Hey welcome back to the podcast. Thank you so much for listening. As always. If you have not liked commented or subscribed to any one of my channels, it would just mean the world to me if you would uh today's going to be a different show, not unlike this week in housing, where i'm trying to bring you data and news to Empower you to educate you, so you can go out and talk intelligently to buyers and sellers about what's happening in the market today, i want to introduce you to a friend who is really on the inside of all things: blockchain, crypto, nfts and how it all relates To the world that matters most to you, which is real estate, so let's welcome to the show natalia from proppy, founder and ceo of this amazing company.

So natalia welcome. Thank you. Thank you tom. So much for having me hi everyone, yes! Well so so i've asked natalia today my friends uh, if you're listening or watching, if you're listening, uh back on youtube, i've asked her to basically share a presentation, just like we do in this week in housing, so she's got about 30, slides and and my intent For this show was to basically educate you empower you, maybe move you from skeptic to at least a better understanding.

So if you're sitting around the dining room table - and someone says what are these nft things - you could speak intelligently about it or you know - is crypto for real, because i heard warren buffett say that it isn't real. So at least you've got another point of view and another perspective and again no one better than natalia to talk to us about this. So natalia, let's go right to your presentation and just like in this week in housing you know you're going to talk and then i'm going to probably jump in and say whoa whoa, whoa whoa give me the layman's term version of this so natalya. Take it away! Absolutely again, thank you so much for this opportunity and it's the perfect time to start getting to crypto blockchain nfts, if you haven't been there yet in this world in this metaverse, so i'm very thrilled to share the knowledge with you a little bit about myself.

I've been a real estate developer, as software engineer started. My first company at the age of 19, but most exciting part of my career is proppy. Proppy is a real estate in blockchain company, which i started five years ago. When i moved to silicon valley - and i got introduced to blockchain in silicon valley, even though i'm a software engineer just like you - i got in this space quite late, but it's never late, so uh.

In my experience i was lucky enough to launch the first ever cryptocurrency in real estate, the first ever nft in real estate, the first ever smart contract in real estate, and that's why i'm very happy to be here today to share the knowledge okay. So, first ever smart contract, first ever nft and the first ever what was the the first, the first of the first evers, the cryptocurrency in real estate, right so first crypto. So it's funny i was uh reading a funny meme from elon musk who's like smart contracts like are there dumb contracts, help help? Maybe the person that does understand what is a smart contract? Well, the first misconception in the real estate industry to break is that smart contract is not a purchase agreement. It's a code, self-executing code.

If you pay for a property - and you sign an agreement, then potentially smart contract can transfer the ownership from one wallet to another wallet from one person to another person without manual work of people to be involved and have there been real estate transactions done this way. Yes, they've been transactions. This way. The first one happened in 2017, where we agreed with a government that whatever happens in the smart contract, they will respect this ownership transfer and they will record it as an official real estate ownership transfer.

That was the first ever smart contract enabled escrow and basically, what it meant is that in smart contract on ethereum, the buyer sent ethereum as money and only when we record the ownership change. The money went uh directly at the same moment to the seller, and the same story happened with nfts nft sales are smart, fundraisers, so uh we're gon na get into we're gon na unpack, nfts and and more of crypto and more of the metaverse, and how this All relates to real estate um, so i'm i'm i'm like biting my tongue right now. So i want to ask you 50 questions, but let's, let's get back into the presentation and let's take a look at some of the things that you're sharing with audiences around the world and then i'm going to interject with a bunch of questions. Absolutely so.

What is common here? This is uh, nfts and bitcoin, all of them worth thousands and millions of dollars. Each of those assets what's common here is blockchain. Blockchain is the new technology that will create a great impact uh not only on every aspect of our life, but the real estate industry. How well with the blockchain technology being distributed? Immutable blockchain is unable to create protocols that give power to the user to the consumer and right now, consumers are demanding all the services online to be powered by blockchain.

It's their demand. They want to own data, they want to control this data, they want to control assets and the way it works is through consensus mechanism and all blockchain records are recorded on thousands and thousands of computers, instead of one central authority to be able to fail or corrupt It there are thousands of computers, uh that make sure that nobody can ever um destroy this ledger and by the way, yesterday, bitcoin blockchain turned 13 years old, and this baby has never been hacked blockchain works and for newbies here, every major coin like bitcoin or ethereum. They have underlying blockchain and they're different. So i was thinking about my uh, my stepmother, who i just adore.

She's 76. She owns a ton of real estate. She's, never really had a job. She moved here from honolulu at 18 years old and met a longtime family friend billy, who taught her how to buy real estate with no money down in like 1902, and if i walked into her office today in natalya.

