tokens or Digital Asset Tokens. I prefer the term Asset Backed Cryptocurrency Tokens because it is unique and more descriptive of what the token means.
Brief Introduction to Asset Backed Cryptocurrency Tokens
- The first two things you need to understand about these tokens is First, these are created by people who are intentionally creating a cryptocurrency to function like a security. So these token projects follow all regulations and laws regarding securities.
- Second, these tokens are are backed by a ownwership stake or percentage of real world assets. They are the virtual representations of real and usually physical assets.
- These are also called Security Tokens and Digit Asset Tokens.
Vocabulary and Definitions
- I think ABC Tokens are best defined as cryptocurrency representing a ownership portion in a real world asset.
Investopedia definition:
As an investment asset, .. this is a digital asset that represents ownership or other rights, and transfers value from an asset or bundle of assets to a token. In plain language, .. these tokens are the digital form of traditional investments like stocks, bonds, or other securitized assets.
source
My definition:
These are cryptocurrency tokens, which are backed by fractional ownership of an asset like real estate, art, gold or a debt instrument like a mortgage or a lease. These tokens are registered with the SEC as securitites and their creation, sale and distribution follow all applicable securities laws.
source
Investopedia gives further clarity by example:
For example, a company that wishes to raise funds for an expansionary project can decide to issue fractionalized ownership of their company through a cryptocurrency token instead of issuing stock. It could then offer this token to investors on an exchange that allows the sale of ABCTs, security tokens or digital asset tokens.
source
Important things to know about security tokens versus other types of cryptocurrency tokens.**
ABCTs don’t need to have utility. An ABCT represents some kind of ownership, most commonly a share of the company issuing the token. The concept is the same as buying shares of stock on a traditional stock exchange. For this reason, security tokens are sometimes referred to as equity tokens.source
- ABC tokens are regarded as securities by financial regulatory authorities. This makes these tokens subject to the same regulations of ordinary stocks and bonds.*source
This characteristic attracts investors who come from the world of traditional finance and they celebrate the fact that ABC tokens offer all the legal protections and regulatory clarity to which they are accustomed.source
Securities and Exchange Commission, and the Howey Test
- No discussion of the securities in the United States would be complete without a discusion regarding the agency responsible for enforcing securities laws in the US, the SEC. And a discussion of the main law responsible for determining if something is a security, the Howie Test.
- Stated succinctly the Securities and Exchange Commission oversees securities exchanges, securities brokers and dealers, investment advisors, and mutual funds in an effort to promote fair dealing, the disclosure of important market information, and to prevent fraud.
Facts about the SEC
- Agency Name Securities and Exchange Commission
- Acronym: SEC
- Website:https://www.sec.gov/about/what-we-do
- Contact the Securities and Exchange Commission
- Main Address:
100 F St., NE
Washington, DC 20549 - Phone Number: 1-202-551-6551
1-202-551-4119 (Disability Program)
Toll Free:
1-800-732-0330 (Investor Information) - Government branch: Independent Agency
Mission Statement of the Securities and Exchange Commision:
The federal securities laws we oversee are based on a simple and straightforward concept: everyone should be treated fairly and have access to certain facts about investments and those who sell them.
To achieve this, we require public companies, fund and asset managers, investment professionals, and other market participants to regularly disclose significant financial and other information so investors have the timely, accurate, and complete information they need to make confident and informed decisions about when or where to invest.
We protect investors by vigorously enforcing the federal securities laws to hold wrongdoers accountable and deter future misconduct.
We provide investor education and resources through our Office of Investor Education and Advocacy.
source
Howey Test
- This is a test used by the US Government to determine if an asset is a security, and therefore subject to US Securities Laws.
In the United States, anything that meets the definition of a “security” falls under the regulatory purview of the Securities and Exchange Commission (SEC). This includes security tokens. While this seems straightforward, there are still quite a few tokens that have characteristics of securities while also being utility tokens, leaving their future uncertain.
source
The Howey test has a four-part parameter:
1. Investment of money… meaning that someone has invested in goods or services.
2. In a “common enterprise”… meaning that investor’s funds are either interwoven (horizontal commonality) or there’s a direct correlation between the promotion of the investment and its success or failure (vertical commonality)
3. With an “expectation of profit”… an expectation of profits can be either from fixed returns or capital appreciation.
4. “Solely on the efforts of others”… meaning that if any profit involved stems from the efforts of the people who promoted the investment, it fulfills the fourth part of the Howey Test. source
It boils down to this: when someone invests money into something in the hopes of profiting from the efforts of another person, that investment can be considered a security.
source
This is the end of the first installment of the Asset Backed Token Superpage
**Please add your feedback below""
ABC Tokens are Asset Backed Cryptocurrency Tokens
- They are also called Security Tokens or Digital Asset Tokens. I prefer the term Asset Backed Cryptocurrency Tokens because it is unique and more descriptive of what the token means.
