Gates launches $75 million Tokyo property tokenization, targeting a $200 billion market.
Japanese real estate investment company Gates Inc. announced on Thursday that it will tokenize a revenue-generating property worth $75 million in downtown Tokyo through the Oasys blockchain, aiming to lower the entry barriers for foreign investors into the Japanese real estate market.
Gates plans to expand rapidly, with the ultimate goal of tokenizing over $200 billion in assets, which would account for about 1% of Japan's $20.5 trillion real estate market. The company was founded in 2012 and is projected to achieve $145 million in revenue by 2024, currently undergoing a Nasdaq listing roadshow.
Source: Gates' cumulative revenue over 12 periods since its founding in 2012.
By placing ownership records on the blockchain, Gates aims to simplify the investment process for foreign buyers, who often face high legal costs, complex regulations, and language barriers when entering the Japanese real estate market. Investors will be able to buy and sell tokenized real estate on a decentralized platform without going through local intermediaries.
Gates CEO Yushi Sekino stated: "We will combine profitability and practicality in our tokens to add solid value to Japan's highly reliable real estate assets and establish next-generation investment infrastructure that allows global investors easy access to Japanese assets."
Oasys shifts from gaming to RWA tokenization, seizing global business opportunities.
Oasys was originally designed as a Layer 1 blockchain for gaming, but in recent months has shifted its focus to the tokenization of real-world assets (RWA).
Ryo Matsubara, representative director of Oasys, stated: "Japanese content, whether game IP or other cultural assets, has high value globally. Providing these Japanese assets as RWA is an industry where Japan-rooted Oasys can fully leverage its advantages."
The Oasys team is building a token economy that automatically reinvests returns to maximize compounding effects. Gates has obtained the necessary financial and real estate business licenses in Japan, and the RWA project will be executed through a special purpose company established overseas to ensure regulatory compliance.
A global wave of real estate tokenization is rising, with the market size expected to reach $4 trillion by 2035.
Interest in global real estate tokenization is surging. In Dubai, tokenized real estate sales have reached $18 billion, and New Jersey has also begun digitizing property contracts worth $240 billion. According to a report by KPMG Financial Services Center, the global tokenized real estate market is expected to exceed $4 trillion by 2035, a significant increase from less than $300 billion in 2024, with a compound annual growth rate of over 27%.
As tokenization accelerates, institutional investors are increasingly interested in this industry. On June 5, pan-European fund management company APS acquired $3.4 million worth of tokenized real estate assets through MetaWealth's blockchain investment platform.
After launching the first phase in Tokyo, Gates plans to bring the tokenization model to the United States, Europe, the Philippines, and other regions in Asia. Future phases may also include the tokenization of intellectual property rights for Japanese media franchises, transforming cultural exports into digital investment products. This collaboration not only represents an innovative breakthrough in the Japanese real estate market but also showcases the immense potential of blockchain technology in the digitization of traditional assets.
'Tokyo luxury homes on the blockchain! Oasys collaborates with Gates to tokenize $20 billion in real estate' was first published in 'Crypto City.'
