Netherlands Regulators Greenlight Blockchain-Powered Real Estate Security Token Exchange


    The Financial Markets Authority in the Netherlands (AFM) has green-lighted Max Property Group (MPG), a real estate investment specialist,  to launch Max Crowdfund, an international real estate crowdfunding platform on blockchain technology on which real estate-backed loans will be placed.

    After gaining approval from the AFM (approval number 19000066), Max Property Group will now proceed with rolling out the platform, aided by advisory support from Jelurida on the blockchain component. First loans will be placed soon.

    The crowdfunding platform will make real estate investments available to everyone, regardless of wealth or status. Investors will be able to make real estate investments from as little as €100, with the entire process fully automated and 100% transparent.

    Erwin van Kekem, Max Property Group’s CTO, said:

    “It has been several years since we initiated the development of Max Crowdfund and obtaining the approval from the AFM was a long 10-month process due to the blockchain component, but we are extremely pleased that we can finally officially go live.”

    The platform will use the Ardor public blockchain developed by Jelurida. The deal paves the way for a first-of-its-kind regulated platform for tokenized real estate backed loans.

    Max Crowdfund is an international real estate crowdfunding platform allowing developers and investors to raise money from the public via loans. MPG’s crowdfunding platform will make qualified national and international real estate investment opportunities available to a global audience. With over 70,000 registered users on Max Crowdfund, the platform will launch with a strong base of investors seeking exposure to the $10T real estate market, $300B of which is expected to be claimed by online platforms by 2025.

    MPG’s experienced real estate investment team will perform due diligence on opportunities before approval for listing on Max Crowdfund. Investors pay a one-off 0.1% fee on their investment and a monthly administration fee of 0.1%. The 0.1% one-off fees will be used to buy and burn MPG tokens. Max Crowdfund is the first real estate crowdfunding platform on blockchain technology to be approved by the AFM and potentially the first one in the world. For property developers, it provides fast funding from an international pool of real estate investors, with automated processes keeping fees to a minimum. Investors, meanwhile, can enjoy stable and consistent returns on their investment.

    Within the Max Crowdfund platform, investors are shown their current account balance, portfolio status, and performance and will receive monthly quarterly and annual investment reports. Additional investments, as well as new deposits or withdrawals, can be made in seconds while in-depth investment portfolio performance and statistics are available to view. Available for iOS and Android, the app gives retail investors exposure to the real estate market for as little as €100.

    Max Property Group (MPG) was founded in 2016 by a team of real estate professionals with a combined real estate industry experience of over 100 years in the Netherlands, Germany, and the United Kingdom. The Financial Authorities-approved group oversees four property investment funds, has raised over €6M, and invested in property worth more than €8M. Operating in the Netherlands, Germany, and UK, MPG oversees Max Crowdfund and runs a Master Class Academy.

    Founded in Switzerland in 2017, Jelurida is a software company that develops and maintains the Ardor and Nxt blockchains. Now a multinational organization with offices on three continents, Jelurida is focused on helping enterprises capitalize on the benefits of blockchain through making it easier to deploy applications connected to the open Ardor and Nxt networks.