PlayEstates will use property-backed tokens primarily as player rewards in order to attract and retain users. With more than ten years of real estate experience, we make sure everything is up to code.
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Acquiring and Tokenizing Properties: All properties within the PlayEstates platform are acquired through the lawful registry and legal transactions with complete documentation and transparency. All digital tokens will be recorded and stored on Ethereum blockchain and Fuel testnet. Each digital token will be encoded with a unique serial number, which can be found both in on-chain metadata, as well as the Series LLC documentation.
Tokenization Background: Tokens on Ethereum (or any layer 1 protocol) can come to represent anything, as determined by the issuer of the token. This is how real-world assets like real estate, dollars, or gold can be traded, invested, borrowed, or lent on Ethereum. PlayEstates does not tokenize the physical asset. Instead, we grant an interest in an LLC that is the sole owner of an asset. Each asset will be owned by one single LLC, and each LLC will have its exclusive collection of tokens, to represent ownership of its corresponding real estate projects.
Security Tokenization Rationale: Real estate is typically an illiquid asset. By securing and representing a real estate asset with NFTs, we allow this physical asset to be owned by many participants digitally, conferring benefits to those owners in proportion with their holding. “Fractional ownership” by tokenization makes the real estate asset class accessible to average or even beginner investors.
Payment: Receiving Rental Payment: All PlayEstates listed properties will have rental or “offline” incomes. Such income will be collected by an appointed property management service. The rent, net of operating costs, will flow into PlayEstates’ Security Asset Fund for future Users (SAFU), which will then flow back to various owners and PNFT holders.
Payment Method: PlayEstates focuses on stable growth and scalability, and has designed its system and goals for such focus as well. We have selected USDC to be the stablecoin of choice, and will be using USDC as receivable currency Holders and Owners. Upon receiving USDC in their Ethereum wallets, Holders and Owners are able to exchange USDC for any other currency, including other stablecoins that enables them to receive US dollars to their bank accounts. Banxa is Playestates’ official partner for third party payment rail.
Payment Distribution: Through blockchain technology and smart contract implementation, PlayEstates’ SAFU setup is able to disperse income on a daily basis to Holders and Owners. The smart contracts will send out a fixed percentage of the supply of SAFU, based on the amount of tokens and owners within each Series. Offline income generated by the property is distributed 1/30 each day for each month.
