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By Joshua Freedman
• 32 articles

Getting Started with SecondaryDAO: A Step-by-Step Guide

Title: Getting Started with SecondaryDAO: A Step-by-Step Guide Introduction: Welcome to SecondaryDAO, the innovative platform that opens the doors to the world of fractionalized real estate investments. This comprehensive step-by-step guide is designed to assist users in navigating the process of starting their journey with SecondaryDAO, from the initial account setup to making their first investment in fractionalized real estate assets. Follow these detailed instructions to kickstart your investment journey on SecondaryDAO. Section 1: Creating Your SecondaryDAO Account 1. Begin by visiting the official SecondaryDAO website at SecondaryDAO.com. 2. Locate the "Sign Up" or "Create Account" option on the homepage and click to initiate the registration process. 3. Provide the necessary information, including your name, email address, and a secure password for your account. 4. Agree to the terms and conditions of SecondaryDAO and complete any additional verification steps required. 5. Congratulations! You have successfully created your SecondaryDAO account and are ready to explore the world of fractionalized real estate investments. Section 2: Navigating the Platform 1. Log in to your newly created SecondaryDAO account using your credentials. 2. Take a tour of the platform interface to familiarize yourself with the various sections and features available. 3. Explore the dashboard to view your account balance, investment opportunities, and other relevant information related to your account. Section 3: Investing in Fractionalized Real Estate 1. To start investing in fractionalized real estate assets, navigate to the "Marketplace section of the platform. 2. Browse through the available projects and select one that aligns with your investment preferences and goals. 3. Review the details of the selected project, including property information, investment terms, and the fractionalized token offering. 4. Enter the desired investment amount and proceed to confirm your investment. 5. Complete the transaction using the designated payment method or wallet integration provided by SecondaryDAO. Conclusion: By following this step-by-step guide, you have successfully initiated your journey with SecondaryDAO, from creating your account to investing in fractionalized real estate assets. As you continue your investment activities on the platform, remember to explore further opportunities and stay updated on new features and projects. Should you encounter any challenges or require assistance along the way, do not hesitate to reach out to the knowledgeable support team at SecondaryDAO for prompt assistance. Start your investment journey with SecondaryDAO today and seize the exciting opportunities that await in the world of fractionalized real estate. Policies and procedures are updated frequently. Please check back for the latest information.

Last updated on Dec 08, 2025

Understanding SecondaryDAO's Tokenomics: Explained

This article explains the tokenomics of SecondaryDAO, covering details about tokens, its purpose, and how they function within the ecosystem. Title: Understanding SecondaryDAO's Tokenomics: Explained Introduction SecondaryDAO is an innovative platform that specializes in tokenizing and fractionalizing companies that own properties. In this article, we will explore the unique tokenomics of SecondaryDAO and how it revolutionizes property investment. Each token represents ownership in a company that owns a specific property, with all rents and expenses flowing through that company and distributed to token holders. Tokenizing and Fractionalizing Companies SecondaryDAO's primary focus is on tokenizing and fractionalizing companies that own properties. In most cases, each company is associated with a single property, ensuring clear ownership and accountability. However, there may be cases where a company owns multiple properties, which might be specifically outlined. The Token Represents Ownership When an investor buys a token of a property on SecondaryDAO, they are effectively acquiring a token representing ownership in the company that holds the property. This ownership entitles them to a share of the property's benefits and returns. Read the operating agreement in the Document section for the listing! Property Operations through the Company All rents and expenses related to the property are handled by the company that issued the token. This setup ensures a streamlined process where the company manages day-to-day operations, including rent collection, property maintenance, and expense management. Token holders can rest assured that their investment is managed by professionals with expertise in property management. Distribution of Net Rents One of the significant advantages of owning tokens of a property through SecondaryDAO is the distribution of net rents. As the company receives rental income, expenses such as property taxes, insurance, and maintenance are deducted. The remaining net rents are then distributed proportionally amongst the token holders. Transparent and Accountable System SecondaryDAO's tokenomics brings transparency and accountability to property investment. Token holders can easily track the flow of funds within the company, ensuring that all rents and expenses are accurately recorded and distributed. This level of transparency builds trust among investors and fosters a strong sense of community within the SecondaryDAO ecosystem. Conclusion SecondaryDAO's pioneering tokenomics transforms property investment by tokenizing and fractionalizing companies that own properties. By buying tokens associated with specific properties, investors gain ownership in the company and the ability to receive net rents. This unique approach to property investment provides transparency, accountability, and attractive returns for token holders. Policies and procedures are updated frequently. Please check back for the latest information.

Last updated on Dec 08, 2025

How to Buy Real Estate Tokens on Arbitrum One

Ready to own a piece of real estate? 🎉 This guide walks you through buying property tokens on SecondaryDAO using Arbitrum One (Chain ID 42161) RPC: https://arb1.arbitrum.io/rpc Before You Start Make sure you have: ✅ MetaMask wallet installed and set up for Arbitrum One ✅ USDC in your wallet on Arbitrum One ✅ Completed KYC verification on SecondaryDAO Need help with wallet setup? Check our MetaMask setup guide first! Step 1: Connect Your Wallet 🔗 1. Go to app.secondarydao.com 2. Click "Connect Wallet" in the top right 3. Select MetaMask 4. Make sure you're on the Arbitrum One network (Chain ID 42161) 5. Approve the connection Pro tip: If MetaMask asks to switch networks, allow it - SecondaryDAO will automatically prompt you to switch to Arbitrum One! Step 2: Browse Properties 🏘️ Once connected, explore the property listings: • View property details, photos, and financials • Check the expected rental yield • See how many tokens are available • Review the property's location and condition Each property has its own token. The token price reflects the property's value divided by total tokens. Step 3: Choose Your Investment 💰 Found a property you like? Here's what to check: • Token Price: How much per token • Available Supply: Tokens still for sale • Expected Yield: Projected annual returns from rent • Property Type: Residential, commercial, etc. Step 4: Make Your Purchase 🛒 1. Click "Buy Tokens" on the property page 2. Enter the number of tokens you want 3. Review the total cost (in USDC) 4. Click "Confirm Purchase" 5. Approve the USDC transaction in MetaMask 6. Wait for confirmation on Arbitrum One (usually under 1 second!) That's it! 🎊 Your tokens will appear in your portfolio. Understanding Fees • IPS Phase (Initial Sale): 2.5% platform fee • Secondary Market: 5% platform fee • Blockchain fees: Tiny (fractions of a cent on Arbitrum One!) After Your Purchase Once you own tokens, you can: 📈 Track your investment in your dashboard 💵 Receive monthly rent distributions in USDC 🗳️ Vote on property decisions 📊 Sell tokens on the secondary market anytime Tips for Success 1. Diversify: Consider spreading your investment across multiple properties 2. Research: Review property documents and financials before buying 3. Stay Informed: Watch for governance proposals that affect your properties 4. Long-term Thinking: Real estate is typically a long-term investment Need Help? Having trouble? Here's what to check: • Wallet not connecting? Make sure you're on Arbitrum One (Chain ID 42161) • Transaction failing? Check you have enough USDC plus a tiny bit of ETH for gas • Token not appearing? Wait a few seconds and refresh your portfolio Contact [email protected] if you need additional assistance. Last Updated: December 2025 Policies and procedures are updated frequently. Please check back for the latest information.ne

Last updated on Dec 31, 2025

Exploring SecondaryDAO's Governance Features

As the realm of real estate continues to evolve with the advent of blockchain technology, platforms like SecondaryDAO are at the forefront of integrating decentralized governance structures into their operations. SecondaryDAO, a pioneering tokenized and fractionalized real estate platform based in El Salvador, not only offers investment opportunities but also provides its token holders with robust governance features. These features empower participants to have a significant say in the platform's development and future direction. Here’s a closer look at the governance features of SecondaryDAO, including its mechanisms for voting, proposals, and decision-making processes. Voting Rights At the core of SecondaryDAO’s governance structure are the voting rights granted to token holders. Each token represents a stake in the platform, and with it, the right to vote on key decisions. Voting power is typically proportional to the number of tokens a member holds, emphasizing a democratic approach where the extent of one's investment corresponds to one's influence over decisions. Proposal Framework SecondaryDAO utilizes a structured proposal framework that allows token holders to submit their ideas and suggestions for the platform. Proposals can range from changes in operational tactics to strategic pivots in business focus. The process begins with a proposal submission that is then vetted for viability and relevance by a preliminary committee. Once a proposal passes this initial phase, it is put forward for a community-wide vote. Decision-Making Process The decision-making process at SecondaryDAO is designed to be transparent and inclusive. Once proposals are approved for voting, a designated voting period begins, during which token holders can cast their votes. This period is crucial as it ensures that all stakeholders have ample time to evaluate the proposals and make informed decisions. The outcome of the vote determines whether a proposal is accepted or rejected, with results publicly disclosed to maintain transparency. Implementation of Decisions Upon approval, proposals are not just conceptual but are set in motion through a systematic implementation phase. This phase involves the detailed planning and allocation of resources to bring the approved proposals to fruition. SecondaryDAO’s management team, alongside its community members, oversees this process, ensuring that the decisions made by the token holders are executed efficiently and effectively. Continuous Improvement and Feedback SecondaryDAO recognizes the importance of continuous improvement and regularly seeks feedback from its community to refine its governance processes. This iterative feedback loop helps in adjusting and optimizing the governance framework to better suit the needs of the token holders and the overall strategic goals of the platform. In conclusion, the governance features of SecondaryDAO showcase its commitment to maintaining a decentralized and participatory approach. By allowing token holders to actively participate in the decision-making processes, SecondaryDAO not only enhances investor confidence but also ensures that the platform evolves in a direction that is aligned with the interests of its community. This forward-thinking approach to governance in the blockchain space sets a precedent for other platforms seeking to democratize real estate investment and management. Policies and procedures are updated frequently. Please check back for the latest information.

