🏡 Time to AKRU New Assets

Real estate tokenization isn't stopping any time soon!


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Good morning, Rainmakers! 🎊

As always, we have two captivating topics for you to dive into: 

1️⃣  🏡 Time to AKRU New Assets

2️⃣  💸 DeFi Money Please Don't Leave

Without further ado, it's time to…

Get liquid 💧

STA Client Webinar - Freeport

Security Token Advisors has a webinar coming up tomorrow, January 17th at 6pm EST where one of their current clients, Freeport, will be talking about tokenized museum-quality art, such as Andy Warhols.

So what’s the webinar about?

 Freeport's CEO, Colin Johnson will be covering: 

  • Freeport's new 3D futuristic art gallery

  • How anyone can own a piece of an iconic Andy Warhol painting

  • The type of experience the new art gallery offers users

  • How investors can purchase art through this dynamic experience

  • How investors can place their NFTs alongside the world’s finest art pieces and much more

Because there's only a limited amount of seats left for the webinar we ask you RSVP before they fill up! This will be tomorrow January 17th, 2023 at 6pm EST.

Here's a sneak peak:

Freeport 3D Gallery

🏡 Time to AKRU New Assets

As we all know, real estate has been an attractive investable asset for a long time. Why? Cash flow, asset appreciation, some stability, and various other reasons.

However, with interest rates rising, mortgages rise as well meaning home buying demand decreases. How does that affect real estate owners? To sell, they'll have to take a liquidity discount.

AKRU helps asset owners avoid that liquidity discount via tokenization and trading. For investors looking to get into real estate, traditionally minimum investments range from $50K-$250K depending on the asset. On Akru, a variety of assets are available for investment for as little as $1,000. This means more investors can get in on the action for less, and existing investors have the opportunity to sell a fraction of their position rather than the full amount and de-risk their portfolios!

I'll explain why they're a great platform but real quick for those wondering, what's a liquidity discount? 🤔 

Let's get basic on liquidity discounts

Starting with liquidity: in the simplest terms, liquidity means how fast can one take an asset and turn it into cash.

  • Apple (APPL): Extremely liquid. People are buying and selling so much you can sell it to SOMEONE almost instantly on Robinhood.

  • Real Estate Asset: Very illiquid. Someone looking to sell their valuable property will need to find a buyer interested in that specific asset, that can afford it, and then go through legal documentation to sell it. If one doesn't have as big a network, this process may take longer.

So now what's the discount part?

In the examples above, real estate is clearly harder to sell and turn into cash. If someone's asset is worth $10M and they're in need of that cash sooner rather than later, they may consider taking a $9M offer from a buyer. This is a 10% discount to the actual value of the property.

Ok back to the topic, AKRU is helping real estate owners, developers, and the like raise capital for new assets or simply tokenize existing ones for some early liquidity.

Aside from trading, AKRU's platform is a great option due to their proprietary blockchain technology, compliance team, and partnerships to enhance the investor benefits.

"AKRU’s security tokens are built using a standard that allows for a differentiated ownership model, error signaling, regulatory compliance, and document management."


AKRU builds on the Avalanche blockchain but can seamlessly switch the security tokens to another blockchain and link all the transaction history to the previous ledger... being blockchain agnostic is definitely a plus in my eyes especially if they can preserve information in any transfer.

Investors can rest assured compliance is also taken care of. AKRU's team helps asset owners prepare and distribute all reporting and tax documentation at the end of the year! Not only that, but they have a proprietary AI engine for due diligence and real-time processing & reporting property management data for each of the assets on its site.

Using utility usages and expense trends, it can also project building tenancy & maintenance issues! Imagine a building where management could know of a leak or an outage before a tenant even reports an issue. Property management utilizing AI will take efficiency and optimal performance to a new level!

In addition, the platform has also partnered with banking partners to help investors get leverage on their security tokens. This means investors may be able to borrow money and use their security tokens as collateral - cool use case!

