FTX and Real Assets…
I have a few thoughts on the FTX (and other related crypto situations) and the importance of real-world assets.
Redswan CRE (“RedSwan”) is a real estate marketplace and exchange platform of digital securities. We started our journey by first becoming a FINRA member governed by the SEC. We believe a stronger regulatory framework is critical to protecting investors and growing the digital asset ecosystem.
RedSwan digital assets are Securities, not Crypto. There is a major distinction between the two. Security tokens are 100% asset-backed and administered by only registered FINRA Advisors.
Digital securities are distributed on the blockchain through white-label addresses. This requirement provides transparency and protection from theft. RedSwan encourages clients to create their own digital wallets and hold digital assets.
The reckless management and abuse of client assets in crypto-centralized exchanges like FTX gave too much control with no oversight and transparency. It is unfortunate to see what has happened and see innocent crypto investors lose their investment assets. The volatility of cryptocurrency makes it extremely difficult to manage let alone engage in decentralized financing. In contrast, RedSwan security tokens represent 100% ownership of net equity value. This provides for a more traditional, collateralized loan against real estate. Again, the protection of customer assets and transparency are critical at all times.
Education continues to be a priority in our mission statement and investment thesis. Our goal at RedSwan is to provide an industry-leading primary and secondary marketplace for digital asset securities, leveraging blockchain technology to create transparency.
The more accredited and non-accredited investors understand these differences between digital assets, the more likely they would make the decision to select digital securities over crypto for investment purposes. The market for currency forex exchanges is known to have significantly higher risk factors than asset-backed income-producing commercial real estate securities.
RedSwan CRE is currently the largest marketplace and the future exchange of tokenized real estate securities with over $5b in asset value. We are creating the standard for processing fundamentally safer security products to accredited investors under SEC Act for general solicitation under Regulation D, 506c.
