Mike Novogratz Really Wants Real Estate Tokenization
Mike Novogratz praised Real Estate Tokenization during this crypto bear market, saying asset tokenization will soon start trending.
Novogratz, the founder of crypto investment bank Galaxy Digital Capital Management, said the cryptocurrency market has a set back, but there are many exciting developments occurring below the surface.
He said: “While it feels like a crappy bear market — and it has been in coins — underneath it there’s all kinds of positive things,” the billionaire investor told Bloomberg. “There are new technologies coming. There’s positive movement on the institutional adoption of the architecture needed.”
According to Novogratz, several companies had been tokenizing luxury condos in the high-priced real estate markets of New York and Aspen, Colorado.
He also said: “You’re going to see more and more of that,”
“It’s not nearly as sexy as Web 3.0, but it’s a part of this broader movement of tokenization, digitalization in blockchain,” Novogratz noted. “The blockchain makes a lot possible.”
Many condo buildings are getting their own tokens, representing a fractional interest in the property.
Tokenization can also be applied to other asset classes which will open up a new universe of investment opportunities for smaller investors.