He tried to cash in on the NFT craze by auctioning a house. It didn't work
April 27, 2021. Summarized by summa-bot.
Compression ratio: 17.6%. 1 min read.
For months, Shane Dulgeroff had watched NFTs -- or non-fungible tokens -- for pieces of digital art, baseball cards and other collectibles sell for mind-boggling amounts.
What if he commissioned a digital rendering of a home that he owned and auctioned it off as an NFT, along with the real world property?
"Not only is it the world's first property to be sold this way, but once this sale closes, it will open up people's eyes to a new way to sell real estate. "
This comes with a real house, with real rental income," Dulgeroff said.
He was seeking to tie an NFT to a real-world asset that already had a real-world value behind it and the market didn't know how to respond, Russo explained.
Using an NFT as a way to sell something in the real world is viable, Russo said.
An even bigger challenge for the sale, Russo said, was the gap between the two worlds of investing that Dulgeroff was trying to bridge.
"The offering needs a buyer who equally understands cryptocurrencies and NFTs, as well as the real estate market and running a rental property," Russo said.
While Dulgeroff said he had heard from interested buyers from the real estate world, they had questions about how the title would transfer, whether it had to be an all-cash payment and how to get their money onto the platform.
"Whoever buys the property, gets the NFT transferred into their digital wallet," he said.