Global blockchain software technology company ConsenSys is rolling out a blockchain-based real estate fund that allows sufficiently enlightened Filipinos to share ownership of property. Marketed as the Meridio, the fund converts individual properties into digital shares on the blockchain and seamlessly connects diverse investors and asset owners to invest and trade.
In an interview, Aiai Garcia, Asian head of ConsenSys Solutions, said the fund unlocks value in real estate through so-called fractional ownership.
“Meridio launches funds out of tokenized real estate assets. Think of it as fractional ownership because you are now able to reallocate one piece of property to multiple investors. And since it is all on the blockchain, you can track the equity, the ownership, the income received from the property, even the yield, over time.”
She explained that Consensys has since scouted for real estate opportunities in the Philippines because of the property boom in the country, buoyed in part by a massive infrastructure buildup program.
Garcia said Meridio also allows property developers access to a fresh wave of investors they never had access before.
“Say you want to invest in an apartment project but you do not have the fund for it. The Meridio fund allows you to be a part of that project by investing in the real estate fund. You can fractionally own that apartment from that portfolio,” she said.
Currently, Meridio is available in Dubai after Consensys signed a partnership agreement with a local investor, creating the world’s first real estate blockchain platform.
The Meridio fund is looking to address the challenges of transparency, liquidity and inclusion by creating a real estate token.
A separate article by Consensys further described Meridio.
“As the project concluded, we realized that we were only scratching the surface of the benefits blockchain could provide for real estate. Meridio cofounders Corbin Page and Mohammad (Mo) Shaikh began exploring other tokenized business models around fractional ownership, and ‘Project Pangea’ was selected as a temporary name for the venture. While the name was very fitting, it served its purpose and it’s time we shed our old skin and prepare our company for long-term adoption.”