First of all, you would laugh because she's got like 7 000 yellow notepads and files like physical pieces, i'm looking at like uh. You know katie on my team over here like physical manila envelope files, like that's her version of the blockchain. What do you say to a smart woman like that who owns a lot of real estate that this isn't the this isn't the future? This is the now. How do we help her bridge the gap? I think with uh, probably practical, uh items like it doesn't matter how old you are you're using iphones.

These are user friendly, super computers that we have in our pockets. The same is evolving evolving. With blockchain on your uh phone. You can have a wallet, you can have your cryptocurrency um and then you start playing and uh again.

It doesn't depend it doesn't matter how old you are, you can play games. You can communicate with people via zoom so there and there are so many aspects of blockchain, nfts and metaverse, and everyone can find their niche where to dive in yes, yes, all right! Well, let's, let's keep going because i'm going to keep asking a thousand questions here. So what are the blockchain applications in real estate and i think for agents, it's very important to understand the key uh applications so that they can talk intelligently with their customers for their clients. First of all, you can record a deal on blockchain, and then it becomes immutable.

Immutability is the main characteristic of blockchain and the future will come where, instead of trusting the county recording systems, we'll actually trust the records on blockchain. The second one is smart contracts and nfts, and we just talked about that. What is a smart contract for real estate asset purchase and then nfts? I will uncover nfts and real estate in a couple of slides, then. Finally, tokenization tokenization in real estate means fractional ownership, where one token can represent a piece of a property, a project it could be in construction and there are many agents, many developers interested in fractional ownership.

We will not cover this topic today. It's a huge one. It's uh: it's it's really uh something that i've been asked by agents many many times. However, uh one item one takeaway here is that any token that represents fractional ownership uh, it's a security token, which means that this offering has to be filed with sec, which is doable it's legal.

It just takes time and money starting from fifty 50 000. So if you're considering to tokenize your property, just keep this in mind and there are about 20 companies doing tokenization of properties. So let's go back to recorded deals on the blockchain, so you mentioned things like county records and i think everybody can relate to. Oh god, i want to look at this property, but what's this property zoned for or you know, who's on title or who are the multiple people on title? What's going to happen to title insurance? If, if deals begin to be recorded on the blockchain, is title insurance or title companies really the? Is it even gon na be a factor anymore? That's an interesting question and we don't know um potentially if we have all the records on blockchain and we can track the conveyance of all transactions in the past on the blockchain, then the cases of title claims will decline.

Also, manual mistakes will decline, but still because we're moving to the new world. New problems will evolve and maybe we'll have to ensure this new kind of problems, which will be probably cyber attacks uh. What i'm seeing in the future is a involvement of a new title. Insurance business, which will will be powered by consumers and crypto holders where you will be able to invest your crypto in a fund and an insurance fund that will cover potential problems in this blockchain-enabled world.

It's it's an interesting again. You know there's this, even though it's 13 years old, it's still so new, like there's people that today are watching this - that are just thinking about filming their first youtube, video right and it's okay, because it's still new um when you think about title insurance and you Think about all the potential threats of what a title company deals with every single day and then you say: bitcoin is 13 years old and has never been hacked. It's that's interesting to me. I don't know what the direct correlation is yet, but i'm super fascinated by this.

So let's, let's keep going educate us more. So the fourth use case, an application and a separate one is the metaverse, i'm sure many people here listening to us have heard of metaverse. It's a 2022 trend uh together with the web 3.0 and i'd love to talk about my reverse in the end of the of this presentation and now we'd go back to the real properties and how we can utilize crypto knowledge and crypto currency communities to actually do Real deals in real world love it. Let's talk about it, so the first use case that agents can absolutely utilize today and capitalize on.

It is buying and selling real estate, with cryptocurrencies uh to understand uh how to do that. You have to articulate the cryptocurrency and other uh jargons very well, because you're gon na talk to crypto buyers and crypto sellers and you have to talk the same language yeah. So the basics are that the cryptocurrency are virtual currency, they're, decentralized, they're, secured by encrypted consensus. Um and the major points are bitcoin ethereum xrp, you can go to coin market cap and check those top coins.

Property is the other cryptocurrency that my company launched um. So you can check all those cryptocurrencies very often uh real estate agents get requests from scammers that are saying that they have x, cryptocurrency millions of dollars of x cryptocurrency and they want to buy a property, but this cryptocurrency may not exist at all or it's uh. It's not being traded or the volume is so low that it's, it's basically just a manipulated token. So just i want to warn the newbies here that you want to start transacting with top points like bitcoin, ethereum, x or p luna right, right, good point.