Last updated on Dec 08, 2025

🌉 How to Bridge to Arbitrum One

Bridge to Arbitrum One To buy property tokens on SecondaryDAO, you'll need ETH (for gas fees) and USDC (for purchases) on Arbitrum One. This guide walks you through the different ways to get your funds onto Arbitrum One. What You'll Need Before bridging, make sure you have: - A wallet with ETH on Ethereum mainnet (for gas fees on both sides) - The tokens you want to bridge (ETH and/or USDC) - MetaMask set up with Arbitrum One (see our MetaMask Setup Guide) Option 1: Official Arbitrum Bridge (Recommended) The safest way to bridge is through the official Arbitrum bridge. Step 1: Go to https://bridge.arbitrum.io Step 2: Connect your wallet Step 3: Select "Arbitrum One" as the destination network Step 4: Choose the token you want to bridge (ETH or USDC) Step 5: Enter the amount Step 6: Click "Move funds to Arbitrum One" Step 7: Confirm the transaction in your wallet Important: The official bridge takes about 10-15 minutes for deposits. Withdrawals back to Ethereum take 7 days due to the challenge period. Option 2: Third-Party Bridges (Faster) For faster transfers, you can use cross-chain bridges. These are typically instant but charge small fees. Popular options: - Orbiter Finance (orbiter.finance) — Fast and low fees - Hop Protocol (hop.exchange) — Supports ETH and USDC - Across Protocol (across.to) — Good for larger amounts When using third-party bridges: 1. Select Ethereum as the source chain 2. Select Arbitrum One as the destination chain 3. Make sure you're bridging to Arbitrum One (Chain ID 42161) Option 3: CEX Withdrawal (Easiest) Many centralized exchanges support direct withdrawals to Arbitrum One. This is often the simplest and most cost-effective method. Exchanges supporting Arbitrum One withdrawals: - Coinbase - Binance - Kraken - OKX - And many others Simply select "Arbitrum One" as the withdrawal network when sending ETH or USDC from your exchange. How Much Should You Bridge? For gas fees (ETH): - $5-10 worth of ETH is plenty for months of activity on Arbitrum One - Transactions typically cost $0.01-0.10 each For purchases (USDC): - Bridge whatever amount you plan to invest - You can always bridge more later Verifying Your Bridge Transaction After bridging, you can verify your transaction on Arbitrum's block explorer: https://arbiscan.io Enter your wallet address to see your balance and transaction history. Troubleshooting Tokens not showing up? - Make sure you're connected to Arbitrum One network (Chain ID 42161) - Wait 10-15 minutes for official bridge transfers - Check the block explorer to confirm the transaction completed Need to add Arbitrum One to MetaMask? - Network Name: Arbitrum One - RPC URL: https://arb1.arbitrum.io/rpc - Chain ID: 42161 - Currency Symbol: ETH - Block Explorer: https://arbiscan.io Need help? Contact [email protected] or use the chat on our website. Last Updated: December 2025 Policies and procedures are updated frequently. Please check back for the latest information. If you notice any errors, contact [email protected]

Last updated on Dec 31, 2025

⚡ Why SecondaryDAO Uses Arbitrum One

Why SecondaryDAO Uses Arbitrum One SecondaryDAO runs on Arbitrum One — a specialized Layer 2 blockchain built for applications that need ultra-low transaction costs. Here's everything you need to know about why we chose One and what it means for you as an investor. What is Arbitrum One? Arbitrum One is one of two main Arbitrum chains (the other being Arbitrum One). While both are Layer 2 solutions that scale Ethereum, they're optimized for different use cases: • Arbitrum One: Optimized for DeFi and high-value transactions • Arbitrum One: Optimized for high-volume, low-cost transactions (like gaming and social apps) SecondaryDAO chose One because tokenized real estate involves frequent small transactions — buying tokens, receiving rent distributions, trading on secondary markets — and One's fee structure makes all of these affordable. Arbitrum One Network Details Network Name: Arbitrum One Chain ID: 42161 RPC URL: https://arb1.arbitru.io/rpc Block Explorer: https://arb1.arbiscan.io or https://explorer.secondarydao.com Currency: ETH Why One is Perfect for Real Estate Tokens Ultra-Low Transaction Fees On One, typical transactions cost fractions of a cent. This means you can buy a single property token, receive monthly rent distributions, and trade on the secondary market without worrying about gas fees eating into your returns. Fast Confirmations Transactions on One confirm in seconds, not minutes. When you place an order or receive a distribution, you'll see it almost instantly. Ethereum Security Despite being a Layer 2, One inherits security from Ethereum's mainnet. Your tokens and transactions are protected by Ethereum's robust validator network. Full ERC-20 Compatibility All SecondaryDAO property tokens are standard ERC-20 tokens. They work with any Ethereum-compatible wallet and can be verified on arb1.arbiscan.io or explorer.secondarydao.com. How One Works (The Technical Stuff) One uses a technology called "AnyTrust" — a variant of optimistic rollups that's designed for even lower costs: 1. Transactions are processed off-chain by One's network 2. Data availability is managed by a committee of trusted parties 3. Final settlement happens on Ethereum, giving you L1 security guarantees This architecture lets One achieve fees that are 10-100x lower than Arbitrum One, while still maintaining strong security guarantees. Comparing the Options Why not Ethereum Mainnet? Gas fees on Ethereum can be $5-50+ per transaction. That's fine for large DeFi trades, but impractical for buying $100 worth of property tokens. Why not other L2s? We evaluated Polygon, Optimism, Base, and others. One offered the best combination of low fees, Ethereum security, and ecosystem support for our use case. Getting Started on One 1. Add Arbitrum One to MetaMask (see our MetaMask Setup Guide) 2. Bridge ETH to One for gas fees (usually $1-2 is plenty for months of activity) 3. Bridge or acquire USDC on One for property purchases 4. Start investing in tokenized real estate! Verifying Transactions All SecondaryDAO transactions are public and verifiable. You can view any transaction, token contract, or wallet on One's block explorer: Block Explorer: https://arb1.arbiscan.io or https://explorer.secondarydao.com Just paste any transaction hash, contract address, or wallet address to see full details. Last Updated: December 2025 Policies and procedures are updated frequently. Please check back for the latest information. If you notice any errors, contact [email protected]

Last updated on Dec 31, 2025

Navigating SecondaryDAO's User Interface: A Walkthrough

SecondaryDAO's user-friendly interface empowers users to explore the world of tokenized fractionalized real estate effortlessly. This article provides a detailed walkthrough of SecondaryDAO's user interface, highlighting its key features, sections, and functionalities. By following this guide, users can navigate the platform seamlessly and make the most out of their real estate investments. Help Chat on the Bottom Right: Located at the bottom right corner of the interface, the help chat feature aims to provide real-time assistance to users. If you encounter any difficulties or have questions while using SecondaryDAO, the chat feature allows you to connect with support professionals who can guide you through the platform's various functionalities. Dashboard: The dashboard is your gateway to an overview of your current holdings. Here, you can view the status of your investments, with market values displayed for easy tracking. Property cards within the dashboard provide access to due diligence information, including relevant news and data that can assist you in making informed investment decisions. Marketplace: The marketplace section on SecondaryDAO showcases properties that are available for tokenized fractionalized real estate investments. Browse through the listings to discover potential investment opportunities. You can explore property details, investment potential, and participate in token sales to acquire fractional ownership. The marketplace is a dynamic hub where buyers and sellers connect within the SecondaryDAO ecosystem. Payment: The payment section of SecondaryDAO facilitates seamless handling of rental payments and income distributions. Utilizing smart contract technology, rental income is automatically distributed to token holders' wallets, eliminating manual tracking and administrative burdens. This user-friendly payment system ensures prompt and accurate transactions, streamlining the management of real estate investments. Learning Center: The learning center within SecondaryDAO provides a wealth of educational resources to assist users at every step of their investment journey. Here, you can find comprehensive guides, video tutorials, and informative articles that cover topics ranging from real estate investment strategies to blockchain technology. The learning center helps users expand their knowledge and make well-informed decisions. FAQs: The FAQ section within SecondaryDAO addresses frequently asked questions, providing answers to common queries. Whether you have inquiries about the platform's features, tokenized fractionalized real estate, or general user account management, the FAQ section offers quick and convenient access to essential information. Settings: The settings section allows you to personalize your SecondaryDAO experience. Here, you can update account details, configure notification preferences, and manage security settings. You have control over your profile information, ensuring a tailored user experience within the platform. SWAP Wallet: The SWAP wallet feature in SecondaryDAO offers users the ability to swap coins quickly and easily. With this functionality, you can exchange different cryptocurrencies or tokens seamlessly, providing flexibility and liquidity to your portfolio. By familiarizing yourself with SecondaryDAO's user interface and its various sections and functionalities, you can navigate the platform with ease. Whether you are exploring the marketplace, handling payments, accessing educational resources, managing settings, or utilizing the SWAP wallet, SecondaryDAO is designed to provide a seamless and intuitive experience for tokenized fractionalized real estate investors. SecondaryDAO's user interface is designed to simplify the process of investing in tokenized fractionalized real estate. Through its intuitive design, helpful features, and easily accessible sections, users can efficiently manage their investments, access educational resources, and make well-informed decisions within the platform. Start navigating the SecondaryDAO interface today to unlock the potential of real estate investing in the digital age. Policies and procedures are updated frequently. Please check back for the latest information.

Last updated on Dec 08, 2025

🦊 Setting Up MetaMask for Arbitrum One

Setting Up MetaMask for Arbitrum One Ready to buy tokenized real estate on SecondaryDAO? First, you'll need to set up your MetaMask wallet to work with Arbitrum One — our blockchain network of choice for fast, low-cost transactions. Step 1: Install MetaMask If you don't have MetaMask yet: 1. Go to metamask.io and download the browser extension 2. Create a new wallet or import an existing one 3. Secure your seed phrase — never share it with anyone! Step 2: Add Arbitrum One Network MetaMask doesn't include Arbitrum One by default, so you'll need to add it manually: 1. Open MetaMask and click the network dropdown at the top 2. Click "Add network" then "Add a network manually" 3. Enter these settings exactly: Network Name: Arbitrum One RPC URL: https://arb1.arbitrum.io/rpc Chain ID: 42161 Currency Symbol: ETH Block Explorer URL: https://arb1.arbiscan.io/rpc 1. Click "Save" — you're connected! Step 3: Get ETH for Gas Fees You'll need a small amount of ETH on Arbitrum One to pay for transaction fees (usually less than $0.01 per transaction — that's the beauty of One!). Options to get ETH on One: • Bridge from Ethereum mainnet using the Arbitrum Bridge • Transfer from a centralized exchange that supports Arbitrum One • Use a cross-chain bridge like Orbiter Finance Step 4: Get USDC for Token Purchases SecondaryDAO uses USDC for all property token purchases. You can: • Bridge USDC from Ethereum to Arbitrum One • Buy USDC directly if your exchange supports One withdrawals Step 5: Import Property Tokens (Optional) After purchasing property tokens, they'll appear automatically in your SecondaryDAO dashboard. To see them in MetaMask: 1. Copy the token contract address from the property page 2. In MetaMask, click "Import tokens" 3. Paste the contract address 4. Confirm the import Helpful Tips • Always double-check the network — make sure you're on "Arbitrum One" before transacting • Bookmark https://explorer.secondarydao.com to verify your transactions • Keep some ETH in your wallet for gas — a few dollars worth lasts a long time on One • Never share your seed phrase or private keys with anyone Why Arbitrum One? SecondaryDAO uses Arbitrum One because: • Ultra-low fees — transactions cost fractions of a cent • Fast confirmations — no waiting around • Ethereum security — backed by Ethereum's robust validator network • Perfect for frequent trading — buy and sell tokens without worrying about gas costs Need Help? Having trouble? Reach out through our support chat or email [email protected]. We're here to help you get started! Last Updated: December 2025 Policies and procedures are updated frequently. Please check back for the latest information. If you notice any errors, contact [email protected]

