Real estate tokenization will be the new investment revolution

Maciej Zieliński

27 Jan 2021
Real estate tokenization will be the new investment revolution

Why is real estate tokenization likely to change the property market permanently? What are its benefits for developers and owners? What does the issuance of such tokens mean for small investors?

In the three years from 2016 to 2019, the value of the real estate market increased from $7.6 trillion to $9.6 trillion. Its importance is inalienable, not only because of its high value, but also because of the key role that real estate plays in everyone's life. At the same time, it is one of the most complex markets, full of ambiguities. So why would we want to introduce tokenization to it?

Real estate tokenization is the process of creating digital assets that represent a single property or their entire portfolio. Tokens are created and issued with the help of systems based on blockchain technology. Securities digitised in this way can solve a number of problems present in the traditional real estate investment model, such as a high barrier to entry or low liquidity.

A lot of doubts and inaccuracies have grown up around the term itself, so on the Nextrope blog we present the most important benefits of real estate tokenization and explain its process step by step. 

Benefits of tokenization of real estate

Diversification of the investor group:

Property tokenization allows property values to be divided into smaller parts using a system based on Blockchain technology. This allows owners and developers to offer assets with a much smaller denomination than in the traditional investment model. Thus, they extend their distribution to a much larger and more diverse group of investors. 

Allowing such miniature investments in large projects could seem highly unprofitable due to the need to involve intermediaries, each time securing the interests of both sides of the transaction. Thanks to smart contracts present in the blockchain, which are executed automatically, the involvement of intermediaries is not necessary, which significantly reduces costs.

Increase in liquidity 

Real estate is a highly illiquid asset, which has so far increased the advantage of institutional investors over individuals. Tokens can be freely traded on dedicated platforms, where their price fluctuates depending on supply and demand. Liquidating an investment in a token worth a few dozen dollars is therefore much easier than selling a property worth several million. This is particularly important in the context of discounts for illiquid assets and liquidity premiums. 

Easier price determination

Once tokenized, the value of a particular property on the secondary market is updated in real time based on order records. The paper-based systems currently used for this are much slower and full of asymmetries between the information provided by the parties involved.

Real estate tokenization - a new level of security

Blockchain provides the highest level of security among all digital solutions! Since tokens representing assets are protected by cryptographic encryption, in order to access them it is necessary to use private keys. And these are possessed only by token owners.

Real estate tokenization step by step  

Tokenization of real estate can be divided into three stages:

1. Determination of the structure

The structure of the offering depends on a number of elements, including the type of asset, the jurisdiction and the applicable regulations. At this stage, issuers decide which property will be tokenized, whether it will be an existing or an emerging investment, and determine the legal status of the entire project (e.g. a real estate fund or a Special Purpose Vehicle with a single asset). 

In addition, they establish the rights of shareholders - token holders. It is determined whether the investors have, for example, the right to dividends or asset management. Multiple tokens can also be created based on a single property, representing different investment classes. One token may represent, for example, equity and another may represent preference capital.

2. Choice of technology

At this stage a decision is made as to what blockchain protocol will be used for the project. Will it be a solution specially created for the purposes of the project? Or will one of the existing ones such as Ethereum or Hyperledger be used? The primary and secondary market for the tokens is then determined. Where should they be available for initial issuance? On which exchanges will investors trade them? An alternative is to create your own platform for issuing and trading tokens. 

3. Creation and distribution of tokens  

Once the technology decision is made and the transaction is structured, the next step is to launch the token and hand it over to investors. 

Real estate tokenization - summary

By placing traditional assets inside an easily tradable token, digitised securities offer a range of entirely new benefits such as widening access to investment, lowering the barrier to entry and increasing the liquidity and transparency of transactions. These are improvements whose positive impact is immediately felt. Furthermore, implementing tokenization does not require turning the entire property market upside down. It is merely a significant improvement of the mechanisms already present there. 

Therefore, we believe that real estate tokenization is one of the most promising uses of blockchain technology. 

Want to know what else can be tokenized? Check out our article on precious metals tokenization.

