What is real estate tokenization?

Real estate tokenization converts property rights into digital tokens, often NFTs linked to an SPV and legal agreements. Each token represents a defined interest with potential rights to income, updates, and exit options. It aims to lower minimums, improve transparency, and speed settlement while keeping investor protections in place.

How do tokenized property NFTs generate returns?

Returns can come from rental income distributions and any price changes if a secondary market exists. Terms depend on the legal documents. Check how rent is calculated, timing of payouts in EUR or stablecoins, expense reserves, and fees. Verify reporting frequency, audits, and who controls bank accounts and smart contracts.

Is NFT real estate legal in Germany?

It can be, depending on structure. If tokens qualify as securities or investment products, BaFin rules may apply and prospectus or exemptions could be needed. The eWpG supports electronic securities, and MiCA covers certain service providers. Always review the issuer’s licenses, custody model, and legal documents before investing.

What risks should I check before buying?

Focus on legal enforceability, issuer solvency, valuation method, and property insurance. Review smart contract audits, custody arrangements, and transfer restrictions. Assess liquidity on approved venues, lockups, and fees. Confirm how rent is collected and distributed, what happens in defaults, and your priority in a liquidation event.

How is fractional property ownership via NFTs different from REITs?

NFT-based fractional property ownership usually grants rights in a specific SPV or asset, with direct documentation and on-chain transfer. REITs are pooled, exchange-traded vehicles with broader portfolios, professional management, and different tax rules. NFTs may provide faster settlement and lower minimums, but can offer less liquidity and market depth.

Global Market Insights

February 14: Mey Real’s Tokenized Property NFTs Sell Fast, RWA Demand Grows

ByHuzaifa Zahoor February 14, 2026February 14, 2026

Real estate tokenization is gaining speed as Mey Real reports a sold-out 1,400-unit strategic round and 50% of its public allocation claimed within hours on launch day. The platform ties NFTs to SPVs and legal agreements, signaling stronger demand for RWA tokenization with clear rights and payouts. For investors in Germany, this matters. It points to a shift from hype to income-linked, utility NFTs. As euro rates stabilize and inflation eases, diversified exposure to property cash flows on-chain is drawing interest, especially for smaller tickets and faster settlement.