AirSwap, decentralised cryptocurrency trading platform has finalised a new deal aimed at the tokenisation of western hemisphere’s most expensive real estate markets.
The mentioned partnership with FINRA-registered broker-dealer Propellr, would be leveraging AirSwap’s P2P Trading protocol to create a platform that provides brokers and their clients with opportunities to tokenise securities and trade their crypto tokens which would comply with the security regulations.
AirSwap and Propellr mainly focussed on New York real estate market, although their strategy isn’t much clear.
AirSwap, referred as decentralised cryptocurrency exchange(DEX), doesn’t quite work as the standard one since it mostly works as a search engine that accommodates Buyers and Sellers to arrange trades over p2p protocol.
In an official statement, AirSwap focussed on how their technology could penetrate secondary market transactions:
“Ultimately, we hope to reduce the time to complete secondary market transactions of private securities from months to days, with the actual execution, clearing, and settlement taking place in a matter of minutes. With a non-custodial, no order book model, our technology is far better positioned for the private securities market than alternatives that take custody, use order book matching engines, and wrongly assume that private securities will trade with the same frequency as publicly traded securities or cryptocurrencies.”
Having said that, there are multiple other players who believe in the benefit of tokenization in the highly illiquid capital asset.
In the recent news, Indiegogo struck a partnership with a broker dealer in order to host it’s STO (security token offering), aimed at selling tokens representing equity in a luxury resort in Aspen.
In similar news, Swarm, a crypto startup has started issuing tokens which would represent equity in private firms like Robinhood, making another secondary market class liquid.
AirSwap had raised $20 million in their ICO presale in August last year with totalling it to $25 million.
AirSwap also announced last month about the launch of their private beta version for Over-the-counter(OTC) cryptocurrency trading product.