Consensys Eyes Blockchain-Based Real Estate Fund in the Philippines

Consensys wants to unlock opportunities in real-estate through "fractional ownership."

Software and technology giant Consensys has revealed plans to roll out a blockchain-based real estate fund called Meridio in the Philippines to unlock the potential of property development through so-called “fractional ownership.”

Aiai Garcia, Asian head of ConsenSys Solutions made the announcement in an interview with Cryptovest, saying Meridio would be launched in the Philippines after its successful pilot-run in Dubai.

“Meridio launches funds out of tokenized real estate assets. Think of it as fractional ownership because you are now able to reallocate one piece of property to multiple investors. And since it is all on the blockchain, you can track the equity, the ownership, the income received from the property, even the yield, over time,” she said.

Garcia said Meridio is one of the projects incubated by Consensys that converts individual properties into digital shares on the blockchain and seamlessly connects diverse investors and asset owners to invest and trade.

According to Garcia, Consensys has been looking for real estate opportunities in the Philippines because of the robust economy as well as the booming property sector in the region. The massive infrastructure program under the government's ambitious $180 billion "Build, Build, Build" program is also a major reason for the bullish outlook in the country's property development space.

Garcia said Meridio also allows property developers access to a fresh wave of investors they could never access before.

"Say you want to invest in an apartment project, but you do not have the funds for it. The Meridio fund allows you to be a part of that project by investing in the real estate fund. You can fractionally own that apartment from that portfolio," she said.

The Meridio fund is looking to address the challenges of transparency, liquidity, and inclusion by creating a real estate token.

A separate article by Consensys further described Meridio. “As the project concluded, we realized that we were only scratching the surface of the benefits blockchain could provide for real estate. Meridio cofounders Corbin Page and Mohammad (Mo) Shaikh began exploring other tokenized business models around fractional ownership, and ‘Project Pangea’ was selected as a temporary name for the venture. While the name was very fitting, it served its purpose and it’s time we shed our old skin and prepare our company for long-term adoption.”

In the meantime, Garcia said Consensys is looking for potential projects and partners in the Philippines.

“Several property developers have initiated talks with us about Meridio. But we cannot divulge them yet,” she said.