Uh then very often you'll have to educate your customers. What is a wallet? And if you don't have a coin yet make sure you get a wallet uh, you can start with coinbase, where, if you lose your password, it's okay, they will restore it another. One is trust, very user, friendly, very secure, and also once you get a substantial amount of investment in cryptocurrency, you may want to use a hardware wallet and keep your money money in this uh hardware, wallet that is pictured here and put it in your safe. So the hardware wallet looks like one of those: just memory sticks, absolutely, it's the same.

Size got it and there are youtube videos on how to transfer your money from a digital wallet to a hardware wallet. So, several weeks ago, you and i were in discussion about this and you sent me a seven page like cheat sheet like almost like dummy's guide, to getting started with crypto. We should put a link uh on my youtube channel and on tomferry.com to this podcast. To make sure people can download is that cool, natalia yeah, absolutely excellent yeah.

There are a couple of uh websites and applications that i'm recommending to start with just to set up accounts and see how it works. You don't have to spend money there uh and if you don't have a cryptocurrency start playing with just one hundred dollars or ten dollars, and this is what i would advise. Uh, your stepmother to just buy 10 100 cryptocurrency and recommend others around you to buy 10 or 100 dollars, because many people think that it's too late to get bitcoin, because it's now worth 47 000 and they believe that they cannot buy a fraction of it. That's like saying it's too late to buy gold or silver or another commodity.

It's interesting! You! You mentioned again my stepmom and i i really appreciate that, because i know she's going to listen to this, so i'm going to remind her that her grandson, stephen at 19, created his own cryptocurrency. Yes, my son actually came to me and said: hey dad. I've created a cryptocurrency; this is what it's called. This is what it's all about.

This is what i'm doing, and i sat there and thought to myself. Every real estate agent on the planet needs to understand that a 19 year old created a cryptocurrency coin and, at the same time, right so the future right. Everyone needs to be paying attention to this um. The future, though, is paying attention to the most secure coin.

So you mentioned earlier, like bitcoin and ethereum, the one i hear about the most when it comes to transactions is ethereum. Why is that so? Ethereum is the the next biggest cryptocurrency after bitcoin uh, the founder is vitalik buterin, who also created this blockchain network at the age of 19.. After being a bitcoin fan, he wanted to create a blockchain that would allow smart contracts and basically, all those ico hype in 2017 and the nft trend in 2021 last year happened because of ethereum, because he created this ability of a blockchain to create accounts and to Have this language solidity uh programming, language, where you can build smart contracts? That's why it's so important yeah. Would you say that ethereum just made it easier easier to transact? I wouldn't say so so: bitcoin um is perfect to transact money, digital money, bitcoin itself, while in ethereum you can now transact different assets, nfts properties, uh any digital asset and to create tokens yeah.

Do you think ethereum will continue to sort of be the mainstay or are there other coins that are sort of vying to be the next next yeah? So now there are many killers of ethereum evolving and those are solana. Luna all grant proof of stake, blockchains that are cheaper and more and faster, but ethereum is planning to transition to proof-of-stake ethereum 2.0 this year, and so, if they are doing it on time as they planned most likely, they will remain be the leader in for smart Contract enable proof of stake blockchains, however, they've been promising this for years, so there is a chance that other blockchains will have enough time to um get more community in terms of numbers, not only community of nft fans, but also the community of developers. Engineers who are building on top of those uh blockchains got it so so if i want to be successful as an agent today, i need to understand first, the cryptocurrency that matters most and the lingo the jargon that people that would be buying and selling use the Next, one is understanding, you know a wallet right and then maybe creating your own to transact a hundred dollars right as an example just to get in the game. It's funny like i was uh texting with gary vee about his nft project uh several weeks ago before the holidays and - and he said, look it's just - you just need to jump in like everything else.

It's like you get a new app. You got ta just open. It up and start playing around with it, and then you figure it out and if you're really confused, you go to the site called youtube and you type in. How do i do this, and it shows you is that what i'm hearing absolutely totally agree start playing with that and you'll find your niche that excites you the most, and there are so many aspects in crypto right now that i'm sure you will find your niche Yeah love it all right.

Is there a third element that agents seem to understand to be effective, uh so very quickly uh. I will tell in the end that we have this course that teaches all that stuff in depth, but very crypto uh. Why crypto payment in real estate is relevant for asians today? It's because crypto millionaires and crypto billionaires they so much love crypto adoption that they'd rather not buy a home if it's not crypto friendly as a purchase, but they can spend a lot of their uh assets of their fortune and they do want to diversify in real Estate, if they meet an agent that can say i can sell you a property in cryptocurrency. That's why it's super important uh! You can do crypto to dollar transactions.

