How it works?
What is an ‘asset-backed token’?
“Asset backed tokens are digital assets backed by physical assets.
Asset backed tokens have residual, fractional value that is rooted in physical assets such as real estate, art, money, or renewable energy assets. Even stocks themselves can be ‘token-able’.
A share of stock represents ownership in a company…In this sense, an asset backed token is similar to a stock.
The owner of an asset backed token, like the owner of a share of stock, owns a piece of a something tangible, and has rights as an owner (i.e. shareholder).”
Game changing: The real estate market is one of the largest, globally, but in our experience is still very non-transparent and full of inefficient industries. SwissRealCoin (SRC) commits to bringing real estate assets onto the Blockchain to revolutionize the real estate asset management and old-world transaction system by introducing transparency, data integrity and cost efficiency. We believe that the SRC is the most important use-case for real-estate on the Blockchain.
Solid Environment: the SRC shall be grounded on Switzerland’s solid economic and political environment in Switzerland. Swiss real estate has proven to be one of the most crisis-resistant, globally. The SRC is directly linked to Swiss real estate assets, professionally set up by real estate and PropTech experts, and is compliant with the relevant regulatory requirements.
Growth Potential and Downside Protection: We believe that the market price and the inner value of a SRC (which is based on the SRC real estate portfolio) should be closely linked to avoid volatility. If the market price of the SRC exceeds the inner value of the SRC by two times , the SRC smart contract will issue additional SRCs at market price to increase the inner value. With this mechanism, the SRC shall allow for high growth potential while limiting volatility and protecting downside. In addition, the reinvestment of the majority of the net rental income shall also continuously increase the inner value of the SRC.
What Swiss Real Coin says
Swiss Real Coin (SRC) is an Asset Backed Crypto Token secured by Swiss real estate.
It is envisaged that the Crypto Real Estate Ltd (the “Company”) qualifies as an operating company engaged in business activities within the meaning of Art. 2(2) lit. d. of the Swiss Collective Investment Schemes Act ("CISA").
As mentioned, the Company will primarily engage in generating know-how and intellectual property on how to manage real estate on the Blockchain.
The Company intends to confirm the final structure of the SRC and the non-applicability of the CISA with the Swiss Financial Market Supervisory Authority (FINMA).
The SRC will be sold by way of a public offering in Switzerland and private placements to qualified investors outside of Switzerland and the United States of America in each case in compliance with any applicable securities laws.
In relation to each member state of the European Economic Area which has implemented the Prospectus Directive (Directive 2003/71/EC (as amended), no offering of the SRC may be made which would result in a requirement for the publication of a prospectus pursuant to the Prospectus Directive.
For more info on Swiss Real Coin, please refer to the Swiss Real Coin whitepaper