Barry Sternlicht, CEO of Starwood Capital Group, expressed frustration over U.S. regulatory barriers preventing the tokenization of real estate assets. Speaking at the World Liberty Forum, Sternlicht highlighted his firm's readiness to tokenize real-world assets, a process that could revolutionize capital raising and market access. Despite the potential, Sternlicht noted that regulatory constraints are stalling progress in the U.S., unlike other firms like Propy, which are advancing tokenization efforts.
Tokenization involves converting ownership of physical assets into blockchain-based tokens, offering a new avenue for investment and efficiency in the real estate market. Deloitte projects that $4 trillion of real estate could be tokenized by 2035, a significant increase from current levels. Sternlicht emphasized the transformative potential of this technology, likening its early stage to that of artificial intelligence, and called for regulatory adaptation to unlock its benefits.
Barry Sternlicht Criticizes U.S. Regulation for Hindering Real Estate Tokenization
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