Video 4: It's time to democratize real estate investments

Video Transcript

00;00;12;29 - 00;00;42;17
Tyler Vinson
We haven't had a bigger gap in recent history between those that own assets and those that don't. And that gap just continues to get larger and larger. And when you tokenize the real estate and open up those access doors, it quite literally has the ability to narrow that gap between those that have had assets and those that don't.

00;00;42;19 - 00;01;33;08
Tyler Vinson
If we take an apartment building, for example, somebody that lived there for 12 months can expect a rent raise and with inflation, which is probably going to, over the long term, continue significantly. That makes the tenant more poor and the asset owner more rich. But can you imagine if the tenant actually owned digital shares or tokens in that apartment building that they live in. Now, when the rent raise comes, they actually get a piece of that. Moreover, when the value of the building goes up due to capital appreciation or economic inflation or any of those things, instead of them getting pushed down, they actually get to ride that wave and participate in it.

00;01;33;13 - 00;02;05;02
Vince Kadar
It's a variety of companies that we're working with, but all of them have the same fundamental problems and it's reflecting, the digitization of the equity that they're trying to do, democratizing the industry as well, opening it up to a wider audience. Because in the past, if Tyler wanted to raise a fund or a round, in order to buy a commercial real estate building, he'd form a limited partnership and he’d invite, friends into the network, high net worth individuals.

00;02;05;05 - 00;02;26;02
Vince Kadar
Well, now what he can do with a platform like this is lower the barrier and, invite still accredited investors. But and minimum check actually can be, $50,000, right. Which is, again, palatable for young professionals entering into the industry that want to diversify their investments.

00;02;26;04 - 00;02;54;24
Tyler Vinson
And not only is that extremely significant for issuers or tokenizers, the sponsors of these syndications, but it really lowers the entry barrier for the end buyer, that invest into these real estate security tokens. And I believe that's nothing short of narrowing the socio-economic gap that exists out there because it's creating access to these types of investments that they've never had before.

00;02;55;01 - 00;03;21;21
Tyler Vinson
And on the flip side of that, it's creating access to an entire investment pool that hasn't existed. You see, there's huge pent-up demand for folks that would love to invest in real estate, that want to invest in real estate. But the entry barriers are so high, and that will be significantly impacted by tokenizing real estate.