Real estate is the asset class most people picture when they hear "tokenization." The pitch — fractional ownership, rental income, liquidity — is appealing. The reality is more nuanced, and the model matters.
The main models
- Token-as-security over a property SPV. You own a token representing shares in a company that owns the building. Compliance and disclosures live with the issuer.
- Marketplace / aggregator. A platform lists tokenized properties from multiple issuers; quality and jurisdiction vary listing to listing.
- Direct issuer platform. One operator handles sourcing, tokenizing, and distribution end to end.
Where the risks hide
Liquidity is often thinner than advertised, rental yields depend on real management, and your recourse depends entirely on the legal wrapper. Read the structure before the return.
Crib AI maps the risk and compliance context behind each platform — always do your own due diligence.