Global Real Estate Tokenization Market Overview
Introduction
Real Estate Tokenization Market was valued at US$ 3.8 Billion in 2024 and is projected to grow at a CAGR of 2.90% to reach US$ 26 Billion by 2034.
Traditional real estate investment entails large financial commitments, lengthy processes, a lot of paperwork, and information that is segregated. Tokenization solves these issues by introducing operational efficiencies and data transparency to real estate transactions, as well as the benefits of fractionalized ownership and liquidity to real estate investing. In 2019, global commercial real estate investment reached an all-time high of $830 billion. Real estate has historically been one of the most illiquid asset types, requiring large capital investments and lengthy, costly transaction processes. Tokenization heralds innovative real estate solutions for the digital era, as a new wave of technology brings greater efficiency, stronger security, and cheaper prices to the financial industry. Real estate has long been a popular and dynamic investment option. However, it has also been illiquid with high barriers of entry and limited portfolio diversification. Here’s how Real estate tokenization solves this conundrum:
• Tokenization creates liquidity
• Lower Investor barriers
• Smart Contract governed Securities
• Immutability
Global Real Estate Tokenization Market Dynamics
Tokenization And Global Liquidity
One of the main benefits of tokenization is its liquidity, which allows it to acquire additional value that illiquid assets cannot. Furthermore, fractional ownership can significantly improve revenue in the commercial real estate sector. This might result in billions, if not trillions, of money invested in equities. In the real estate and cryptocurrency worlds, the term "tokenization" has become fashionable. Ownership is represented by a digital (or cryptographically-enabled) token that may be readily transferred between two digital wallets in the context of tokenization. In the real estate industry, there are two types of tokenization: entire asset tokenization and fractional ownership tokenization. The first, EA Tokenization, is extremely difficult to put in place; the second, FO Tokenization, is already in use.
Regulations
The most major impediment to real estate tokenization is regulatory uncertainty. Regulators have yet to establish a clear and consistent framework to follow because tokenization is a relatively new investment type. Some regulators classify real estate tokens as securities, while others classify them as real estate investments. For example, the Securities and Exchange Commission classifies most tokens as securities, the Commodity Futures Trading Commission classifies some tokens as commodities, the Financial Crimes Enforcement Network of the United States of America classifies some tokens as currencies, and the Internal Revenue Service classifies some tokens as taxable property. There is also no international regulatory framework to look to. The lack of consensus among authorities on how to classify real estate tokens results in ambiguous laws and practises, both of which are problematic.
Global Real Estate Tokenization Market Segmentation
Source: Prophecy Market Insights |Disclaimer: Data is only a representation. Actual data may vary in the final report.
The Real Estate Tokenization Market is segmented by type, component, deployment, application and Region.
On the basis of Type, the Real Estate Tokenization Market is segmented into Commercial Real Estate Tokenization, Residential Real Estate Tokenization, Single Real Estate Tokenization and Trophy Real Estate Tokenization. On the basis of Component, the target market is segmented into Services and Solutions. Based on Deployment, the market is segmented into Cloud and On-Premises. Based on Application, the market is segmented into Payment Security, User Authentication and Compliance Management.
Regional Insights:
On region the Real Estate Tokenization Market is segmented into North America, Europe, Asia Pacific, Latin America, and Middle East & Africa. The Payment Card Industry Data Security Standard (PCI DSS) requirements are closely followed throughout the North American region to assist ensure the security of highly sensitive data. Because payment security is so important, every company must adhere to the PCI DSS. As a result, the growing need to protect sensitive data by adhering to PCI DSS rules, as well as an increase in the number of payment frauds, are two important factors contributing to the growth of the tokenization market in North America. Tokenization technology is widely used for user authentication and compliance management, in addition to payment security. The market in the region is also developing due to the increasing implementation of tokenization in a variety of industrial applications.
Report Scope:
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Attribute |
Details |
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Base year for estimation |
2023 |
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Forecast period |
2024 – 2034 |
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Market representation |
Revenue in USD Million & CAGR from 2024 – 2034 |
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Market Segmentation |
By Type - Commercial Real Estate Tokenization, Residential Real Estate Tokenization, Single Real Estate Tokenization and Trophy Real Estate Tokenization By Component – Services and Solutions By Services – Cloud and On-Premises By Application – Payment Security, User Authentication and Compliance Management |
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Regional scope |
North America - U.S., Canada Europe - UK, Germany, Spain, France, Italy, Russia, Rest of Europe Asia Pacific - Japan, India, China, South Korea, Australia, Rest of Asia-Pacific Latin America - Brazil, Mexico, Argentina, Rest of Latin America Middle East & Africa - South Africa, Saudi Arabia, UAE, Rest of Middle East & Africa |
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Report coverage |
Revenue forecast, company share, competitive landscape, growth factors, and trends |
Segments Covered in the Report:
This report forecasts revenue growth at global, regional, and country levels and provides an analysis of the latest industry trends and opportunities in each of the sub-segments from 2019 to 2029. For the purpose of this study, has segmented the global real estate tokenization market report based on Type, Components, Deployment, Application and Region.
