Decentralized Real Estate Platform CitaDAO on MEXC

MEXC will facilitate CitaDAO in its launch by integrating its services in various ways into its ecosystem. Since its launch in 2018, MEXC has built up a reputation for a fast and high-performance technology exchange with a focus on transaction matching. Currently, MEXC has over 6 million users spread over more than 70 countries around the world. It was recently awarded the title of the best cryptocurrency exchange in Asia at the Crypto Expo Dubai 2021.


What is CitaDAO?

CitaDAO is a platform for the tokenization of Real Estate and this tokenization is done on the blockchain, using the Ethereum ecosystem. CitaDao works as a Decentralized Finance (DeFi) platform.

CitaDAO plans to address liquidity issues, access controls, and improve the composability of the current real estate platforms. The main goal is to develop and enhance existing linkages with other DeFi apps and programs already running on Ethereum.

Real Estate Tokens allow the community to diversify their portfolio through blockchains to build up volatility and inflation hedge using real assets. The DeFi features allow investors to benefit from stable liquidity levels. This is possible through AMM and token liquidity pools. CitaDAO is developing a platform that will offer easy, unrestricted and manageable access to real estate without any of the current drawbacks that affect users.

Since DeFi gained a wider user base and popular support, the CitaDAO ecosystem is looking for more ways to support yield generation. Real estate as an asset class is known to provide genuine value that offers improved and sustainable returns in a DeFi ecosystem.

Why is CitaDAO Useful?

A majority of the high returns reported under current DeFi systems will not retain their current levels. As they return to average yields and fall to normalcy, they will search for better investment options. Real estate is a great choice because its yield is supported by off-chain activities, which ensures that returns are maintained throughout the life of the asset.

Bringing real estate on the blockchain is not a new concept with multiple attempts to launch to date. It is particularly useful for smaller investors. For instance, in real life, the only way to earn through real estate is to either rent it or hold the property for it to increase in value. Real estate on the blockchain will perform better than real life.

The current state of physical real estate is its use as a passive source of income. Lack of adaptation to modern technology has led to several disadvantages:

  • Poor Liquidity Performance: real estate can be difficult to invest in because of the large investment required. It is also difficult to exit a position in real estate because of difficulties in finding buyers. 
  • Lack of Access: the large investment required to enter into a real estate position makes it inaccessible for most people who lack the capital required.
  • Lack of flexibility: Real estate is not very flexible as an asset in real life. It can only be used to secure a mortgage or second or secure a line of credit. Even this is very difficult to do.
  • CitaDAO Will improve the real estate scenario by offering better options under all these factors.
  • Sufficient Liquidity: using automated market makers (AMMs) will allow liquidity pools to exchange their real estate tokens for liquidity. This means that real estate will become as liquid as cash.
  • Better Access: Since real estate tokens can be bought in any amount, Anyone will be able to buy or exchange real estate tokens. Since fractional trading will be possible, the traditionally high cost of real estate will no longer be a barrier to entry.
  • Composability: CitaDAO tokens are ERC20 enabled, which makes them composable to other public projects. This makes them more in demand and therefore more valuable. CitaDAO’s Knight token will act as a governance token. over the long run, this will build a foundation for an entire blockchain-enabled real estate market like loans, futures, indexes etc
  • Easy to use: all cryptocurrency users we’ll find it easy to use real estate tokens compared to real estate trading in real life

How is it different from other Real Estate tokens?

CitaDAO is different from other real estate projects that have not been successful in tokenizing the real estate sector. Reasons for CitaDAO’s success are as follows:

  1. CitaDAO builds a bridge between physical and blockchain real estate. This makes CitaDAO Real estate tokens more legitimate and makes sure that the tokens have real value on the blockchain.
  2. This link with the real world asset makes sure that blockchain real estate is an effective buffer against inflation and economic volatility, just like real life real estate.
  3. For community members looking for a passive yield strategy, CitaDAO offers sustainable yield maintenance systems. This means that yield farmers can continue to look for sustainable high returns without breaking any regulations or running unnecessary risks.

The CitaDAO Bridge

CitaDAO creates a two-way tokenization bridge for real-life Real Estate. This lets Real Estate assets be traded both on and off the blockchain. Landlords list their properties on the platform through the Introducing Real Estate On-chain (IRO) process.

Once the IRO is successful, the property will be tokenized, and Real Estate Tokens (RET) will be issued to the successful IRO participants, bringing the property on-chain.

Now the RET can be traded like any other ERC20 tokens between holders. In order to redeem the underlying title deed of the property, RET holder will need to trigger the buyout mechanism which allows the property to go off-chain upon a successful buyout.

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