Signature Documentation
04Mathematical Modeling
The actual arithmetic the platform runs on, shown rather than only described.
Fractional Ownership Mechanics
Every asset carries a simple, enforced relationship between its total valuation and its units:
An asset moves through a strict sequence as it is prepared, listed, funded, and eventually closed, and the move from listed to funded happens automatically the instant a raise fills completely. Committing capital to a raise requires identity verification to already be approved, requires at least one full unit, and blocks the asset's own creator from investing in their own raise. Two protections are enforced at the strongest possible level, inside the database transaction itself, not only in the application layer sitting above it:
- Overselling a raise is structurally impossible. Two members committing capital at the same instant can never together commit more units than an asset actually has.
- A per-member ownership cap is checked both before a commitment is accepted and again inside the same transaction that finalizes it, closing a timing gap a simple check alone would leave open. Full consolidation of an asset by a single member through ordinary trading is, by design, unreachable.
A raise is strictly all or nothing. It only converts to member holdings once it is completely filled. There is no partial or minimum-viable-raise threshold today; an undersubscribed raise does not go forward at a reduced size, it is instead cancelled and every committed member is refunded in full.
Returns & Yield Distribution
Payouts to members use a method designed to divide money fairly down to the smallest unit of currency: each member first receives the whole-number floor of their proportional share, and any small remainder left over from that rounding is distributed one unit at a time to the members with the largest fractional claim to it. This guarantees the total actually paid out always matches the total available, never a fraction over or under. The amount actually available to distribute is calculated before that split happens:
The platform fee rate is configured by staff and capped so it can never exceed the full amount. VAT and withholding tax are configured at zero: under the current membership agreement, the platform does not deduct either before a distribution, and members are responsible for their own VAT and withholding-tax obligations directly. The setting to withhold both still exists in the platform's configuration and could be reactivated if that policy changed, but no distribution today includes a VAT or withholding-tax deduction. Distributions tied to the sale of an asset instead apply capital-gains treatment to each member's own individual profit, never a flat fee. Wallet crediting happens instantly, as part of the same transaction as the distribution itself, and above a configured amount, a distribution requires a second, different staff approval before it can happen at all, the same dual-approval principle used for withdrawals.
The homepage's own worked example, an asset earning a set amount in rent, a member holding five percent of the units, receiving five percent of that amount, illustrates a clean percentage of the gross figure. In reality, the platform fee is deducted from the gross amount before the pro-rata split happens, so a member's actual share is calculated against a slightly smaller net pool. VAT and withholding tax are not part of that deduction, since members handle those themselves. The existing disclaimer on that example covers performance variability but not this specific simplification. It is worth updating the marketing example to reflect the real arithmetic.
Describing a distribution as automatic refers to the crediting itself, which is instant once it happens, not to an automatic trigger the moment revenue is collected. Triggering a distribution is a deliberate action a staff member takes, and above a threshold, a second staff member must independently approve it first.
Risk Model
Assets carry real risk-disclosure information: a risk level, a plain-language summary of the main risk, valuation details including who performed it and when, and disclosure of any outstanding debt against the asset. Each of these defaults honestly to "not yet assessed" rather than silently defaulting to a reassuring value. The member-facing product reflects that honesty directly. When no risk summary has been published for an asset, it says so, rather than hiding the field or inventing a placeholder.
There is no mechanism today for writing down the value of an entire asset or issuing a negative distribution if an asset's value falls. The only loss concept that exists is a realized loss on an individual member's own secondary-market sale of units, where tax owed is floored at zero but the member's own profit figure can be negative. If a whole asset genuinely loses value, the platform does not yet have a built-in way to reflect that to holders. This is a real product limitation, not a documentation gap, and it is stated here as one.
Cooperative Pool Dynamics
Staff can cancel an entire raise at once, which automatically refunds every committed member in a single action. A member can independently cancel their own still-open commitment before a raise fills, though that option closes the moment it does. Secondary trading happens only inside staff-scheduled resale windows, never continuously. Placing a sell order immediately locks the underlying units so they cannot be sold twice, and a trade settles the buyer, the seller, the units, and the money together in one step or not at all. Three further safeguards exist, each staff-configurable: a holding period before newly acquired units can be resold, currently available but not turned on by default; a looser ownership cap that applies specifically to secondary-market trades; and a ceiling on how far above the raise price or last traded price a sell order can be listed.
The same dual-approval principle used for withdrawals is deliberately reused for revenue-entry approval rather than reinvented separately, a small but real signal that this was designed as one coherent system rather than patched together feature by feature.