WeInvest leverages blockchain technology to increase its real estate fund’s value proposition
WeInvest Capital Partners have selected Tokeny Solutions to tokenize the first real estate fund in Luxembourg.
Tokeny Solutions will provide the end-to-end digital services needed for the compliant onboarding and management of investors. WeInvest will utilise those services to issue and manage its Premium Real Estate Fund, improving the asset’s transferability.
The team at WeInvest have many years’ experience and strong track records in relation to successful real estate projects, including villas “La vie est belle” in Florida, participation in the buyout of Belval Plaza and the financing of a number of transactions in Savoie. The fund has a focus on diversification and will finance projects globally in North America and in Europe, along with a variety of types of premium projects ranging across villas, chalets and large real estate complexes.
The projects financed are selected on their ability to deliver a strong performance for investors. The fund is RAIF-type, regulated, and open to private, qualified or professional investors. Partners in the offering include EY, European Capital Partners, EFA and Quintet Private Bank.
Tokeny Solutions facilitate the digital onboarding and subscription of investors in compliance with the WeInvest Investment Memorandum. It further improves the management of the fund registry by creating a digital proof of ownership for each investor’s position. The proof of ownership can be used in Tokeny’s Billboard to list an investor’s intention to buy or sell to reduce the illiquidity cost associated with private market instruments. The token will also be available for collateralization on DeFi platforms.
“Tokenized real estate funds demonstrate how blockchain technologies improve the issuance and management of the fund, whilst providing pathways for improvement in liquidity. WeInvest Capital Partners can now propose its securities to a wider audience of investors interested in attaining more control over their portfolios”.Luc Falempin, CEO, Tokeny
WeInvest Capital Partners commented, “Working with Tokeny Solutions has meant that we’ve been able to improve the fund’s investor value proposition. Our expertise comes from many years working in the financial industry and to make our vision a reality we needed a service that provided this out of the box technology. Tokeny Solutions have provided exactly this.”
Luxembourg has been a driving force in the growing security tokenization industry. Market actors have been given confidence by the nation’s progressive regulation in relation to blockchain technology. In 2019, the government passed a bill that provided a legal framework for securities issued over blockchains. In July this year, Luxembourg continued in the same vein and submitted a bill with the aim to modernize the existing legal framework for dematerialized securities.