With Spl.yt you don’t have to be a millionaire to contemplate owning a Lamborghini. By splitting the cost and care fairly between several owners, verified and regulated by smart contracts using the Spl.yt protocol, two or more drivers could share the privileges — along with the responsibilities, of course — of owning a luxury sports car like a Lamborghini.
You might be thinking, “is this like a timeshare owned by several people?” Well, not exactly. In the traditional version of a “timeshare” for resort property, for instance, people don’t actually own the asset; they pay to rent it. This is because most timeshares are not structured as shared deeded ownerships but as shared leased ownerships, where the developer owns the deeded title to the property, and each timeshare owner holds a leased interestin the property. A typical lease agreement entitles the owner to use the property for a set week/year, or a “floating” week during a set of dates. This kind of complex record-keeping requires middle men, which incurs added expense, which is passed on to the buyers, of course.
Not only does fractional ownership offer opportunities to people who otherwise may not be able to afford or maintain expensive assets on their own, it also provides sellers of these assets with an entirely new consumer base. Assets such as artwork are generally thought to be highly “illiquid,” meaning that even though a work of art may generate a handsome return on investment, finding a buyer can be extremely difficult. One way to increase liquidity in a market, is to increase the number of potential buyers. By enabling fractional ownership, Spl.yt has the potential to expand the buyer pool by a significant percentage. Spl.yt’s protocol can automatically initiate and run digital auctions, eliminating the need for auction houses, which inevitably take a percentage of the final sale — money out of the seller’s pocket.
Given the obvious advantages of fractional ownership to buyers and sellers, why hasn’t this capability been invented previously? The short answer is that the technology to facilitate the sale, use, and maintenance of fractionally-owned assets simply hadn’t been invented until recently. This technology is, of course, blockchain.
Spl.yt uses smart contracts, which are essentially blockchain-based applications, to automate the many transactions involved in the sale, use, and maintenance of fractionally-owned assets. In other words, a process that would normally require intermediaries to carry out (sometimes at such high cost that they wouldn’t be profitable under traditional frameworks), can be simply executed by technology.
Learn how today at
https://www.spl.yt/