Switzerland Welcomes Real Estate Crypto Token SwissRealCoin

The token sale launches in May with a target of between 80 million and 100 million Swiss francs. The proceeds will fund the development of the company's blockchain platform as well as property acquisitions. Brigitte Luginbuehl, the company's co-founder and chief executive, spent seven years at Jones Lang LaSalle before launching Crypto Real Estate. She told finews.com the firm already has double-digit million franc commitments lined up from potential investors. The seed round attracted more interest than available, with German real estate developer Bauwens as the lead investor.

According to the whitepaper, the token is "directly linked to Swiss real estate assets, professionally set up by real estate and proptech (property technology) experts, and is compliant with the relevant regulatory requirements." Luginbuehl points to two problems in the current market: traditional property deals charge transaction fees up to 4%, and direct purchases require navigating opaque systems. "The community needs to have a blockchain-based token that can be used as a real store of value, and at the same time can be easily traded on all the exchanges, including crypto-only brokerages," she said. "Simultaneously, classic direct investments in real estate are burdensome, non-transparent, and prone to high transaction costs of up to 4%. The SwissRealCoin portfolio will allow for a disruptive showcase, paving the way to manage all real assets on the blockchain in the near future."

Crypto Real Estate enters a crowded field of startups applying blockchain to real estate. Propy operates a global property marketplace backed by a decentralized title registry on the blockchain; the company signed a partnership with Ukraine's government last year to test the platform. Real Estate Asset Ledger, based in Singapore, has built an Ethereum-based investment platform that gives investors access to properties worldwide.