Today I will share a real estate RWA project, which is on the Binance chain. I have talked about several real estate projects before. Some time ago, I also shared a real estate project parcl on the SOL chain, and real estate is a very huge industry in the real world. , once it can be done on the chain, the market value will definitely be very easy to grow, so I am very concerned about this sector. Today’s project is landshare. It has increased 5-6 times in the past month, but the current market value is only 20 million US dollars. Overall FDV is only about 60 million, so the potential is still very large.
Overview
Landshare is a blockchain-based tokenized real estate ecosystem that enables seamless investment in real-world assets (RWAs).
Through Landshare, users can own a portion of real-world real estate by holding Landshare RWA tokens (LSRWA). Each property in the ecosystem is managed by Land and transfers net cash flow directly to RWA token holders.
Landshare also offers a range of DeFi features including NFTs, staking vaults, and DAO voting via LAND utility tokens.
Real Estate Tokenization - Two Tokens, Multiple Ways to Earn Money
The Landshare platform offers two different tokens - Landshare Token (LAND) and RWA Token (LSRWA). Each token plays a different role in the ecosystem.
1.LAND Token
LAND tokens are platform governance and utility tokens that can be used as a means of exchange, voting, payment, and access. Users can stake them in any DeFi vault to earn additional rewards.
2.RWA Token
Landshare RWA tokens are the easiest way to invest in real estate on the blockchain! Each token represents ownership of a real estate asset. By holding RWA tokens, users will become co-owners of the Landshare RWA pool and benefit from property appreciation, rental income and other cash flows.
How to invest in real estate with Landshare
①Landshare NFTs
Landshare NFTs are virtual 3D renderings of real-world properties available in the Landshare RWA token pool. By managing and upgrading users' NFTs, users can earn additional rewards for staking their RWA tokens.
After purchasing RWA tokens, users will receive NFT points. Earn 1 individual NFT point for every RWA token purchased.
Once you have NFT points, visit the minting page. The more NFT points loaded into the NFT, the more LAND can be obtained from the NFT. For every 4 NFT points spent, the user's NFT will receive 1 harvestable LAND.
Next, press the mint button and sign the transaction to mint the user’s new NFT.
Each NFT has a certain amount of harvestable LAND rewards. Users can increase the number of rewards they can harvest by spending NFT points on new or existing NFTs.
②Pledge RWA tokens
Each real estate NFT acts as a revenue multiplier for the RWA tokens staked by the user. The more RWA tokens a user stakes, the more rewards the user can receive!
③Upgrade user’s NFT
In order to maximize users’ rewards, it is crucial to upgrade NFT properties and increase users’ revenue multipliers.
NFT ecosystem
The NFT ecosystem leverages LAND tokens in several key ways:
Market: NFTs can be freely traded between users, using LAND tokens for payment. Each market transaction incurs a 5% fee.
Minting: In the updated NFT minting system, a 5% LAND fee will be charged for each new minting.
Energy: In order to upgrade and repair NFTs, users must generate energy resources. Additional energy can be purchased with LAND via the Resources tab.
Slots: Each NFT must be placed in a slot to be considered active. Users can purchase additional slots for 15 LAND.
Advanced Upgrades: Each NFT property can be enhanced with advanced upgrades, and purchasing advanced upgrades requires paying LAND.
RWA fees and payments
Investment in real-world assets is achieved through RWA tokens. However, LAND tokens play a crucial role in the process of acquiring and trading RWAs on Landshare.
To purchase RWA tokens, users must pay in 90% stablecoins and 10% LAND tokens, based on the total USD value of the purchase. For example, if a user wishes to purchase $1,000 of RWA tokens, the total purchase price will be $900 of stablecoins and $100 of LAND tokens.
RWA tokens can also be sold on demand through a new fixed-price liquidity pool based on the value of the underlying asset. A 1% LAND fee is charged when these sales are initiated. For example, selling $1,000 of RWA tokens will incur $10 in LAND token fees.
