Blockchain technology has played a vital role in the modernization of every business around the world. And it has increased the speed of the processes and made them more efficient. Blockchain sure has made a lot of positive impact on the real estate business as well. So, it is replacing the traditional time-consuming processes with online portals which only requires some clicks to get the job done. One of the fields affected by this positive change is asset management and in this article, you are going to learn how the blockchain technology has created the revolutionary wave in the asset management business.
Asset Management is when a company manages peoples’ assets on their behalf. It usually happens when investors submit their capitals to the asset management firms and they invest them in different opportunities such as stocks, cash, bond and private equities, etc. Asset managers work with every client’s portfolio separately taking into account their clients’ specific needs, risk tolerance and preferences. The company keeps track of its assets to have their customers know what type of assets are available and what type of asset should they invest in. Traditional asset management is only accessible to the wealthy class of the investors which includes individuals, groups and families. They just set up their private accounts with the firms and transfer money into them that they want to be invested.
In traditional asset management, investors have to get involved with a lot of individuals like asset managers, agents or brokers, investment organizations and institutions to verify the transactions. The possibilities of errors increase because of the presence of so many loopholes in the current system.
Blockchain has proved itself to be exactly what the industry needed. Blockchain’s infrastructure enables a streamlined pathway for companies to share data and processes in a safe and secure environment. Blockchain-based platforms eliminate the centralized digital asset management system instead the data is scattered among millions of computers worldwide. There are several benefits of blockchain based asset management systems.
Activities through blockchain are conducted in a more secure manner. And Blockchain’s immutability guarantees the impossibility of the data being hacked or altered. Blockchain has also increased the speed of the management processes as it offers real-time performance tracking of asset trading. The institutions don’t need to transfer records to one another anymore, so they just have to update their own records and blockchain will do the rest. Blockchain also helps in the development of customized solutions to make the client validation process easier. Verification of processes like asset ownership, citizenship, affiliations and occupation, etc demands a lot of time. Blockchain-based systems are delivered to proper institutions allowing them to access required information with just a few clicks.
Vairt is a crowdfunding platform for tokenization and liquidation of the real estate assets through blockchain. And all-in-one solution for property handlers to efficiently manage their properties. We offer transparent access to projects which will generate enough income to not only cover your expenses but also enable you to save for your future as well.