Japanese real estate investment firm Gates Group Inc. has announced a strategic partnership with Oasys blockchain to tokenize $75 million worth of real estate assets located in Tokyo. This initiative aims to open up investment in income-generating Japanese properties to a global audience through fractional ownership via Web3 wallet transactions.
According to a statement released by Gates on Friday, this innovative approach is set to dismantle long-standing barriers that have traditionally hampered foreign investment in Japan’s real estate market. These obstacles include complex legal frameworks, high transaction fees, and language differences.
“We are pleased to partner with Oasys to jointly deliver Japanese real estate as real-world assets globally,” stated Yuji Sekino, CEO of Gates Group. Sekino highlighted Gates’ strong financial performance, noting approximately $145 million in revenue for 2024 and its recognition on the Financial Times’ “High-Growth Companies Asia-Pacific” for two consecutive years, underscoring the company’s credibility and expertise in this venture.
Oasys, initially recognized for its work in blockchain gaming development, has strategically pivoted to specialize in Asian real-world asset (RWA) tokenization. Its network, which is EVM-compatible and uses a proof-of-stake consensus mechanism, is designed for high interoperability. This includes features like seamless asset bridging and Web3 wallet compatibility, which are crucial for attracting and scaling institutional participation in tokenized assets.
The $75 million tokenization of income-producing properties in central Tokyo marks just the initial phase of a much broader strategy for the Gates Group and Oasys partnership. Gates, which has aspirations for a Nasdaq listing, revealed plans to significantly scale token liquidity to $34 billion. Ultimately, the firm aims to tokenize over $200 billion of its holdings, representing approximately 1% of Japan’s vast $20.5 trillion real estate market.
