Real Estate Fractionalization Powered by Apecoin

Hi Apes,

I’ve been a hodler of MAYC #5349 & #4558 since October 2021, only sold 1k $APE from the airdrop and have been max staked since the beginning. I’m super thankful for what the community has built and the amazing work Yuga is doing. Although I don’t engage more than liking tweets, I’m always paying attention to what’s going on.

I wanted to get feedback and see if you guys think our project might be a good fit for the ApeCoin community.

We’ve been looking into tokenization of real estate since the end of last year. Although the use case itself might be one of the oldest pitches in the space, we think that with the development of the last cycle, the market and technology are at a point where the business case can happen. The model is slowly gaining traction, with several companies starting to issue and fractionalize properties at a higher speed.

As for this, we want to build a real estate tokenization platform that enables the issuance of properties as NFT collections. Each piece of a collection will represent a fraction of the economic rights of a property, allowing holders to receive rental distribution and the right to the underlying value when the property is sold.

In terms of differentiation, we think that the current options in the market, although gaining traction, are tackling the opportunity with an old approach, doing traditional properties and utilizing old token structures. Our strategy is to target the short-term stay segment in developing markets where real estate is witnessing high growth, and combining the collectibles of the properties with the NFT experience that attracted so many consumers during the last cycle.
We are thinking for our offering to be; Villas in Bali, Rooftops in KL, Apartments in Rio, or some high-end floors in Dubai, overall looking for outstanding properties for daily rental operations… Also in our radar as an additional perk, holders could stay at any of the properties that have been issued through the platform at a discounted rate. Still need to polish this last part, as ROI is based on rentals so need to keep it profitable for the holders.

In January, we acquired our first villa in Bali and have been operating it to better understand how the market works. Right now, we have acquired a second property in Bali and decided to sell it between a pool of friends. With this experience, we saw that there is interest and that to be able to grow the business, we need to build the tech and legal infrastructure to be able to market the offering.

At the moment, we are putting together a tech team and finalizing specs. We are thinking of either doing a small raise to capitalize ourselves and build or applying for a grant from a community that could be a good fit. So wanted to get your thought as a MAYC hodler thought it could be something u guys like, but super keen in any feedback.


You got my atention :wink:


Thanks man :grinning: I’m new to the forum , guessing need to socialize a bit more and try to get some feedback.

Here is a link of our second villa. It’s in Bingin, Uluwatu, 5 min ride from Dreamland and Binging beach.

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Hi, @GM0x_8e08 .

How would this question that you presented join the DAO here?
As I understand it, the rentals of the properties would be made through NFT technology, right?
what interaction would ApecoinDAO have with this real estate tokenization?

just a few questions I had.

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Hi @Rubinato, thanks for your question! It’s a great point.

Our initial thought is that our target user demographic is similar to the ApeCoin or Yuga Labs holder profile, so our offering can be a good fit for the community. However, the question is, what would the ApeCoin community get out of a grant or partnership?

We’re still brainstorming and don’t have a definitive answer to this question yet. It’s something we’d like to explore and get feedback on, and we’re also open to ideas. Here are a few things that come to mind:

  1. Early access to our offerings: Apecoin holders could gain early access to our platform’s offerings, providing them with a competitive advantage and a chance to explore novel opportunities.
  2. Exclusive discounts and promotions for ApeCoin holders
  3. Opportunities to participate in our community governance: Apecoin holders might have the opportunity to participate in shaping our community governance structure, enabling them to influence the direction of the project.
  4. Powered by Apecoin Community Project: We could highlight our project as a “Powered by Apecoin” initiative, showcasing the collaborative nature of the Apecoin community.

Super curious to hear if you think these points can be of interest,

Thanks again!


I think that the main condition for renting or buying a property should be that the payment will be made in $APE


Nice @WiseHighlander, thanks a lot for the input!

I think I should provide more context on the business. I’ll try to be brief:

We are building a platform that will enable properties to be tokenized and issued on-chain. Our goal is to lower the entry barrier to real estate by enabling broad distribution and reducing the ticket size.

We intend to start with the property segments of short term stays, as the ROI is much higher than others. These properties are used for daily, weekly or monthly stays, fully furnished and usually require a small maintenance and operations team to guarantee the well functioning of the property. The expected ROI of such properties ranges based on geography but tends to be from 8 - 12%, in terms of appreciation can expect a few points above inflation.

As real estate is a highly regulated industry, the legal setup is important. Our strategy is to tokenize the economic rights and not the ownership per se. This means that the NFT is a claim on the cash flows and underlying value but does not grant ownership itself, allowing us to be able to sell it on-chain.

In terms of the platform, we are designing the experience to follow an NFT mint. Where each property will be issued as an NFT collection, with a limited amount of tokens that will represent a % of the underlying, and will be broadly tradable in secondary markets such as OpenSea, Blur or others. Also, our goal is that as an NFT represents a fraction of the underlying and cash flows, it could be used as collateral in platforms such as NFTFI or others. We dream of a world where we can take a loan against a slice of our home fully on-chain and permissionless… :grinning:

From the user’s perspective, the reason to acquire an NFT would be for the passive income and appreciation, but not for living in the property. Although we are thinking that as we grow inventory and have third parties to issue, one of the perks to any holder of an NFT can be that they can stay at any property booking directly, avoiding the 10%+ that platforms such as Airbnb or Booking charge.

Regarding apecoin, I really like your idea @WiseHighlander. As we wish to follow the NFT experience, we will whitelist the initial % of the property, this could be only payable with $ape and also set as a requirement to have $ape to be added to the whitelist.

As of now, we are two co-founders who have been in crypto since 2012. We already have two properties that we want to bring on-chain, and we require some capital to build the necessary technology and legal infrastructure. We are skeptical about doing a round atm as market conditions are pretty bad, and think that the business can be more valuable with the legal, technical, and on-chain properties live. So we see a grant as the most viable option to bootstrap the business.

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GM and welcome!
What are your views on the legal aspect of this thing? This idea can bring in a huge market into the DAO if marketed in the right way! Good luck


GM GM and Thanks a lot @Evil :grinning: :grinning:

Let me elaborate and share two slides of how the workflow and legal stack works for the model

Our legal stack consists of three parts:

  1. An SPV (special purpose vehicle) where contributors will appear in the cap table as DAO contributors for all properties.
  2. A local entity which is the company that acquires or owns the property and outsources the management of itself.
  3. A trust structure where the SPV is the beneficial owner and protects the DAO members in case of any mismanagement of the local operating entity.

Our workflow consists of the following steps:

1.Set up a DAO per property.
2. Appoint a local company which executes the transaction and outsource management.
3. Establish a trust structure where the beneficial owner is the DAO entity and the local entity transfers the deed.

We believe that this legal stack provides contributors with a real representation and a valid claim in case of any issue.

Happy to provide further info on the topic or any additional question.


Hi @GM0x_8e08 ,

Your topic will be moving to the AIP Draft phase in less than 24 hours. Are you content with the feedback received or do you wish to extend community discussion for another 7 days?

If we do not hear from you within 48 hours after your topic closes, your topic will be moved straight to the AIP Draft process.

We look forward to hearing from you.


Hi ApeCoin DAO Community,

@GM0x_8e08 has requested to withdraw their application. This AIP will be moved to and remain in the Withdrawn AIPs category.

Kind Regards,