ALTA Invest Evolution: NFT-Based Equity Shares

In the initial phase of our Invest protocol, our emphasis was on linking real estate investments to simple yields for investors, without direct ownership ties. These were structured as debt offerings through our proprietary smart contracts.

We've since evolved our Invest protocol to bridge real-world asset ownership with investors through NFT offerings. These offerings will be structured as equity¹.

Web3 Real World Asset Ownership

The available investments will be organized into Offerings, with each offering including stated timelines, minimum USDC raise goals, max available NFTs, price per NFT mint, relevant links and documents, and any potential risk factors. 

All offerings will be curated by Sponsors. Upon launch, ALTA Finance mandates Sponsors to also serve as asset managers, overseeing the acquisition, upkeep, and eventual sale of the asset throughout the offering's projected investment duration. The Sponsors will take a General Partner (GP) stake in the asset in exchange for their service.

Upon the Offering's conclusion, Sponsors will liquidate the asset and revert the principal to the smart contract in USDC. Investors can then reclaim their principal using their Web3 wallets by selling their NFT back to the originating smart contract via a redemption function.

Income Producing Assets

Some real-world assets, like real estate rentals, generate income. Such assets will accrue USDC income for the NFT owner over time, redeemable seamlessly within the ALTA Finance platform.

Transparency

As part of our initiatives to drive transparency, we have a Transparency tab that will show the flow of funds from the on-chain Offering smart contracts through to the off-chain accounts and associated real-world assets of the Offering.

Regulatory Framework

With our primary goal of democratizing access to real estate via Web3, we have integrated our Web3 KYC ALTA Verified. These verifications can quickly be completed with one click after you connect your Web3 wallet.

In addition, we have instituted the following key elements to allow us to comply with regulations as a US corporation while still innovating in the space:

1. Offerings will be publicly offered as SEC-exempt Reg-D 506(c) for US residents and/or Reg-S for non-US residents.
2. All investors in Offerings will be required to be ALTA Verified on their Web3 wallet, a basic KYC via Persona® to enforce our prohibited jurisdictions.
3. If an offering is available to US residents, they must be an accredited investor, which may require a secondary verification called ALTA Verified Accredited provided by one of our partners.
4. We will file applicable paperwork and include it in the offering documents if required.

Conclusion

We're thrilled to refine this offering for the Web3 community. Since ALTA Finance's inception, our mission has been unwavering: democratize real-world asset ownership for the next wave of capital markets and investors, harnessing the transformative power of Web3 wallets.

We are always open to feedback and/or potential partners and you can contact us via Twitter, Email, or Chat on our website.

* * *

Footnotes:

1. At launch, we will be connecting real-world asset ownership to NFT Web3 wallet ownership via Wyoming DAO LLC entities, where the members of the LLC are represented legally by on-chain tokenized NFT's. The underlying real-world assets will thus be owned by their respective Wyoming DAO LLC, tying them back to the NFT holders.