Real Estate Tokenization Market, By Region:
- North America
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- U.S.
- Canada
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- Europe
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- Germany
- UK
- France
- Russia
- Italy
- Rest of Europe
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- Asia Pacific
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- China
- India
- Japan
- South Korea
- Rest of Asia Pacific
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- Latin America
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- Brazil
- Mexico
- Rest of Latin America
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- Middle East & Africa
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- GCC
- Israel
- South Africa
- Rest of Middle East & Africa
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Global Real Estate Tokenization Market Key Players
The key players operating in the global real estate tokenization market includes the prominent player operating includes Blocksquare, BitGo, Slice, Consensys Codefi, Blockchain App Factory, Somish Solutions Limited, FORTEM and SMARTRealty.
Global Real Estate Tokenization Market Company Profile
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- Blocksquare
- Company Overview
- Product Portfolio
- Key Highlights
- Financial Overview
- Business Strategies
- BitGo
- Company Overview
- Product Portfolio
- Key Highlights
- Financial Overview
- Business Strategies
- Slice
- Company Overview
- Product Portfolio
- Key Highlights
- Financial Overview
- Business Strategies
- Consensys Codefi
- Company Overview
- Product Portfolio
- Key Highlights
- Financial Overview
- Business Strategies
- Blockchain App Factory
- Company Overview
- Product Portfolio
- Key Highlights
- Financial Overview
- Business Strategies
- Somish Solutions Limited
- Company Overview
- Product Portfolio
- Key Highlights
- Financial Overview
- Business Strategies
- FORTEM
- Company Overview
- Product Portfolio
- Key Highlights
- Financial Overview
- Business Strategies
- SMARTRealty
- Company Overview
- Product Portfolio
- Key Highlights
- Financial Overview
- Business Strategies
- Blocksquare
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“*” marked represents similar segmentation in other categories in the respective section
Global Real Estate Tokenization Market Table of Contents
- Research Objective and Assumption
- About Us
- Preface
- Research Objectives
- Study Scope
- Years Considered for the study
- Assumptions
- Abbreviations
- Research Methodology
- Research data
- Primary Data
- Primary Interviews
- Primary Breakdown
- Key data from Primary Sources
- Key Thickness Insights
- Secondary Data
- Major Secondary Sources
- Secondary Sources
- Market Estimation
- Top-Down Approach
- Approach for estimating Market Share by Top-Down Analysis (Supply Side)
- Bottom-Up Approach
- Approach for estimating market share by Bottom-up Analysis (Demand Side)
- Market Breakdown and Data Triangulation
- Research Assumptions
- Market Purview
- Executive Summary
- Key Findings—Global Outlook for Real Estate Tokenization Strategies
- Key Questions this Study will Answer
- Market Snippet, By Type
- Market Snippet, By Component
- Market Snippet, By Deployment
- Market Snippet, By Application
- Market Snippet, By Region
- Opportunity Map Analysis
- Executive Summary—3 Big Predictions
- Security Token Offering for Real Estate Asset
- How real estate tokenisation works
- Security and utility tokens
- Single assets
- Hybrid tokens
- Debt tokenisation
- Fund tokenisation
- How real estate tokenisation is regulated
- Regulatory issues
- Regulated activity (UK)
- Financial Stability Board
- UCITS
- Security tokens and tokenised securities
- Real Estate Tokenization Strategy
- The scope of Real Estate Investment Tokens
- Real Estate Tokenization Platform
- The Future Of Real Estate Tokenization
- Market Dynamics, Regulations, and Trends Analysis
- Market Dynamics
- Drivers
- Tokenization And Global Liquidity
- Lower entry cost
- Globalization
- No intermediaries
- Blockchain Immutability
- Instant, Efficient transactions
- Restraints
- Legal and Regulatory Uncertainty
- Lack of awareness
- Volatility
- Market Opportunities
- Enhanced price discovery
- Improved transparency
- Automated Processing
- Market Trends
- Drivers
- DR Impact Analysis
- PEST Analysis
- Porter’s Five Forces Analysis
- Opportunity Orbit
- Market Investment Feasibility Index
- Macroeconomic Factor Analysis
- Market Dynamics
- Global Real Estate Tokenization Market, By Type, 2019-2029, (US$ Mn)
- Overview
- Market Value and Forecast (US$ Mn), and Share Analysis (%), 2019-2029
- Y-o-Y Growth Analysis (%), 2019-2029
- Segment Trends
- Commercial Real Estate Tokenization