Last updated on Dec 31, 2025

How SecondaryDAO’s Initial Property Selling (IPS) Works

SecondaryDAO’s Initial Property Selling (IPS) is a key feature of its property token roadmap, enabling properties to raise equity capital from investors and bringing innovative liquidity solutions to traditional real estate. During an IPS offer, property tokens are made available for purchase to verified, whitelisted public investors at a static price of $50 per token. This limited-time offer period allows buyers to directly interact with an escrow smart contract for secure transactions. Once the IPS ends, the tokens become tradable on the SecondaryDAO marketplace at dynamic prices determined by market demand and supply. In the secondary market, investors can place buy or sell orders using the centralized order book menu, which enhances market efficiency and transparency. All trades on the marketplace are conducted via limit orders, ensuring buyers and sellers match according to their desired price thresholds. This two-phase strategy (IPS followed by secondary market trading) provides a flexible exit opportunity for early investors while creating liquidity for property tokens. It also ensures property values reflect fair market conditions as the demand and supply dynamics evolve. SecondaryDAO’s IPS not only democratizes access to real estate investments but also ensures seamless interoperability within its platform. Policies and procedures are updated frequently. Please check back for the latest information.

Last updated on Dec 08, 2025

How SecondaryDAO Revolutionizes Real Estate Investment

SecondaryDAO is transforming how investors engage with real estate by leveraging blockchain technology to tokenize properties and offer fractional ownership. Traditionally, investing in real estate required significant capital and navigating through intermediaries like agents and legal representatives. SecondaryDAO eliminates these barriers by creating a decentralized ecosystem where property ownership is accessible to everyone. Through tokenization, properties are divided into digital tokens, with each token representing a share of ownership. For instance, a $200,000 property can be split into 200 tokens, each worth $1,000, making it easier for multiple investors to participate. On the SecondaryDAO platform, the minimum investment starts at just $50, allowing small-scale investors to become property owners and benefit from rental income and property appreciation. Smart contracts, deployed on the Arbitrum blockchain, ensure trust, transparency, and data security. These contracts automate and enforce transactions, removing intermediaries and reducing costs, while enabling faster, more efficient property acquisitions and trades. In addition to increased accessibility and affordability, tokenization enhances liquidity in the real estate market. Investors can trade property tokens on the SecondaryDAO marketplace after the Initial Property Selling (IPS) phase. The secondary market uses a centralized order book system where participants can place buy and sell limit orders based on fair market value, ensuring flexibility and transparency. SecondaryDAO is reshaping real estate investment into an inclusive and efficient model, driving innovation through blockchain's inherent attributes of robustness, security, and immutability. Policies and procedures are updated frequently. Please check back for the latest information.

Last updated on Dec 08, 2025

How Metrics Are Calculated in SecondaryDAO

SecondaryDAO uses a variety of metrics to evaluate property investments and ensure transparency in tokenized real estate transactions. Below is a breakdown of how the key metrics are calculated: 1. Total Investment Value (TIV): The total investment value represents the cost structure of a property asset on the marketplace. It is calculated as: TIV ($) = Underlying Property Price + Maintenance Reserves + Property Listing Fee - Underlying Property Price: This is the purchase price of the property, which fluctuates based on market conditions such as appreciation or depreciation. - Maintenance Reserves: A fixed amount allocated to cover property repairs and maintenance, replenished through rent deductions when necessary. - Property Listing Fee: SecondaryDAO charges a fee of 0-10% of the total property purchase price. TIV is then divided by $50, the initial property token price, to calculate the total number of tokens for the property. 2. Internal Rate of Return (IRR): IRR is a metric representing the potential returns from a property investment, considering cash flows and projected appreciation over time. It provides a combined measure of: - Cash-on-Cash Return: Yearly net cash flow relative to the total cash invested within the same year. For example, if an investor puts in $1,000 and earns $100 in a year, the Cash-on-Cash return is 10%. - Projected Appreciation: The expected increase in property value over time, calculated using the formula: Appreciation (%) = (Final Value – Initial Value) / Initial Investment × 100. IRR combines these two factors to give a comprehensive picture of expected returns, excluding external market conditions. 3. Cap Rate (Capitalization Rate): The Cap Rate assesses potential risk and return in real estate investments. It is calculated as: Cap Rate (%) = Net Operating Income (NOI) / Purchase Price × 100% This metric is particularly useful for comparing properties or markets and is regularly reevaluated to gauge market conditions. 4. Cash Flow: Cash Flow is the net monthly or annual income from a property after subtracting expenses from revenue. It provides insight into profitability. The formula for calculating monthly cash flow is: Cash Flow = Rental Income – Expenses For annual cash flow: Annual Cash Flow = Annual Gross Rent – Expenses Annual gross rent includes all tenant payments and supplementary income, such as parking or storage fees, while expenses include taxes, insurance, and maintenance costs. 5. Market Capitalization: Market capitalization in SecondaryDAO reflects the total value of a property based on current token prices. It is calculated as: Market Capitalization = Total Token Supply × Current Token Price This measurement dynamically adjusts based on token trading prices in the marketplace. By applying these calculations, SecondaryDAO ensures transparent and data-driven evaluation of properties, enabling investors to make informed decisions. Policies and procedures are updated frequently. Please check back for the latest information.

Last updated on Dec 08, 2025

SecondaryDAO Terms of Service

https://www.secondarydao.com/termsofservice TERMS OF SERVICE Last Updated: Tuesday, 1/3/26 Welcome to SecondaryDAO.com (SD), operated by Secondary DAO SA de CV, ISAOA ATIMA. Please review the following terms carefully as they govern your use of our services. By accessing this site and any of its pages, you agree to be bound by the Terms of Service and Privacy Policy. 1. GENERAL DISCLAIMERS Secondary DAO SA de CV is not a registered broker-dealer or investment advisor and does not provide investment advice, endorsements, or recommendations for any properties listed on this site. The content on this website is not an offer to sell, solicitation to buy, or a recommendation regarding any security. You are solely responsible for evaluating whether an investment aligns with your objectives, financial circumstances, and risk tolerance. Consult with qualified legal and financial advisors for professional advice. 2. ACCOUNT REQUIREMENTS You must open a SecondaryDAO Account to use our services. During registration, accurate and complete information must be provided. You are fully responsible for all activity under your account. Secondary DAO SA de CV reserves the right to suspend or terminate accounts for providing false or incomplete information. 3. INVESTMENT RISKS Investing in real estate involves inherent risks, including: • Market volatility, which may result in partial or total loss of investments • The unpredictability of future property values and potential negative cash flows Before investing, carefully review all information and consult with tax and legal advisors. 4. POLICIES AND PROCEDURES (ARTICLES 28–35 OF THE REGULATION) 4.1 Spot Operations (Article 28) SecondaryDAO facilitates immediate transactions for tokenized real estate assets. Once the buy and sell sides agree on terms, transactions are settled instantly through smart contracts. 4.2 Forward Operations (Article 29) SecondaryDAO does not currently support forward operations. This may change subject to regulatory approval and platform updates. 4.3 Optional Purchase or Sale Operations (Article 30) Optional purchase or sale operations are not currently supported. 4.4 Settlement of Operations (Article 31) The SecondaryDAO Escrow Contract ensures secure and compliant settlement of digital asset transactions. 4.5 Seizure, Arbitration, and Protection of Acquirers’ Assets (Articles 32–34) Embargo (Article 32): SecondaryDAO complies with applicable legal embargoes and enforcement actions. Arbitration (Article 33): Disputes may be subject to arbitration in accordance with applicable law and platform policies. Protection of Acquirers’ Assets (Article 34): Market integrity, transparency, and asset protection measures are implemented through smart contracts and operational controls. 4.6 Investments (Article 35) SecondaryDAO does not guarantee returns or performance. Investment outcomes depend on property performance, market conditions, fees, and governance decisions. 4.7 FEES AND PLATFORM CHARGES (REGULATORY DISCLOSURE) Trading Fees (Initial Property Sales and Secondary Market) Trading fees apply to both Initial Property Sales (IPS) and secondary market transactions. • Maximum trading fee: up to 8% per transaction, configurable per property • Fee allocation may be paid entirely by the buyer or split between buyer and seller Trading fees: • Are disclosed on the property details page • May be reduced or waived at launch • May be adjusted over time but shall not exceed the stated maximum Buyout Fees In the event of a property buyout: • A platform fee of up to 10% of total buyout proceeds may apply • Applicable buyout fees are disclosed on a per-property basis • Any modification requires at least 30 days’ prior public notice Assets Under Management (AUM) Fee • Each property is subject to a 1% annual AUM fee • Calculated at the property level Distribution Claim Fees • Gasless (relayed) distribution claims incur a $0.05 USDC fee • Direct, self-executed distribution claims incur no fee 5. CUSTODIAL WALLETS SecondaryDAO does not offer custodial wallets. Users retain full control of their funds. Assets are never used without user consent. Users are responsible for self-custody at all times. 6. WITHDRAWAL LIMITS There is a $50,000 USD weekly withdrawal limit for cash and cash equivalents, excluding property tokens. This limit may be adjusted for liquidity or compliance reasons. 7. PROPERTY ESCROWS Escrow accounts may be held in IOLTA accounts managed by Secondary DAO SA de CV ISAOA ATIMA or via property-specific escrow smart contracts. Escrow balances may be verified on-chain at explorer.secondarydao.com. Renter deposits are held in a separate renter deposit escrow until recognized as income by the applicable property contract. All property smart contracts are deployed on Arbitrum One, verified on Arbiscan or explorer.secondarydao.com, and linked from each property's detail page. 8. THIRD-PARTY CONTENT Links to third-party content do not constitute endorsement by Secondary DAO SA de CV. 9. CONTRACT VOTING Votes not cast within designated time limits may be proxied to the contract creator or contract manager (ISAOA ATIMA), unless explicitly opted out. ACKNOWLEDGMENT OF RISKS By accessing this site, you acknowledge: • The risks associated with real estate and digital assets • The potential for unpredictable performance and market value changes SECTION X: TOKEN BUYER DISCLOSURES & SYSTEM GOVERNANCE FRAMEWORK This section applies to all token buyers and participants on SecondaryDAO. 1. Token Mechanics and Ownership Property Tokens represent fractional economic rights in real estate-backed smart contracts and do not confer ownership of the physical asset. Tokens are issued to self-custodied ERC-20 wallets and are non-custodial. 2. Contract Evolution & Defaults Smart contracts may evolve. New deployments may inherit defaults, override settings, or implement new governance logic. 3. Governance Participation Token holders may vote on: • Property maintenance approvals • Distribution logic • Contract upgrades • Escrow reserve policies Voting thresholds and calculations are defined per property contract. Proxy voting may apply if a vote is not cast in time. 4. Escrow Replenishment Policy All Property Contracts implement automated escrow replenishment via the PropertyReserveFundManager contract. Rent withholding is based on reserve shortfall: • 0% shortfall: 0% withheld, 100% distributed • Less than 25% shortfall: targeted monthly withholding to restore reserves • 25–49% shortfall: 50% withheld, 50% distributed • 50–74% shortfall: 75% withheld, 25% distributed • 75% or greater shortfall: 90% withheld, 10% distributed Withheld rent replenishes, in order: 1. Vacancy Reserve 2. Maintenance Reserve 3. Annual Property Taxes 4. Annual Insurance Governance may modify these rules via vote or disclosed contract upgrade. Reserve balances, tiers, and projected distributions are publicly viewable on-chain. 5. Future Contract Deployments Material changes to governance, distribution, or escrow mechanics will be disclosed in advance. 6. Legal Acknowledgments By holding Property Tokens, you acknowledge: • The programmable and evolving nature of smart contracts • Responsibility to review updates and participate in governance • That no returns or performance are guaranteed For additional information, contact: [email protected] Policies and procedures are updated periodically. Continued use constitutes acceptance of the latest version.

