The venture capital arm of the U.S. National Association of Realtors (NAR) has bought a stake in blockchain-based real estate startup Propy.
Second Century Ventures – NAR’s real estate technology VC fund – invested an undisclosed amount in Propy via its REACH accelerator program, according to a press release sent to CoinDesk on Monday.
Propy allows users to transact real estate online, recording the deals on a blockchain, as well as with traditional methods. It previously raised $15.5 million via an initial coin offering in 2017, according to Crunchbase.
Its blockchain-powered platform connects real estate buyers, sellers, and brokers allowing them to close property deals in a paperless, online process. Propy also provides real estate agent tools, including DocuSign, to help ensure security risks, such as wire fraud, are reduced.
The firm has previously helped auction a 17th century Italian mansion on a blockchain, partnering with Beverly Hills real estate brokerage Hilton & Hyland last May to sell part of the Palazzo Albertoni Spinola, which dates back to between 1580 and 1616.
It’s also helped TechCrunch founder Michael Arrington purchase a $60,000 apartment in Kiev using ethereum and smart contracts to settle the deal.
Speaking of the investment, Propy CEO Natalia Karayaneva said:
“We believe Propy is at the forefront of bringing automation and blockchain to real estate with its easy-to-use platform for agents, buyers, and sellers. Working with Second Century Ventures (SCV) and NAR executives will help achieving adoption of our products. We look forward to the next chapter in order to better our business tactics and goals at Propy.”
NAR is the largest real estate trade association in the U.S., with 1.3 million members across the residential and commercial real estate industries.
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