Realio; The case for using Blockchain to disrupt the Global Private Investment & Real Estate

ByClark

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The private investment marketplace has become the go-to place for individuals and organisations seeking alternative routes for long-term value creation. Private investments provide greater opportunities for diversifying portfolios, growing wealth, and unlocking access to exciting new markets. However, it carries greater risk as compared to public investments thus requiring interested investors to exercise greater caution.

Due to its highly risky nature, the private investment landscape is strictly regulated by financial market authorities across multiple jurisdictions. Though the stringent rules are meant to act as protection, they have become a huge stumbling block to interested investors. Overall, it is much easier to buy stocks, bonds, and government securities than to invest in say, an exciting tech startup.

Over time, the market has designed means that grant people access to private investments. This is through innovative channels like angel investor organisations, venture capital enterprises, and mutual funds among others. 

Still, these formal investment groups are usually exclusive, reserved for wealthy investors. For the majority of the population, the private investment marketplace remains largely inaccessible.

Realio is providing access to the private investment marketplace

Realio, aims to knock down these barriers and open up the private investment landscape to the general population. The platform is a disruptive force that merges private equity with blockchain technology to provide access to quality investment products for investors across the globe. 

The direct approach by Realio will help reduce friction and illiquidity by improving transparency and providing means for navigating the complicated regulatory environment.

Besides, breaking down existing barriers, Realio is committed to levelling the playing for all kinds of investors. The platform will provide a link between the global retail investment community and the global capital markets at minimal cost and in a frictionless manner.

Simply put, Realio will afford ordinary investors unfettered access to the private investment landscape similar to that enjoyed by accredited investors. This will enable anyone with capital, no matter how small, to make investment in quality products that help them create long term value and build their wealth.

Realio value proposition

Realio is a digital issuance, investment and peer-to-peer trading platform that utilizes a proprietary distributed network for issuing-on and interconnecting decentralized ecosystems. The platform adopts an innovative architecture that combines both permissioned and permissionless facets. This structure allows Realio to grant access to investments to all kinds of investors in a democratic manner while meeting the strict regulatory guidelines. This approach opens up the marketplace that traditionally has been the reserve of a select subset of institutional investors.

One of the main reasons for the stringent regulation of private investments is the complexity involved in determining their fair value. Institutional investors have exposure to economic models, financial experts, and experience they can call upon while evaluating different investment opportunities. Unfortunately, ordinary investors do not have such luxury which exposes them to greater risk.

Realio provides great value in this respect in that it sources investment opportunities across various asset classes and uses its proven tools to assess their viability. The platform focuses on the real estate private equity sector that has real proven value with a track record of good returns whilst harbouring lower risks.

Realio also provides interested organizations with a platform to digitise their assets as third party issuers so as to raise capital from the network of investors. This forms a mutually beneficial symbiotic relationship between private entities and investors on the platform. It breaks multiple barriers by enabling issuers to cut through the red tape and grants users early access to high quality investment products that they would have otherwise missed out on.

All these long-term value creating opportunities are enabled by the robust Realio network architecture. The platform has a modular and scalable infrastructure with built-in liquidity that enables the distribution of value to a secure network of independent participants from previously highly centralised activities like issuance and regulatory compliance.

The blockchain-based Realio platform offers a standardised avenue for digitized issuance of securities, transfer and tracking of ownership and regulatory compliance. All under one roof.

For instance, Realio enables the tokenization of real estate investments like a house. The physical house is digitised by creating its virtual representation on the blockchain in terms of tokens. This enables its subdivision into small parts, each representing fractional ownership of the real house. These tokens can be held by several people and can be easily transferred on the network through hard coded smart contracts in a legally binding manner.

The standardisation of the Realio platform enables such possibilities by linking issuers directly to the investors without the need for intermediaries.

With such representation, it is clear to see the real value proposition of Realio and the fundamental changes it is bound to bring to the private investment marketplace. Its disruptive nature will positively transform the investment landscape enabling participants from across the globe to manage entire value chains for products they were previously not even able to access. 

Clark

Head of the technology.

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