Royal home sold as NFT in South Carolina, U.S.

An NFT linked to a real-life house sold for $175,000 on the Roofstock OnChain platform. It happened in Columbia, capital of the state of South Carolina, USA.

A real estate investor purchased a home in South Carolina through an NFT marketplace over the past weekend. The value was $175,000 paid in USDC (one stablecoins).

The acquisition belongs to 149 Cottage Lake Way, located in Columbia, U.S.A. and was made possible by Roofstock OnChain, the blockchain technology-driven company that created the startup RoofstockRoofstock OnChain, founded by Gary Beasley, Rich Ford and Gregor Watson in May 2015.

Real estate buyer and investor, Adam Slipakoff, said he is happy with his purchase and is excited that this mechanism is being adopted, as it is innovative to have purchased a home with a few clicks.

In addition, this action marked the first sale of NFT by Roofstock OnChain. The company’s director, Geoff Thompson, called this sale a major milestone, because with this transaction will begin to know this market, since, adoption is a matter of time and these actions help other companies begin to know what NFTs, blockchain and web3 are all about.

Also, Thompson said each rental property sold on the platform through NFT will be as follows:

  • Open a Limited Liability Company (LLC).

  • The LLC takes possession of the property.

  • They tokenize the property and mint an NFT representing the property.

  • People can browse the NFTs on the market and buy any home with just one or two clicks.

  • Moreover, on Roofstock OnChain’s homepage are detailed all the details of the property, which has 3 bedrooms, 2 bathrooms, a house size of 1495 square meters and a lot size of 4356 square meters. In addition, the home was created in 2006 and here a video tour of the property is available.

    Royal home in Columbia, South Carolina.

    Startup Roofstock

    Earlier this year, Roofstock raised $1900 million in a Series E funding round. Also, they partnered with Origin Protocol, with the goal of launching an expansive and innovative real estate project using web3 and tokenized technology.

    Origin Protocol and Roofstock have created the NFT marketplace that focuses on physical real estate. The NFT marketplace aims to reduce seller fee costs by up to 50% and also offer more value than traditional real estate.

    While, not the first real-life real estate NFT sale, the amount of money raised in funding rounds, puts Roofstock among the startups with the most resources to impact the real estate market in surprising and innovative ways.

    Other home sales in NFT

    The first NFT sale in the real estate industry was recorded in 2017 when the founder of TechCrunch, Michael Arrington, bought an apartment backed by blockchain technology in Propy.

    Then, in 2021 it was auctioned a property on the Ethereum blockchain, and was sold for 36 ETH. At the time, it was valued at approximately $93,000 USD.

    Final Words

    NFTs in the real estate industry have the premise of being able to own a home as in the traditional market. However, with decentralized finance we are starting to have the ability to offer digital asset-based financing options more quickly for consumers, without giving up intellectual property.

    The blockchain industry and its underlying technologies, such as in this case NFTs, will generate that through smart contracts it will be possible to reduce the processes of buying and selling real estate, which at other times would take days months, even years.

    Finally, both in the recent Roofstock sale, as in the previous examples that we have shown, and in the future ones that will be made. They will be key to transforming the new and innovative real estate environment.

    Written by Rodrigo Catalan (TW: @RodrigoCatalanB) for NFT Express.