There was a time when it was unusual to say “East Village” and “luxury condo” in the same sentence. But this is now, and in New York City an East Village condo development assessed at $30 million has been tokenized on blockchain.
Tokenization is a financing method where the ownership of real assets, in this case real estate, are represented digitally.
The development, at 436 & 442 East 13th Street, contains 12 condos, each with 1,700 square feet of space and each now tokenized on the Ethereum blockchain, a first in New York real estate, according to the broker. That means you can buy a piece of the property using any number of available tokens.
“The market in New York is always strong, but it can take some time to sell for the right price in a new construction building,” broker Ryan Serhant told Forbes. “With blockchain tokenization, we can remove the unruly pressure of traditional bank financing, which is much healthier for the project and all of the stakeholders. Tokenization is paving the way for a new forefront in real estate development.”
Not to mention paving the way for luxury condos to go up in formerly scruffy neighborhoods like Manhattan’s East Village and throughout New York City’s other boroughs. Digital assets firm Propellr worked with tokenization specialist Fluidity on this real estate deal.