Harbor Partners With iCap Equity To Tokenize 4 Real Estate Funds Worth $100M On Ethereum Blockchain
A blockchain company called Harbor has recently been working to help other firms to issue security tokens using the blockchain technology. The company has just announced that $100 million USD worth of real estate assets was tokenized and put on the Ethereum blockchain.
This move had the goal of making the securities easier to be traded in the market. At the moment, 1,100 investors hold this money and they wanted to find easier ways to trade these assets freely. This latest tokenization effort was part of a partnership with DRW Holdings’ real estate arm.
According to the CEO of iCap, Chris Christensen, the company was trying to provide a much more liquid experience for its customers for a long time and it was with the help of Harbor that they did it. The CEO of Harbor, Josh Stein, affirmed that the tokens are all backed by real assets and that they are not based solely on promises.
He also added that there was not really a demand for security tokens as investments some time ago. People were not after real investments, they wanted to speculate on a growing market, which was happened in 2017 and why so many tokens failed to deliver.
The funds which are tokenized by the company are often frozen for some time as they are considered to be high-yield investments. This means that people cannot sell them right away, which helps to curb speculation.
Now, there is a growing market for this industry. The company is focused on increasing the access of the companies that already have some interest in these ideas, which will make the market grow even more in the future.