Knowing what to invest in can be a tricky decision. Each asset class holds a different relation between risk and return. Shares typically hold more risk than bonds, but that depends on which kind. Emerging market bonds have a higher volatility in crises, making their potential for up-sizing or down-sizing greater. This is why diversifying your portfolio with alternative assets is so important.
Knowing what to invest in can be a tricky decision. Each asset class holds a different relation between risk and return. Shares typically hold more risk than bonds, but that depends on which kind. Emerging market bonds have a higher volatility in crises, making their potential for up-sizing or down-sizing greater. This is why diversifying your portfolio with alternative assets is so important.
A ssets like gold, silver and real estate are alternative assets. This essentially means that they will react differently in times of crises. During unstable times, the demand for real estate rises, giving your portfolio stability. By its nature real estate has less volatility than shares and is protected from inflation, thus making it possible to calculate the risk and returns carefully. The cheap rates on mortgages also boost up returns. Low-risk investments are an essential part of any serious investor’s portfolio. The issue with low-risk investments is that their profitability can be eroded by multiple variables, thus making them a less attractive option. That’s why CROWDLITOKEN is bringing the security of low-risk investments to real estate, with the use of the blockchain technology for the first time. Thanks to the low minimum investment amount, diversification is possible for every portfolio. It is now easier than ever to gain a foothold in the European real estate world and grow your assets, all from the comfort of your own home.
What are Low-Risk Investments and Why are They Essential?
Low-risk investments can come in many different forms.
From a savings account to dividend-paying bonds, they offer stability in a very volatile world. A good low-risk investment will ensure steady growth with a high return on investment, without too much erosion from inflation or volatility. It keeps growing, even sometimes despite its financial ecosystem.
Not traditionally known as a low-risk investment, real estate is one of the most popular subjects of speculation around investor tables as it holds a special relationship between risk and return, especially during times of crisis or instability. Plenty of people know someone who’s made a name for themselves through careful property and asset management and great strategizing.
The problem is that getting started is typically quite costly and inaccessible to many — until now, that is. CROWDLITOKEN is bringing affordability, flexibility and (most of all) security to the real estate ecosystem with the use of blockchain.
Why CROWDLITOKEN is a Good Option for Any Investor
CROWDLITOKEN is a tradable digital asset, a fundamentally new form of investing in real estate. It is structured as a digital bond, issued and transferred on the blockchain. It is backed by real-world assets, and fully compliant with European financial authorities.
Here is why CROWDLITOKEN may be a good investment choice for you:
Minimal Risk: It costs as little as 100 CHF (that’s roughly 90 EUR or 100 USD) to get started, making it affordable for everyone who’d like to invest in European real estate.
Fully Compliant: The acquisition of CROWDLITOKENs (CRTs) will grant the investor with a tradable real estate asset. It is the world’s first token with an ISIN (International Security Identification Number).
Best of Both Worlds: It combines the best of both direct real estate investing and indirect real estate investing with none of their drawbacks through the use of blockchain and smart contracts. Where direct real estate investments would be made in large sums and involve a lengthy due diligence process, the use of blockchain as the base of operation makes it infinitely quicker and easier for investment enthusiasts, even internationally.
Ultra-Low Fees: Costs are cut, as middle-men are no longer needed for transactions. Execution time is greatly reduced as well. No unwarranted real estate premiums from an unending list of middlemen!
Transparent: Smart contracts may be implemented, thus ensuring all parties are transparent. Furthermore, an asset that has been tokenized is more easily liquidized should the need arise, and doesn’t require the presence of a third party for trading assets.
Full Control: CROWDLITOKEN brings the convenience of indirect investing without limiting investors’ visions for their own portfolio. The user has full control over their choice in investments and a fully customizable, individual property portfolio that grants full freedom over the allocation of funds.
High Yield: CROWDLITOKEN guarantees inflation-protected returns at a very attractive yield. The rate of return on investment will never go below inflation, with the typical ROI being between 5 to 7 percent.
How CROWDLITOKEN Works and How to Invest
Die CROWDLITOKEN AG gibt eine digitale Anleihe mit der Bezeichnung CRT aus, einen digitalen Immobilienwert, der als Sicherheit dient.
The funds raised by issuing the bond during the Security Token Offering (STO) are invested into properties, all owned by CROWDLITOKEN. The whole process is highly secure on the blockchain, in compliance with European legal standards, and assures transparency.
The digitized income streams of the property are linked to the digital bond, benefitting the bondholder from the appreciative value of the properties while the interest on the bond is minimal.
Anyone can invest in any Member State of the European Economic Area (EEA) where the publication of a prospectus in accordance with Article 3 of the Prospectus Directive is required. Countries such as: Germany, Austria, Netherlands, Belgium, Luxembourg, France, Italy, United Kingdom, Ireland and Switzerland. Other countries such as the UAE and Russia are in the approval phase for the public distribution of the digital bond.
We are at the cusp of a real estate revolution! Claim your share of the European real estate market with CROWDLITOKEN through our STO. For more information on our platform, read our whitepaper.
