No, it’s not a metaverse house: it’s a real house in Florida whose ownership transfer agreement was made through an NFT.
For the first time in the history of real estate in the United States, a house in Florida was sold in the form of token non-fungible (NFT). It should be noted that this is a real world sale – not the metaverse.
real estate startup, own, launched this week the auction of an NFT residence located in the Tampa Bay area. The 200-square-meter house, which consists of five bedrooms and three and a half bathrooms, was offered with an initial price of USD $650,000 and was sold to the highest bidder for a total of 210 ethereum (ETH).
It’s a wrap!
The first real estate NFT auction in the US is history now. Thank you so much to everyone who participated and to those who cheered us on. Congratulations to the lucky winner, we can’t wait to see what you do with the #PropyNFT next! What a blast! pic.twitter.com/LHfZrNSwTN
— Propy (@PropyInc) February 10, 2022
The owner of the NFT now has ownership rights to the real estate and will be able to store the collectible in a digital wallet. You will also be able to leverage NFT as collateral to borrow on decentralized finance (DeFi) protocols. “It is a DeFi asset, which can be borrowed against“, the company said.
own submitted the offer through Web page and stressed that it is an event “historical” for the real estate industry as for the sphere blockchain.
Meanwhile, the seller of the property, Leslie Alessandra, is familiar with cryptocurrencies. Alessandra, who is the founder of Defi Unlimitedconsidered that the sale of his house in the form of NFT is a good way to “to stimulate” the conversation around decentralized technology.
own wants to revolutionize US real estate with NFT
This is not the first time own sells a house in the form of token non expendable. Last year, the company sold an apartment as NFT in Ukraine, according to the media. tech crunchand this year it plans to continue expanding its offering in the US.
The startup leverages blockchain technology to seal the legal process of property sales. The record of the purchase is placed in blockchain, providing immutability and access to legal documents indicating ownership. This reduces costs for buyers and streamlines the buying process, simply allowing them to buy a property in a few minutes.
own hopes its innovative model will provide a unique framework for purchasing real estate in the United States. The firm, which notes that it does not sell fractional NFTs, has raised more than $16 million in venture capital and is backed by prominent figures like Tim Draper and Michael Arrington.
Natalia Karayaneva, CEO of co-founder of ownhad previously commented:
At Propy we have developed all the necessary smart contracts and a compatible legal framework that allows us to tokenize any real estate property in the United States. NFT sales hit $4 billion in December 2021, and real-world assets will soon make up a significant portion of that market.
In recent months, the sale of houses and land in NFTs has increased amid the recent boom in the metaverse. However, the sale in Florida makes a difference as it is a real-world tokenized property; although it is worth noting that some NFT houses in the metaverse can be sold for much higher sums than the real house in NFT.
own it is not the only one that is taking steps in this direction. Other companies like RealT they already offer fractional investment in real estate through NFT.
Article by Hannah Estefanía Pérez / DailyBitcoin
Unsplash cover image (does not correspond to the property that is reviewed in this piece)
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