Our research will lead to reduced costs for projects aiming to deploy Real World Assets (RWAs) on Arbitrum through several key mechanisms:

Streamlined Processes: By analyzing the current landscape of commercial real estate (CRE) investment vehicles and comparing them with blockchain-based alternatives, we will identify inefficiencies in traditional processes. Blockchain technology, specifically on the Arbitrum platform, can streamline these processes by automating transactions, reducing the need for intermediaries, and minimizing paperwork, thereby cutting down administrative and operational costs.

Enhanced Liquidity: One of the major cost drivers in traditional CRE investments is the lack of liquidity, which often necessitates significant premiums or discounts to buy or sell assets quickly. Our research will demonstrate how tokenizing CRE assets on Arbitrum can provide enhanced liquidity, allowing for quicker and more cost-effective transactions without the need for such premiums or discounts.

Lower Transaction Fees: Traditional CRE investments involve various transaction fees, including broker commissions, legal fees, and other administrative charges. Deploying RWAs on Arbitrum will leverage smart contracts to automate and enforce agreements, significantly reducing these fees. Our research will quantify these savings by comparing traditional transaction costs with those on the Arbitrum blockchain.

Reduced Management Costs: Managing real estate investments traditionally requires substantial resources for property management, compliance, and reporting. Blockchain's immutable and transparent ledger simplifies these tasks by providing real-time access to data and automated reporting features. Our research will highlight how these capabilities lower the ongoing management costs for CRE projects.

Regulatory Efficiency: Navigating regulatory requirements can be both time-consuming and costly. Our research will explore how blockchain-based CRE securities can align with or even enhance regulatory compliance through built-in features like automated KYC/AML processes and transparent audit trails. This will reduce the costs associated with regulatory compliance and potential fines.

Scalability: By demonstrating the scalability of deploying RWAs on Arbitrum, our research will show how projects can grow without a proportional increase in costs. The efficiency and flexibility of blockchain technology allow for the addition of new assets and investors with minimal incremental costs.

By providing a comprehensive analysis and case studies, our research will offer practical insights and data-driven evidence on how deploying RWAs on Arbitrum can lead to significant cost reductions, making it a more attractive and viable option for investors and developers alike.