Quarter, Inc., the nation’s first owner-occupied fractional equity home funding program and technology platform, today announced the tokenization of home equity on the TOKO asset tokenization engine. Quarter’s pilot home, purchased for $740,000 in Longmont, Colorado, was financed with third-party investors directly supplying 97% of the purchase capital as alternative financing to mortgage credit. This investment capital was minted into the Quarter Asset token – a smart contract representing proportional ownership of the home and rights to a monthly fee. The Quarter HPI token will represent future appreciation of the home.
TOKO is a digital asset creation platform that partners with Quarter to mint the investment tokens and uses distributed ledger technology to disseminate market information and provide transparency.
Scott Thiel TOKO founder says – “TOKO is proud to collaborate with the Quarter Homes team to deliver this landmark moment in the evolution of finance and to help deliver blockchain’s promise of financial inclusion through real world asset tokenization. The Quarter tokenization project is exciting and one of our favorites as it represents tradable investment securities backed by the largest, and most stable, asset class on earth – owner-occupied homes. Investors will have the option to buy, trade, and sell tiny, passive positions of homes on the Quarter network as an alternative to active, whole home investment”.
Christian Hasker, Chief Marketing Officer at Swirlds Labs, helping drive growth of the Hedera ecosystem said “By leveraging the Hedera network for tokenizing home equity assets, participants can tap into a secure, scalable, and governance-focused ecosystem that enables efficient ownership transfer, enhanced liquidity, and heightened trust. Hedera’s strengths in security, scalability, governance, regulatory compliance, and interoperability make it the ideal platform to unlock the full potential of tokenized home equity assets in the digital age, and we congratulate Quarter and TOKO on this milestone.”
“This was an exciting day to watch my own home equity minted into digital tokens” added Shannon Diesch, CEO of Quarter. “Getting direct investment to purchase my home saved me 50% vs. mortgage in monthly payments and these security tokens offer my investors a way to trade, or exit into cash, my home’s rising equity when we launch our future secondary marketplaceand grow its liquidity. Our ambitious vision is to make trading Quarter Asset and HPI security tokens as simple as it is today for global investors to buy and sell tiny shares of IBM, Coca-Cola, or Exxon on the New York Stock Exchange. This will serve to democratize the supply of housing capital to retail and institutional investors everywhere and provide more affordable options vs. mortgage for consumers who are priced out of homes today all over the world”.
Quarter is America’s first owner-occupied fractional equity-based home funding program and technology platform, with the aim of providing homeownership to millions who cannot afford a home using traditional debt-based capital. Fully vetted for regulatory compliance, Quarter directly unites fractional housing investors – preferring passive returns from a portfolio of fractional home assets vs. costly whole home ownership – with consumers who need an alternative to high-cost mortgages in order to own a home. Investor supplied equity is minted into security tokens with the (future) ability to balance holdings and liquidate assets into a robust trading marketplace.
TOKO is working to solve the inefficiencies of today’s capital markets by leveraging distributed ledger technology. TOKO is a digital asset creation platform that couples the compliance and regulatory rigor of a global law firm with the innovative technology solutions of tomorrow. TOKO provides a platform for creating new markets and uses distributed ledger technology to disseminate market information and provide transparency.