The German Financial Market Supervisory Authority (BaFin) gave its approval to a blockchain-based bond issuance this Tuesday. It is the first time that the German regulator has given the green light to such a project.

The company behind the bond is Fundament Group, a German firm that specializes in the tokenization of assets. Based in Berlin, the group mainly invests in commercial real estate and has holdings in Berlin, Hamburg, Rostock, Jena, and Fulda.

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The company’s bond is based on the ethereum blockchain and is backed by a portfolio of properties spread across Germany. The bond has an issued volume of 250 million euros ($280 million).

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Any time, anywhere

Fundament’s technology means that an investor putting funds into the bonds will receive a right or share certificate in the form of a digital token. Those tokens can then be traded on secondary markets at any time and without the help of a bank.

“As the first company to receive approval from the German Financial Market Authority for a blockchain-based real estate bond, we are excited to enter the sales process for the Real Estate Security Token, while already preparing the tokenization of other highly attractive assets,” said Fundament co-founder Florian Glatz.

Fundament is one of several firms attempting to tokenize real estate holdings. Although many in the crypto-sphere have argued that most assets are likely to be tokenized, property is more likely than others to go through the process.

That’s because, unlike many other asset classes, real estate has traditionally been hard to trade. Breaking it up into tokens means that this can be done much more easily.