REAL24 PROJECT OVERVIEW
The REAL24 project will encompass the novel ideas of cryptocurrencies and asset management through decentralized ledgers, based on blockchain technology. We will build an online platform that will introduce real estate initially deriving from distressed assets at favorable prices to the market.
REAL24 focuses on distressed and high margin real estate, to beneficiate the fund created for three main reasons:
- Because our properties will be derived from distressed assets, or other special properties that are not on the market, we will be able to offer the REAL24 community the possibility of buying or renting properties at more favorable prices compared to prices on the regular real estate market.
- Due to the specific REAL24 ecosystem and the lock down period (see more under chapter “Token management”) for each token used, we intend to accomplish the ideal environment for holders of other crypto currencies, who will want to transfer a part of their assets into R24 token.
The option we are striving for is to replace the ICO process through a STO procedure with statutory authorities. This could be a second step for the platform that need to be designed and studied first.
The platform will act as a closed ecosystem in which R24 token will be used as exclusive means of payment, offering all the services available to R24 token holders at favorable conditions compared to the public and will be structured into the three main categories.
The platform will serve as interaction hub between R24 token holders and the fund itself. Users of the platform will be able to see the latest projects, planned acquisitions, properties available for sale and for rent. It will use blockchain technology to verify real estate transactions that will be available for participants using R24 token.
Selling to R24 token holders
Selling to the public
Anyone wishing to purchase a property which is held by the fund will be able to purchase them through our REAL24 platform. If the buyer is a non-holder of R24 token, he will be able to pay in fiat currency (additional exchange fee will be charged) and REAL24 platform will be obliged to exchange the received payment to R24 token.
Renting to R24 token holders
Those users who have signed up to the platform will be able to rent properties (tourism, commercial and residential) owned and operated by the fund for favorable rates compared to the public. Payment will be made solely in R24 token.
The fund will be constantly checking availability of residential and commercial properties against market conditions. As the platform evolves we aim to offer R24 token holders many more benefits including: The ability to rent attractive touristic properties (apartments, villas etc.) starting in various countries. Interaction, updates and information about the fund properties including their status. In the second stage of the platform development we will include:
- Quick conversion of R24 token through a payment services provider
- A payment card that will support R24 token
- A dedicated loan facility (loan pools) for R24 token holders to support the acquisition of real estate owned by the fund
REAL24 will launch its own Initial Coin Offering to deliver an innovative platform for everyone interested in the real estate market. With the collected funds during the ICO process, we will be able to develop the following:
- A real estate portfolio embedded in corporate & private fund which will create utilization possibilities for R24 token, which will be managed by a professional with proven track record
- Development of an online platform that will serve as a base for opportunistic residential, real estate offers.
The majority of cryptocurrencies are prone to high volatility. By combining R24 token with real estate, we aim to offer a certain level of backing and are striving for a STO process for this as well. By backing cryptocurrency with distressed or exclusive real estate assets, we hope to increase the stability of the token itself and still obtain high-value growth potential. As the token will be used by parties to purchase or rent the fund’s properties on the platform. There will be numerous transactions, which means that the token will not be influenced by the stagnation of the market. Those users who have signed up to the platform will be able to rent properties (tourism, commercial and residential) owned and operated by the fund for favorable rates compared to the public. Payment will be made solely in R24 token.
What distinguishes the R24 token?
Through the strategic use of R24 token REAL24 project will create its own ecosystem driven by the platform. The aim is to maximize the growth possibility of the R24 Token value through utilization of token in real life and to ensure that, the users of R24 Token, the fund, the parties that we partnership with and in general also wider community, all benefit. To ensure sufficient liquidity, a maximum of 40 percent of the token will always be maintained for operation, so those who use R24 token will have the ability to convert the funds back into Fiat currencies through our partner payment providers. This added liquidity will ensure that the fund is also able to manage the properties within it effectively, never maximizing the fund into capital, killing the liquidity element of the fund. In doing so it ensures that there is a full operating capital element and small protection element for R24 token users.
Acquiring R24 token
Users can first acquire R24 token during the ICO period and even after the ICO process yet with a different pricing scheme. The company will also be offering a private participation period for users before the Pre-ICO period is launched. R24 token are then used as payment means for all services and properties over the REAL24 platform. The R24 token can be bought through conversion of other cryptocurrencies or direct from FIAT currency.
R24 token standard?
R24 token will be based on the ERC20 token standard or advanced and will be deployed on the Ethereum network. By using the ERC20 standard, users will be able to see all transactions, which have occurred, ensuring transparency with the fund and the users of the REAL24 platform. Ethereum smart contracts will also enable lock-down automation of R24 tokens. On this matter there are a few new platforms that need to be studied and improved.
