While cryptocurrencies like Bitcoin have proved very volatile, tokenized securities backed by real assets offer a more saving-based and balanced risk-reward opportunity. GreatX is presenting tokenized hotel real estate investments that can help investors build a robust and diversified investment portfolio.
1. Asset-backed Digital Tokens
Digital tokens are becoming mainstream, with a spike in total market capitalization in recent years. Real estate investments are not new. So how are GreatX tokens different from other real estate investments or digital assets? First, GreatX tokens, when pledged, are backed by a specific property’s commercial real estate profits instead of pooled residential real estate property or other commercial real estate portfolios.
With GreatX tokens, investors can own the profit stream of a hotel room. For instance, select-service hotels have historically generated attractive returns relative to fixed-income and real estate products. These investment vehicles will be the first asset class offered in the GreatX investment universe. Since these tokens are asset-backed, provide historical performance, and will be transferable, the GreatX tokens provide liquidity options to a market known as illiquid. GreatX Tokens are the first asset-backed digital tokens focused on savings as an institutional-grade investment opportunity.
One challenge of digital tokens is volatility, which has led to principal investment losses. GreatX tokens, unlike other digital tokens, are backed by the US Treasury Bond. This means that regardless of how the performance of hotel rooms may vary, the capital amount invested will remain protected over the investment’s lifecycle. As a result, investors can rest assured of downside protection.
3. Digital Diversification
Investors will be able to invest in multiple known hotel brands, potentially including but not limited to Hilton Garden Inn, Hyatt Place, Marriott, Fairfield, Holiday Inn, and others. Investors can diversify their portfolio with different branded hotels and geographies. Diversification is key to portfolio balancing.
In the digital age, wealth creation requires research, sound financial advice, and enhanced technology. The GreatX tokens are the first asset-backed digital tokens focused on savings as an institutional investment opportunity. Every GreatX token is a principal-protected investment structured note backed by the capital protection of the US government and passive earnings from US bonds at maturity.
With GreatX tokens, in addition to capital protection, investors can receive hard asset backing and the flexibility of digital tokens. Global investors can own income from US real estate assets through GreatX tokens.
This commentary is provided as general information only and is in no way intended as investment advice, investment research, a research report or a recommendation. Any decision to invest or take any other action with respect to the securities discussed in this commentary may involve risks not discussed herein and such decisions should not be based solely on the information contained in this document.
Statements in this communication may include forward-looking information and/or may be based on various assumptions. The forward-looking statements and other views or opinions expressed herein are made as of the date of this publication. Actual future results or occurrences may differ significantly from those anticipated and there is no guarantee that any particular outcome will come to pass. The statements made herein are subject to change at any time. GreatX disclaims any obligation to update or revise any statements or views expressed herein.
In considering any performance information included in this commentary, it should be noted that past performance is not a guarantee of future results and there can be no assurance that future results will be realized. Some or all of the information provided herein may be or be based on statements of opinion. In addition, certain information provided herein may be based on third-party sources, which information, although believed to be accurate, has not been independently verified. GreatX and/or certain of its affiliates and/or clients hold and may, in the future, hold a financial interest in securities that are the same as or substantially similar to the securities discussed in this commentary. No claims are made as to the profitability of such financial interests, now, in the past or in the future and GreatX and/or its clients may sell such financial interests at any time. The information provided herein is not intended to be, nor should it be construed as an offer to sell or a solicitation of any offer to buy any securities. This commentary has not been reviewed or approved by any regulatory authority and has been prepared without regard to the individual financial circumstances or objectives of persons who may receive it. The appropriateness of a particular investment or strategy will depend on an investor’s individual circumstances and objectives.
