I’ve been looking at tokenized real estate platforms (RealT, Lofty, SecondaryDAO) and I’m genuinely torn on whether this is a meaningful innovation or just adding complexity where traditional REITs already exist.

The pitch is solid in theory: – Lower minimums ($500 vs $1K+) – On-chain transparency – Secondary market liquidity – Real yield from actual rental income

But I’m seeing some real limitations:

Secondary market liquidity is NOT the same as REIT liquidity. Yes, you can trade property tokens, but the order books are thin. REIT liquidity is instant. Token liquidity is “whenever someone wants to buy at your price.”

Regulatory uncertainty. These are being structured as tokenized securities. What happens when the SEC takes a clearer stance?

Correlation problem. If you’re already hodling crypto, are you really diversifying by buying real estate on Arbitrum?

Yield sustainability. A property yielding 6% today—is that sustainable?

My actual questions for this community: – For those who’ve invested in tokenized RE, what’s your real experience with liquidity? – Does the on-chain transparency actually change your investment decision vs. traditional REITs? – How much of the appeal is “real estate exposure” vs. “I want to use DeFi on Arbitrum”?

Would love to hear from people who’ve gone deep on this.

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