Last updated on Jan 03, 2026

📘 Understanding SecondaryDAO Property Metrics: A Complete Guide

📘 Understanding SecondaryDAO Property Metrics: A Complete Guide Last updated: July 11, 2025 📌 Overview SecondaryDAO’s financial model is built on a simple but rigorous principle: real estate tokenization is based on actual acquisition cost plus all setup and reserve expenses, not just the seller’s asking price or estimated valuation. Each metric displayed in the dashboard reflects real-world underwriting, enabling investors to evaluate offerings with confidence. Token supply is determined by this formula: Total Capitalization (acquisition + reserves + setup) ÷ Token Price For example, the following costs are typically included: - Seller’s Proposed Asking Price – $50,000 - SD Listing Fee – $3,500 - Vacancy Reserve (2%) – $1,000 - Initial Maintenance Reserve (5%) – $2,500 - LLC Setup Fee – $600 - Appraisal and/or Inspection – $600 Total Investment Raise: $58,200 Token Price: $50 Total Token Supply: 1,164 tokens Every financial and yield metric on the platform flows from this foundation. 🏗️ Property Lifecycle & Data Evolution Phase 1: Pre-Launch The property record is initialized with basic metadata (name, address, type, image). Metrics will display as “Not Set.” Badge: NEW PROPERTY Phase 2: Simulated Metrics Data is imported from underwriting spreadsheets. The platform calculates token supply, CoC%, yields, and IRR based on defined costs. Badge: USING ESTIMATES Phase 3: Smart Contract Deployment Tokens are minted based on fixed supply. Escrow is created. Badge: READY TO LAUNCH Phase 4: Active Trading Tokens become tradable on the secondary market. Real rent collection and distributions begin. Badge: TRADING ACTIVE 📊 Core Financial Metrics Token Price Typically set at $50, this represents the base unit value used to derive token supply from the total capital stack. It may remain fixed or adjust in future offerings. Token Supply Calculated from total acquisition + reserve + setup costs, not valuation. Formula: Token Supply = (Acquisition + Setup + Reserves) ÷ Token Price Example – 123 MainST17050 - Asking Price: $50,000 - SD Listing Fee: $3,500 - Vacancy Reserve: $1,000 - Maintenance Reserve: $2,500 - LLC Setup Fee: $600 - Appraisal/Inspection: $600 - Total Raise: $58,200 - Token Price: $50 - Token Supply: 1,164 tokens Market Capitalization Token Price × Token Supply Example: $50 × 1,164 = $58,200 Net Asset Value (NAV) Reflects current or projected appraised value. NAV can diverge from market cap when token price is based on cost rather than market valuation. 📈 Yield & Return Metrics Cash-on-Cash Return (CoC%) Measures net income return on total raised capital. Formula: CoC% = (Annual Net Cash Flow ÷ Total Investment Raise) × 100 Example: $12,102 ÷ $58,200 = 20.79% Gross Rental Yield Represents rent relative to property value. Formula: (Annual Gross Rent ÷ Property Price) × 100 Example: $18,000 ÷ $50,000 = 36.0% Token Yield Reflects what tokenholders receive annually relative to their $50 token. Formula: (Annual Distribution ÷ Token Price) × 100 Example: $10/year ÷ $50 = 20% Projected Internal Rate of Return (IRR) Incorporates rental income, appreciation, and exit assumptions. Example: If $121,020 is the modeled sale price after 5 years, the implied IRR is ~10%. 🏷️ Badge System Badge Condition Meaning NEW PROPERTY Data score < 3/5 Only basic details entered USING ESTIMATES Mock data imported Simulated metrics visible READY TO LAUNCH Token supply set, escrow ready Smart contracts deployed TRADING ACTIVE Trading live Market activity and price visibility RENTAL INCOME Rent collected and distributed Real returns flowing to tokenholders 📊 Data Source Integrity Data Type Source Accuracy Update Frequency Property Info Admin input High As needed Token Economics Derived from cost structure High At listing Pre-Launch Financials Spreadsheet import Moderate Pre-listing Rental Income Property managers High Monthly Trading Data Blockchain Immutable Real-time 🎯 How to Interpret the Metrics For Pre-Launch Properties Metrics such as CoC%, IRR, and token yield are derived from pro forma projections based on hard costs and expected income. These are useful for modeling investor returns but not guarantees. For Active Properties Metrics reflect actual operating performance. Rental income and tokenholder distributions update monthly. Token prices may adjust based on supply/demand in secondary markets. ⚠️ Red Flags to Watch For - “Calculating…” remains unresolved → Data may be missing - Unrealistically high returns → Check expense/reserve inputs - NAV differs sharply from market cap → Token price may need review - No rental income on active listing → Possible vacancy or reporting lag 🧠 Investment Decision Support Compare Properties Intelligently - Favor high data quality scores (3–5) - Ensure reserve and setup costs are clearly defined - Match CoC% and IRR with your investment goals - Consider diversification by asset type and geography Understand Risk Profiles Lower Risk: - Documented reserves - Strong rental history - Multi-unit or diversified tenant base - Conservative leverage Higher Risk: - No reserves included - Speculative IRR assumptions - Single-tenant properties - High reliance on appreciation to justify returns 🔄 Transparency & Update Frequency Metric Type Frequency Token Trading Data Real-time Rental Income Monthly Property Valuation Quarterly/Annual Mock Data Updates On-demand All changes are logged, versioned, and transparently disclosed to stakeholders. 📞 Support Channels - General Info: SecondaryDAO Help Center - Property Questions: Assigned property manager via support chat - Metric Inaccuracies: Email [email protected] - Investment Advice: Consult a licensed financial advisor (SecondaryDAO does not provide financial advice) 🚨 Reporting Issues To report data issues: 1. Screenshot the page or error 2. Identify the property and metric 3. Submit via chat or email Guaranteed response within 24 hours 📌 Final Note All SecondaryDAO property metrics begin with real-world, line-item costs—not hypothetical values. By tokenizing the actual acquisition, reserve, and onboarding expenses, investors receive a more accurate, cost-based stake in each asset. Use these metrics as tools to assess risk, measure performance, and make smarter real estate investment decisions. Disclaimer: This guide is informational and does not constitute investment advice. Always review our Risk Disclosures and consult qualified professionals before investing. Policies and procedures are updated frequently. Please check back for the latest information.

Last updated on Dec 08, 2025

⚠️ SecondaryDAO Risk Disclosure Summary

⚠️ SecondaryDAO Risk Disclosure Summary Last updated: April 21, 2025 This summary is for informational purposes only and does not constitute financial advice. 📌 Why Risk Disclosure Matters Investing in tokenized real estate on SecondaryDAO carries both opportunity and risk. While our platform is designed for transparency, security, and ease of use, it’s important you understand the risks involved before buying property tokens. 🏠 Real Estate Investment Risks Even tokenized real estate is subject to traditional real estate risks, including: - Property Damage: Fires, floods, or disasters can temporarily halt income and reduce property value. Mitigation: We carry insurance and maintain repair reserves. - Market Fluctuations: Real estate values can drop due to local conditions or broader economic changes. Mitigation: We update property valuations regularly and encourage diversification. - Economic Shocks: Rising interest rates or inflation can reduce demand and increase costs. Mitigation: We use stablecoins (USDC/USDT) and maintain flexible minimum investment thresholds. 💸 Token-Specific Risks Tokenizing real estate introduces additional considerations: - Liquidity Risk You may not be able to sell your tokens quickly or at your desired price—especially in thin markets. We operate a secondary market to help match buyers and sellers. - Governance Risk Some decisions (e.g., major repairs) require DAO token holder votes. Low participation can delay action. We enforce voting thresholds and educate users on participation. - Platform Downtime Technology failures can impact token trading or rental income distribution. We use redundant infrastructure and perform regular failover tests. 🛡️ Cyber & Security Risks - Smart Contract Bugs: Undiscovered code vulnerabilities may allow unauthorized access. We conduct external audits and monitor all contracts post-launch. - Asset Theft: While most user funds are kept in cold wallets, a portion remains in hot wallets to support real-time transactions. We cap hot wallet exposure and use multi-signature access. - Data Breach: Unauthorized access to your personal data (e.g., KYC details). We use AES-256 encryption, multi-factor authentication (MFA), and role-based access controls. 🧾 Regulatory & Legal Risks - Compliance Failures: If we or our partners fail to comply with El Salvador’s digital asset laws, it could impact your access to tokens or funds. We undergo regular audits and report any suspicious activity to regulators. - Jurisdictional Limitations: Some users may not be able to invest or trade due to local laws. We screen users during onboarding and restrict access where required. 🔄 What We’re Doing to Protect You - Real-time AML/KYC checks and transaction monitoring - Insurance and reserves for physical damage - Regular property valuations and smart contract audits - Detailed logging and quarterly risk reviews - Transparent governance through DAO voting 🚨 Final Notes All investments carry risk. Never invest more than you’re prepared to lose. We encourage you to: - Diversify your holdings across multiple properties - Review each property's Data Quality Score and Historical Performance - Ask questions before investing—our team is here to help 📞 Questions or Concerns? - General Support: Chat with us anytime by going to app.secondarydao.com and clicking on the chatbot on the bottom right. - Legal or Risk Questions: [email protected] - Need Help Making a Decision? Consult a licensed financial advisor Would you like this summary as a standalone .md file or embedded into your Chatwoot knowledge base HTML? I can generate that next. Policies and procedures are updated frequently. Please check back for the latest information.

