Tangible, a TNFT Marketplace that converts real-world assets into NFTs that are redeemable for the physical item at any time, successfully launched its mainnet on May 2, 2022.
This means anyone can now use cryptocurrency to purchase valuable physical goods from the world's leading suppliers through Tangible's TNFT Marketplace.
Users will mint a TNFT (Tangible non-fungible token) representing the physical item, at which point, the physical asset is sent to one of Tangible's secure and insured storage facilities in London, Singapore, and Zurich as the TNFT is sent to the buyer's DeFi wallet.
Tangible's categories of real-world assets include gold bars, investment-class wine, luxury watches, and fractionalized/tokenized real estate.
The TNFTs are a liquid, tradable and redeemable high-end asset, living entirely on-chain.
TNFTs purchased in the marketplace can be redeemed for the physical item at any time or resold in the Tangible marketplace.
Another feature of Tangible is its Instant Liquidity engine, which you can use to sell a TNFT immediately, without listing it on the marketplace. Tangible will buy back any TNFT at 10% below the market price, paying in its native TNGBL token. Tangible will then relist the TNFT for sale on its platform at market price. This price difference will increase the liquidity pool's TNGBL supply, increasing the liquidity available.
By making liquidity instantly available for pricey luxury items, Tangible aims to increase the adoption rate for the tokenization of real-world assets.
New Avenues of Ownership
Non-fungible tokens or NFTs are an emerging technology that can be used to represent digital content and intangible concepts as well as physical objects.
By using immutable blockchain technology to permanently and securely store information about the product, NFTs can be used to ensure that the product is authentic.
NFTs present several advantages for trading physical assets, such as security and immutability. First, distributed ledgers offer a tamper-proof record of asset ownership and transfers. Second, NFT's data also contain a public digital certificate of authenticity, demonstrating its provenance and enhancing the asset's value.
Not to mention, smart contract integration provides added utility, automated trade, and the ability to enable royalty payments.
Decentralization and disintermediation are other significant advantages of NFTs, especially in high-priced items. Traditional auction houses charge a premium for auctions of luxury goods because of their role in validating the items' provenance and bringing potential buyers and sellers together in a centralized auction, NFTs and associated marketplaces solve this.
By leveraging NFTs for real-world assets, Tangible opens up new avenues of ownership and promotes accessibility and inclusive growth.
Real Estate Fractionalization is here
Tangible launched its fractionalized real estate NFTs on June 14th which will offer fractional ownership of real estate through its marketplace and can be purchased with USDC on the Polygon network.
Using the platform's unique fractionalization tool, customers can choose how much to invest in real estate. They also get to choose the property based on projected yield, capital appreciation, and other property-specific details.
Once the sale on a specific property is filled with buyers, it only takes a few seconds to take possession of fractionalized real estate NFTs on Tangible and one can start accruing rental yield in USDC immediately.
As for the reasoning behind fractionalizing real estate, it's one of the world's oldest and most reliable asset categories, weathering every historical economic cycle and ultimately gaining value over time. However, the barrier for entry is too high for many investors, fractionalized assets solves this allowing investors of any level to participate in this market.
The team at Tangible also views fractionalized real estate as a quality substitute to earning yield off stablecoins. On Tangible, users can earn consistent and dependable cash flow at approximately 8.5% APY. This yield is derived from rental revenue, not ponzinomics, all while the user's principal investment is housed in the dependability of real estate, which has the potential for additional capital appreciation itself. Tangible's fractionalized real estate NFTs come pre-rented, with tenants secured.
Sharing Risks and Rewards
NFTs also provide a more secure way to trade luxury assets.
Investment and trade in high-value assets such as luxury watches are becoming increasingly popular among both investors and collectors who want to own a part of rare or novel items. To preserve the watch's value, it needs to be stored securely. But each time the luxury item is physically delivered to a new buyer, it involves risks and costs of physical delivery.
By allowing involved parties to trade an NFT that represents ownership of that watch, Tangible removes the associated risks and saves time and costs.
Tangible further allows for a new ownership model, 'asset fractionalization.' Called Tangible Fractions, they are smaller fractions of a whole TNFT. Splitting expensive items into more affordable pieces allows multiple owners to share the risks and rewards of a single investment. The storage fee of the original TNFT is also split equally between fractions.
Any TNFT owner can quickly sell any percentage on Tangible's marketplace. They get to determine the percentage of the item that they want to fractionalize, the total price for that fractionalized amount, and the minimum fraction size that can be sold.
Fractions, much like the whole TNFT, are ERC-721 tokens. Another benefit of this fractionalization is that if the original TNFT user had TNGBL and USDC rewards, these claimable benefits are passed on to the fractions and the fraction owners.
Rewarding the Participants
At the center of Tangible Marketplace is its native token called TNGBL, which has a maximum supply of 33,333,333. As of writing, TNGL is trading at $12.26 at a market capitalization just under $400 million.
Tangible uses a new 3,3+ token model to reward TNGBL holders. Under this model, by locking TNGBL tokens, holders get to earn passive USDC income and multiply their TNGBL tokens.
The marketplace charges a 2.5% fee on all of its transactions, and the way the tokenomics of the project are built, 100% of it goes to users.
Two-thirds of this revenue from transaction fees are paid directly to locked TNGBL holders in USDC stablecoin, which is the accepted cryptocurrency on the platform. The remaining one-third of the revenue is used to buy and burn the project token to reduce TNGBL's supply and make the token more valuable.
In order to lock tokens, users will need a Defi wallet connected to the Polygon Network. On Tangible's site, they'll select their lockup period - the longer the lockup, the higher the multiplier - and mint the 3,3+ NFT to claim your passive USDC income.
Currently, 99.33% of TNBGL tokens are locked in '3,3+ NFTs' for an average period of almost three years, as per the official website.
* This is a contributed article and this content does not necessarily represent the views of techtimes.com
