Build wealth with rental properties, earn cash flow and appreciation. 

Let Silicon Asset Holdings handle the rest.

America was predicated on the idea of equal opportunity for all of its citizens. It was built on the dream that if you worked hard, you’d be able to build a good life for yourself and your family. Core to this dream was the pursuit of homeownership, a place where your family could take refuge, grow into, and pass down to future generations. A home was something to be proud of and a tangible way to cement one’s legacy, and most people could cement their legacy by working hard until they had enough money to buy such a home.

Things are different now. It’s harder to become a homeowner today than it’s been in any other point in history. In short, the American dream is dying.

Owning and investing in real estate has historically been a great way to build consistent wealth over time. If you take any 10 year view of US real estate, you’ll see that the average home has appreciated at least 30% and delivered consistent monthly cash flow through rents. Unfortunately, for the last 10 years, home prices have been on a tear and the average person’s salary has failed to keep up. The median home price to income ratio for Americans is now at 7.78x – the highest it’s ever been. It would take the average person 8 years to be able to afford a home assuming they keep 100% of their gross salary. 20 years ago this ratio was 4.2x and, even during the 2008 housing crash, this number was just above 7x. In short, housing has become unaffordable.

With mortgage rates now climbing well over 6%, and real estate prices at sky high levels, the situation is dire. The average person wants to invest in real estate, but doesn’t have the means to access proper financing through bank leverage (mortgages) or cash.

The vision for Silicon asset Holdings is to become the preferred platform for renters moving to a new city. Imagine you’re moving to San Francisco, instead of using Craigslist to find an apartment, you go directly to the Silicon asset Holdings platform to browse apartments available for rent. If you find one you like, you move in and purchase 10-20% of available shares of the home. By buying an equity stake in the property, you’re now a partial owner of the apartment you’re living in.

That’s the future we’re building at Silicon asset Holdings.

Our goal is to bridge the gap between the casual Zillow-scroller and the real estate investor. We’re building a platform built on trust, transparency, and co-ownership so that anyone can invest in real estate. By building accessibility to ownership for all, we can redefine what it means to be a homeowner. The status quo bars everyday people from becoming an owner. If Silicon asset Holdings succeeds in its mission, renters in the most densely populated metros in the U.S. can become fractional owners of their apartments and, in turn, homeowners.

Silicon Asset Holdings makes it incredibly easy for people to invest in tokenized residential real estate. Through our platform, users can invest in rent-generating residential real estate for as little as $100 and gain the upside of investing in high quality real estate assets. We’ll challenge the current status quo in real estate investing by leveraging disruptive technology, making all data open and transparent and capitalizing on community leverage.

We will be tokenizing real estate properties via  (STOs), a legally-compliant way to tie real world assets to on-chain tokens, and offering them on our platform so that anyone can become a real estate investor. The resulting property tokens will become a bridge between liquidity in decentralized finance (DeFi) and returns on assets in traditional finance.

The idea of fractionalization of real estate is certainly not a new one. For many, fractionalization has been in the form of shared interest in business partnerships or joint ventures to purchase properties. For others, fractionalization has been co-investments with friends. These sort of agreements rely heavily on trust and relationships (either business or personal) that are built up over time. No matter what, participation in these co-investments require at least one part of the team to take a leap of faith or pay a premium for trust.

What if we could make this sort of ownership truly trustless?

Trustless Technology

The driving thesis of blockchain centers around the need for peer-to-peer systems for the verification of information and transactions in a trustless manner. When paired with a largely immutable asset such as real estate, there is an opportunity to make ownership trustless and allow platforms, such as Silicon Aaaet Holdings, to remove the historical cost premiums placed on trust. Removing these premiums ultimately reduces the barrier to entry.

Additionally, using blockchain technology allows us to tap into a largely evolving ecosystem with existing payment rails to reduce transfer costs, tap into built-in liquidity, and build in safeguards for users directly into our ownership tokens. The end result is an opportunity for anyone to invest in real estate, no matter their pre-existing relationships or budget.

Data Transparency

By using blockchain technology, Homebase users and investors will also have access to transparent sources of data to all homes tokenized on the platform to showcase things like month-to-month price changes, transaction history, and legal documentation. Our aim is to bring information parity between institutions and retail investors. Ultimately if local investors have the same information as institutions, they can make better informed investment decisions.