How Real Estate Tokenization Works
Tokenization is the process of creating digital tokens on the blockchain that represent ownership of various real-world and digital assets.
Real World Assets (RWAs) cannot be directly tokenized, so they are placed in legal entities such as Limited Liability Companies (LLCs) or legal entities. In some jurisdictions, ownership units of these entities can be converted into tokens on the blockchain. Through this process, each token represents joint ownership of a legal entity and thus indirectly represents the asset itself.
Landshare Holdings LLC is a Wyoming limited liability company that holds all Landshare RWA assets. When purchasing and holding RWA tokens, users effectively purchase shares in the holding company and therefore become co-owners of all assets.
The process of asset tokenization on Landshare can be divided into the following steps:
1. Establish a legal entity specifically for owning the property to be tokenized.
2. The legal entity converts its shares into special security tokens.
3. Landshare LLC provides securities to investors and conducts Regulation S issuances.
4. Investors complete KYC and AML checks, sign the purchase agreement, and purchase tokens.
5. Landshare manages the property on behalf of the investor.
6. The cash flow generated by the real estate is sent to token holders in the form of BUSD tokens. Investors can also benefit from appreciation in the underlying asset.
7. Investors can sell their shares to other whitelisted users or back to the holding company (restrictions apply).
Token economy
The upper limit of hard minting of LAND tokens is 10 million. Because of the destruction mechanism, the circulation volume will change. Here is the supply base as of February 2024:
Total supply: 4,527,348
Circulating Supply: 4,495,919
Supply cap (10 million minus burned tokens): 9,973,659
Daily additional issuance: about 2050
The remaining unminted tokens will be used as staking rewards (97.5%) and distributed to the DAO treasury fund (2.5%) over time, with approximately 2,050 additional tokens currently issued per day. This number can be modified at any time through Landshare DAO.
In terms of token distribution, the reward pool is 66%, the seed round is 10%, the team is 15%, the market is 5%, and IDO is 3%.
governance
LAND tokens represent voting rights in the Landshare DAO, the primary governance mechanism for the platform. The DAO and its voters directly control key elements of the platform, including:
Staking Rewards: The Landshare DAO directly controls the proportion of newly minted LAND tokens allocated to each staking vault.
Issuance Rate: In addition to the allocation of reward tokens, the DAO may also increase or decrease the total number of reward tokens minted per day.
Fiscal Fund: 2.5% of newly minted tokens are allocated to the DAO Fiscal Fund. The DAO has the right to use these funds for grants, destruction, marketing bounties, or anything else the community can think of!
Destruction Mechanism
The LAND token has several mechanisms designed to remove tokens from the supply. Since the minting rate is set at 10 million tokens, each burn effectively permanently reduces the LAND supply cap. Some examples of burn mechanisms include:
RWA token purchase: Each RWA token purchase will pay 10% of LAND tokens, all of which will be burned.
Optional DAO Burn: The DAO can vote to burn any number of tokens from its treasury fund, which includes 2.5% of all tokens generated, as well as Auto LAND staking fees.
In conclusion, this can be regarded as a real estate project on the BSC chain. The gameplay is a bit complicated and it is a bit like a game. And the tokens are suspected of being nesting dolls. This is something to complain about. Then by binding the tokens to the shares of the physical company, this actually solves the problem of laws and regulations in various countries. However, the problem that arises is that you can only buy local real estate, which is also subject to restrictions, so there are advantages and disadvantages. Currently, there are only 3 properties seen on the official website, with a total value of about US$500,000, so they are still relatively few. So its current mainstream method is to buy tokens and make money, because the staking income alone is 13%, and there is also the income from NFT points, so the overall income should be at least 20%, which is still very attractive, and at present Its token is still in the process of rising, because it has stepped on the trend of RWA, and the current market value is still very low, only 60 million FDV, so it still has relatively large potential. A real estate project can see 100-200 million US dollars. It’s not a big problem. However, the project side cannot just rely on the token economy to play, but must actually engage in real estate RWA.
