Black Tie Digital is a market-leading innovator in the use of distributed ledger technology to integrate old platforms, industries, and marketplaces. The Australian company recently announced the debut of its B4Real platform, which aims to make real estate transactions more trustworthy and efficient.
B4Real is a pioneer in the new world digital economy, combining the best of the crypto market with the world of real estate, allowing investors to diversify their portfolios into an appealing and reliable asset class.
In the face of massive crypto booms and busts, as well as rising real estate demand, B4Real is pioneering a new method to invest in a sustainable future while still making money for its consumers.
Bringing Crypto and Real Estate Together
When comparing the movements in the crypto and real estate markets, it’s impossible not to see connections between the two commodities. For starters, despite periodic crashes and sell-offs, the record buoyancy in real estate is mirrored by the excitement in cryptocurrencies, which continue to increase. Although cryptocurrency prices have fallen, many currencies have risen greatly in value over the last few years.
For example, the price of Bitcoin has risen from little above zero in 2009 to a mind-boggling $30,000 at the time of writing. Altcoins like Ethereum, Ripple, and Tether currently account for over 60% of the total global market capitalization, which amounts to over a trillion dollars.
People’s interest in cryptocurrency has soared in the meantime. Cryptocurrencies are considered as a safe haven for those who believe the old financial system is flawed, unstable, or even corrupted.
While real estate dwarfs crypto in terms of total market capitalization, the tensions that run through both are very similar. Real estate, like bitcoin, is viewed as a safe haven for investors seeking to lock in value and limit risk.
However, major financial organisations’ often predatory actions, such as converting large tracts of properties to rentals or arbitraging over time, is pricing typical, working families out of the market. This could explain why nearly 40% of millennials believe that investing in cryptocurrency is a better option than real estate.
It’s past time for these two asset classes to get together and form a friendship.
According to YouGov research, one in every six Australians owns Bitcoin, with two out of every five millennials owning it. Furthermore, millennials increasingly regard cryptocurrency as a more convenient option to save for a down payment on a home. Many people would prefer to distribute their savings among multiple baskets if they had the option.
B4Real is a safe and secure marketplace where crypto investors may diversify their holdings by converting their digital currencies into real-world assets. Registered developers, agents, and other industry participants can also use the platform to offer homes to crypto investors or issue regulatory-compliant tokenized real estate assets.
The B4Real platform is free to use for purchasers, and it earns money through fees charged to real estate agents who use it to sell properties.
B4Real will be supported by lending partners who can offer under-collateralized crypto-backed loans from trusted, institutional sources at market-competitive rates, in addition to buyers and sellers.
As a result, cryptocurrency holders who are unable to obtain traditional finance (and hence would normally be locked out of the housing market) can use B4Real to purchase property in Australia.
The B4RE Token
The B4Real platform is powered by the B4RE utility token. The tokenomics system is set up to automatically transfer 10% of fees to a secondary holding wallet. The tokens are subsequently transmitted to DEXs for trading on exchanges and liquidity pools. Any LP tokens generated are delivered to a secure multisig wallet with limited access. This method of removing tokens from supply reduces the risk of slippage and maintains sustainable levels of exchange liquidity.
On the B4RE platform, value can be exchanged in the following ways:
When using the B4RE token, vendors on the marketplace will pay between 30 and 40% less in fees. Both premium advertising charges and sales commissions are in this category.
Buyers who use B4RE as part of their collateral when applying for loans will benefit from lower interest rates. Buyers who hold B4RE tokens may be eligible for a variety of benefits, including reduced or waived stamp duty, furniture packages, green energy upgrades, and more.
Importantly, all B4RE token holders will have early or exclusive access to off-market property listings, as well as preferential treatment when applying for fractionalized property portfolio token offerings.
On [Date TBA], Black Tie will launch an initial decentralized offering (IDO) for $B4RE on the Polygon blockchain.