Inefficient Intermediaries

Traditional RWA investment processes are riddled with inefficiencies that drive up costs and slow down transactions. Real estate deals, startup investments, and even buying intellectual property often require the involvement of multiple intermediaries, each taking a cut and adding friction to the process.

In the real estate market, intermediaries such as brokers, agents, appraisers, inspectors, and legal professionals all need to be compensated for their services. Not only does this add significant costs to an already expensive process, but it also creates delays as each step in the transaction requires coordination between various parties. As a result, deals that could be completed in a matter of days can take weeks or even months, causing investors to lose out on opportunities or face unnecessary delays.

Private equity deals face similar challenges, with fund managers, lawyers, and accountants all playing roles in making the deal happen. Each intermediary adds another layer of complexity to the process and drives up the cost of investing. In many cases, intermediaries act as gatekeepers, controlling the flow of information and transactions. This centralization of control limits transparency and creates an environment where only a select few have access to the information or opportunities that others might benefit from.

Moreover, many of these intermediary-driven processes are outdated and slow. Manual paperwork, in-person meetings, and slow communication channels further compound inefficiency. As a result, both investors and creators face high costs and time delays, making it difficult to build efficient markets that encourage growth, innovation, and wealth creation.