Tezos Foundation partners with tZERO to tokenize $643 million of U.K. real estate

The Tezos Foundation has partnered with Overstock’s tZERO ($TZROP) to tokenize up to £500 million ($643 million) of U.K. real estate financed by Alliance Investments. Tokens will be issued on the Tezos ($XTZ) blockchain and tZERO subsidiary PRO Securities will offer a secondary trading market on its SEC-registered alternative trading system (ATS). The first collaborative offering will tokenize £20 million (~$25.6 million) in the equity of water-front property in Manchester, England, at some point in Q1 ’20.

Why it matters:

• Many see tokenizing real estate as a potential popular use case for blockchain technology, but previous efforts were met with mixed results. Elevated Returns raised $18 million in its successful token offering of the St. Regis Resort in Aspen, while Harbor’s proposed sale of a luxury student housing building in South Carolina failed to launch. With the Tezos-tZERO partnership, a direct listing on a secondary trading platform could provide a boost in investor interest.
• The collaboration marks the second time a tokenized real estate selected Tezos as its blockchain infrastructure. The aforementioned Elevated Returns shifted from Ethereum to Tezos back in February 2019, citing Tezos’ “superior” qualities for asset tokenization.