The subsidiary of retail giant Overstock tZERO, together with the Tezos Foundation, will tokenize real estate in the UK for a total of £ 500 million (about $ 643 million).
As part of this initiative, tZERO and Tezos will partner with Manchester-based Alliance Investments, a real estate and investment company.
Alliance Investments IT Director Rani Zahr said raising funds through an offer of token shares (STOs) is more efficient, cost-effective, and affordable than traditional financing.
“We are on the verge of technological changes that can fundamentally change the current financing system,” he said.
The companies plan to hold an STO in the first quarter of next year, when tZERO will issue £ 20 million worth of tokens for real estate, which is currently under construction in Manchester.
The Tezos protocol will be used as the basic infrastructure for the use, transfer and storage of digital assets, including smart contracts.
Digital assets will then be presented for secondary trading in PRO Securities, an alternative trading system for tZERO, registered with the US Securities and Exchange Commission (SEC).
The remaining properties will be tokenized in a few years. These will include living quarters, dormitories for students and hotels.
Recall that in August tZERO received a patent for a technology that allows settlements on tokenized securities in the open blockchain.