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Master UI Component Creation with AI: The Ultimate Guide for Developers

Gracjan Prusik

24 Mar 2025
Master UI Component Creation with AI: The Ultimate Guide for Developers

Introduction

Modern frontend development is evolving rapidly, and creating UI components with AI tools is helping developers save time while enhancing interface quality. With AI, we can not only speed up the creation of UI components but also improve their quality, optimize styles, and ensure better accessibility.

This article explores how creating UI components with AI is transforming frontend development by saving time and improving workflows. Specifically, we will discuss:

  • Generating components from images,
  • AI for style analysis and optimization,
  • Automatic style conversion and code migration,
  • AI in generating UI animations.

Creating UI Components with AI from Images

One of the interesting applications of AI in frontend development is the ability to generate components from an image. AI can recognize the structure of the interface and generate HTML/CSS or JSX code that matches the provided image. One of the most popular tools for UI creation is Lovable.

For testing, let's see how the tool performs in creating a simple contact form from the page you are currently on, which is Nextrope.

Query:

"Recreate the image I've sent you in Next.js using CSS."

Sample image used in the query:

The result received:

Tworzenie komponentów UI - Wygenerowany widok

Lovable did an excellent job transforming the image into code. The view is fully responsive. It’s important to remember that the more precise the request, the better the AI will replicate the expected view. However, even with a simple command, the tool performed surprisingly well.

Of course, AI has its limitations. It still makes quite a few mistakes. The generated code still requires review and fixes from the developer, but in some cases, the entire process is significantly sped up—correcting the code often takes less time than creating the component from scratch.

Optimizing UI Components with AI Tools for Style Improvements

This problem of inaccurate code reproduction by AI can be partially addressed by using it to analyze and improve styles. Tools like ChatGPT, DeepSeek and Claude are capable of not only generating code but also diagnosing CSS errors and suggesting why a particular style might not be working as expected.

Simple example: Why is the div not centered?

Query: "Why is this div not centered?"

AI analyzes the code and provides the following response:

Problem: The parent container does not have a defined width or display: flex.
Solution: Add the appropriate styles to the parent container.

.parent {
  display: flex;
  justify-content: center;
  align-items: center;
  width: 100vw;
  height: 100vh;
}

AI for Automatic Style Conversion and Code Migration in UI Components

AI can assist with style conversion between different technologies, such as transferring code from traditional CSS to Styled Components or Tailwind CSS.

Let's assume we have a style written in traditional CSS:

.button {
  background-color: blue;
  color: white;
  padding: 10px 20px;
  border-radius: 5px;
  transition: background-color 0.3s ease;
}

.button:hover {
  background-color: darkblue;
}

We can use AI for automatic conversion to Styled Components:

import styled from "styled-components";

const Button = styled.button`
  background-color: blue;
  color: white;
  padding: 10px 20px;
  border-radius: 5px;
  transition: background-color 0.3s ease;

  &:hover {
    background-color: darkblue;
  }
`;

export default Button;

AI can also assist in migrating code between frameworks, such as from React to Vue or from CSS to Tailwind.

This makes style migration easier and faster.

How AI Enhances UI Animation Creation

Animations are crucial for enhancing user experience in interfaces, but they are not always provided in the project specification. In such cases, developers have to come up with how the animations should look, which can be time-consuming and require significant creativity. AI, in this context, becomes helpful because it can automatically generate CSS animations or animations using libraries like Framer Motion, saving both time and effort.

Example: Automatically Generated Button Animation

Suppose we need to add a subtle scaling animation to a button but don't have a ready-made animation design. Instead of creating it from scratch, AI can generate the code that meets our needs.

Code generated by AI:

import { motion } from "framer-motion";

const AnimatedButton = () => (
  <motion.button
    whileHover={{ scale: 1.1 }}
    whileTap={{ scale: 0.9 }}
    className="bg-blue-500 text-white px-4 py-2 rounded-lg"
  >
    Press me
  </motion.button>
);

In this way, AI accelerates the animation creation process, providing developers with a simple and quick option to achieve the desired effect without the need to manually design animations from scratch.

Summary

AI significantly accelerates the creation of UI components. We can generate ready-made components from images, optimize styles, transform code between technologies, and create animations in just a few seconds. Tools like ChatGPT, DeepSeek, Claude and Lovable are a huge help for frontend developers, enabling faster and more efficient work.