Last updated on Dec 08, 2025

🏦 Understanding Escrows in Tokenized Real Estate on SecondaryDAO

🏦 Understanding Reserve Funds in Tokenized Real Estate Last updated: October 25, 2025 Contract Version: PropertyReserveFundManager v2.0.0-UUPS 📘 What Are Reserve Funds? Think of reserve funds as your property’s financial safety net 🛟. They’re on-chain savings set aside to handle predictable costs like taxes, insurance, maintenance, and vacancies — the unglamorous but essential stuff that keeps your investment smooth and stress-free. On SecondaryDAO, every property has its own PropertyReserveFundManager smart contract, ensuring transparency, automation, and zero surprises. 💡 These aren’t fees. They’re protective cushions that ensure your property operates seamlessly — even when things get bumpy. 🗂️ The 10 Reserve Categories Every property you invest in has a mix of one-time setup reserves and auto-replenishing reserves. 💼 One-Time (Setup) Reserves These are paid once during the property raise and aren’t replenished: - 🏛 DAO Listing Fee – modest contribution to maintain the platform - 🧰 Deferred Maintenance – covers known fixes upfront - 🏢 LLC Setup Fee – legal entity creation - 🏠 Appraisal / Inspection – professional evaluation costs - 📑 Transfer Taxes / Fees – standard closing costs - 📎 Miscellaneous – any small extras (usually zero) 🔁 Auto-Replenishing (Ongoing) Reserves These stay topped up through rental income: - 🏘 Vacancy Reserve – covers rent gaps - 🧱 Maintenance Reserve – funds repairs and upkeep - 💸 Annual Taxes – property taxes paid smoothly - 🛡 Annual Insurance – ensures coverage never lapses 💰 Reserve Lifecycle Phase 1 – Initial Capitalization (At Property Raise) When a property is tokenized, reserves are funded upfront alongside the purchase. Formula: Total Raise = Purchase Price + Total Reserve Requirements Example for a $200K Property: Item Amount Property Purchase $200,000 Vacancy Reserve $10,000 Maintenance Reserve $5,000 Deferred Maintenance $2,500 LLC Setup $1,000 Appraisal $500 Transfer Taxes $2,000 Annual Taxes $2,400 Annual Insurance $1,600 DAO Listing Fee $1,500 Total Raise $226,500 This ensures every property starts off financially solid 💪 — no waiting on rent to cover bills. Phase 2 – Allocation (Post-Sale) Once tokens are sold, the smart contract automatically assigns funds to each reserve category — all visible on-chain. Phase 3 – DAO Listing Fee When trading starts, a small platform fee goes to SecondaryDAO’s treasury to keep operations secure and compliant. Then that reserve is zeroed out. Phase 4 – Day-to-Day Operations Every rent payment triggers: 1. 💵 Rent received 2. 🧮 System checks for shortfalls 3. 🔄 Reserves topped up (if needed) 4. 💸 Remainder distributed to investors Everything’s automatic and transparent. 🔄 The Tiered Rebuilding System To keep things balanced, the system adjusts how much rent is withheld based on how healthy the reserves are. Think of it as adaptive cruise control for your investment 🚗💨. Tier Shortfall Withheld Description 🟢 FULL 0% 0% All rent paid to investors 🎉 🔵 TARGETED <25% Just enough monthly Light touch build-back 🟠 STANDARD 25–49% 50% Balanced recovery 🔴 AGGRESSIVE 50–74% 75% Faster rebuilding ⚫ EMERGENCY ≥75% 90% Safety-first mode Example Property Value: $200K Total Required Reserves: $20K Current Balance: $10K (50% funded) Monthly Rent: $2,000 ➡️ Shortfall = $10K (50%) → Tier = Aggressive Rebuilding ➡️ Withholding = 75% of rent = $1,500 ➡️ Token holders receive = $500 (25%) ✅ Next month, the system recalculates automatically — no human needed. 🎯 Replenishment Priority When rent is withheld, it’s allocated in this order: 1. 🏘 Vacancy Reserve 2. 🧱 Maintenance 3. 💸 Taxes 4. 🛡 Insurance Each step is logged on-chain with time-stamped events, so you can see every move transparently. 📊 Transparency You Can Verify Every transaction triggers public blockchain events showing: - Rent received - Tier applied - Amount withheld - Distribution to investors - Remaining shortfall You can literally watch your property’s financial health improve in real-time 🧠💎. 📱 Investor Dashboard Perks From your SecondaryDAO dashboard, you can: - View current reserve levels - Preview next month’s rent split - See tier status (with shortfall %) - Track where every dollar goes All powered by smart contracts — no spreadsheets, no guesswork, just math and transparency. ⚙️ Governance & Security - 🧑‍⚖️ Admin controls for configuration - 🔐 Multi-signature treasury for disbursements - ⏸ Pause protection in case of anomalies - 🧩 Upgradeable architecture for future improvements Every property runs independently — no cross-drain risk, ever 🚫💦. 📈 Why This Matters to Token Buyers ✨ Predictable Yields: Your payouts are never interrupted by surprise expenses. 🏡 Stability: Properties stay insured, taxed, and maintained year-round. 🔍 Transparency: You can see reserve actions in real time — fully on-chain. 🤖 Automation: Smart contracts do the heavy lifting, no human meddling. 📜 Compliance: Built for El Salvador’s CNAD DSAP framework and beyond. 🧮 Example Timeline – $200K Property Month 1 – Fully Funded 🟢 Reserves = $20K (100%) Rent = $2,000 → Distributed 100% Per Token (1,000 tokens): $2.00 Month 4 – Maintenance Event 🔧 $4,000 spent on roof repairs → 20% shortfall System switches to TARGETED mode Withholds $400/month until full again Month 7 – Vacancy 🕳️ No rent for 1 month → Vacancy Reserve covers it Next rent resumes with STANDARD rebuilding Half of rent distributed, half rebuilt 🚀 Final Takeaway SecondaryDAO’s reserve system isn’t just about covering costs — it’s about protecting your yield and stabilizing your property long-term. - 10 transparent reserve categories 🧾 - 5 smart tiers that adapt to property health 📊 - 100% on-chain tracking 🔗 - 0 surprises 🎯 Your investment isn’t just tokenized — it’s intelligently managed. Contract: PropertyReserveFundManager v2.0.0-UUPS Testnet Address: 0x457cCf29090fe5A24c19c1bc95F492168C0EaFdb Audit: Internal complete, external pending Need help? 💬 [email protected] or join our community on Discord. Policies and procedures are updated frequently. Please check back for the latest information.

Last updated on Dec 08, 2025

🌐 Understanding Rent Distributions & Escrows

🌐 Understanding Rent Distributions & Escrows ⚡ Quick Summary (TL;DR) 💸 When do I get paid? - 📅 Monthly: Last day of each month @ 11:59 PM UTC - ✅ KYC approved? → 💵 Auto-paid to your wallet - ⏸️ Not KYC approved? → 💰 Held until you verify 📊 How much? 👉 Your share = % of tokens you own × Net rental income Example: 1% ownership in $10,000 net income = $100 payout 🧮 What Gets Deducted First? Before distributions, income flows through this waterfall: 1️⃣ Management fees (2–5%) 2️⃣ Operating expenses (utilities, taxes, insurance, maintenance) 3️⃣ Reserve replenishment (if needed) 4️⃣ 💵 Your distribution (what’s left) 🏦 Where Does My Investment Go? 1. Escrow Account (initial) - 🔒 Holds your funds during the token sale - 💡 Released only after property purchase completes 2. Operational/Rental Account (ongoing) - 📥 Collects tenant rent - 🧾 Pays expenses & reserves - 💸 Sends monthly distributions 📅 Key Dates to Remember - 📆 Weekly: Rent collected - 📊 Month-end: Distribution calculated - 🗓️ Record Date: Last day of month = who’s eligible - 💵 Payment Date: Within 24 hours after month-end 🪣 Reserve Management System Each property maintains ongoing reserves that are automatically replenished from rent: - Vacancy Reserve - Covers mortgage and expenses during tenant turnover (5-15% of annual rent) - Maintenance Reserve - Ongoing repairs and upkeep (~5% of property value) - Annual Taxes - Property taxes escrowed monthly - Annual Insurance - Property insurance escrowed monthly **Replenishment Logic: **(more details...) - Full (0% shortfall): 0% withheld, 100% distributed to token holders - Targeted Rebuilding (<25% shortfall): Monthly requirement withheld, remainder distributed - Standard Rebuilding (25-49% shortfall): 50% withheld, 50% distributed - Aggressive/Emergency Rebuilding (50%+ shortfall): 75-90% withheld, 10-25% distributed 🌳 Merkle Root Distribution Every payout is cryptographically verifiable: - 📑 Calculate each investor entitlement - 🌳 Generate tamper-proof Merkle Tree - 🔗 Publish Merkle Root (on-chain) - 💵 Push payments to wallets - 📜 Audit trail logged forever 🔐 KYC/AML Requirements - 👤 Why required? Investor protection, anti-fraud, tax compliance - 🛑 If not approved: - Your share is still calculated - Funds withheld (not lost) - 📌 Once verified → all withheld + current released 🏗️ Escrow Recapture Scenarios Sometimes rent is redirected to escrow: - 🧾 Shortfall in initial funding - 🔥 Emergency capital needs - 🛠️ Major unplanned repairs ➡️ Rent diverted to rebuild escrow → distributions resume when back on target 💱 Payment Methods - Standard token: USDC (USD Coin) - 🔒 Stable, low-fee, widely supported - ⚙️ Flow: Rent → USDC → Smart Contract → Wallet - 📜 Tx hash provided for every payout 📑 Tax & Compliance - 📬 Monthly payout statements - 📊 Annual tax docs (1099-DIV equivalent) - ⚖️ Generally treated as ordinary income - 🌍 International: Possible withholding 🛡️ Smart Contract Security - 🔑 Multi-sig approvals for large transactions - ⏳ Time-locked withdrawals - ✅ Audited contracts - 🛡️ Insurance coverage Transparency: - 📖 All payouts recorded on blockchain - 🔍 Merkle proofs = math-level verification - 📊 Live reserve dashboards 🤔 Common Scenarios 1. 👋 First-time investor → Buy tokens → Verify KYC → Wait → 💸 First payout 2. 🚫 Miss KYC → Payout withheld → Verify later → Receive current + withheld 3. 🛠️ Major repair → Reserves topped up → Smaller distribution that month 4. 🏚️ Property sold → Escrow pays expenses → Remaining funds distributed → Tokens burned 🧾 Example Calculation Property Rent: $50,000 - – Mgmt Fee (3%): –$1,500 - – Expenses: –$8,000 - – Reserves: –$5,000 = Net Distributable: $35,500 👉 If you own 2.5% → $887.50 🙋 Frequently Asked Questions ❓ Buy mid-month? ➡️ Eligible from next month. ❓ Change wallet address? ➡️ Must update before 25th. ❓ Unclaimed payouts? ➡️ Never expire; always yours. ❓ Guaranteed? ➡️ ❌ No. Based on actual rent/expenses. ❓ Emergencies? ➡️ Reserves used first, distributions reduced if needed. 📬 Need Help? - 🔎 [email protected] - 📊 View Dashboard → app.secondarydao.com/distributions 🕒 Last Updated: January 2026 Policies and procedures are updated frequently. Please check back for the latest information.