AKRU has thought of multiple features for both issuers and investors alike, so check them out! I see a couple properties from my home city of Chicago are there 👀 

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💸 DeFi Money Please Don't Leave

Ondo Finance is dedicated to creating institutional-grade tokenized assets and to that end they’ve put three of their funds on-chain. These funds represent deposits into funds managed by well-respected firms such as BlackRock and PIMCO along with US Treasuries.

In the DeFi space, investors hold more than $100B in non-yield-bearing stablecoins which can now be invested into these security tokens along with a traditional fiat option. Here are the 3 share classes they’re starting off with according to their announcement:

  • US Government Bond Fund (OUSG): OUSG will invest exclusively in short term US treasuries, initially via the Blackrock US Treasuries ETF (SHV)

  • Short-Term Investment Grade Bond Fund (OSTB): OSTB will invest in short-term investment grade, corporate bonds, initially via the PIMCO Enhanced Short Maturity Active ETF (MINT)

  • High Yield Corporate Bond Fund (OHYG): OHYG will invest in high yield, corporate bonds, initially via the Blackrock iBoxx $ High Yield Corporate Bond ETF (HYG)

So why low-risk yield on-chain? Why not stick to DeFi’s higher yields?

Back in 2020–2021, DeFi offered yields never seen before, making tokenized traditional financial products less attractive. Since then, however, DeFi has experienced a downward spiral 📉 while interest rates have risen 📈

Enter Ondo Finance. Because some of that capital may be enticed to move back toward traditional finance’s Treasuries and savings products to earn some low-risk yield, CEO Nathan Allman is providing a vehicle to keep that money in the DeFi space despite its current state.

These tokenized funds will both retain existing capital and attract new capital as security tokens become the more relevant use-case for web3.

“Some investors, like hedge funds and market makers, want to be able to move between stablecoins and US Treasuries more quickly than they could traditionally…They are drawn to the daily liquidity of the vehicle and direct support for stablecoins.”

Nathan Allman, CEO and Founder of Ondo Finance

To further incentivize participation, Ondo is working with respected service providers which ensure the compliance needed with these kinds of investments. This is extremely important as we’ve seen 2022’s unregulated firms being challenged by the SEC, and rightfully so. Here are the others involved:

Custody: Coinbase Custody and Coinbase Prime Prime Broker: Clear Street Fund Administrator: NAV Consulting Tax Advisor and Auditor: Richey May

Custody: Coinbase Custody and Coinbase PrimePrime Broker: Clear StreetFund Administrator: NAV ConsultingTax Advisor and Auditor: Richey May

Let us know your thoughts on Twitter!

💦 What else is Drippin’

🎨 Freeport Webinar

Security Token Advisors has a webinar coming up tomorrow, January 17th at 6pm EST where one of their current clients, Freeport, will be talking about tokenized museum-quality art, such as Andy Warhols.

They'll also be covering their 3D art gallery, we'd love to see you attend!

Welcome back to The State of Security Tokens!  

This year's edition is all about the biggest moves in the institutional adoption of tokenized assets, and let me tell you, it's MASSIVE. We've got all the heavy hitters you'd expect, like KKR and JPMorgan, but also some exciting new players like AllianceBernstein, Figure & Provenance, and Regulated Liability Network (RLN). 

Trust us, you won't want to miss this deep dive into the world of institutional security tokens. So sit back, relax, and get ready to be wowed by all the action in The State of Security Tokens 2023 - Institutional Edition.👇 

State of Security Tokens 2023

Everything in this report is for informational and entertainment purposes only. Nothing in this report should be taken as financial advice or as an inducement to purchase or sell any security. Nothing in this market report should be used as legal advice. Always do your own research before making any decisions regarding financial transactions of securities.


• No money or other consideration is being solicited, and if sent in response, will not be accepted;

 • No offer to buy the securities can be accepted and no part of the purchase price can be received until the offering statement is filed and only through the platform of an intermediary (funding portal or broker-dealer); and 

• A person’s indication of interest includes no obligation or commitment of any kind.