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What is Fractional Ownership?

Crypto Terms Glossary: What is Fractional Ownership?

Fractional ownership allows you to own a portion of an asset through the tokenization process. Tokens are divisible and can be split into large or small amounts. This characteristic allows a user to purchase a specific amount of an asset like bitcoin (BTC) or ether (ETH). For example, it is possible for an investor to purchase a few cents' worth of a tokenized asset (such as a house, car, or painting), or millions of U.S. dollars worth of the same asset. The value of tokenized assets is often measured by converting them to an equivalent value in fiat currency.

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