RedSwan CRE, a commercial real estate (CRE) tokenization platform, today announced it has opened its first tranche of Class A and B properties, $300 million of a total of $2.5. billion, to major investors. Investments can be made through the company’s platform powered by advanced blockchain technology, allowing for a more secure investment in CRE. This is the first public offering of security token offerings (STOs) at this scale.
“No other blockchain-based CRE company has created this much product of high-quality properties to the blockchain as digital securities,” said RedSwan CRE CEO Ed Nwokedi. “Adoption happens faster when the options for CRE investments are larger. By adding 25 to 50 properties in various locations and yields, the opportunities for investors to participate significantly increases.”
Historically, smaller investors weren’t permitted or invited to participate in major $20 million-plus projects because the price of entry was too high, making it a challenge for them to access higher-quality investments. By Investing with RedSwan CRE’s platform, customers can invest alongside major institutional companies with similar or exact search terms, the company. With the first tranche now available, investors will have freedom of liquidity.
By using blockchain, the crowdfunding impact will allow investors to reduce the initial investment cost, allowing them to diversify their capital into multiple projects instead of one, without the historical requirement of holding them for three to 10 years before exiting. Based on SEC regulations of Reg D investors, only accredited investors can participate in RedSwan CRE’s STOs.
Recently, RedSwan CRE partnered with Coinbase to provide their 25 million-plus customers with a transfer from cryptocurrency to real estate-backed digital securities. RedSwan CRE only accepts USDC stable coin, which is easily transferable through Coinbase.
