Boca Raton, FL – Since its inception in 2019, RealT has been on a mission to redefine how people invest in assets through tokenization. As the pioneer and leader in Real Estate Tokenization, RealT – short for RealToken – began with a bold vision: to tokenize a diverse range of asset classes, making wealth-building opportunities accessible to everyone, everywhere. Our founders, Jean-Marc and Remy Jacobson, armed with deep expertise in real estate, chose to start with residential properties – an asset class they knew inside and out. Over the past six years, we’ve tokenized more than 700 properties and products across five countries, delivering opportunistic value to our community through rental yields and property appreciation.
But real estate was just the beginning. The vision of RealT has always been broader – to bridge traditional finance and the blockchain era by tokenizing diverse, high-potential assets. Today, we’re thrilled to announce the next chapter in our journey: the introduction of a factoring product as a tokenized investment asset. This new offering marks a significant evolution for RealT, bringing our community a fresh opportunity to diversify their portfolios with a unique financial instrument with opportunities for potential stability and growth.
What Is Factoring as a Financial Investment Asset?
Factoring is a financial transaction where a business exchanges its accounts receivable (unpaid invoices) for immediate cash. Instead of waiting 30 to 90 days to receive payment from customers, businesses sell these invoices to a factor at a slight discount, typically receiving about 95% of the value upfront. The factor then collects the full payment when due, earning the difference as profit. This process helps businesses optimize cash flow management by shortening cash cycles, allowing them to fund operations, pursue growth opportunities, or meet immediate obligations without taking on traditional debt.
As an investment asset, factoring creates an opportunity for investors. By funding these transactions, you’re essentially providing businesses with the working capital they need to grow while earning a return based on the terms of the account receivable servicing. It’s a win-win: businesses get liquidity, and investors earn a profit return.
A unique feature that is unlike bank financing, approval isn’t based solely on the business’s credit score but in combination with the creditworthiness of their customers. This makes factoring a flexible solution for companies that might not qualify for conventional financing, which has traditionally been a slower process for approvals – such as small and medium-sized businesses (SMBs), startups, or seasonal businesses who seek to operate more nimbly.
The Factoring Market: Size and Growth
Factoring isn’t a niche concept – it’s a global industry with significant scale and momentum. According to Grand View Research, the global factoring services market was valued at $4,185.05 billion in 2023 and is projected to grow at a compound annual growth rate of 10.5% from 2024 to 2030, reaching $8,188.67 billion by 2030. Straits Research offers a slightly more conservative estimate, pegging the market at $5,680.17 billion by 2031. Either way, in our opinion, the numbers tell a clear story: factoring is poised as a massive and expanding market.
This growth is fueled by rising demand. Factoring fills this gap, offering quick cash flow solutions with fewer hurdles. Add in the increasing complexity of international trade – where factoring shines as a trade finance tool – and it’s easy to see why this market is on an upward trajectory.
For RealT, tapping into this market means bringing our community a piece of what we believe to be a multi-trillion-dollar pie – one that’s growing fast and ripe with opportunity.
Why Now? The RealT Difference
After six years of perfecting real estate tokenization, why introduce factoring now? The answer lies in timing, expertise, and an expanding vision of inclusivity. We’ve built a robust platform, a loyal community, and a track record of success. With over 700 tokenized assets, we’ve proven that blockchain can transform how assets are owned and traded. Now, we’re leveraging that foundation to expand into factoring – a market that aligns perfectly with our mission of accessibility and innovation.
This expansion represents a natural evolution in our journey to make diverse investment opportunities accessible to everyone. By combining the established practices of Islamic finance with the innovation of blockchain technology, we’re creating new pathways for ethical investing that transcend geographic, financial, and cultural boundaries.
Introducing the RealT Factoring Token
Our new factoring product is tokenized at a price of $50 per token, offering expected annual profit shares based on historical performance. Each token represents a stake in a financial instrument backed by the accounts receivable of carefully vetted operating businesses, ensuring ethical and sustainable investment practices.
The RealT Factoring Token is structured on value-based financial principles that prioritize transparency, risk-sharing, and mutual benefit. Through a profit-sharing partnership arrangement, everyone can provide capital while RealT works with established factoring experts who bring years of specialized knowledge, giving token holders access to this exclusive product. This partner manages the factoring operations, generating returns by financing verified business invoices. This structure avoids traditional interest-based models and excessive uncertainty, focusing instead on fair profit distribution based on actual performance.
When a “credit” (an invoice we’ve financed) is paid off, the token rolls into a new credit, providing an opportunity for continued profit sharing returns through our carefully selected factoring partnership. This reinvestment process keeps your investment working for you while maintaining full compliance with ethical financial standards.
The Investment Process: Ethical and Impactful
The investment process is straightforward and impactful: your capital is used to purchase outstanding business invoices at a discount, providing essential working capital to vetted businesses. As creditworthy customers settle these invoices, the resulting profit margin is shared with token holders in accordance with equitable principles. This creates a win-win scenario, supporting businesses with liquidity while delivering consistent returns to investors. The diversified invoice portfolio further minimizes individual transaction risk, ensuring a balanced and secure investment experience.
Each opportunity undergoes a comprehensive 7-day review by both business analysts and ethical compliance experts before capital deployment, ensuring all investments meet both financial viability and ethical standards. This thorough due diligence process is essential to maintaining the integrity of our value-based framework.
Looking Ahead: A Tokenized Future
The launch of our factoring token is just the start. If it’s a hit with the RealT community, we’ll work to source an opportunity set with new sectors and the same or increased return versions at 13% and 14%, giving you even more ways to grow your wealth. Beyond factoring, we’re exploring other asset classes to tokenize – each one a step toward realizing our founding vision of a fully diversified, tokenized investment ecosystem.
For now, we invite you to join us in this exciting new venture. The RealT factoring token is more than an investment – it’s a chance to be part of the next wave of financial innovation. Since 2019, we’ve been breaking barriers in real estate. Today, we’re doing the same with factoring. Tomorrow? The possibilities are endless.
Website: https://realt.co
