SecondaryDAO Investor Guide

Complete Guide to Buying & Managing Property Tokens

What Are Property Tokens
The Two Phases Explained
How to Buy Tokens
What Happens After You Buy
Understanding Property Information
Seller Equity Disclosure
Your Rights & Protections
When You Can Sell
Earning Rental Income
Fees & Costs
Common Questions
Getting Help
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Glossary

What Are Property Tokens

When you buy property tokens on SecondaryDAO, you’re buying fractional ownership in a real property — similar to owning shares of a company.

Example:
Property Value: $500,000
Total Tokens: 10,000
Token Price: $50
Buying 100 tokens ($5,000) = 1% ownership

What You Get

Ownership proportional to tokens
Monthly rental income
Appreciation if value increases
Trading rights after IPS

The Two Phases Explained

Phase 1: Initial Property Sale (IPS)

The property is offered to investors for the first time at a fixed price for a limited period until funding completes.

Key Features

Token price fixed (e.g., $50)
Lower fee (example 2.5%)
Buyback guarantee available
No price fluctuation
No secondary trading yet
Seller tokens locked

When you see the green IPS badge, price is guaranteed and refundable before issuance.

Phase 2: Secondary Market

Once funding completes, the property moves to secondary trading.

Key Features

Variable token prices
Standard 5% fee
No buyback guarantee
Market-driven prices
Active trading allowed
Seller tokens unlocked

When you see the blue Secondary Market badge, tokens are tradable and rent distributions begin.

How to Buy Tokens

Step 1: Browse Properties

Look for:

Location, token price, ROI, phase badge, funding progress

Example
Sunset Villa — Miami, Florida
IPS Phase — $50.00 fixed
Funding: 25%
Expected ROI: 8.5% annually

Step 2: Review Property Details

Check These Sections

Property overview (address, type, specs)
Tokenomics (price, supply, rent, ROI)
Seller equity (if shown)
Fees and documents

Step 3: Connect Wallet

Use MetaMask or Coinbase Wallet with USDC and some ETH for gas.
Connect wallet on the platform to proceed.

Step 4: Enter Purchase Amount

Enter the number of tokens to see:

Total cost and fee
Ownership percentage
Estimated monthly rent

Step 5: Approve USDC Spending

Wallet asks to approve USDC use (one-time per property).

Step 6: Confirm Purchase

Confirm final purchase transaction.
Your USDC is moved to smart contract escrow.

What Happens After You Buy

Immediately
You’ll see confirmation with details and transaction hash.

During IPS
No action needed — tokens will be automatically issued once the funding goal is reached.

Refund Policy (Phase 1 only)

Refund allowed before token issuance
Contact [email protected] with transaction hash
Processing: 3–5 business days

After Phase 2 Begins
Tokens appear automatically in your wallet. You can trade, earn rent, and view holdings.

Understanding Property Information

Property pages show:

Quick stats (price, ROI, tokens sold)
Detailed tokenomics
Seller equity disclosure (if applicable)
Fees and rent schedule
Property documents and images

Hover or tap the ℹ️ icons throughout the platform for extra explanations.

Seller Equity Disclosure

Why It Matters

Shows seller ownership
Indicates locked/unlocked status
Ensures transparency

Example
Seller Wallet: 0x1234…7890
Allocation: 25% (2,500 tokens)
Status: Locked during Phase 1

Sellers receive tokens at $0 cost but can’t sell until Phase 2.

Your Rights & Protections

You Own

Legal fractional ownership
Monthly rent income
Voting and exit rights
Exposure to appreciation

During IPS

Buyback guarantee (refund at IPS price)
Smart contract escrow for all funds
Refund right before issuance

Escrow Protections

Funds held in blockchain escrow
Immutable release conditions
Admins cannot move funds manually

When You Can Sell

Phase 1

Sell back to platform at IPS price (minus fee)
Instant refund in USDC

Phase 2

Sell to other investors via order book
Market or limit orders supported
Standard 5% trading fee

Earning Rental Income

How It Works

Tenant pays rent → Property Manager → Token holders
Rent distributed monthly (around the 10th)
Rent received automatically in USDC
View rent history in your dashboard

Example
Monthly Rent: $3,500
Your Ownership: 1%
Your Income: $35/month

Fees & Costs

Phase 1 (IPS)

Fee: 2.5% per trade
Example: $5,000 × 2.5% = $125 fee

Phase 2

Fee: 5% per trade
Example: $5,200 × 5% = $260 fee

Exit Fee

5% on property sale proceeds

Gas Fees

Ethereum network fees (approx. $8–$20 total)

Common Questions

Minimum Investment?
Usually 1 token ($50).

Can I Use Credit Card?
No — only USDC via Web3 wallet.

When Do I Get Tokens?
Phase 1: After funding completes.
Phase 2: Immediately.

What If Funding Fails?
Full refund automatically processed.

Is There a Lock-Up?
Investors: None.
Sellers: Locked during IPS only.

When Do I Earn Rent?
After token issuance.

What If Property Is Vacant?
No rent that month; reserves may apply.

How Safe Is My Investment?

Smart contract escrow
Blockchain transparency
Real property backing
Separate legal entity ownership

Can I Track Seller Wallets?
Yes — wallet addresses are public and viewable on Etherscan.

Taxes

Rent = taxable income
Token sale = capital gains
You’ll get a yearly summary for reporting

Getting Help

Support Options

Email: [email protected]
Chat: Click the icon at bottom-right
Discord: (link if available)

Response Times

Email: 24–48 hours
Chat: Usually within 1 hour (business hours)
Urgent issues: Use “Urgent” tag in subject

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