What happens when you combine a decentralized application (dApp) tokenization platform with a decentralized finance (DeFi) protocol built on real-time data?
Other than an intriguing word salad, two real estate proptech startups believe it means very good things for property owners using nonfungible tokens (NFTs).
Propy and Parcl announced a strategic partnership on Thursday in which they hope Parcl’s data integrations will improve the analytics for assessing real estate minted on the dApp PropyKeys.
According to the companies, $10 billion worth of homes in the U.S. have been minted and are ready for tokenization, with the expectation of that value hitting $50 billion by the end of this year.
The partnership will give Propy access to the Parcl Labs advanced programming interface (API). With its valuation and analytics tools, the hope is for Propy to bring more real estate markets onto its blockchain. Propy staked Parcl’s token — $PRCL — to gain access to the API.
PropyKeys has brought 200,000 addresses to its blockchain, including 80,000 in the U.S. minted by the actual owners of the houses at corresponding addresses in the real world.
Parcl is building a platform for real-time housing data on market analysis, property valuation and advanced analytics. It aggregates data from more than 5,000 sources on rental, listings and sales activity.
Not lacking in the bravado of players in the NFT space, Parcl said in the announcement that the partnership will move the company toward being “the real estate data layer of the world.”
“By leveraging Parcl’s advanced analytics and real-time housing data, we are providing unparalleled accuracy and transparency in property valuations, empowering our users with the best possible tools to navigate the on-chain real estate landscape,” Propy CEO Natalia Karayaneva said in a statement.
“We expect the partnership to unlock more use cases for Propy and demonstrate what is possible for others looking to innovate in the real estate space,” Parcl CEO Trevor Bacon said in a statement.
During the cryptocurrency boom in 2022, Propy partnered with Abra to provide home loans that use crypto as collateral.