Smartlands uses smart ways to tackle conventional problems that are associated with classic financial markets. Security tokens with minimal volatility! We will talk more about the clever way in which the platform uses blockchain technology later in this discussion. But in these introductory lines, we want newbies to understand what Smartlands is really all about. Well, this digital finance ecosystem allows asset owners to convert their assets into tradable tokens of digital nature, thereby adding an element of unlimited liquidity to the asset. First of its type in the UK, Smartlands is doing stuff of fairy tales, some of which is a little difficult to comprehend at first. But if you read this short discussion till the end, you will learn a lot about Smartlands in a fun way, we can promise you that much!
How does stuff work?
That word token that we mentioned earlier must have got you thinking about Smartlands technology. So, in this section of the discussion, we are going to satisfy your curiosity on that front. Firstly, companies willing to tokenize their assets are audited. This legality is taken care of by the Smartlands platform itself. Then, courtesy of the services of an escrow company, the tokens associated with assets are secured. Investments of miscellaneous nature are then attracted by token offers and their selling on the platform. It is the security tokens that are traded on the exchange, profits harvested as a result of this trading are distributed regularly among the token holders.
Smartlands has become synonymous with real estate, so discussing it as an example makes a lot of sense, right? Well, each token, in the case of real estate, is backed by 0.001 square meters of property. Please note that we are talking about the commercial property here only. Those who hold the token are paid a fraction, a percentage of rental payments and the profits made are spent on up-gradation of buildings or acquisition of further assets. Did you note what happened here? The middle man got eliminated like a whiff of dust, pooh! Investors save a lot in terms of money and can expect an 8-10 percent return on the investments as well.
Smartlands is not just for real estate!
So far, the emphasis has been on the real estate side of things. But Smartlands is a platform that makes life easier in areas other than commercial properties as well. Take the example of the manufacturing industry, in this case, tokens are financially backed by the bonds that are secured using a company’s possessions and assets. Just like the real estate token holders, token holders, in this case, are credited with revenues made by the companies. Similarly, agricultural token holders benefit in terms of revenues coming from larger orchards. Is there anything in this malarkey for the poorly managed orchards? A lot, since profits, in this case, is directed towards these entities, thereby establishing a higher cash flow. Smartlands works for private shares as well, like the examples we have just presented in front of you.
Smartlands X Stellar
Where does Stellar fit in this debate? We know some of you have been asking this question in your mind since the beginning of this discussion, and in this section, we answer this particular query briefly. Well, the tokens that we have mentioned in the previous sections, the ones that form the very basis of Smartlands, are issued on Stellar based decentralized exchange. Why stellar, some of you might still be wondering! There are a few other reasons as well, but the primary reason why Smartlands decided to sign a pact with Stellar is lower than the rest transaction fees.
Smartlands needs to be a little smarter!
All of this sounds super impressive, and we are not denying it. However, there are still a couple of questions that need to be answered satisfactorily before investors can entirely trust Smartlands. A key query is about the number of businesses that will actually make an effort to switch to this unconventional method of fundraising. Another key question that might be nagging at the back of the mind of some of our readers is about the reputability of developers. Who are these guys? There are names but there is nothing much in terms of profile to trust!
Summary
Although there are a couple of wrinkles that need to be ironed, Smartlands offers a perfect antidote to the tyranny of the middle man as far as the real estate industry is considered. The technology is sold enough to be relied on, and the ideas that we stumbled upon are worth all the thumbs up we can offer!