In the next part of the series, we will take a look at:

If you want to learn more about how AI is impacting the entire automation of frontend processes and changing the role of developers, check out our blog article: AI in Frontend Automation – How It's Changing the Developer's Job?

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AI in Real Estate: How Does It Support the Housing Market?

Miłosz Mach

18 Mar 2025
AI in Real Estate: How Does It Support the Housing Market?

The digital transformation is reshaping numerous sectors of the economy, and real estate is no exception. By 2025, AI will no longer be a mere gadget but a powerful tool that facilitates customer interactions, streamlines decision-making processes, and optimizes sales operations. Simultaneously, blockchain technology ensures security, transparency, and scalability in transactions. With this article, we launch a series of publications exploring AI in business, focusing today on the application of artificial intelligence within the real estate industry.

AI vs. Tradition: Key Implementations of AI in Real Estate

Designing, selling, and managing properties—traditional methods are increasingly giving way to data-driven decision-making.

Breakthroughs in Customer Service

AI-powered chatbots and virtual assistants are revolutionizing how companies interact with their customers. These tools handle hundreds of inquiries simultaneously, personalize offers, and guide clients through the purchasing process. Implementing AI agents can lead to higher-quality leads for developers and automate responses to most standard customer queries. However, technical challenges in deploying such systems include:

  • Integration with existing real estate databases: Chatbots must have access to up-to-date listings, prices, and availability.
  • Personalization of communication: Systems must adapt their interactions to individual customer needs.
  • Management of industry-specific knowledge: Chatbots require specialized expertise about local real estate markets.

Advanced Data Analysis

Cognitive AI systems utilize deep learning to analyze complex relationships within the real estate market, such as macroeconomic trends, local zoning plans, and user behavior on social media platforms. Deploying such solutions necessitates:

  • Collecting high-quality historical data.
  • Building infrastructure for real-time data processing.
  • Developing appropriate machine learning models.
  • Continuously monitoring and updating models based on new data.

Intelligent Design

Generative artificial intelligence is revolutionizing architectural design. These advanced algorithms can produce dozens of building design variants that account for site constraints, legal requirements, energy efficiency considerations, and aesthetic preferences.

Optimizing Building Energy Efficiency

Smart building management systems (BMS) leverage AI to optimize energy consumption while maintaining resident comfort. Reinforcement learning algorithms analyze data from temperature, humidity, and air quality sensors to adjust heating, cooling, and ventilation parameters effectively.

Integration of AI with Blockchain in Real Estate

The convergence of AI with blockchain technology opens up new possibilities for the real estate sector. Blockchain is a distributed database where information is stored in immutable "blocks." It ensures transaction security and data transparency while AI analyzes these data points to derive actionable insights. In practice, this means that ownership histories, all transactions, and property modifications are recorded in an unalterable format, with AI aiding in interpreting these records and informing decision-making processes.

AI has the potential to bring significant value to the real estate sector—estimated between $110 billion and $180 billion by experts at McKinsey & Company.

Key development directions over the coming years include:

  • Autonomous negotiation systems: AI agents equipped with game theory strategies capable of conducting complex negotiations.
  • AI in urban planning: Algorithms designed to plan city development and optimize spatial allocation.
  • Property tokenization: Leveraging blockchain technology to divide properties into digital tokens that enable fractional investment opportunities.

Conclusion

For companies today, the question is no longer "if" but "how" to implement AI to maximize benefits and enhance competitiveness. A strategic approach begins with identifying specific business challenges followed by selecting appropriate technologies.

What values could AI potentially bring to your organization?
  • Reduction of operational costs through automation
  • Enhanced customer experience and shorter transaction times
  • Increased accuracy in forecasts and valuations, minimizing business risks
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Want to implement AI in your real estate business?

Nextrope specializes in implementing AI and blockchain solutions tailored to specific business needs. Our expertise allows us to:

  • Create intelligent chatbots that serve customers 24/7
  • Implement analytical systems for property valuation
  • Build secure blockchain solutions for real estate transactions
Schedule a free consultation

Or check out other articles from the "AI in Business" series