
Risks and How We Mitigate Them
Like any investment, real estate tokenization has its risks. However, we have implemented a comprehensive risk management framework to protect our investors:
•Market Risk: The value of real estate can fluctuate. We mitigate this risk by conducting thorough market analysis and selecting properties in high-growth areas with strong economic fundamentals.
•Liquidity Risk: While our secondary market provides liquidity, there is no guarantee of immediate buyers. We work to foster a vibrant and active secondary market to enhance liquidity for our investors.
•Regulatory Risk: The regulatory landscape for digital assets is still evolving. We work with legal experts to ensure our platform is compliant with all current regulations and we proactively monitor for any changes.
•Smart Contract Risk: There is a risk of bugs or vulnerabilities in smart contract code. Our smart contracts are professionally developed and audited by third-party security firms to minimize this risk.
•Property-Specific Risks: Each property has its own unique risks (e.g., tenant vacancies, maintenance issues). We partner with professional property managers to mitigate these risks and ensure that all properties are well-managed.
