RealT - Tokenized Real Estate Investments
Sector: Tertiary sector · Industry: Real estate agencies · Organisation: RealToken, Inc. · Maturity level: Production
RealT tokenizes real estate properties through blockchain technology, enabling fractional ownership of properties. Investors can purchase digital tokens that represent shares in specific real estate assets, while smart contracts automatically distribute rental income. Since 2019, over 200 properties worth more than 45 million USD have been tokenized, reducing the purchase process from at least 30 days to 30 minutes.
Documentation status
- Project status: Production
- Evidence: Evidence high
- Editorial review: Ufuk Avci, 15 April 2026
Description
RealT was founded in 2019 by the Franco-American brothers Jean-Marc and Rémy Jacobson. The model: a specific LLC buys a property; LLC shares are issued as ERC-20 tokens on the Ethereum blockchain. Rental income flows daily or weekly via smart contract as USDC or DAI to the wallets of token holders.
RealT is one of the first scaled real estate tokenisation platforms worldwide. The model in detail: a separate LLC is established for each property; the LLC membership shares are divided into hundreds to thousands of ERC-20 tokens. Investors buy tokens and thereby acquire shares in the LLC (not directly in the land register). Smart contracts distribute rental income daily or weekly as USDC/DAI. Minimum entry size: approx. 50 USD. Secondary market: tokens can be traded on DEXs like Uniswap or SwapCat — ownership transfers in minutes instead of months. As of 2025: 700+ tokenised properties, 16,000+ investors, 125 countries. Returns: 9-12% p.a. according to platform data. Criticism: The city of Detroit sued RealT in 2024/25 for neglecting 400+ properties — rental properties without heating, water or structural safety. The blockchain model increases transparency over token transactions but does not protect against poor property management. The case shows: tokenisation does not solve property management problems.
Perspectives
B2B — organisations perspective
Asset managers and family offices gain access to US rental yields through tokenised real estate, with daily liquidity and full on-chain transparency of all rental income and ownership transfers.
B2C — consumers perspective
Private investors worldwide can invest from 50 USD in US rental properties and receive daily rental income in stablecoin — without a notary, without local bureaucracy, and without ever visiting the properties.
Employees perspective
Employees in the real estate industry need to familiarise themselves with new digital processes and blockchain technology. At the same time, many manual administrative tasks are eliminated through automation, shifting job profiles towards more technical and advisory activities.
Benefits
General
- Tokenisation enables fractional ownership, significantly lowering the barriers to entry for real estate investments.
- Smart contracts fully automate rent distribution and create transparent, traceable payment flows.
- Integration with DeFi protocols creates a liquid secondary market for traditionally illiquid real estate investments.
B2B — organisations
- Real estate companies can access new sources of financing and liquidate their properties faster than through traditional sales processes.
B2C — consumers
- Private investors gain access to diversified real estate investments with low minimum investment amounts and automatic income payments.
Employees
- Automation through smart contracts reduces manual administrative effort and allows employees to focus on higher-value advisory activities.
Challenges
General
- Regulatory uncertainties regarding real estate tokenisation and securities laws create legal complexity.
- Technical challenges such as high blockchain fees and complex USDC payouts on Gnosis Chain impair user-friendliness.
B2B — organisations
- Real estate companies must invest significant resources in blockchain expertise and legal advice to tokenise compliantly.
Employees
- Employees require comprehensive training in blockchain technology and DeFi protocols to effectively use the new systems.
Technology foundation
RealT uses the Ethereum blockchain and Gnosis Chain for real estate tokenisation via smart contracts. The ERC-20 token standards enable trading of real estate shares like digital securities, while stablecoin payments in USDC ensure automatic and transparent rent payouts.
Implementation examples
RealToken real estate tokenisation
The company wanted to lower the high entry barriers for real estate investments while increasing the liquidity of property assets. Traditional real estate investments require high minimum capital amounts and are difficult to trade.
RealToken has been tokenising real estate since 2019 and has successfully mapped over 200 properties worth more than 45 million USD on the blockchain.
RealToken started in 2019 with the tokenisation of properties in Detroit and continuously expanded the portfolio to over 200 properties in the USA. The platform uses Ethereum and Gnosis Chain for ERC-20 tokens representing ownership shares, while smart contracts automatically distribute rental income in USDC to token holders. Through DeFi integrations with Uniswap and Swapcat, a secondary market was created enabling the trading of tokens.
RealToken solved the problem of real estate illiquidity through tradable tokens and lowered investment barriers via fractional ownership. The automation of rent distribution eliminated manual administrative processes and created transparency.
Tags
Tokenisation, Real estate, Smart contracts, DeFi, Fractional ownership