The Liquidity Reality Check

Real Estate · Lesson 7.4

Tokenization can make the mechanics of an exit easier. Selling a stake in a private property deal has traditionally involved lawyers, brokers, amended agreements and weeks or months of waiting. A token transfer can settle in minutes and update the ownership record at the same time. What tokenization does not provide on its own is a deep pool of buyers. Transfer restrictions limit who can buy, Reg D offerings carry holding periods, and many platforms only match trades between their own verified users, so tokens can trade below their stated value. On platforms that accept them as collateral, holders can also borrow against their tokens instead of selling.

1. SELL
2. BORROW AGAINST IT
3. HOLD TO EXIT

Wally’s note: faster rails. still need buyers.

Compare the exit with a traditional private property sale, then check how many buyers can take the other side.

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