Proposed System: A Comprehensive Tokenization Model

The proposed system builds on existing frameworks like Point.com and Latoken, addressing their limitations and expanding functionality to cover diverse investor needs:

1. Flexible Fundraising Without Auctions

   • Token issuers can raise funds incrementally, bypassing forced auction mechanisms.

   • STOs are customizable, allowing asset owners to issue tokens gradually, based on market demand.

2. Dual Participation Opportunities

   • Token holders can benefit from ongoing asset-generated revenue (e.g., rental income, dividends).

   • Tokens can also represent usage rights, enabling hybrid models like shared ownership and leasing.

3. Legal Compliance and Autonomy

   • A tokenized structure maps directly to legal entities like LLCs or REITs, ensuring regulatory compliance.

   • Smart contracts enforce agreements autonomously, reducing the need for centralized oversight.

4. Broader Accessibility

   • Smaller assets and individual owners can access fractionalization benefits, previously limited to large organizations like REITs.

   • Streamlined processes lower barriers to entry for non-institutional participants.