What Is LABS Group (LABS) And How Does It Work? | KuCoin Crypto Gem Observer

2022/03/15 15:00:23

LABS Group Limited, the world's first end to end Blockchain powered real estate digital investment platform that provides access to fractionalized property and business ownership. It is taking a proactive role in spearheading the Esports hotel business, capitalizing on current GameFi and Metaverse trends.

What problem is LABS solving?

The real estate industry is rapidly growing, with analysts predicting that the sector will generate revenue worth between $3.717 trillion and $4.263 trillion by 2025. While this growth presents investors an ideal opportunity to reap benefits such as earning passive income and stable cash flow, the sector has several shortcomings that make it unattractive to many people.

Some of the stumbling associated with the traditional real estate industry include high entry and exit costs, troublesome access to a global portfolio, liquidity issues, complexities in buying real estate overseas, and high fees, which ultimately slow down the process of completing transactions.

Hoping to address these issues, LABS seeks to democratize wealth by merging the perks of decentralization and centralization. By taking this approach, the project solves the liquidity issues in the real estate industry, putting the decision-making power back into the hands of investors.

LABS Solution

To achieve this feat, LABS plans to digitize traditional assets as the world continues inching toward an online-centric setup. In so doing, the platform hopes to lift the limitations that restrict investing in the real estate sector to Wall Street, hence making such investment opportunities mainstream.

To help make its platform mainstream, LABS has inked a marketing partnership with KuCoin and BitMart. According to LABS CEO Yuen Wong, marketing is vital for any project to be successful.

Apart from the marketing partnerships, LABS has also teamed up with Arena Esports Hotel, a regional hostel chain with Esports facilities. This deal seeks to accommodate Esports enthusiasts in the future.

How does LABS work?

LABS ecosystem consists of 2 main platforms:

· LABS Crowdfunding Platform tokenizes real estates that allows investors to invest with just 100 USDT, or the equivalent amount of LABS token.

· LABS WIN Platform provides a fun and interactive way for all LABS holders to purchase “tickets” and win LABS jackpot prizes.

Real estate has traditionally been a good store of value that also offered investors an ideal opportunity to increase returns on equity. However, digitization helps unlock the full potential of the industry.

Real estate tokenization enables fractional ownership, mitigating barriers to entry and cutting down costs. This model helps attract more retail investors into the space, which was previously inaccessible for non-accredited or UHNW individuals.

Tokenization also lets investors customize their portfolios by choosing which real estate investment they prefer. These include residential, industrial, commercial, or hybrid. Additionally, investors can select freely on the regions they want to invest in, the risk versus reward profiles, and staking options.

Moreover, LABS helps fractionalize real estate, making it more accessible to the general market. As a result, investors can invest in the industry without overleveraging their cash. The icing on the cake is that investors can allocate small investments across a broad real estate portfolio, which shrinks the risk of losing capital.

What makes LABS unique?

Token holders in the LABS ecosystem will not only provide liquidity in the secondary market but also form part of a semi-decentralized governance body.

Decentralization allows investors to make decisions as a whole instead of a central organization deciding their fate. This feature effectively renders LABS different from the traditional real estate market, which comprises real estate investment trusts (REITs), direct investments, real estate funds, and private equity funds.

Unlike the traditional real estate industry, which offers dividends or rental payouts anywhere between a month and year, LABS will offer investors that support specific projects daily reward payouts. To ensure this process runs smoothly, LABS has inked partnerships with real estate developers that allow the platform to guarantee rental rewards. These rewards will be shared directly to investors.

The Next Big News with LABS

Shifting from ETH to BSC
LABS Group has decided to migrate from ETH to Binance Smart Chain (BSC). Along with some technical improvements, the updated token smart contract enables users to experience low transaction fees, borderless DeFi and a DEX ecosystem that is booming. Moreover, the migration to BSC will boost the token utility, usage and adoption of LABS tokens, with a real aimed focus to make it a multi-chain platform.

Yuen Wong, CEO, stated, “To show our commitment, the team has decided to delay the token release schedule by 12 months. So, let's be assured that we are into this project long term and we will pledge our commitment into this project.”
Buyback and Burn model
LABS will be switching to a buy back and burn model with profit generated by the ecosystem, and with 10 percent of each crowdsale will go to permanent liquidity lock.

Click this video link and know more about LABS’s southeast asia plan. Click here and recap the KuCoin AMA with LABS.

Who created LABS?

The LABS team comprises Yuen Wong as CEO, Mahesh Harilela as Chairman, Calvin Ng as President, Leonidha Zhezha as CTO, Francis Berwa as Head of America, Eileen Xie as Head of Asia, and Joshua Peng as the Chief Blockchain Architect.

Closing Thoughts

By introducing decentralization and tokenization to the real estate industry, LABS strategically positions itself to disrupt the sector. These two integrations allow LABS to let anyone invest in the lucrative real estate business, which was previously dominated by Wall Street.