Lego sets have shown impressive annual returns of around 11% from 1987 to 2015, outperforming traditional assets like stocks and gold. However, investing in Lego remains difficult for most people due to high entry barriers, such as sourcing rare sets, managing storage, and dealing with illiquidity. A potential solution could be a platform that allows fractional investment in Lego sets, similar to how art-investment platforms like Masterworks operate. This would let casual investors, collectors, and enthusiasts gain exposure to Lego as an asset class without handling physical logistics.

How It Could Work

The platform could acquire Lego sets expected to appreciate, such as retired or limited editions, and then securitize them by filing SEC-compliant offering circulars. Investors could buy shares representing a fraction of a set’s cost, earning proportional returns when the set is sold years later. A secondary market could allow peer-to-peer trading of shares before liquidation. For example:

• Casual investors could invest without worrying about storage.
• Collectors could diversify or liquidate holdings.
• Lego enthusiasts could "own" rare sets they couldn’t afford outright.

Execution Strategy

One way to test this idea could be starting with a peer-to-peer marketplace for whole sets to validate demand. If successful, fractional ownership could be introduced for select high-value sets after securing regulatory approvals. An MVP approach might look like this:

1. Phase 1: Launch a waitlist to gauge interest and partner with Lego resellers for inventory.
2. Phase 2: Pilot fractional ownership with a few sets using a simple legal structure.
3. Phase 3: Scale with SEC-compliant securitization and secondary market features.

Existing Alternatives and Improvements

Current platforms like BrickLink and StockX focus on direct sales of whole sets, while Masterworks offers fractional art ownership. This idea would combine the best of both worlds—fractional investment tailored to Lego’s unique market. Key advantages could include:

• First-mover edge in fractional Lego investing.
• Community trust by leveraging Lego fan insights.
• Regulatory head start to deter copycats.

By addressing accessibility and liquidity challenges, this concept could open Lego investing to a broader audience while maintaining the asset’s proven appeal.