For folks who want to make suitable investments, real estate tokenization is an amazing alternative to position your cash to production and have desirable profitability.
Being a notably new term, you can have questions about this sort of investment, including what’s the difference among real estate tokenization and crowdfunding ?
In this blog we can tell you the primary differences among these funding alternatives and the most large blessings of tokenization so that you decide to invest profitably and adequately.
What is real estate tokenization?
Real property tokenization is an alternative to making an investment in tokenized properties , this is, houses that exist within the actual international but are represented in the digital international.
This form of investment generates an approximate return of 10%, with month-to-month returns and the possibility of taking flight from the funding whenever you want. Furthermore, due to the fact the whole lot is virtual, there may be no geographical restriction.
Another tremendous benefit of tokenization is that the funding does not have to be in a hundred% of the property, in this situation the percentage is described through your price range.
In this way, you can change investing in a small percentage and whilst you verify that it’s miles a excellent investment choice, you could allocate more capital to generate greater profits.
Differences between crowdfunding and tokenization :
People like you who know about the world of investments may wonder what the difference is between crowdfunding and tokenization, since the former also gives you the possibility of investing in small parts of a property.
Below we explain the main differences that also put real estate tokenization at an advantage. Take note so you can choose the best investment alternative for you.
Blockchain technology
Blockchain technology consists of a network of blockchains or a list of data records that operates in a decentralized manner, like the Internet. That is, it is like a large global network that allows information to be transferred.
We know that this concept can be complex to understand, however, the important thing is that you understand that blockchain technology provides security to your investment, because even though everything is done digitally, it is an investment that is protected and that, as mentioned above, it cannot be manipulated.
One of the main differences between tokenization and crowdfunding is that only the former has this technology, which is a guarantee for your investment.
Immediate liquidity
Unlike crowdfunding , with real estate tokenization you have the possibility of selling your token to a third party and they, in turn, can sell it to another and so on.
The above allows you to have complete control over the tokens you acquire, either to keep them or sell them whenever you decide.
Investment withdrawal
The use of blockchain technology brings another great benefit to tokenization and that is that you can sell your token to a third party at the time you want to withdraw and recover all your capital.
While in crowdfunding you do not have as much control over your money, since it is the company through which you have made the investment that manages your money and everything that you can see. With tokenization everything is more transparent and secure.
Financial security
In addition to the security that blockchain provides to real estate tokenization, unlike crowdfunding , this type of investment has technological tools that make transactions increasingly safer.
For example, tokens are developed through Smart Contracts to guarantee the security of the operations you carry out as an investor and even the protection of your data.
Invest with BlockchainX
At BlockchainX we offer you all the benefits of real estate tokenization so that you can invest in tokenized properties all over the world, with a return of more than 10% annually.
In addition to all the advantages mentioned throughout this blog, in our company we provide you with personalized advice so that you have clarity about your investment and can resolve any doubts that may arise about this investment alternative.
Likewise, since we know that you enjoy learning about this type of investments, we put at your disposal an online learning platform, completely free, so that you can learn everything about real estate investments and blockchain technology.
We are your best option to invest safely and with good profitability!
Conclusion :
Finally, it should be noted that real estate tokenization is the best investment alternative in the real estate sector since it does not require large sums of capital or much knowledge in the sector to obtain good returns.
Likewise, although the term crowdfunding may seem similar to tokenization, you must keep in mind that its main difference is that tokenization only has blockchain technology, which provides your investment with security and immediate liquidity , that is, the Possibility of withdrawing your capital whenever you want.
Finally, a good company to invest in real estate tokenization is BlockchainX, since we offer you, in addition to profitability of more than 10%, support in everything related to this type of investment so that you feel safe and become an expert. in this field.