Community Leverage

As mentioned earlier, real estate is quickly becoming unaffordable throughout the country. In our quest to democratize access to real estate investing, all home offerings on our platform will be funded via equity in a community raise. By providing the tools for individuals to pool their capital together in order to invest in real estate, we can capture the power of what we call community leverage. By definition, leverage is the use of debt (borrowed funds) to amplify returns from an investment. Traditionally people rely on banks to take on leverage for investment, but need to qualify for certain loans by either having enough collateral, a good enough credit score, or high net worth. Not everyone has the means to do that.

Community leverage is the idea that communities of people who invest together are able to achieve the same purchasing power as institutions. This will allow anyone to invest at these same leverage to value multiples without needing a bank. In the future, we will partner with loan providers to give users the option to stake their ownership share in a property in exchange for debt. In this way, we let individuals decide whether they want to take on leverage on their investment, one of the core tenets of real estate investing.

Real estate is one of the biggest markets in the world by market cap. In just the U.S. alone, the total value of homes sold as investments in 2021 was $435B. If expanded to include all residential real estate in the US, the value balloons to $2.9T.

While most Americans know the benefits of investing in real estate, many are barred from ownership due to home prices being too expensive, not knowing how to get started or the high activation energy required to work with multiple 3rd parties over a 2-3 month period.

By tokenizing rent-generating residential real estate, retail investors can invest in individual properties, gain a source of passive income and benefit from appreciating asset prices at an affordable entry price.

Ease of Use

Homebase aims to curate a seamless user experience for people who want to invest and own real estate. Investors on our platform don’t need to worry about anything.Silicon Asset Holdings will source and list suitable investment properties on the platform, setup and deal with all property management, and collect and distribute rent to all owners each month.

To invest in real estate via traditional methods, investors need a sizable amount of capital (median US home price is $430k), to work with multiple 3rd parties (appraisers, banks, etc) and have to deal with the headaches of property management. By transacting on Homebase, investors don’t need to worry about any of the pain points associated with traditional real estate investing. We’re making real estate investing a truly passive experience.

Proof of Ownership

Instead of having to go to your local county office to see who owns the title of a property, blockchain enables trustless verification of ownership. Utilizing smart contract transactions on a blockchain, investors will get paid their proportional amount of rent whenever Silicon Asset Holdings gets paid by the tenant (each month). Smart contracts are digital programs stored on a blockchain that are automatically executed when predetermined conditions are met. For example, when executing a smart contract to buy an avatar on Opensea, the user initiates interaction with a smart contract, approves the transaction via a digital signature, and, if enough currency is present to proceed with the transaction, the avatar (or token) is sent in exchange.

Having ownership in a real estate asset represented via token also means that it can be stored in your personal Solana wallet, giving more ownership to users. Over time, we will partner with third-party lenders to allow token holders to stake their property NFTs for additional leverage if they choose to do so.

Compliance and Legal Protections

Silicon Asset Holdings proudly receives counsel from Hunton Andrews Kurth, a Top 100 U.S. Law Firm per the Vault Law 100 Rankings, on our approach to tokenization of real estate. We’ve gone through lengthy measures to ensure that our tokens are best-in-class in legal compliance so that end users are protected from any regulatory changes down the line.

Per the U.S. Securities and Exchange Commission’s (SEC) Howey Test, as long as we are providing an instrument with return, we are issuing a "security", and need to comply with local regulations regarding security offerings. Given that we are offering on-chain tokens, that will mean we fall under the "security token" offering umbrella. As of now, security token offerings (STO) are one of the few legal processes to bring interest-bearing real world assets on-chain in the US. In the section Legal Compliance, we will discuss how the Silicon Asset Holdings process of tokenization works and the regulation exemptions that we follow.

A Security Token Offering (STO, i.e. tokenized IPO) is a type of public offering in which tokenized digital securities, known as security tokens, are sold in security token exchanges. Tokens can be used to trade real financial assets such as equities and fixed income, and use a blockchain virtual ledger system to store and validate token transactions.

Much like traditional securities, security tokens are subject to regulation and need to conform to strict compliance standards. By leveraging blockchain technology, security tokens allow for many traditionally cumbersome and highly manual processes to be automated, and provide a single source of truth that all parties can depend on.