We support them on property. We find you a title and escrow companies that are crypto friendly. So it's all legal, clean and clear, and you can also do crypto to crypto transactions, which is very rare cases, because then we have to match a seller who is willing to accept crypto and a buyer. We have those transactions they're rare, but i'm sure they will start evolving today.

I think we're having probably hundreds if, if not thousands, of transactions in crypto in the united states - and it is slowly becoming a norm, especially here in miami yeah. Well, i mean we hear about it every day with nft purchases, people buying, you know the cool stuff, the trending stuff, the popular stuff, uh melania trump came out with her own nft collection, garyvee's done nft collections, uh, you're, hearing more and more artists, now saying i'm Going to drop my record as an nft or a song as an nft, so i know we're going to get into more nfts, but i want to go back back to slides back two slides of that one right there you said crypto to dollar transactions, so crypto To dollar transactions, so you're, saying uh, starting a transaction on property. Third party payment process integrated in escrow sends instructions to the buyer. Via property.

Buyer sends bitcoin to wallet provided by property. Payment processor, like you guys, have broken this down and you're doing transactions. But my my gut is: there's not a lot of them: you're doing you're, doing lots of other transactions, but you're doing these specifically on property, like how many are you doing and what trends are you seeing um and what should somebody expect in 2022? So, first of all we're doing three types of transactions. The first transaction is a traditional deal with mortgage in dollars with wire payment, we're doing those and we record them all on blockchain.

So every single transaction has an immutable record of blockchain. That's the first one. The second one is facilitating those crypto deals so they're about one percent, only of our transaction, but little by little they're growing, and we have more and more agents signing up to our classes to guide them through the process so that they can talk intelligently to their Buyers and sellers, but those the first one traditional ones, they are 99 and then the third one is selling properties as nfts and for now we did only one in 2021 and right now we're preparing about five. So it's very small amount, but there is an opportunity.

This the third one to grow into a big trend too. So, let's, let's talk about that? I know you you've got some slides on that, so help us understand like a house as an nft being sold. Yes before we get there. I think it is important to mention what is an nft.

As you mentioned, all those celebrators are now launching their nft collections, and mostly these are um collections of nft avatars, that you can use on social media primarily to flex and to identify yourself with a certain community. So this one is a crypto punk, the first one and the second one is the board ape uh. Both are very expensive. Let's talk just you mentioned the word flex, and this is exactly it.

I was having this conversation with some friends over the weekend and one of them was like i just i don't get it. I don't get why i would want to buy a crypto ape. You couldn't even say it right like he was blending them all together. He's like, why would i want to buy this and i'm like the same reason, you would buy sneakers that look like this.

The same reason you use this watch or this phone and notice how i call it a watch, that's hysterical right or this watch. It is flexing, it is the car. You drive, it's just the digital version of it. Am i saying that correctly? Absolutely it's trendy right now and the same way you have tom ferry behind you in new york, sure yeah trendy.

It identifies you with current trends with specific communities, yes um and, for example, yeah. Okay, no, but but then like, wouldn't you then say god: nfts are just gon na, be like a pet rock. It could be uh, but there is more to that because nft ownership is in your wallet in your phone, you have a wallet and you own this nft and nobody can steal it from you. Nobody can ban it.

No government can bend uh or transfer this asset from you, so it provides fundamentally this freedom to the consumer to the users that nobody can ever get access to what they own. So there is much more uh essence to this whole trend than just flexing, and when i bought my crypto punk uh by advice of my fiance, i also didn't understand that i bought this crypto punk a female version of it and i was like okay. It's kind of cute, but it's also weird until i put it on twitter and when i put it on twitter and when i noticed that people were engaging with me and if i see that they also have a crypto punk. I know these are my tribe people.

They understand nfts. I want to talk to them, so it's belonging to a specific community. I think that's the key like it's uh. I look at it almost like people that follow the grateful dead uh.

You know i was a punk right, like punk rock music, when i was a kid like, we were a tribe, we were a community and even though there was sub sub communities inside of that group, we identified easily together as a tribe. So so, when you think about art - and you think about nfts - there's also a collectible element to this - if there's only 10 000 of these and you own one of them, you know - maybe not today, even though some of the prices i'm absolutely blown away by, but Maybe in 10 years or 20 years that this is like owning an original andy, warhol or a chagall or some you know some other incredible artist. Hopefully anyone out there that has to create their own nft. You don't have to die before it becomes super valuable.

Like many of these things have, but is that also a part of this because of the exclusivity supply and demand element? Absolutely that's a great point: tom uh. Those crypto punks are 10 000 piece. I think 10 000.. Some of them are 3 000 pieces.