The aim is to develop the REAL24 platform to a beta stage with basic (buy, rent and development overview) functionalities already before the start of the ICO. The time frame is presented in the road map below. REAL24 platform will allow R24 token holders to vote on which projects are to be adopted by REAL24 estates. This decision-making ability will have an impact on the entire REAL24 ecosystem and ultimately contribute to the decision if the company will enter into specific, pre-chosen projects. Participants will be able to review summaries on different projects. The platform will also display listed reports for projects. These reports will be based on all standard analyses (quantitative/static, and qualitative/dynamic with cash-flow projections) developed in partnerships with our real estate advisors EYEMAXX and an algorithm developed by the REAL24 team that considers the level of risk and the associated rate of return.
Utilization of R24 token
Ability to buy property owned by the fund. Our users will be able to spend their tokens in order to purchase a real estate from our portfolio. Purchases will be transparent and processed over the blockchain by using smart contracts. Before purchasing certain real estate, there will be a stage of real price discovery through auctions. Auction will be provably fair and transparent as anyone will be able to participate and monitor the bidding on the Ethereum blockchain. To pay for the rent of commercial and residential units owned by the fund. Token holders will be able to spend their token to rent real estates by sending token to corresponding real estate contract. The contract will be updated accordingly and the whole rent process will be as transparent as it should be. Contracts will also allow integrations with IoT and allow plug and play smart house experience. The blockchain provides the most reliable system for transferring funds. The fact that the data remains saved in an immutable distributed data store means that users can be rest assured that their data cannot be tampered with, payment flows can be optimized, and ultimately the overall rental experience can be improved. Pay conveyance fees and expenses. For users of real estate offered on the platform we will strive to make conveyance fees and expenses payable over the platform. Common expenses in buildings owned by the fund. Also, all common expenses in buildings owned by the fund will be payable over the platform. This will also affect the liquidity of the R24 tokens. Access to auction properties being disposed of by the fund. Only R24 token holders will be able to benefit from the properties put on auction by the fund. The Platform will also let those who own R24 tokens utilize the funds holiday letting and rental service.
Our platform will allow our backers to be involved in projects the fund is involved in by voting on published polls about the open decisions the company will face. This way the contributors will be able to be a part of the story and vote on projects to be started in the future. The whole process will be highly transparent on the blockchain through interaction with our platform smart contracts.
Each project will have different stages of development which you will be able publicly monitor. Deploying smart contracts for each project we start will also enable the most transparent overview of our portfolio and its value. All the company decisions will be reflected through reports on platform, putting you in the first-row seat.
All our smart contracts will be written with the mindset to create a real estate ecosystem for the future. Doing so we will be prepared to integrate possible future real estate companies into our platform. We believe the synergy of companies working on the blockchain will allow true decentralization.
User friendly platform
In case there would be potential buyers for units in platform ownership that are not familiar with the crypto world, REAL24 platform will enable them to pay units in fiat currency according to the market price of the R24 token at that moment + additional fee (of up to 5 percent). The platform will then immediately change this to R24 token through the exchange. Reason for offering this solution is not to limit purchaser base only to community that is familiar with cryptocurrencies but to offer it to the public as well. We believe that this solution will also benefit the R24 token holders because it will enable easier entrance barrier to REAL24 ecosystem and increase growth value potential for the R24 token.
Buying real estate with fiat currency:
The buyer will be able to pay 50 percent of the purchase price directly in fiat currency through the REAL24 platform (calculation will be done according to the market price of R24 token). The buyer will need to buy R24 token through exchange and transfer on base of smart contract for purchase of property for rest of 50 percent of purchase price. A smart contract will lock down all token for the 3 year lock-down cycle.
Buying real estate with cryptocurrency/R24:
- Let us assume the buyer already owns R24 token in the amount of 60 percent of the requested price.
- The buyer will need to buy R24 token through exchange for the rest of the purchase price (40 percent).
- The purchase will be done via smart contract.
A smart contract will lock down 50 percent of all token for the lock-down period of 3 years.
- The remaining 50 percent of R24 token will be sent to the fund (property holder).
- The fund will then need to exchange token through exchange to be able to buy the new properties for the portfolio.
REAL24 ecosystem on token value
Graphic explanation on how the process of our ecosystem will be reflected on the value growth of the R24 token.
Explanation: As displayed in the picture above our ICO contributors will first provide necessary funding for building a real estate portfolio which will derive from banks’ asset or distressed asset. In exchange for that our contributors will receive the R24 tokens. In the following step, properties from our portfolio will go to the market (for sale or rent), where the R24 tokens will be the only mean of payment. The aim of REAL24 team is to make quick turnarounds. Because properties will be deriving from distress banks asset (purchased with high discount), REAL24 will be able to offer them at favorable prices, and still, bring substantial profits to the real estate portfolio.
