We talked to Oliver Siah of Fraxtor about investing in byte-sized real estate and building a community of co-investors. He had the following to say about it.
First of all, how are you and your family doing in these COVID-19 times?
Oliver Siah: We are doing great here in Singapore. The government has successfully contained the outbreak and will be commencing the vaccination program later this year. Things have mostly gone back to “normal”, albeit with stringent social gathering restrictions.
Tell us about you, your career, how you founded Fraxtor.
Oliver Siah: I had been investing in real estate in my early twenties. Based on this experience, I found that there were three big problems in investing in real estate. First, it was the high capital outlay required. Second, it was the illiquidity of the investment. Lastly, it was the lack of access to quality real estate.
Fraxtor was founded to alleviate these problems of investing in real estate by allowing investors to invest in byte-sized amounts (typically from $20,000), liquidate their holdings in an approved exchange, and provide investors access to real estate that is typically reserved for the high net worth or institutional players.
How does Fraxtor innovate?
Oliver Siah: Fraxtor innovates using Blockchain technology to fractionalize large chunks of real estate investment into byte-sized amounts. This allows for an easy and low-cost way to crowdfund or trade. This will also allow us to increase our reach and ability to raise funds.
How the coronavirus pandemic affects your business, and how are you coping?
Oliver Siah: It was difficult initially due to the uncertainty in the markets brought about by the pandemic. However, things started to improve with the easing of the restrictions. We did take advantage of the downtime during the pandemic to make significant upgrades to our platform.
Did you have to make difficult choices, and what are the lessons learned? How do you deal with stress and anxiety?
Oliver Siah: Interesting question. I usually deal with stress and anxiety by exercising or playing computer / mobile games.
Who are your competitors? And how do you plan to stay in the game?
Oliver Siah: Most other crowdfunding platforms in the market today compete in the same space as us. We stay in the game by trying to differentiate our product line as well as focus on what we do best (which is currently Singapore development projects)
Your final thoughts?
Oliver Siah: We have come a long way since we started this project in 2017. Every time we look back at our achievements, it powers us to forge ahead.