Blockchain technology leads the transformation of the real estate industry, making the purchase of properties with encryption assets a reality

In a recent podcast interview, a founder of a real estate technology company shared her vision for the future of the real estate industry. As a professional with 15 years of experience in real estate development and a software engineer, she has gained deep insights into the pain points in traditional property transactions. She stated: "In the next decade, people may only need a few clicks to purchase properties online from around the world, making the entire process fast, low-cost, and free of fraud concerns." Although this vision sounds quite futuristic, she believes that such changes have already begun to manifest, driven by technological advancements and market demand.

For a long time, the real estate market has been constrained by high transaction costs, lengthy transfer processes, and a plethora of fraud risks. The traditional home buying process often involves cumbersome contract signings, bank loan approvals, property registrations, and multiple other steps, resulting in a transaction cycle that can last for several months. At the same time, issues such as property fraud, identity theft, and fund transfer scams have caused significant losses for buyers, making this market fraught with uncertainty. With the increase in cross-border property transactions, these risks have also expanded globally. During the digital transformation process, the collision between traditional paper document management methods and new technologies has exacerbated identity theft and fund transfer risks, further adding to market uncertainty.

In response to these industry challenges, an innovative company has emerged. The company's team has built a decentralized property management system based on smart contracts, achieving multiple innovations through Blockchain technology:

• Automation: The system can automatically execute transaction terms, verify ownership and funds flow in real-time, significantly shortening the transaction cycle.
• Secure and Transparent Mechanism: The distributed ledger technology of Blockchain ensures that all transaction processes are open and transparent, preventing information tampering and fraudulent activities.
• Real-time tracking throughout the process: Every transaction step is recorded on the Blockchain, allowing relevant parties to view the transaction progress at any time, effectively reducing the risk of human error.

Currently, the platform has processed over $4 billion in transaction volume. Through its innovative property tokenization solution, the platform has successfully made complex cross-border real estate investments as simple as sending an email. From Bitcoin mortgages to property tokenization, the company is redefining the way the real estate market operates, opening a whole new era for global buyers.

This innovative company offers two ways to purchase a house to meet different user needs. The first is aimed at users who are already familiar with cryptocurrency, and the entire process is very simple. As the company's founder said: "For users accustomed to using cryptocurrency, they can buy a house with just a few clicks after connecting their digital wallet, provided that the house has been converted into a digital asset by us." This method shortens the home-buying process, which would normally take several months, to just a few minutes.

For example, in January of this year, the company launched a new loan product that supports the purchase of a Hawaii apartment with collateralized encryption assets, with a starting price of 250,000 USDC. Since the entire transaction is conducted on the Blockchain, buyers no longer have to go through the traditional 30-day transaction process and can almost complete the transaction immediately. By February 2, the house was sold - the buyer obtained a loan through the collateralization of Bitcoin to complete the purchase.

The second method combines traditional real estate transaction processes with innovative technology, suitable for users who still prefer traditional home buying methods. The founder of the company explained: "In fact, our most popular method is still quite traditional. We have dedicated property rights and custody companies, you need to sign the purchase contract, and then our artificial intelligence system will immediately process this contract and start the transaction process. Even at night or on weekends, the transaction can be initiated immediately." This method retains some key steps of traditional home buying but greatly improves efficiency through technological means.

There are many benefits to purchasing digitized real estate on this platform, the most obvious being fast transaction speed and easy liquidity. The company's founder emphasized: "The advantage of tokenized assets is that you can buy them instantly, and you can obtain property ownership in just a few minutes. They are more liquid, so you can also sell them within an hour or a day by simply initiating an auction on our RWA market." This high liquidity fundamentally changes the characteristics of real estate as an investment category, making it more akin to the trading experience of other financial assets.

The company is also exploring the possibility of fractional ownership of real estate. By further splitting NFTs, multiple buyers can jointly hold a property and divide the rights according to their shares. However, since such transactions fall under the category of securities, they must file documentation with the SEC in the United States.