Last updated on Jan 13, 2026

SecondaryDAO Property Metrics Guide for Investors

SecondaryDAO Property Metrics Guide for Investors Overview This guide explains how all property statistics are calculated on the SecondaryDAO platform. Understanding these metrics will help you make informed investment decisions when buying, selling, and holding tokenized real estate. Key Investment Metrics 1. Token Yield (Current Yield) 📊 What it means: The annual return you receive from holding tokens, based on rent distributions. How it's calculated: Token Yield = (Annual Distributable Cash ÷ Market Cap) × 100 Example: 123 Main St - Annual Distributable Cash: $24,300 (rent minus expenses) - Market Cap: $282,400 (all tokens at current price) - Token Yield: 8.6% Why it matters: This is your actual cash return rate from holding tokens. Higher yields mean more monthly income. 2. Gross Yield 🏠 What it means: Total rental income relative to the property's value, before any expenses. How it's calculated: Gross Yield = (Annual Gross Rent ÷ Property Value) × 100 Example: 123 Main St - Annual Gross Rent: $30,000 (12 × $2,500 monthly) - Property Value: $250,000 (fair market value) - Gross Yield: 12.0% Why it matters: Shows the property's income potential. Compare this to other real estate investments. 3. Cash-on-Cash Return 💰 What it means: Your cash return on the actual money you invested. How it's calculated: Cash-on-Cash = (Annual Cash Flow ÷ Your Investment) × 100 Example: 123 Main St - Annual Cash Flow: $24,300 (after all expenses) - Total Investment Raised: $282,400 - Cash-on-Cash: 8.6% Why it matters: This is your true return on investment. In SecondaryDAO, this often equals Token Yield since all cash flow is distributed. 4. Cap Rate (Capitalization Rate) 📈 What it means: Industry standard metric for comparing property investments. How it's calculated: Cap Rate = (Net Operating Income ÷ Property Value) × 100 Example: 123 Main St - Net Operating Income: $24,300 (rent minus operating expenses) - Property Value: $250,000 - Cap Rate: 9.7% Why it matters: Higher cap rates typically indicate higher income relative to property value. Compare to other markets. 5. NAV Premium/Discount ⚖️ What it means: How much the tokenized investment trades above or below the actual property value. How it's calculated: NAV Premium = ((Market Cap - Property Value) ÷ Property Value) × 100 Example: 123 Main St - Market Cap: $282,400 (what investors pay for all tokens) - Property Value: $250,000 (actual property worth) - NAV Premium: +13.0% Why it matters: - Positive (+13.0%): You're paying a premium above property value - Reason: Premium includes reserves, listing fees, and initial operating capital - Consider: Whether the premium is justified by income potential Income Distribution Metrics Per-Token Monthly Distribution 💵 What you receive: Actual cash payments to your wallet each month. How it's calculated: Monthly per Token = (Annual Distributable Cash ÷ Total Tokens) ÷ 12 Example: 123 Main St - Annual Distributable Cash: $24,300 - Total Tokens: 5,648 - Monthly per Token: $0.36 For 100 tokens: $35.85 per month = $430.24 annually Expense Ratio 📋 What it means: How much of rental income goes to operating the property. How it's calculated: Expense Ratio = (Operating Expenses ÷ Gross Rent) × 100 Example: 123 Main St - Operating Expenses: $5,700 (taxes, insurance, management, DAO fees) - Gross Rent: $30,000 - Expense Ratio: 19.0% Why it matters: Lower is better. Well-managed properties typically have 15-25% expense ratios. Advanced Metrics Projected IRR (Internal Rate of Return) 🚀 What it means: Total expected return including both cash flow and property appreciation. How it's calculated: Projected IRR = Cash-on-Cash Return + Expected Appreciation Example: 123 Main St - Cash-on-Cash Return: 8.6% - Expected Appreciation: 3.0% annually - Projected IRR: 11.6% Why it matters: Your total investment return over time. Consider this against other investment options. Market Cap 🌐 What it means: The total value of all tokens at current trading price. How it's calculated: Market Cap = Token Price × Total Token Supply Example: 123 Main St - Token Price: $50 - Total Supply: 5,648 tokens - Market Cap: $282,400 Why it matters: Shows the total investment size and liquidity of the token. What These Numbers Mean for Investors 🟢 Strong Investment Indicators: - High Token Yield (8.6%): Good monthly income - Reasonable Cap Rate (9.7%): Competitive with real estate market - Low Expense Ratio (19.0%): Efficiently managed property - Positive Cash Flow: Property generates income after all expenses ⚠️ Things to Consider: - NAV Premium (+13.0%): You're paying above property value - Why Premium Exists: Includes reserves for vacancies, maintenance, and platform fees - Income Stability: Depends on tenant occupancy and rent collection 📊 Comparison Benchmarks: - Traditional REITs: 3-6% dividend yields - Direct Real Estate: 6-12% cap rates - Bonds/CDs: 2-5% yields - 123 Main St Token Yield: 8.6% (competitive) How Data is Verified Data Sources (in priority order): 1. Master Spreadsheet: Verified property financials and projections 2. Actual Rent Payments: When available from smart contracts 3. Property Management Reports: Monthly operational data 4. Market Comparables: Local real estate data Calculation Updates: - Real-time: API provides current calculated metrics - Monthly: Updated with actual rent and expense data - Quarterly: Reviewed and adjusted for market changes - Annually: Full property revaluation Transparency Features: - Tooltips: Show exact calculation formulas - Data Quality Tags: Indicate if metrics are "Estimated," "Projected," or "Actual" - Audit Trail: All calculations are logged and verifiable Risk Considerations Metric Limitations: - Projections: Based on current market conditions and assumptions - Actual vs. Estimated: Early properties may use estimated expenses - Market Risk: Token prices and yields can fluctuate - Vacancy Risk: Lower occupancy reduces actual distributions Due Diligence: - Review expense breakdown - Are costs reasonable? - Check market comparables - How do yields compare locally? - Understand the premium - Why are you paying above property value? - Consider liquidity - Can you easily buy/sell tokens? Reading the Platform Marketplace View: - Token Price: Current cost per token - Token Yield: Expected annual return rate - Gross Yield: Property's income potential - Status: "Live Sale," "Trading," etc. Property Details View: - Real Estate Metrics: Gross yield, cap rate, NOI, expenses - Crypto/Market Metrics: Token yield, market cap, NAV premium - Buy/Sell Widget: Per-token income projections - Performance Tab: Trading history and volatility Your Dashboard: - Portfolio Value: Total token holdings at current prices - Monthly Income: Expected distributions from all properties - Performance: Gains/losses and yield over time Smart Contract Integration Actual Rent Tracking: Once properties are operational, the platform will display actual rent collected from smart contracts: - Monthly Deposits: Property managers deposit actual rent collected - Distribution Events: Smart contracts log all rent payments - Yield Updates: Metrics update based on real performance vs. estimates Transparency Benefits: - Verifiable Income: All rent payments recorded on blockchain - Automated Distributions: Smart contracts handle monthly payments to token holders - No Trust Required: Blockchain ensures transparent income distribution Investment Strategy Implications High-Yield Focus (8.6% Token Yield): - Good for: Income-focused investors seeking monthly cash flow - Risk level: Moderate (depends on property management and market) - Compare to: Traditional dividend stocks (2-4%) or REITs (4-6%) Premium Consideration (+13.0% NAV): - Trade-off: Pay premium for professional management and liquidity - Benefits: No landlord responsibilities, instant liquidity, fractional ownership - Cost: Higher price than direct property ownership Portfolio Diversification: - Geographic: Different markets and property types - Yield Range: Mix high-yield and stable properties - Liquidity: Balance long-term holds with trading opportunities Frequently Asked Questions Q: Why is Token Yield different from Gross Yield? A: Token Yield (8.6%) is after expenses; Gross Yield (12.0%) is before expenses. Q: Why do I pay a NAV Premium? A: The premium covers reserves, platform fees, and provides instant liquidity vs. buying property directly. Q: How often do I receive distributions? A: Monthly, based on actual rent collected and distributed through smart contracts. Q: Are these returns guaranteed? A: No. Returns depend on actual rent collection, property performance, and market conditions. Q: How do I track my investment performance? A: Use your dashboard to monitor token values, distributions received, and total returns. Getting Started Before Investing: 1. Review all metrics for each property 2. Understand the calculations using this guide 3. Consider your risk tolerance and income goals 4. Start small to test the platform and returns After Investing: 1. Monitor monthly distributions in your dashboard 2. Track property performance vs. initial projections 3. Compare actual vs. estimated metrics as data becomes available 4. Rebalance portfolio based on performance and goals Disclaimer: All metrics are estimates based on current data and market conditions. Past performance does not guarantee future results. Consult with financial advisors before making investment decisions. Last Updated: September 3, 2025 Platform Version: SecondaryDAO v2.0 Policies and procedures are updated frequently. Please check back for the latest information. Example Property: 123 Main St (Multifamily, $250K FMV)

