AssetBlock, a real estate investment platform holding $60 million in real estate assets, launched today on proof-of-stake blockchain platform Algorand. Investors will be able to buy tokenized shares in AssetBlock’s hotels using Algorand’s native token, the Algo.
AssetBlock’s platform claims to decentralize the real estate market, making the real estate market accessible to individuals, not just institutional investors. By enabling investors to buy parts of a property, it should make the market more accessible for small-time buyers.
“We saw an opportunity to build a solution that brings traditional and non-traditional real estate investors and professionals together efficiently, creating more opportunity for all involved,” said Mike Liddell, CEO and founder of AssetBlock.
Algorand is the celebrated blockchain project of Silvio Micali, an MIT professor who was awarded the Alan Turing award. Algorand promises high transaction fees and low costs. It raised $66 million in funding, and Algo Capital, an investment arm pushing money into its ecosystem, recently announced the closing of its VC fund at $200m.
But it’s not all clean sailing; since Algorand’s token launched back in June at $3.28, the price of the Algo has sunk to $0.30. Will AssetBlock’s hotels fare any better?