Liquidity Primitives
Reverse Mortgage Services
Real Estate Tokens (RET) can be collateralized in lending protocols to borrow other Digital Assets, unlocking potentially new strategies on-chain for the crypto native given RET low correlation with other Digital Asset classes.
Real Estate Collateral Pools
RET can be lent out in collateral pools, enabling RET holders to earn a higher yield on their RET.
On-Chain Risk Hedging
Hedging against risk on-chain will be an important part of the ecosystem. Traditionally, insurance enables one to hedge against risks such as natural disasters like a fire.
Hedging against risk on-chain enables RET holders to reduce risk by way of a DeFi insurance primitive.. This could work in many ways. A simple example could work like this:
A group of properties sends a premium to a shared pool to be locked up in a smart contract every month.
When one property is unable to maintain its expenses, the smart contract is activated to cover the property expenses.
The smart contract pays out to the property to keep it afloat.
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