Last updated on Dec 08, 2025

🏠 Understanding Property Yield Calculations: Data Source Precedence Guide

🏠 Understanding Property Yield Calculations: Data Source Precedence Guide Overview SecondaryDAO uses a sophisticated 4-tier data source precedence system to calculate the most accurate property yields for investors. This system ensures transparency and helps you understand the reliability of the financial metrics you see for each property. 📊 The 4-Tier Source Precedence System 1. 🔗 On-Chain Data (100% Confidence) Highest Priority - Verified Blockchain Data - Source: Smart contract transactions and blockchain records - What it includes: Actual rent payments, expense disbursements, token distributions - Why it's most reliable: Immutable, transparent, and cryptographically verified - When available: Once properties are operational and using smart contracts for transactions Example: If a property received $2,500 in rent payments through the smart contract in January, this becomes the definitive rent figure for that month. 2. 🧾 Receipt-Backed Data (85% Confidence) Second Priority - Documented Evidence - Source: Bank statements, invoices, receipts, and verified financial documents - What it includes: Property manager reports with supporting documentation - Why it's reliable: Physical evidence of transactions, auditable trail - When available: When property managers provide documented proof of income/expenses Example: Property manager submits bank statements showing $2,400 rent received, along with a $150 repair receipt. 3. 📋 Seller Statement Data (60% Confidence) Third Priority - Self-Reported Information - Source: Property seller or operator statements without full documentation - What it includes: Reported rent rolls, estimated expenses, occupancy claims - Why it's less reliable: Self-reported, may lack independent verification - When available: During property onboarding or monthly reporting without full documentation Example: Property owner reports "$2,500/month rent typically collected" during initial listing. 4. 📈 Estimate Data (30% Confidence) Lowest Priority - Projections and Market Analysis - Source: Market rent estimates, comparable property analysis, projections - What it includes: Market-based rent estimates, projected expenses, industry averages - Why it's least reliable: Based on assumptions and market conditions, not actual performance - When available: For new properties or when no actual data is yet available Example: Market analysis suggests similar properties rent for $2,300–2,700/month in the area. 🏆 How Data Quality Status is Determined The system analyzes the trailing twelve months (TTM) of rent data to assign an overall quality rating: ✅ VERIFIED Status - Criteria: 75%+ of TTM data comes from On-Chain or Receipt-Backed sources - Confidence Score: 90% - Badge Color: Green - What it means: Highly reliable data with strong documentation 🔄 BLENDED Status - Criteria: 50–74% of TTM data comes from On-Chain or Receipt-Backed sources - Confidence Score: 70% - Badge Color: Orange - What it means: Mix of verified and reported data, moderately reliable 📋 ESTIMATED Status - Criteria: Less than 50% of TTM data comes from verified sources - Confidence Score: 45% - Badge Color: Gray - What it means: Primarily based on estimates and projections 💰 How This Affects Your Investment Decisions Token Yield Calculation Token Yield = (Net Operating Income ÷ Market Capitalization) × 100 - Higher data quality = more reliable yield projections - VERIFIED properties show actual historical performance - ESTIMATED properties show projected potential performance Gross Yield Calculation Gross Yield = (Annual Rental Income ÷ Property Value) × 100 - VERIFIED: Based on actual collected rent - BLENDED: Mix of actual and reported rent - ESTIMATED: Based on market rent projections 📈 TTM (Trailing Twelve Months) Analysis What TTM Shows You - Rolling 12-Month Window: Always shows the most recent 12 months of performance - Monthly Breakdown: See which months have actual vs. estimated data - Source Attribution: Each month shows its data source and confidence level - Seasonal Trends: Identify patterns in rent collection and expenses Reading TTM Tooltips When you hover over yield metrics, you'll see: - Month-by-month rent breakdown - Data source for each month (On-Chain, Receipts, Seller Statement, Estimate) - Confidence percentage - Total verified vs. estimated months Example TTM Tooltip: Token Yield: 8.2% (BLENDED - 70% Confidence) Jan 2024: $2,500 rent (On-Chain) ✅ Feb 2024: $2,500 rent (On-Chain) ✅ Mar 2024: $2,400 rent (Receipts) 🧾 Apr 2024: $2,500 rent (Seller Statement) 📋 ... 9 months verified, 3 months estimated 🔍 Data Source Evolution How Data Quality Improves Over Time 1. Property Launch: Starts with ESTIMATED data based on projections 2. Initial Operation: Moves to BLENDED as some actual data comes in 3. Full Operation: Achieves VERIFIED status with consistent on-chain transactions 4. Ongoing Updates: Newer verified data replaces older estimates Source Upgrading - Higher-quality data automatically replaces lower-quality data for the same period - On-chain data will override receipt-backed data if both exist - System maintains audit trail of all data sources and changes ⚠️ Important Investment Considerations VERIFIED Properties - ✅ Most reliable for investment decisions - ✅ Historical performance clearly established - ✅ Lower risk of yield surprises - ❌ May have higher token prices due to proven performance BLENDED Properties - ⚠️ Moderate reliability, some uncertainty remains - ⚠️ Mix of proven and projected performance - ✅ May offer good value if trending toward VERIFIED - ❌ Some months may have inaccurate data ESTIMATED Properties - ❌ Highest uncertainty in projections - ❌ Yields may not match actual performance - ✅ Potentially undervalued if estimates are conservative - ⚠️ Higher risk investment requiring careful monitoring 🛡️ Transparency & Trust Why This System Matters - Informed Decisions: You know exactly how reliable each property's data is - Risk Assessment: Higher data quality typically means lower investment risk - Performance Tracking: Watch properties improve from ESTIMATED to VERIFIED over time - Fair Pricing: Token prices should reflect data quality and associated risk Questions to Ask Before Investing 1. What percentage of the TTM data is VERIFIED vs. ESTIMATED? 2. How long has the property been operational with on-chain transactions? 3. Are the estimated months based on conservative or optimistic projections? 4. What's the plan for moving from ESTIMATED to VERIFIED data? 📞 Need Help? If you have questions about a specific property's data quality or yield calculations: 1. Check the TTM tooltip - Hover over any yield metric for detailed breakdown 2. Review the data quality badge - Look for VERIFIED, BLENDED, or ESTIMATED status 3. Contact support - Reach out through this chat system for property-specific questions 4. Request documentation - Ask for supporting documents for any claimed figures Remember: Higher data quality generally means more reliable investment projections, but also potentially higher token prices due to reduced uncertainty. Policies and procedures are updated frequently. Please check back for the latest information.

Last updated on Dec 08, 2025

🗳️ Token Holder Voting Guide

🗳️ Token Holder Voting Guide Your Property, Your Voice: How Community Governance Works 🏠 What is Token Holder Voting? As a property token holder, you own a piece of real estate and have voting rights on important decisions about your property. Think of it like being a shareholder in a company, but instead of voting on business decisions, you're voting on property maintenance, improvements, and expenses. Your tokens = Your voting power = Your say in property decisions 🗳️ When Do I Get to Vote? You'll be asked to vote when the Property Manager requests funds above the voting threshold (typically $2,000). Here are common scenarios: 🔧 Maintenance & Repairs - Roof repairs - $5,000 to fix storm damage - HVAC replacement - $8,000 for new heating system - Plumbing issues - $3,500 for major pipe repairs - Electrical work - $4,000 for panel upgrades 🏡 Property Improvements - Kitchen renovations - $15,000 to increase rent potential - Landscaping projects - $6,000 for curb appeal - Security systems - $2,500 for cameras and access control - Energy efficiency - $10,000 for solar panels or insulation ❌ What You DON'T Vote On - Small repairs under $2,000 (auto-approved) - Regular maintenance like lawn care, cleaning - Monthly expenses like utilities, insurance - Emergency repairs under $1,000 📱 How Do I Find Out About Votes? You'll Get Multiple Notifications: 1. 📧 Email Alert Subject: 🗳️ Vote Required: Marina Bay Roof Repair ($5,000) Your property needs community approval for maintenance. Voting deadline: January 25, 2024 Click here to review quotes and vote: [Vote Now] 1. 📱 Push Notification SecondaryDAO App Vote Required: Roof repair needs approval 7 days remaining • Tap to vote 1. 💻 Dashboard Alert - Red notification badge on your property dashboard - "Action Required" banner with voting details ⏰ Voting Timeline - Emergency repairs: 3 days to vote - Standard maintenance: 7 days to vote - Major improvements: 14 days to vote 📋 What Information Do I Get Before Voting? 📄 Complete Proposal Details Property Manager's Request: - Description: "Roof leak in Building A causing water damage in units 201-203" - Urgency Level: High (immediate repair needed) - Estimated Cost: $5,000 - Reason: "Winter storms damaged shingles, affecting 3 units" 📑 Contractor Quotes (Minimum 2 Required): - Austin Roofing LLC: $4,800 - 5 days completion - Texas Contractors: $5,200 - 3 days completion - Fix-It-Pro Services: $4,950 - 4 days completion 💰 Fund Source: - Maintenance Reserve: $25,000 available - After Expense: $20,000 remaining - Reserve Status: Healthy ✅ 📸 Supporting Evidence: - Photos of damage - Inspector reports (if applicable) - Emergency documentation ✅ How to Cast Your Vote Step 1: Access the Vote - Click email link, app notification, or visit your property dashboard - Log in with your wallet or account credentials Step 2: Review the Information - Read the property manager's request - Review all contractor quotes and pricing - Check available fund balances - Look at photos and documentation Step 3: Make Your Decision Vote YES ✅ if you think: - The repair/improvement is necessary - The cost is reasonable compared to quotes - The property has sufficient reserves - The work will maintain/increase property value Vote NO ❌ if you think: - The expense is unnecessary or premature - The cost seems too high for the scope - The property should prioritize other repairs - More quotes or information are needed Step 4: Submit Your Vote - Select YES or NO - Add optional comments (visible to other token holders) - Confirm your vote - this cannot be changed 🎯 How Are Votes Counted? 💡 Simple Majority of Voters (Not All Tokens) Example: Marina Bay Apartments - Total Property Tokens: 1,000 - Token Holders Who Voted: 250 - Votes FOR: 150 tokens ✅ - Votes AGAINST: 100 tokens ❌ - Result: APPROVED (150 > 125 majority) 📊 Participation Requirements Different proposals need different participation levels: Proposal Type Min. Participation Voting Period Emergency (< $5K) 5% of tokens 3 days Maintenance ($5K-$10K) 10% of tokens 7 days Major Changes (> $10K) 25% of tokens 14 days Important: If minimum participation isn't met, the proposal fails automatically. ⚡ What Happens After Voting? If Vote PASSES ✅ 1. Immediate Fund Release - Money automatically transferred to contractor/PM - No waiting, no manual processing 1. Work Begins - Property manager coordinates with chosen contractor - You'll get updates on work progress 1. Documentation - Photos of completed work - Receipts and invoices - Updated property maintenance records If Vote FAILS ❌ 1. Request Denied - No funds released - Property manager must revise proposal 1. Possible Next Steps - Get additional quotes with lower prices - Provide more documentation/justification - Re-submit with different scope - Wait for emergency status (if urgent) 📊 Real-World Example Case Study: Broken HVAC System The Situation: Property manager reports: "Building B's HVAC failed. 10 units have no heating. Winter temps expected this week." Your Voting Screen Shows: 🏠 Property: Sunset Gardens Apartments 🔧 Issue: HVAC System Replacement - Building B 💰 Amount: $7,500 ⏰ Urgency: High (affects 10 units) 📅 Voting Ends: January 18, 2024, 5:00 PM 📋 Contractor Quotes: • Cool Air Systems: $7,200 (2 days install) • HVAC Pro: $7,500 (1 day install) ⭐ Recommended • Budget Heating: $6,800 (3 days install) 💵 Maintenance Reserve: $18,000 → $10,500 after expense 📸 Evidence: [View Photos] [Inspector Report] Your Decision Process: 1. ✅ Need is urgent - tenants without heat in winter 2. ✅ Price is reasonable - quotes are similar, mid-range selected 3. ✅ Funds available - $18K reserve can cover $7.5K expense 4. ✅ Property value maintained - working HVAC essential Vote: YES ✅ Outcome: - 180 of 250 voting tokens approved (72%) - Funds released within 1 hour - HVAC Pro completed installation next day - All units restored to heating 🛡️ Your Rights as a Token Holder Information Rights - ✅ Access to all contractor quotes - ✅ Property maintenance records - ✅ Reserve fund balances - ✅ Historical voting results - ✅ Property manager contact information Voting Rights - ✅ One token = one vote (proportional to ownership) - ✅ Vote on all expenses above threshold - ✅ Add comments with your vote - ✅ View how other holders voted (after voting closes) Appeal Rights - ✅ Contest improper proposals - ✅ Request additional quotes - ✅ Propose alternative solutions - ✅ Report property manager issues ❓ Frequently Asked Questions Q: What if I don't vote? A: Your tokens aren't counted. The vote proceeds based on participating tokens only. If you consistently don't vote, you miss your chance to influence property decisions. Q: Can I change my vote? A: No, votes are final once submitted. This prevents vote manipulation and ensures fair results. Q: What if I think the property manager is wrong? A: Vote NO and add comments explaining your concerns. Other token holders will see your reasoning. Q: Do I have to vote on every proposal? A: No, voting is optional. But participating gives you a voice in how your property investment is managed. Q: What if there's an emergency? A: True emergencies (safety issues, major damage) may be handled with shorter voting periods or emergency procedures. Q: Can I see how others voted? A: Yes, after voting closes, you can see the full results including how different wallet addresses voted (but not personal identities). Q: What if the reserve funds run low? A: Token holders will be notified and may vote on special assessments to replenish reserves, or prioritize only essential repairs. 🚀 Getting Started First Time Voting? 1. Check Your Notifications - Email, app, or dashboard alerts 1. Learn About Your Property - Review maintenance history - Check current reserve balances - Understand your voting threshold 1. Stay Engaged - Vote on proposals that affect your investment - Provide thoughtful comments - Monitor property performance Best Practices for Token Holders ✅ Vote promptly - don't wait until the last day ✅ Read all details - review quotes and documentation ✅ Think long-term - consider property value impact ✅ Be reasonable - balance cost vs. necessity ✅ Stay informed - follow up on completed work 📞 Need Help? Technical Support - Email: [email protected] - App Help: Settings → Contact Support - Phone: 1-800-SDAO-HELP Property Questions - Contact your Property Manager directly - Review property documents in your dashboard - Join property-specific discussion forums Voting Issues - Report technical problems immediately - Screenshot any errors - Contact support before voting deadline Remember: Your vote helps maintain and improve your property investment. Every decision affects the value of your tokens and the quality of the property. Participate actively to protect your investment! 🏠💰 Happy Voting! 🗳️ Policies and procedures are updated frequently. Please check back for the latest information.