They were launched actually three or four years ago, so it's not you and the reason they became popular is because they were one of the first collections and everybody wanted to be the first one according to ethereum uh and they were generated each of those as unique Piece, yes um! So absolutely there is an aspect to uh uniqueness and collectibles and even for real estate industry. I'm sure there will be avatars that are specific to to the real estate community, 100 and and almost they're almost to be an nft for all agents. And then you've got agents at a certain status right. You've got agents in a certain company.

You've got agents in a certain region. Are you a team versus a solo entrepreneur? I think all that's very fascinating. I think where it becomes um. I don't know utilitarian.

If that's the right word more of a utility is, i can see in the future people trading nfts for access to conferences like hey, i'm going to come to tom ferry's event. I want to go to inman's event, i'm going to buy an nft and it's going to get me lunch with brad right as an example, i see that being a super, easy relatable strategy for nfts, at least in the short term. So it's it's less about. Maybe the super cool art as much as it is like me, buying a mavericks ticket and having it in my wallet on my phone, which i do all the time and i show up and beep.

They scan my code and i'm the owner of that ticket they're. Like you can't transfer that ticket to somebody else, because the second you do it's no longer your ticket, it very much feels the same way, but it's a it's a utility and less about the art. Unless they like, you know, won the championship, then i'd be like. Oh, i want to save every one of those yeah totally agree with you and i will share how those avatars relate to the metaverse and the very end of this conversation and now very briefly: uh how to nft a home and how the first world real estate Nft happened: it happened last year, um with an apartment that was transitioned via smart contracts in 2017, so hold on back up so for the people that are that are audio only uh, i'm looking at this and there's you know, articles from techcrunch and coindesk the world's First, real estate nft.

What does that mean? It means this. This notion that the real estate industry thought it's it's not doable. It's not possible. Many people are debating about whether one day it will be possible with a couple of clicks, to own a property to buy a property.

Well with this nft sale. It just happened where a buyer bid for a property and within minutes he became the owner of the property as it he has. This nft ownership on his wallet and it's a millennial living in san francisco, who has never bought a real property because it's a very tedious process. Now yeah yeah go ahead.

I know i've got uh katie and brian my producer and one of my rock stars, social media managers, who are like they're over there pointing like that's us. That's us right, you know like under 25 years old, you know, buy your first house. This just makes sense. Then, but i'm but i'm gon na, ask maybe the stupid question, like you know i own ethereum, i own blockchain blockchain, you see my own bitcoin.

Those things go up and down right. I'm not sure if i want the volatility of those prices associated with my house. Am i crazy with that? Oh no! No! There is no volatility with nft real estate because the underlying asset is real estate, so, for example, in this transaction, even though it was first and historical uh, we thought it would sail for fifty to sixty thousand dollars uh. I mean that was the value on our opinion and we provided some comms and inspection reports.

Everything was done in advance, but we thought because it's a historical and there are articles on techcrunch and everywhere that it may sell for half a million dollars because of the first it could be collectible. However, people know that it's real estate assets and thus we got the premium. It was above 30 above uh, the value that we believe it was uh, but not more than that, so i don't see will have those volatility, uh risks for real estate nfts. So so, when you think about nfts and i'm gon na now space on the something c open c, is it open c where we can trade, like you? Could trade nfts, yeah, open c is the platform where you can trade energies, but not real estate, nftc yeah? So so do you think in the future and now we're just we're just brainstorming what you know what could be in the future? Could you imagine an open sea so for people that don't know what i'm talking about just go to openc.com and it's se like the ocean? S-E-A will be in this document that you will draw yes, it would be interesting for you to go and look and see how you know.

Literally every day people are trading these. You know digital pieces of art, these nfts, you know to friends, to buddies, to random people all over the world and i'm seeing transactions every single day. On this, i think in fact, tom yesterday, the volume of transactions on open c was 250 million dollars. In one day, that's crazy: do you think some of that had to do with yesterday being the 13 year old birthday of bitcoin uh? I think it's just the vacation time where people uh thought.

Okay, i have to buy an nft just for the sake of learning and education, sure sure yeah. I think that's interesting interesting, so i i don't know, maybe in the future, there's a a new portal out there where you can go and just say i want that house. Do your due diligence! It's going to be interesting to see like how we do due diligence on a property. Yet will that change? Will that be disruptive? Will there be a way to speed that up get more access to the information that we need to make good decisions? I think the answer is probably yes, absolutely we're.

Building that. That's why i strongly believe in that, and it will be a number of real estate. Nft marketplaces, just like openc is not the only uh marketplace for r. There are tons of those and same for the real estate industry and the beautiful part of it is that all the heavy lifting should happen before the auction.

