Milestone Onchain Loan Backed by Real Land in Los Angeles
Whittier, California, December 19th, 2024,
NFTfi.com, a leading NFT lending protocol, and Fabrica, a real land tokenization platform, today announced a $200,000 loan secured by a tokenized plot of Los Angeles real land.
This milestone transaction marks the largest land-backed loan in blockchain history and demonstrates the growing practical application of decentralized finance (DeFi) in traditional real estate markets.
Pioneering Real Estate Innovation
The groundbreaking loan, where the borrower is the early Ethereum investor and NFT collector Tony Herrera, represents a significant advancement in real estate tokenization. The transaction validates six years of Fabrica’s development of a compliant, secure tokenization system that upgrades property ownership through blockchain technology.
“As an early believer in Ethereum, I always knew blockchain had the potential to challenge legacy markets. Now, seeing real assets like land being tokenized, it’s clear that this vision is becoming a reality. It only takes a few early believers and groundbreaking transactions to prove this is possible. Onchain lending is just simpler, faster, and better. Protocols like Fabrica and NFTfi.com are enabling a revolution,” states Tony Herrera.
Transforming Traditional Real Estate Finance
The successful transaction can demonstrates blockchain technology’s capacity to influece the $300 trillion real estate market. By tokenizing land parcels using Fabrica and leveraging them as collateral via NFTfi.com’s smart contracts, a more efficient, transparent, and accessible system for real estate financing is becoming a reality. The blockchain’s ability to process significant loans using tokenized collateral marks a crucial step toward the mainstream adoption of decentralized real estate transactions.
Backed by prominent investors including Mark Cuban, OpenSea, and Sound Ventures, Fabrica has developed a comprehensive platform that operates across all 50 states in the US with over 20 licenses.
The partnership between NFTfi and Fabrica represents the convergence of DeFi capabilities with traditional real estate markets, creating new opportunities for property owners and investors alike. The transaction structure provides a blueprint for future real estate-backed loans on the blockchain.
Advancing Market Innovation
The loan’s completion marks the beginning of a new era in DeFi, where real-world assets (RWAs) secure digital loans through smart contracts. This development opens possibilities for property owners to access liquidity without traditional banking constraints while maintaining ownership of their assets.
About NFTfi
NFTfi.com is the longest-standing lending protocol for NFTs. The decentralized platform allows NFT holders to borrow ETH, USDC, or DAI from lenders by using their NFTs as collateral in a trustless peer-to-peer (P2P) fashion. Lenders on NFTfi can earn yields.
Founded in 2021, NFTfi has facilitated over $600M in loan volume to date and is backed by many tier-one investors such as Placeholder VC, Coinfund, 1kx, Maven 11 Capital, and others.
About Fabrica
Fabrica is a leading platform to bring real estate properties onchain. The established platform lets land owners securely operate their assets fully online, removing the complexity and inefficiency of the legacy deed system.
Since 2018, it has refined its model and worked closely with local and state regulators enabling it to operate in all 50 states and perform hundreds of transactions.
Fabrica allows users to buy, sell, and get loans on real properties fully onchain. Fabrica is backed by leading investors, including Mark Cuban, OpenSea, Sound Ventures (Ashton Kutcher’s fund), Pioneer Fund, and Urban Innovation Fund.
