The Harbor startup has signed an agreement with iCap Equity to create ERC-20 tokens, which represent the assets of iCap real estate investment funds for more than $100 million.
According to the company, the move will allow 1,100 investors and 17 ICAP placement agents to conveniently Transact in real estate investment funds.
Harbour CEO Josh Stein said that issuers should have a direct relationship with their investors, and this is the direction that the company is interested in partnering with iCap.
For iCap investors, the tokenization of real estate funds means greater liquidity for their investments. Investors who acquire iCap assets typically face a lock-in period of three to five years. During that time, they can either hold assets or find investors willing to take over the remaining lockout period. Presenting investments as tokens allows investors to exchange assets while bypassing most paperwork and fees.
“The use of blockchain will help to place investors with different calculation options in one Fund. This will help investors in need of liquidity to ensure an early exit and at the same time allow other investors to gain access to previously closed to them alternatives,” — said Michael Bradley the CEO of the investment company Bradley Wealth .