Lofty

Lofty is a tokenized real estate marketplace that sells fractional ownership in individual US rental houses. Each property is placed in its own Wyoming LLC, and membership interests in that LLC are issued as digital tokens on the Algorand blockchain, priced around $50 each. You are not buying a fund: you pick specific houses, one at a time, and your returns track those exact doors. The company was founded in 2018, is based in Miami, and reports more than $100 million invested and over $5.2 million in rent distributions paid to 40,000+ investors. The headline mechanics are the draw. The minimum is $50 per property, rent is credited to your account every day and can be withdrawn in USD or the USDC stablecoin, and tokens can be listed for resale at any time on a 24/7 secondary marketplace with no lockup. As of May 2026 the marketplace showed roughly 111 properties across about 40 markets with an average gross rental yield around 9.2 percent. Trading is not free: Lofty charges about 2.5 percent on purchases and 3 percent on sales, so a round trip costs roughly 5.5 percent. The fine print deserves as much attention as the daily rent. Lofty's retail token sales are not registered securities offerings with the SEC, and Lofty AI, Inc. is not a registered broker-dealer or investment adviser, so you are relying on the contract and LLC structure rather than a regulated wrapper. The 24/7 marketplace is real but thin: sellers set their own ask prices, and exiting quickly can mean accepting a discount when buyers are scarce. Daily rent stops when a house sits vacant, and many listings are lower-priced homes in Midwest and Southern markets where repairs, tenant turnover, and property management quality can move returns more than the listing page suggests. Taxes and rails add complexity. Rental income, capital gains, and staking income are aggregated into a single 1099 package, each property LLC files Form 1065 as a pass-through, and moving money through USDC on Algorand is a crypto transaction with its own recordkeeping. None of this is unmanageable, but it is more paperwork than a REIT that mails one 1099-DIV. Lofty fits investors who want to hand-pick individual rental homes at small size, like seeing rent land daily, and want the option to sell anytime. Skip it if you want an SEC-registered structure, one diversified fund instead of single-house risk, dependable liquidity at fair value, or no crypto anywhere in your finances. Treat the daily payouts as a small yield on a concentrated, illiquid asset with trading fees that punish frequent flipping.