The Blockchain Real Estate Era in Switzerland Begins with Blockimmo’s $3 Million Property Transaction
The number of real estate deals on top of the blockchain continues to grow. This time, a real estate transaction has been completed in Switzerland. In order for this to happen, Blockimmo Ltd, a blockchain property transaction platform partnered with the other two companies.
Real Estate Transaction Performed On The Blockchain
The real estate market is searching for new ways to simplify the way in which it works. This is why Ela Labs Ltd, Swiss Crypto Tokens Ltd, and Blockimmo conducted this blockchain-based real estate transaction. The transaction conducted was worth CHF 3 million and it was linked to a deal related to restaurants and 18 apartments.
The new property real asset value is currently represented on the Ethereum (ETH) network. In order to process the transaction, the firms used the CryptoFranc (XCHF) which is pegged to the Swiss franc. This reduced the risks related to volatility in the crypto market. Bitcoin and Ethereum are very volatile digital assets and can abruptly fluctuate in just a few minutes.
Matin Schnider, the CEO of Ela Labs, a company located in Switzerland, commented that to ensure that Property DNA is assigned, Ela Lba had to provide real estate data linked to the property. Property DNA provided transparent digital due diligence to this process.
The whole process reduces inefficiencies and it also improves the overall transaction arrangement. Blockimmo explained that this development is just a step towards a further tokenized market.
There are different firms that have been working in order to tokenize real estate property deals. In Rome, an Italian Renaissance Mansion has been the first to accept cryptocurrency bids at auction.
ReaBlocks, an US-based real estate platform closed a seed funding round. The main intention behind this firm is to tokenize shares of private equity funds. Moreover, this allows real estate investors to sell shares to the domestic and international markets.
Switzerland is one of the countries that attracted a large number of blockchain and crypto-related firms. This is due to the fact that the country has been creating clear regulations for firms to have a legal framework were to operate.