The inspection reports disclosures uh comparables everything done in advance so that the buyer they can see the property in real life if they'd like to when they bid. They know everything about the property and they're buying, as is, and then they can trade it. So here are the advantages of nfts in real estate. The first one is nft is the proof of ownership.

The second one is royalty fees, because the seller and the agent of the seller are being educated and doing all this heavy lifting for the property to be ready to for the auction. We are building the vehicle to give them royalty fees on all secondary sales. So you can auction out your house today as an nft and then when it's being sold again, then the seller and the agent will have small royalty fees, very small fees for uh, for bringing this property on chain and then the third okay, that's okay, hold on You got to stop that's a really interesting thought. I mean that almost makes me think and correct me if i'm wrong that i should just take uh every property i own and immediately just transfer it into the blockchain right, basically switch it to the blockchain and then every property i own, going forward.

I'm gon na get some royalty fee and for the people that are watching just to be clear, like in the nft world, if you're not super familiar with it. Yet natalia and i create a you - know the real estate agent, you know nft right and we put out eight bazillion copies or four whatever it is um you buy all those we buy them all. It's all super fun. We all identify together.

It's like our new little community and then you're like you, know, i'm no longer selling real estate or hey. This has gone up in value and i want to trade. It you're going to sell that and once you do, we get paid again right. We get a royalty on this and you're saying now on real estate transactions going forward, the same rule is going to apply.

You did say a smaller percentage because i believe, like it's pretty typical, like 10 to 20 royalty today for an after-market transaction yeah for nft arts, it's between five to ten percent, with royalty fees and real estate. It should be something reasonable, like um 200 bucks for every sale, uh, not six percent for sure, not three percent for sure it would be something zero point: five, zero, yeah, zero, yeah; okay, so we're talking like maybe hundreds of dollars, not you know not ten thousand Dollars or yeah depends on the price sure of the property but uh. It's it's a great way to um, to make agents willing to bring a uh those real estate assets on chain on the blockchain, nft them and being rewarded in the future. Yeah interesting and then the last part you said you can borrow against nfts how so the the last part, which is very important for agents to understand when they talk to crypto, sellers and crypto buyers, is that when they nft their properties, uh and sell them, the New crypto buyer can borrow against this nft use this nft as a collateral and get their bitcoin or ethereum uh as a loan uh, because for crypto folks, who believe in crypt in crypto, they don't want to actually liquidate those assets.

Uh and that's it's a it's. A way for them to keep owning real estate, but also have the loan in crypto interesting, which will unlock a whole new way of uh decentralized, mortgage and whatnot, but we'll have to time to go there today. Yes, i'm actually thinking too we we might want to do another podcast on that, as well as taxes. So i think that's one of the things there's just a lot of confusion around you know how is it taxed when is it taxed? You know, and when you start talking about you, know trading nfts, potentially what's a taxation we won't get into it now.

But if you're more interested make sure you leave in the comments and we'll do another show just on that stuff, all right, so you're going right into the unique collectible nft right, which is something i was curious about too. So, let's go yeah so again: nft in real estate, it's uh access to ownership, to real ownership, and this nft. We have the qr code. That gives you the access to the ownership uh the buyer has to provide their legal name and their address uh.

It's absolutely all kyc and aml process. That's why openc is not suitable for real estate nfps because they serve anonymous wallets and the way it works is that we have developed legal framework uh for the u.s transactions and we have developed smart contracts to make these transactions very secure and in order to nft A property agents are coming to our platform, start a transaction as normally they would start on our platform, and then they would put all the documents, all those hyperlifting docs that i just mentioned to the platform. And then we give access to all those documents to the bidders. So that's the the nft process for real estate and of course, we always explain that in details and help both the sellers and seller agents um to understand all the process yeah it just.

It almost feels like the wild wild west right like it's just it's so new that i bet there's someone listening right now, natalia that is just like. I don't get it. This is stupid. It doesn't make sense to me.

You know. Real estate is hard enough. It doesn't need to be more complicated, but that's like the person you know pushing the block up the hill versus the person. That says.

Oh look at this round thing. Let's turn into a wheel and see if we can get a little more action, make it faster make it better. I mean the only thing that we know about the world is change is always happening, and all we're trying to do here is just get you into the lingo. Get you into the understanding, so you can just be that much better when you're talking to your buyers and sellers if it gets brought up or hey, maybe just have a conversation.

