AssetSlices Owned
Asset Tokenization and Bob’s Investment
Step 1: Platform Acquires the Asset
AssetSlices purchases a commercial property: Downtown Office Building.
Asset Details:
Purchase Price: $1,000,000
Annual Rental Income: $100,000
Location: Downtown City
Expected Annual Appreciation: 5%
Step 2: Tokenizing the Asset
AssetSlices tokenizes the property into 1,000,000 RWA tokens, each representing a $1 fractional ownership in the property.
Tokens are created on a blockchain (e.g., Ethereum or Polygon) for security, transparency, and liquidity.
Each token represents a proportional share of the property’s ownership, rental income, and appreciation.
Step 3: Publishing to the Marketplace
The tokens are listed on the AssetSlices marketplace with all necessary details:
Asset Name: Downtown Office Building
Token Price: $1 per token
Total Tokens: 1,000,000
Expected Annual Yield: 10% (Rental + Appreciation)
Lock-In Period: 1 year (tokens can be traded after this period)
Bob’s Investment Process
1. Browsing the Marketplace
Bob logs into the AssetSlices platform and views the listed assets.
He finds the Downtown Office Building and decides to invest.
2. Making the Investment
Bob buys 10,000 tokens (1% ownership) for $10,000 via the marketplace.
Payment options: Credit card, bank transfer, or cryptocurrency.
Bob receives 10,000 RWA tokens in his blockchain wallet, which represent:
1% ownership of the property.
1% entitlement to rental income.
1% share of the property’s appreciation upon sale.
3. Earning Rewards
Monthly Rental Income:
The property generates $100,000 annually in rental income, distributed monthly.
Bob’s Share: 1%×100,00012=$83.33\frac{1\% \times 100,000}{12} = \$83.33121%×100,000=$83.33 per month.
Capital Appreciation:
If the property’s value appreciates by 5% after a year, the new value is $1,050,000.
Bob’s Share: 1%×50,000=$5001\% \times 50,000 = \$5001%×50,000=$500.
Total Yearly Rewards:
Rental Income: $1,000
Appreciation: $500
Total: $1,500 (15% ROI on $10,000 investment).
How Bob Gets Rewards
Rental Income Distribution:
Rental income is distributed monthly via smart contracts.
Bob receives his share directly to his linked blockchain wallet or account on the platform.
Property Sale and Capital Gains:
If the property is sold after a few years, Bob receives his share of the sale proceeds.
Example: If the property sells for $1,200,000 after 2 years:
Bob’s Share: 1%×200,000=$2,0001\% \times 200,000 = \$2,0001%×200,000=$2,000.
Token Liquidity:
After the lock-in period, Bob can sell his tokens on the marketplace.
If token value increases due to property appreciation, Bob can sell at a profit.
Example: If the token value rises to $1.10, Bob’s 10,000 tokens are worth $11,000.
Platform’s Role in the Process
Property Management:
AssetSlices manages the property, ensuring tenants pay rent and maintenance is handled.
Blockchain and Smart Contracts:
Smart contracts automate income distribution, token transfers, and transparency of ownership records.
Secondary Marketplace:
Tokens can be traded after the lock-in period, providing liquidity for investors.
Compliance:
The platform ensures legal compliance, such as property ownership laws and investor regulations.
Benefits for Bob
Low Entry Barrier:
Bob can invest in real estate without needing the full $1,000,000 to buy a property.
Passive Income:
Monthly rental income is distributed directly to him without any effort on property management.
Liquidity:
Unlike traditional real estate, Bob can sell his tokens on the secondary marketplace.
Transparency and Security:
Blockchain ensures his ownership and rewards are secure and verifiable.
Portfolio Diversification:
Bob can invest in multiple properties across different locations to diversify his portfolio.
Conclusion
By owning and tokenizing real estate assets, AssetSlices enables users like Bob to access real estate investment opportunities that were traditionally out of reach. Bob benefits from monthly rental income, property appreciation, and liquidity while enjoying the transparency and security of blockchain-based ownership. This model democratizes real estate investment, making it accessible, efficient, and rewarding for everyday investors.
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