Every transaction will on one side generating big gains of the real estate portfolio (the value of the portfolio will constantly grow at a certain rate) and on the other side, every transaction of the usage of the R24 token will bring a lock-down of 50 percent of those tokens, which will reflect on the higher token value.
Through time there will be more and more properties available for rent, or sale (consequently more transactions) for a smaller number of tokens in circulation. This economic mechanism will have a constant positive effect on the much-desired increase of the R24 token value.
REAL24 platform has strict restrictions on how it manages both its reserve fund and the token received as part of its revenue-generating operations.
Smart contract lock-down and vesting period of received token
All token distributed to the REAL24 team are locked for a period of 1 year after the ICO end date. After this period, token will be available for the team in 25 percent tranches every 3 months. Token in the pre-sale period will also be locked for a period of 3 months plus number of days between participation date and ICO end date. All token will be governed by the smart contracts.
Operational use of token after ICO and lock-down
Token paid to the REAL24 platform are handled in two separate ways:
- For every purchase of the services of REAL24 Platform 50 percent of the amount in R24 token will be allocated into the liquidity pool and locked down for 3 years, effectively taken out of circulation. This will occur until the total amount of token in circulation hits 30 percent of the issued total. After the 3-year lock down period ends token might be offered to the market for the purposes of new real estate projects and portfolio expansion. Only when the limitation connected with circulating token is reached, token will be sold at market price or fair value price, in case that is higher than the market price. Token that will not be sold, will be on lock-down again for next 3 year cycle. To get out of the lock down there will be offers by REAL24 team to buy back but at a cost up to 15% penalty fee.
- The remaining token will be put into the REAL24 platform reserve fund, so they do not influence the current market price, allowing the REAL24 price to appreciate as the platform grows, without compromising its future usefulness.
REAL24 platform process description
- In the private pre-sale process, contributors will also be able to submit their contributions in fiat currency besides BTC, ETH and BNB token. However, only BTC, ETH, and BNB token will be accepted in public pre-sale and the ICO.
- 50% of funds will be exchanged to fiat currency for the REAL24 platform to be able to develop the real estate portfolio base for backing the token utilization.
- Funds will be transferred to an EU regulated entity. This entity will then acquire real estate portfolio through local SPVs.
TOKEN ECONOMICS & TOKEN OFFERING
Total supply Target: 500.000.000
Token symbol: R24
During the ICO there are two main goals, the soft cap and the hard cap:
Hard cap (max) = 100 million USD
Soft cap (min) = 5 million USD
The ICO will be broken down into three main phases:
- PPP – Private Participation Period – open to those who are related to the project or who are approached as a private participant.
- Pre-ICO – The pre-ICO will only be open to those who participate in our White List which will be placed on our website before the pre-ICO goes live.
Time duration: 30 days.
- ICO – This is the period when anyone can participate in the ICO itself. Time duration: 4 weeks.
During each phase you will be able to acquire a different number of token for BTC, ETH and BNB token. This is known as the “discount” amount. The earlier you participate, the bigger the discount for the token.
The token will be distributed in the following amounts.
20% for Liquidity pool – token will be locked with smart contract for a period of 3 years (100 million token). These token can be used after the 3 years for the:
- support additional liquidity,
- disbursement at the market price, used for the fork, or be locked again.
- 60% available in whole crowd sale (300 million token)
- 20% for business costs, team etc. (100 million token)
We intend to lock 20% of token primarily to ensure business operations, set-up and scale of the business infrastructure and to target additional distressed deals once the platform is in place.
Price of R24 tokens
During the pre-ICO period – token will be sold at USD 0.40 cents this will last for a period of a 10 days, with certain min. investment amount
During the ICO period – token will be sold at a varying price.
- Price for the first 7 days USD 0.50,
- Price for the next 7 days USD 0.55,
- Price for the final 7 days USD 0.60
As seen with token distribution 20 percent of token will be dedicated to business costs and the team. This 20 percent of issued token (100 million token) will be allocated for building business operations.
OCT 2019 REAL24 platform development project
NOV 2019 REAL24 platform (beta) development
FEB 2020 Private sale Period
FEB 2020 REAL24 platform (beta) live
MAR 2020 Pre-ICO
MAR 2020 ICO
APR 2020 Private corporate fund
JUN 2020 Property acquisitions & development
AUG 2020 REAL24 platform completed
JAN 2021 Property acquisitions & development also in all EU regions