- Overview
- Market Size and Forecast (US$ Mn), and Y-o-Y Growth (%), 2019-2029
- Residential Real Estate Tokenization
- Overview
- Market Size and Forecast (US$ Mn), and Y-o-Y Growth (%), 2019-2029
- Single Real-Estate Tokenization
- Overview
- Market Size and Forecast (US$ Mn), and Y-o-Y Growth (%), 2019-2029
- Trophy Real-Estate Tokenization
- Overview
- Market Size and Forecast (US$ Mn), and Y-o-Y Growth (%), 2019-2029
- Overview
- Global Real Estate Tokenization Market, By Component, 2019-2029, (US$ Mn)
- Overview
- Market Value and Forecast (US$ Mn), and Share Analysis (%), 2019-2029
- Y-o-Y Growth Analysis (%), 2019-2029
- Segment Trends
- Services
- Overview
- Market Size and Forecast (US$ Mn), and Y-o-Y Growth (%), 2019-2029
- Solutions
- Overview
- Market Size and Forecast (US$ Mn), and Y-o-Y Growth (%), 2019-2029
- Overview
- Global Real Estate Tokenization Market, By Deployment, 2019-2029, (US$ Mn)
- Overview
- Market Value and Forecast (US$ Mn), and Share Analysis (%), 2019-2029
- Y-o-Y Growth Analysis (%), 2019-2029
- Segment Trends
- Cloud
- Overview
- Market Size and Forecast (US$ Mn), and Y-o-Y Growth (%), 2019-2029
- On-Premise
- Overview
- Market Size and Forecast (US$ Mn), and Y-o-Y Growth (%), 2019-2029
- Overview
- Global Real Estate Tokenization Market, By Application, 2019-2029, (US$ Mn)
- Overview
- Market Value and Forecast (US$ Mn), and Share Analysis (%), 2019-2029
- Y-o-Y Growth Analysis (%), 2019-2029
- Segment Trends
- Payment Security
- Overview
- Market Size and Forecast (US$ Mn), and Y-o-Y Growth (%), 2019-2029
- User Authentication
- Overview
- Market Size and Forecast (US$ Mn), and Y-o-Y Growth (%), 2019-2029
- Compliance Management
- Overview
- Market Size and Forecast (US$ Mn), and Y-o-Y Growth (%), 2019-2029
- Overview
- Global Real Estate Tokenization Market, By Region, 2019-2029, (US$ Mn)
- Overview
- Market Value and Forecast (US$ Mn), and Share Analysis (%), 2019-2029
- Y-o-Y Growth Analysis (%), 2019-2029
- Regional Trends
- North America
- Market Size and Forecast (US$ Mn), By Type, 2019-2029
- Market Size and Forecast (US$ Mn), By Component, 2019-2029
- Market Size and Forecast (US$ Mn), By Deployment, 2019-2029
- Market Size and Forecast (US$ Mn), By Application, 2019-2029
- Market Size and Forecast (US$ Mn), By Country, 2019-2029
- U.S.
- Canada
- Europe
- Market Size and Forecast (US$ Mn), By Type, 2019-2029
- Market Size and Forecast (US$ Mn), By Component, 2019-2029
- Market Size and Forecast (US$ Mn), By Deployment, 2019-2029
- Market Size and Forecast (US$ Mn), By Application, 2019-2029
- Market Size and Forecast (US$ Mn), By Country, 2019-2029
- Germany
- UK
- France
- Russia
- Italy
- Rest of Europe
- Asia Pacific
- Market Size and Forecast (US$ Mn), By Type, 2019-2029
- Market Size and Forecast (US$ Mn), By Component, 2019-2029
- Market Size and Forecast (US$ Mn), By Deployment, 2019-2029
- Market Size and Forecast (US$ Mn), By Application, 2019-2029
- Market Size and Forecast (US$ Mn), By Country, 2019-2029
- China
- India
- Japan
- South Korea
- Rest of Asia Pacific
- Latin America
- Market Size and Forecast (US$ Mn), By Type, 2019-2029
- Market Size and Forecast (US$ Mn), By Component, 2019-2029
- Market Size and Forecast (US$ Mn), By Deployment, 2019-2029
- Market Size and Forecast (US$ Mn), By Application, 2019-2029
- Market Size and Forecast (US$ Mn), By Country, 2019-2029
- Brazil
- Mexico
- Rest of Latin America
- Middle East & Africa
- Market Size and Forecast (US$ Mn), By Type, 2019-2029
- Market Size and Forecast (US$ Mn), By Component, 2019-2029
- Market Size and Forecast (US$ Mn), By Deployment, 2019-2029
- Market Size and Forecast (US$ Mn), By Application, 2019-2029
- Market Size and Forecast (US$ Mn), By Country, 2019-2029
- GCC
- Israel
- South Africa
- Rest of Middle East
- Overview
- Competitive Landscape
- Heat Map Analysis
- Market Presence and Specificity Analysis
- Company Profiles
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- Blocksquare
- Company Overview
- Product Portfolio
- Key Highlights
- Financial Overview
- Business Strategies
- BitGo
- Slice
- Consensys Codefi
- Blockchain App Factory
- Somish Solutions Limited
- FORTEM
- SMARTRealty
- Blocksquare
-
FAQs
The global real estate tokenization market is segmented based on Type, Components, Deployments, Application & Region.
Tokenization And Global Liquidity drives the market of real estate tokenization.
North America has the greatest market for tokenization, followed by Europe & also Asia-Pacific region.
The key players operating in the global real estate tokenization market includes the prominent player operating includes Blocksquare, BitGo, Slice, Consensys Codefi, Blockchain App Factory, Somish Solutions Limited, FORTEM and SMARTRealty.