GMG, Wecan and Capelli bring blockchain to real estate sector
Financial solutions provider Geneva Management Group (GMG) has partnered with fellow Swiss-based blockchain developer Wecan Group and French real estate development group Capelli to launch a new blockchain-based product for the property sector.
Dubbed ‘Wecan Tokenize’, the product will give people looking to invest in property access to institutional private investments such as commercial real estate at lower minimums, allowing them to bring more liquidity to illiquid assets.
The integrated asset transfer system makes it possible to digitally tokenise a property, allowing property titles which are issued on the blockchain to be exchanged at any time.
“This new financial model offers the best of both worlds: the liquidity of freely traded shares and the regularity of returns,” says Wecan Tokenize partner Sébastien Flak, who believes the product will “reinvent” investment in assets deemed illiquid.
Flak, who is also the director at GMG and president of the Geneva Fintech Association, will support the operations behind the new product alongside Dominique Goy, the managing partner at Wecan Group, as well as founder of SwissLending and board member of the Swiss Crowdfunding Association.
Goy sees the real estate sector entering a new era with the digitisation of construction, the introduction of low interest rates and the change in lifestyles.
This “new form of financing and investment based on proven technologies”, says Goy, will see the end of land transaction costs.
Capelli’s CEO and chairman Christophe Capelli, who is also a director of Wecan Tokenise, says “the potential is immense” for using blockchain in the real estate market and will give “a new impetus” to the sector.