Fractional NFT Real Estate and Where to Find It
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In the metaverse, NFTs have gained fame for their use in the trading of digital land, e.g. a plot of land next to Snoop Dogg’s mansion in The Sandbox, a popular metaverse game, recently sold for USD 450,000. At the time of this writing, land in The Sandbox can be bought on secondary markets for a minimum price of 3 ETH, or about USD 12,000. As a consequence, the success of digital land trading made crypto enthusiasts.
What is Fractional NFT Real Estate?
Real estate entrepreneurs wondered if NFTs could be used for purchasing land in the physical world. Of course, physical land can be expensive, often even more so than digital land. To combat this, crypto entrepreneurs were able to take another advancement from the digital NFT space, fractionalization, and apply it to the physical world.
The first property sale to be facilitated by NFTs was finalized in June. This was made possible by a process called tokenization, during which property ownership rights are encoded into a blockchain.
In digital spaces, fractionalization often refers to sharing costs and ownership rights of NFTs that represent digital artwork. This can be seen on fractional.art, where CryptoPunks are being split, or fractionalized, and sold to multiple investors.
In the physical world, fractionalized NFTs, combined with tokenization, allow investors to split costs and ownership rights of real-world assets like real estate. Fractional NFT real estate is simply that – tokenized ownership of real estate assets that are split and shared between multiple people.
Why Is Fractional NFT Real Estate Desirable?
Fractional NFT real estate splits the costs of buying and owning property between multiple people. This lowers the amount of startup capital needed to get into the real estate market, making it more accessible to new investors.
Fractional NFT Real Estate can also be used to revenue share on rental properties. Given the efficient ownership management that comes with NFTs, along with the limitless potential of the smart contracts behind them, fractional NFT real estate can provide investors with an easy and frictionless way to generate passive income.
Where to Find Fractional NFT Real Estate
Fractional real estate NFTs are currently provided by platforms like Futurent, Labs Group, Aqar Chain, and RealT. Of these, Futurent is undoubtedly the industry leader, thanks to its multi-sector trading platform and cross-chain support.
Futurent is approaching release and is set to go live through Avalanche and/or Polygon in January. Both networks allow users to enjoy all the benefits of ERC20 tokens and smart contracts without the high transaction fees of the Ethereum Network.
Futurent has a global network of members with a fully doxxed team, based in Slovenia (Europe). Upon launch, Futurent will support fractional NFT real estate in Dubai, Switzerland, Turkey and the Netherlands. Shortly afterward, Futurent will add commercial real estate across Europe to its roster. Commercial real estate is considered by many to be safer due to its business occupants, and typically offers a much higher ROI than residential real estate.
Through Futurent, investors can use cryptocurrency to purchase fractional shares of real estate and jointly rent them out. This will give investors the power to generate passive income while enjoying benefits commonly associated with cryptocurrencies like security, privacy, and liquidity.
Transactions on Futurent’s platform will be done using their native token FUTR, along with multiple other cryptocurrencies like ETH. FUTR will also be used for staking, earning holders up to 120% APY.
Thanks to tokenization, NFTs have made it possible for netizens to invest in real estate from the comfort of their own homes. Futurent, a pioneer in the fractional NFT real estate space, takes that a step further by enabling investors to buy and rent properties together, sharing costs and profits. For more information, please visit