Lofty.ai uses Algorand to give anyone in the world the ability to invest in real estate. Lofty tokenizes real estate assets and sell them to investors. The protocol has raised over $6M in funding from prestigious venture capital firms like Y Combinator.

Ranking the properties

In this post I research Lofty's sales history using on-chain data from Algorand.

To raise funds for a property, Lofty sells tokens at a unit price of $50. Investors gain ownership of a part of the property proportional to the number of tokens it owns. Lofty also hires a property manager to handle repairs and maintenance. This service is funded from a maintenance reserve equal to 5% of the initial token sale.

Methodology: the total amount raised by each property is found in the algorand.asset_transactions table. When a property is sold, the associated asset_id is transferred from one address to another. Currently, the assets cannot be sold between addresses on the open market. This means we don't have to worry about double-counting transfers.

Lofty.ai Market Participants

Each lofty token is sold for $50. Thus, the total amount raised per property is equal to count(asset_amount) * $50, grouped per asset_id.

The property that raised the most funds is 7542 & 7656 S Colfax Ave in Chicago. It is described as "two, 3-unit properties"

The query result indicates that no property has raised more than $42,000 from tokens sold. My assumption is that the real estate purchases are not entirely financed using tokens.

Takeaways

The total numbers of investors is found by counting distinct (asset_receiver) in algorand.asset_transfer_transaction. Filter by the asset_id created by Lofty.ai.

Main investors

We can also use the algorand.account_asset to highlight notable investors. The account asset table contains a current list of all the address that hold the existing assets. This allows us to identify the largest investors as well as the investors owning the largest basket of property tokens.

Over 3,000 distinct addresses own Lofty tokens.

Again, the first address belongs to Lofty.ai. If we discount this address, the top investor is GP4M...ATPY with 76 distinct investments. This investor has invested a total of $13,300.

Note that the first address belongs to Lofty.ai. If we ignore it, then the largest investor is HVQ6...XKHA with total aggregate investments of $927,500. These investments were distributed in 50 distinct properties.

This is a good example of how tokenized real estate makes it easier to invest. One can only imagine how hard it would be to invest in 50 different properties using conventional methods.

• Lofty.ai tokenizes and sells real estate assets on Algorand.
• Over 3,000 distinct addresses have purchased at least one Lofty token.
• The property that raised the largest amount is a set of two triplexes located in Chicago.
• The largest market participant invested close to a million dollar, spread out in fifty distinct properties.
• The most active investor holds tokens for 76 distinct properties.

There is much more to say about this innovative defi protocol. Readers who want to know more should read Lofty's FAQ. The document provides a lot of information on matters such as rental collection, taxes, legal structures, governance, and more.

Thank you for reading! 🏠