In one of the biggest moves across assets management, Elevated Returns, a New York-based investment house, is now looking to ‘tokenize’ the popular luxury resort, St. Regis Hotel.
The asset manager initially flirted with the idea of creating the country’s first single-asset REIT, but the idea fizzled earlier this year.
Now, it’s decided to to partner with a crowdfunding website, Indiegogo, to allow investors to buy a stake in the luxury lodging—all through blockchain, according to a Fortune report.
This move would shun the more traditional methods of selling stakes in a business, and boost the significance of using blockchain technology.
How does this work for an investor looking to take the plunge?
The company aims to sell 18M tokens with a face value of $1 apiece to accredited investors—giving them exposure to the valuation gained from crypto coins.
These tokens are tied to the value of Ethereum, second in value to bitcoin.
The move is the latest in real estate’s attempts to integrate cryptocurrencies into their transactions. Just last fall, the first all-Bitcoin real estate transaction took place in Texas.
3 Ways To Invest From Your Smartphone For Under $5
The numbers say 80% of millennials don’t invest in stocks.
Reason? Half say they don’t have money, one-third says it’s too early and another third says they don’t know how.
In addition to that, there’s demographic gap. “The average age of a financial advisor is 55,” said Douglas Boneparth, a New York City-based financial planner. “There are more financial advisors over the age of 70 than there are under 30.”
Despite these beliefs, you don’t really need much money, nor experience, to get started. (Just look at our fearless co-founder Odunayo Eweniyi and what she’s pulled off here)
Be that as it may, here are three ways to get started for $5 or less.
What: A micro-investment app (iOS and Android) with over 30 ETFs according to industry, sector and risk tolerance.
How it works: Download the app and choose your investment.
Minimum investment: $5
Cost: Fees range from $1 a month for accounts under $5,000 to 0.25% a year.
“We help people who don’t have a lot save money on a weekly basis,” CEO and co-founder Brandon Krieg said in one interview. “Stashers look like America, they look like people you meet every day: they are nurses and teachers and Uber and Lyft drivers.”
What: iOS and Android app.
How it works: Download the app and choose one of six index funds. When you buy, say a cup of coffee for $1.75, it rounds up the change to $2 and deposits the difference.
Minimum investment: $5
Cost: Just like Stash, fees range from $1 a month for accounts under $5,000 to 0.25% a year.
“We’re not trying to preach austerity to the client, because that’s a bummer,” CMO Manning Field says. “Some people will say, ‘Don’t have the cup of coffee.’ We’ll tell you to have the cup of coffee and invest along the way.”
What: A commission-free investment app (iOS and Android).
How it works: Download and start buying stocks.
Minimum investment: Whatever stock you want to buy.
And by the way, if you want to get a fast start on real estate, here’s Forbes’ list of nine REITs with yields between 8% and 10%.
CHART: How Blockchain Powers Bitcoin
Blockchain, Bitcoin. Bitcoin, blockchain.
The two terms go hand in hand—and have become almost ubiquitous with this year’s insane rise (and fall) of Bitcoin.
But what does it all really mean? How does it come together? In this week’s chart, our friends at CB Insights break down exactly how blockchain powers Bitcoin.
VIDEO: Shark Tank’s Mr. Wonderful Demonstrates Compound Interest
How young should your children be when you start teaching them about money? How should I teach my children about money?
The key to children and money is explaining what it is to them early in life. Shark Tank’s Mr. Wonderful, Kevin O’Leary, answers all these questions with this tip on explaining compound interest to your kids.