By Artem Milinchuk, Founder of FarmTogether
Over the past few months, I’ve noticed tokenization becoming a recurring theme in conversations about farmland investing. It’s a topic I’ve witnessed move from niche fintech circles into mainstream discussions among investors and institutions. Recent headlines only reinforce that momentum: blockchain-based lender Figure Technology, which built its platform around tokenizing home equity loans, has filed for an IPO, a clear sign that tokenization is moving from concept to commercial reality.
In farmland, the recent acquisition of Ceres Partners by WisdomTree has only added fuel to the fire. Given WisdomTree’s well-established push into blockchain-enabled products, from its digital asset strategy to its recent WisdomTree Connect launch offering 13 tokenized funds, the move signaled to many that farmland may soon play a role in the broader evolution of tokenized real assets.
With that context in mind, I want to share my perspective on what tokenization could mean for farmland: why it’s generating interest, what opportunities it might unlock, and what challenges still stand in the way.
Why Tokenization Matters
Tokenization is the process of converting ownership rights in a real-world asset into digital tokens recorded on a blockchain. In farmland, this could mean breaking a $10 million orchard into millions of digital units that can be traded far more easily than the underlying land.
The parallels with digital assets are striking. Bitcoin demonstrated how scarcity could be embedded into a monetary system — there will only ever be 21 million coins. Farmland has its own built-in scarcity: arable land in the U.S. has been shrinking for decades, even as global food demand rises. Stablecoins, meanwhile, showed how digital tokens could be backed by reserves to provide stability. A farmland-backed token or stablecoin could function in a similar way, deriving value from productive farmland portfolios rather than fiat.
Opportunities on the Horizon
The clearest opportunity is liquidity. Farmland is a long-term, illiquid asset — tokenization could allow fractional interests to trade more fluidly, providing investors with exit options that simply don’t exist today.
There is also the potential to expand access. Fractional ownership structures have already lowered barriers to farmland investing, giving accredited individuals a seat at the table in what was once a strictly institutional market. At FarmTogether, we helped drive this shift by launching one of the first crowdfunding platforms dedicated to U.S. farmland. Since then, we’ve expanded into funds, 1031 exchanges, and customized portfolios, serving both institutional and individual investors. Across all of these vehicles, our focus has been on pairing accessibility with the same professional management, sustainability standards, and underwriting discipline demanded by institutions. Tokenization could build on that progress, opening the door to even smaller minimums, global participation, and potentially round-the-clock secondary trading.
Finally, tokenization could open new forms of credit. Just as digital assets are now used as collateral in decentralized finance, farmland tokens could underpin credit markets. Farmers or investors might one day borrow against a digital representation of their land holdings, injecting liquidity into agricultural finance.
The Challenges Are Real
At the same time, there are hurdles. Regulatory frameworks are still evolving, and clarity around whether tokenized farmland interests qualify as securities is essential. Questions about custody, valuation, and investor protections will need careful answers.
There is also the matter of trust. Tokenization doesn’t change the fundamentals of farmland investing: sourcing, managing, and operating farms remains complex and requires deep, professional experience. Without credible oversight, tokenized farmland risks being perceived as speculative rather than grounded in real, income-producing assets.
Signals from Institutions
One of the clearest signs that tokenization is more than a theoretical exercise came with WisdomTree’s acquisition of Ceres Partners late last month. WisdomTree has been at the forefront of digital fund products, and its move into farmland through Ceres is telling. It suggests that farmland is being evaluated not only as an attractive real asset but also as a candidate for blockchain-enabled fund structures.
When institutions of that scale begin building bridges between traditional finance and digital wrappers, it’s worth paying attention.
Where This Could Lead
The intersection of farmland and tokenization is still in its early stages, and its trajectory will depend on regulatory clarity and market infrastructure. But the underlying logic is powerful: farmland is scarce, income-producing, and essential — qualities that lend themselves well to tokenized ownership.
In my view, the most interesting near-term developments will likely come from hybrid models, where established managers and funds experiment with tokenized wrappers rather than attempting to reinvent farmland finance wholesale. Over time, if the infrastructure matures, farmland may emerge as one of the first major real asset classes to be widely tokenized.
The promise is not just efficiency, but a more global, liquid, and flexible way to invest in agriculture — an asset class that remains as vital as it is enduring.
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