If you've got a 19 year old son like mine or a 15 year old or a 25 year old, to say what do you think about crypto? What do you think about nrc? What do you think the future is? How do you think it's going to impact housing, i'm having these conversations with my kids and their their buddies in college all the time and they think the whole world is going this way now that could just be the you know, naive young, you know 22 and Now, 20 year olds, but i don't know, i think, they're going to end up ruling the world. I think there's a really good chance that this is going to become a pretty major piece of how real estate transactions are done. Yeah, the consumer is demanding that the consumer is demanding that, but the most important thing here for those who are new and very scared or all the jargons that i'm mentioning don't be afraid just remember - there are nfts in real estate. There is this term web 3.0 and there is term metaverse as soon as you know.

What's going on the market, just the basic terms, um, i think that's that's a winning strategy for you just to at least be familiar with. What's going on, you don't have to necessarily know everything in detail, so you mentioned metaverse. I think that's probably the best thing for us to end on. So, let's, let's talk about the metaverse, so metaverse, it's a virtual world and it's a very trendy technology right now, which means virtual real estate.

Crypto uh community is crazy about buying real estate in metaverse and there are platforms like decentraland super world, sandbox uh in non-crypto. Real estate, one of those is verbala of exp. It's also a virtual uh platform. It's a metaverse, but it's not crypto, enabled we're talking here about crypto enabled members they are becoming popular and they will potentially become the.

I call them as the new social media, social media 2.0, where you can come with your avatars, with your pun, with your board ape, which will become probably 3d visualized. You can uh do stuff with your hands, with your emotions, communicate to tom, almost as if he's in person, and you cannot only buy properties, but you can access properties or venues with your avatars and you can build properties in those metaverses. So it's something to pay attention to. I've recently made this poll on one of the big real estate groups and the majority of agents didn't understand that they think that it's uh it's a scheme uh.

There are too many problems in real life to solve before spending money on something that is not tangible, but remember everything we're buying today in terms of new clothes or um or shoes or design. Everything is not tangible because if you're just scared about clothes, you just wear something that you bought 20 years ago, um. So everything around us as soon as it's demanded by the new generation. You have to pay attention, you don't think it's um the easy step in.

I think about like i was telling my team before we started this podcast like uh. I got the quest to and i got one for kath and i and then for both of my boys and you know, maybe because we all live separately now and it's a it's a place to say: hey come play, ping pong with me. You know inside of the metaverse, but if you don't know what i'm talking about it's, you know facebook's acquisition of lucky's company oculus, and you know lucky by the way newport beach guy shout out to newport um. Basically, they've created this environment where you can design the home that you live in, or what i would call like the operation station of getting ready to go to a concert which i you know.

I literally signed up to go to a concert last night and then fell asleep because it was just you know it was too late for me. I'm an early bird but, like my point is you can go in there with the oculus device and you have this full immersive experience of world-class golf courses which i like to play playing ping-pong with my son who's in a different state and i'm with him there Together experiencing this, which i love or a client zack, who says, hey, play golf with me: that's like the easy step into the metaverse versus maybe saying. Should i go buy a house there, thoughts on that um many people are still not experiencing the 3d oculus version of the world, so probably some people would love to get immersed in 3d through the goggles uh, but you don't have to you can play with metal Bursts through 2ds and then it comes to just buying virtual land and just like you would invest in nft avatars. You would invest in nft digital land.

It's very similar process. You may make money. Of course, you might lose money, it's not a financial advice, but now, as the space becomes very popular, you can both play with it in the 3d world and in 2d world yeah. What about the book ready player? One uh yeah? I haven't.

I want to watch the movie i haven't yet, but the number of it was like the book in silicon valley and i want to say, like i don't know, 16 or 17, every tech company, ceo or executive, i was talking, it was like. Oh, if you haven't read ready player one yet you're not ready for what's coming, but when i actually, you know, read the book and then i you know i did watch the movie afterwards and you know i i will admit. I actually think the movie was better because it only took two hours just saying um, but inside of that the metaverse actually made me nervous right. I i was actually not not like nervous afraid like like.

Could there be ai, makes us nervous right right? Well, ai actually doesn't make me nervous. I get super excited about like if elon musk called me tomorrow and said: hey, we want to put this chip inside your brain and make you infinitely faster and have a better memory. I'd be like i'm in. I will be your first elon if you're watching.

I will be your first like that. Actually excites me that feels like the movie, the matrix, like hey tank, i need to know how to fly a b12 helicopter hold on, and just like that. I know it like that that gets me excited when i say nervous. I was thinking about the lack of social interaction right, the the lack of being physically with people, and then i'm talking to my barber and we're in this dialogue about the metaverse, and she says.