Brief Introduction to Asset Backed Cryptocurrency Tokens
- The first two things you need to understand about these tokens is First, these are created by people who are intentionally creating a cryptocurrency to function like a security. So these token projects follow all regulations and laws regarding securities.
- Second, these tokens are are backed by a ownwership stake or percentage of real world assets. They are the virtual representations of real and usually physical assets.
- These are also called Security Tokens and Digit Asset Tokens.
Vocabulary and Definitions
- I think ABC Tokens are best defined as cryptocurrency representing a ownership portion in a real world asset.
Investopedia definition:
As an investment asset, .. this is a digital asset that represents ownership or other rights, and transfers value from an asset or bundle of assets to a token. In plain language, .. these tokens are the digital form of traditional investments like stocks, bonds, or other securitized assets.
source
My definition:
These are cryptocurrency tokens, which are backed by fractional ownership of an asset like real estate, art, gold or a debt instrument like a mortgage or a lease. These tokens are registered with the SEC as securitites and their creation, sale and distribution follow all applicable securities laws.
source
Investopedia gives further clarity by example:
For example, a company that wishes to raise funds for an expansionary project can decide to issue fractionalized ownership of their company through a cryptocurrency token instead of issuing stock. It could then offer this token to investors on an exchange that allows the sale of ABCTs, security tokens or digital asset tokens.
source
Important things to know about security tokens versus other types of cryptocurrency tokens.**
ABCTs don’t need to have utility. An ABCT represents some kind of ownership, most commonly a share of the company issuing the token. The concept is the same as buying shares of stock on a traditional stock exchange. For this reason, security tokens are sometimes referred to as equity tokens.source
- ABC tokens are regarded as securities by financial regulatory authorities. This makes these tokens subject to the same regulations of ordinary stocks and bonds.*source
This characteristic attracts investors who come from the world of traditional finance and they celebrate the fact that ABC tokens offer all the legal protections and regulatory clarity to which they are accustomed.source
Securities and Exchange Commission, and the Howey Test
- No discussion of the securities in the United States would be complete without a discusion regarding the agency responsible for enforcing securities laws in the US, the SEC. And a discussion of the main law responsible for determining if something is a security, the Howie Test.
- Stated succinctly the Securities and Exchange Commission oversees securities exchanges, securities brokers and dealers, investment advisors, and mutual funds in an effort to promote fair dealing, the disclosure of important market information, and to prevent fraud.
Facts about the SEC
- Agency Name Securities and Exchange Commission
- Acronym: SEC
- Website:https://www.sec.gov/about/what-we-do
- Contact the Securities and Exchange Commission
- Main Address:
100 F St., NE
Washington, DC 20549 - Phone Number: 1-202-551-6551
1-202-551-4119 (Disability Program)
Toll Free:
1-800-732-0330 (Investor Information) - Government branch: Independent Agency
Mission Statement of the Securities and Exchange Commision:
The federal securities laws we oversee are based on a simple and straightforward concept: everyone should be treated fairly and have access to certain facts about investments and those who sell them.
To achieve this, we require public companies, fund and asset managers, investment professionals, and other market participants to regularly disclose significant financial and other information so investors have the timely, accurate, and complete information they need to make confident and informed decisions about when or where to invest.
We protect investors by vigorously enforcing the federal securities laws to hold wrongdoers accountable and deter future misconduct.
We provide investor education and resources through our Office of Investor Education and Advocacy.
source
Howey Test
- This is a test used by the US Government to determine if an asset is a security, and therefore subject to US Securities Laws.
In the United States, anything that meets the definition of a “security” falls under the regulatory purview of the Securities and Exchange Commission (SEC). This includes security tokens. While this seems straightforward, there are still quite a few tokens that have characteristics of securities while also being utility tokens, leaving their future uncertain.
source
The Howey test has a four-part parameter:
1. Investment of money… meaning that someone has invested in goods or services.
2. In a “common enterprise”… meaning that investor’s funds are either interwoven (horizontal commonality) or there’s a direct correlation between the promotion of the investment and its success or failure (vertical commonality)
3. With an “expectation of profit”… an expectation of profits can be either from fixed returns or capital appreciation.
4. “Solely on the efforts of others”… meaning that if any profit involved stems from the efforts of the people who promoted the investment, it fulfills the fourth part of the Howey Test. source
It boils down to this: when someone invests money into something in the hopes of profiting from the efforts of another person, that investment can be considered a security.
source
This is the end of the second installment of the Asset Backed Token Superpage
About @shortsegments
Shortsegments is a writer focused on cryptocurrency, the blockchain, non-fungible digital tokens or NFTs, and decentralized finance for over five years.
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