The founder of the company pointed out that this process is relatively complex and takes about four months to complete, and the transparency requirements for submitting SEC filings make it more like a small IPO, which incurs higher costs. Therefore, it is more challenging to implement for small properties, but from a technical perspective, it is still feasible. She believes that despite the current high threshold, fractional ownership of properties will be one of the future development directions of real estate tokenization.

The company has also launched an innovative cryptocurrency mortgage model, providing a new option for investors who are reluctant to sell their crypto assets. Its loan model accepts Bitcoin, XRP, or Ethereum as collateral. According to the company's founder: "Our most recent transaction used Bitcoin as collateral, which is a two-year loan with an interest rate of 10%, paid monthly. It operates similarly to a mortgage, but the main advantage is that there is no lengthy 30-day mortgage approval process. This model is particularly suitable for investors who primarily hold crypto assets, as traditional financial institutions often do not recognize the collateral value of crypto assets."

In terms of repayment, the platform supports repayments in various cryptocurrencies, offering flexible repayment terms. Users can choose to repay early without penalties, while the interest rates are dynamically adjusted based on market conditions. To control risks, the platform has implemented comprehensive risk management measures, including real-time monitoring of Bitcoin price fluctuations, establishing a margin call mechanism, providing smart contract automatic liquidation protection, and setting up a professional risk assessment team.

It is worth mentioning that the founder of the company has also proposed a future vision of Bitcoin as collateral for real estate investments. She stated: "I believe that in the future, Bitcoin will become a high-quality collateral, allowing users to access other asset classes. Imagine that you can automatically obtain on-chain loans through your Bitcoin holdings, without credit checks and without having to go through the traditional mortgage approval process that can take up to 30 days."

This decentralized finance (DeFi) + real estate model will make real estate transactions more efficient, increase liquidity, and provide investors with unprecedented freedom. With the company's ongoing innovation, the real estate market is moving towards a smarter, more decentralized new era.

Looking ahead, the company is confident in the digital transformation of the real estate industry and consistently maintains active collaboration with regulatory and financial institutions to ensure the compliance and scalability of its solutions.

At the regulatory level, the company actively cooperates with government agencies' policy adjustments to promote the legalization process of real estate tokenization. Its founder mentioned: "Currently, agencies like the SEC are studying fractional ownership of real estate on the Blockchain and how to allow more citizens to invest, as this is clearly a security. I always advise all real estate operators and owners entering the tokenization field to follow SEC rules and register under Reg D, Reg A, and so on."

At the same time, the regulatory environment is moving in a more positive direction. The company's founder pointed out: "After multiple dialogues with legislators, I also see their willingness to actually relax the securities laws for certain assets, especially those backed by real estate and other assets." This shift in regulatory attitude will pave the way for further development of Blockchain real estate, allowing more people to enjoy the conveniences brought by this innovative technology.

As blockchain real estate gradually enters mainstream view, institutional adoption is also showing positive signals. The founder of the company pointed out: "About a week ago, the founder of a well-known fintech company tweeted about how their platform will become a platform for purchasing real estate. I believe they were referring to securities, specifically to fractional ownership of real estate." This indicates that mainstream financial institutions are recognizing the potential of blockchain real estate and beginning to make moves, which is a strong impetus for the development of the entire industry.

Looking to the future, the company's founder is optimistic about the cryptocurrency market and the realm of real-world assets ( RWA ). She anticipates that annual home sales in the U.S. could grow from the current 5 million units to 20 million units. This growth is attributed to innovations in transaction methods—buying a home in the future will be as convenient as using ride-hailing or short-term rental platforms today. The impact of this innovative model extends far beyond developed countries. For many developing countries that struggle to attract investment due to a lack of well-established property rights systems, this will be a life-changing opportunity. The digital transformation of real estate transactions in the U.S. is expected to become an important cornerstone for driving reforms in global capital markets, opening the doors for investment and financing for more countries.

This innovative company is leading a revolution in real estate through Blockchain technology and cryptocurrency, committed to creating a more efficient, transparent, and inclusive global real estate market. As technology continues to evolve and adoption rates increase, the future of buying houses with Bitcoin has quietly arrived. This transformation not only addresses many pain points in the current real estate market but is also expected to bring home buying back to the essence of meeting residential needs.