Oh yeah, like my boyfriend, will like go out on friday and by go out, i mean he will put on his like oculus device and he goes to a bar and has drinks with his friends his fraternity, buddies, who live all over the world. Oh wow and i thought maybe maybe maybe i've got a misconception there - maybe i'm maybe maybe it is a way to create connection. I think it will happen, and i had this personal experience and on verbella in one of the events where we went through uh to a lighthouse and we were going up and uh. I made new connections, so in my mind, it's like yeah.

I was going up, even though i was sitting in a in one one spot and i met new people, so i think it will evolve there just like on social media, we're getting connected and we're sharing pictures and matter words we'll actually be able to move and Share more more movements, more experiences and feelings, but i'm also i'd love to incentivize the agents to pay attention to the space, because it's a new opportunity to get new revenue streams in the future meta versus are evolving. There will be 5 10 20 that will remain popular and they will be in need of agents who will understand specific neighborhoods, specific metaverses. So i would recommend highly to get involved if not buying those metaverse plots which are becoming now more and more expensive, if not buying at least playing with it, researching all those and maybe you'll, be able to become a metaverse real estate agent. And one more point is why metaverse idea is so close to the real estate industry uh.

The pragmatic side of it is virtual tours, as we've been pushing the industry to share virtual tours, so people can experience the home before they go. There live. Why not? To really explore it in 3d, uh world and metaverse will allow this very easily to get your goggles on, and hopefully at least 50 60 of listings will have virtual tours, and you will first experience them saving tons of time for you for the agent for the Consumer for the seller, and then it will provide a better understanding. What kind of home you want to visit.

I love it, as you were saying that i was reminded of even the uh. You know hearing about clients of mine in new york that their buyers coming from dubai were saying. Can you just send me a virtual tour of the property, so i can make a decision right like like it's that simple, like that's the example of the metaverse, it doesn't have to be as extreme as what i want, which is floor, seats at every laker game For the rest of my life that i'm willing to put my oculus device on and immerse myself in the game, i'd love that, but that's another example of it um. You have a course - and this could be the first time - i've ever done this on a podcast where i said hey, you should buy this outside of maybe like telling people to buy a book, but you put together a an agent sort of crypto certification where they Can really immerse themselves in it so give them that give them the url for the person that's listening, i would love for you to check this out and again be the knowledge broker, be the one that understands it, whether whether you ever transact on it or not? Probably doesn't make a difference, but you better understand it for that one time when someone walks in and says uh hey, i bought dogecoin in january of 2020 and i put a hundred thousand dollars into it and what's it worth today, do you know it's like? Like 4.9 billion, they put a hundred grand into something, and that was just a year ago.

I'm not recommending dogecoin, i'm just giving you a stat, but that person walks in says i've got some extra cash. I want to buy some real estate. I think it's important that we understand it. So, what's the uh what's the website, what should they go to go check out the course? So it's profit.com browse crypto for real estate or you can just go to property.com click, the products and then you'll see the crypto course.

Every month we have a new cohort and we provide new free education if you're, already crypto certified every time. There is a new trend, we just call our cryptocertified agents and make sure we provide uh new knowledge on new trends and the course covers eight sessions. Uh. What is crypto, what is blockchain, what are nfts, how to nft a home step-by-step workshop uh workshop metaverse is the new class for january 2022, uh and the course is very practical.

We're creating groups and those crypto certified agents can communicate to each other share knowledge, and it's all about crypto and real estate love. It love it well, natalia. Thank you. So much and again i loved how you said: hey even even i'm new to this, even though you've been in it for five or six years it just this moment feels like i all these thoughts going through my head, like sitting down with gary vaynerchuk in, like 2008 or nine and him saying you need to go all in on youtube that certainly paid off right or friends of mine.

That said, hey forget friendster, it's all about facebook. Man like this is this: is gon na be the one. I just feel. This is one of those moments in time where uh we need to just lean in and whether it's this course or just you know, going to youtube and just watching more information, but like everything else, don't be a no be be open to what could be and Be educated and informed so when you do meet that buyer meet that seller.

That really is in this world that you can look at them eye to eye and have context for what they're discussing and be able to bring something relevant to the conversation. I think that was really the whole game of this podcast. Is that fair, absolutely yeah, don't be afraid, start playing with crypto. It will pay off right right, so natalia closing closing thoughts as we uh as we sail this one out we're stepping in to 2022.

The year of crypto, and specifically the year of crypto and real estate, so be educated, don't be afraid, ask questions. Tons of information are, is available online, follow tom ferry on instagram, he's, sharing more and more stuff related to blockchain and nfts, and thank you so much for being here with us today. All right, thank you, natalia and, as always, my friends like and subscribe and make some comments, and thank you so much for being one of my podcast listeners, we'll see you soon, you.