NFT is one the fastest growing sectors of the economy, accounting for more than $40 billion in market. The industry started with digital artists selling standalone pieces of their art, and today it has grown into an industry swarming with thousands of projects that have the potential to transform the world’s major industries.
Within a matter of years, NFT markets have entered neck-to-neck competition against the global art market and are on their way to disrupting gaming, fashion and global supply chains. Financial NFTs have found creative solutions to some of the greatest problems associated with digital assets, even in finance.
NFTs now enter and disrupt the $34 trillion global property market. NFTs for real estate have the potential to create unique ownership and permit immediate transfers. They are changing real estate transactions by making it open and available worldwide. LiquidEarth has created the real-estate marketplace for NFTs and peer-to–peer lending platform.
How NFTs Transform Real-Estate
While NFTs can be considered by-products from blockchain technology and are similar to cryptocurrency, their uniqueness is that they cannot be fungible. NFTs are issued on Ethereum according to the ERC-721 standard. They can also be minted using smart contracts. Smart contracts give each NFT a unique hashcode that can be used as an identification number.
One owner can own NFTs at a time. The hash code allows for traceability of the owner. It’s these features that are utilized in the LiquidEarth real estate NFT marketplace.
LiquidEarth, which tokenizes real estate assets in the form of unique NFTs that can be traded for a tradeable value (that is, true ownership) and an up-to-date appraisal value. This platform integrates real estate and NFTs, allowing seamless buyers-seller transactions. This digitization preserves traditional property ownership rights. This NFT can be used to redeem for the original deed as well as other closing documents.
The platform allows users to instantly sell and buy property with a variety of cryptocurrency, including USDC and Ethereum. This makes it easier and quicker to buy and sell property. Buyers no longer have to be restricted to their local area and can purchase property anywhere in the world. LiquidEarth aims to bring in more than $100 billion through NFTs real estate.
Both buyers and sellers will find it more cost-effective and viable to sell and buy property through NFTs over time. LiquidEarth users can save up to 4% of the property’s value while purchasing it as an NFT.
Multiple security measures are in place to prevent theft and fraud of property, including KYC/AML and a clawback mechanism that returns the NFT back to its true owner.
LiquidEarth will be introducing some new features in the coming year. The first ever real-estate-backed NFT leverage platform will be available to users. This allows them to borrow against NFTs or crypto to purchase NFT properties in the market. Staking economics will be introduced by the company to allow users to stake NFTs and gain tokens. It will enable users to exchange or sell NFTs that they have still staked, accruing value.
LiquidEarth is the first of its kind in the real-estate industry and can prove to be the next step in the evolution of the world’s biggest asset class.
Market Integration
Over $325 trillion is the global value of real property assets. It hasn’t been integrated into the cryptocurrency industry. The introduction of NFTs is a major shift in the direction of one of the world’s most stable and valuable asset classes. By integrating the crypto market with real estate markets, companies like LiquidEarth open new doors.
The project allows seamless communication between sellers and buyers. It aims to transform the real estate industry by increasing participation through instantaneous transactions. This innovative asset will open up new possibilities and create a level playing ground for buyers and sellers so that they can easily buy or sell property.
Sebastian Wagner, Pixabay.