Experts warn that tokenization does not automatically guarantee liquidity in the real estate market.
According to experts in offshore Real World Assets (RWA), tokenized real estate is not inherently liquid. The conversion of property into digital tokens does not immediately create a seamless secondary market for investors.
Understanding this distinction is vital for navigating the evolving digital asset landscape and managing expectations regarding exit strategies in property investments.
> 💡 For investors: Understanding that tokenization is not an instant liquidity solution is crucial for managing risk in the European fractional ownership market.