Last updated on Dec 08, 2025

🏠 Initial Public Sale (IPS) – Investor Guide

🏠 Initial Public Sale (IPS) – Investor Guide Last updated on Oct 22, 2025 SecondaryDAO Investor Guide Complete Guide to Buying & Managing Property Tokens Table of Contents - 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 - Quick Reference Card - Glossary What Are Property Tokens Buying property tokens on SecondaryDAO gives you fractional ownership in real estate — similar to owning stock in 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 held - Monthly rental income - Appreciation if property value increases - Trading rights after IPS The Two Phases Explained Phase 1: Initial Property Sale (IPS) The property is listed for its first offering at a fixed price for a limited period until funding completes. Key Features - Fixed token price (e.g., $50) - Lower fee (example: 2.5%, sometimes 0%!) - No price fluctuation - No secondary trading - Seller tokens locked When you see the green IPS badge, tokens are available at a fixed introductory price. Phase 2: Secondary Market Once the funding goal is reached, trading begins freely on the open market. Key Features - Variable token prices - Standard 5% fee - Market-driven price changes - Trading allowed - Seller tokens unlocked When you see the blue Secondary Market badge, tokens are tradable and rent distributions start. How to Buy Tokens Step 1: Browse Properties Look at: - 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: - Property overview - Tokenomics - Seller equity - Fees and documents Step 3: Connect Wallet Use MetaMask or Coinbase Wallet funded with: - USDC for purchases - Small amount of ETH for gas Step 4: Enter Purchase Amount You’ll see: - Total cost including fees - Ownership percentage - Estimated monthly rent Step 5: Approve USDC Your wallet asks you to authorize USDC spending (one-time per property). Step 6: Confirm Purchase Confirm the transaction. Funds move into smart contract escrow. What Happens After You Buy Immediately You’ll see an on-screen confirmation and transaction hash. During IPS Tokens are automatically issued when you purchase. After Phase 2 Begins You can trade, earn rent, and view your holdings. Understanding Property Information Property pages include: - Quick stats (price, ROI, tokens sold) - Full tokenomics - Seller equity disclosure - Fees, rent schedules - Property documents and images Tap or hover the ℹ️ icons to learn more. Seller Equity Disclosure Why It Matters - Shows seller ownership - Indicates locked/unlocked status - Enhances transparency Example - Seller Wallet: 0x1234…7890 - Allocation: 25% (2,500 tokens) - Status: Locked during IPS Sellers receive tokens at $0 cost but cannot sell until Phase 2. Your Rights & Protections You Own - Legal fractional ownership - Monthly rent rights - Voting and exit rights (if applicable) - Exposure to property appreciation During IPS - Funds held in smart contract escrow - Immutable release conditions - Admins cannot access your funds manually Escrow Protections - Blockchain-based safeguards - Transparent and auditable movements When You Can Sell Phase 1 (IPS) Selling is not available. Phase 2 (Secondary Market) You may sell to other investors using: - Market orders - Limit orders A 5% trading fee applies. Earning Rental Income How It Works Tenant → Property Manager → Token Holders - Distributed monthly (around the 10th) - Sent directly to your wallet in USDC - Rent history visible in your dashboard @ https://explorer.secondarydao.com Example: - Monthly Rent: $3,500 - Your Ownership: 1% - Your Income: $35/month Fees & Costs examples Phase 1 (IPS) - Fee: 2.5% - Example: $5,000 × 2.5% = $125 fee Phase 2 - Fee: 5% - Example: $5,200 × 5% = $260 fee Exit Fee - 5% applied when the underlying property is eventually sold Gas Fees - Ethereum network fees (typically $8–$20 total) Common Questions Minimum Investment? Usually 1 token ($50). What Wallets Are Supported? MetaMask and Coinbase Wallet and pretty much whatever you have. If you are using one we don't have, let us know @ [email protected] When Are Tokens Issued? IPS: Immediately at purchase. Secondary: Instantly at purchase. Is There a Lock-Up? Investors: No. Sellers: Locked during IPS only. When Do I Start Earning Rent? After tokens are issued. What If Property Is Vacant? No rent is distributed for that month. Reserves may apply. How Safe Is My Investment? (We take this seriously) - Smart contract escrow - Blockchain transparency - Real property backing - You're not buying debt. You're buying a property. - Ownership held in a separate legal entity Can I Track Seller Wallets? Yes — all wallet addresses are visible on-chain. Taxes - Rent = taxable income - Token sales = capital gains Annual summaries are provided for reporting. Getting Help Support Options - Email: [email protected] - Chat: bottom-right icon in app - Discord: if available Response Times - Email: 24–48 hours - Chat: Usually within 1 hour (business hours) - Urgent: Add “Urgent” in subject line Quick Reference Card Phase 1 (IPS) - Fixed-price tokens - Lower fees (2.5%) Sometimes 0%! - Tokens issued when funding completes - No secondary trading - Seller tokens locked Phase 2 (Secondary Market) - Free trading - Market prices fluctuate - Monthly rent begins - Standard 5% fees - Seller tokens unlocked Glossary IPS: Initial Property Sale (first offering) Secondary Market: Open trading after IPS Escrow: Smart contract holding funds Gas Fee: Ethereum network cost USDC: USD-pegged stablecoin Web3 Wallet: Crypto wallet like MetaMask Last Updated: October 2025 Version: 1.0 Contact: [email protected] Policies and procedures are updated frequently. Please check back for the latest information.

Last updated on Dec 08, 2025

Token Holder Buyout Disclosure

Token Holder Buyout Disclosure Your Rights & Options When a Buyout is Proposed Version: 1.0 Last Updated: October 2025 Target Audience: Property Token Holders Quick Summary What's Happening? An institutional investor has proposed to buy 100% ownership of your tokenized property. If you accept the buyout offer, you will exchange your property tokens for cash (USDC/USDT) at a premium above the original token price. Your Options: 1. ✅ Accept — Exchange your tokens for cash at the offered price 2. ❌ Decline — Keep your tokens and continue as a token holder 3. ⏳ Wait — You have 7-14 days to decide (deadline in your notification) No Action Required? If you don't respond by the deadline, you keep your tokens. The buyout only happens if you actively accept the offer. Table of Contents 1. What is a Buyout? 2. Understanding the Buyout Offer 3. Your Rights as a Token Holder 4. How to Accept the Buyout 5. Payment Process 6. If You Decline the Buyout 7. Tax Considerations 8. Frequently Asked Questions 9. Important Warnings 10. Getting Help What is a Buyout? Definition A buyout occurs when an institutional investor (like a real estate fund, family office, or investment firm) wants to purchase all the property tokens and take 100% ownership of the physical property. Why Buyouts Happen - 🏢 Portfolio Expansion — Adding the property to their real estate portfolio - 💰 Undervalued Asset — They believe the property is worth more than the token price - 🔄 Operational Control — They want full control over property management - 📈 Appreciation Potential — They see strong growth opportunities - 🏗️ Development Plans — They want to renovate or redevelop the property How Buyouts Work Step 1: Institution proposes buyout at a specific price per token ↓ Step 2: SecondaryDAO compliance officer reviews and approves ↓ Step 3: All token holders receive email notification ↓ Step 4: Token holders decide whether to accept (7-14 days) ↓ Step 5: Those who accept exchange tokens for USDC/USDT ↓ Step 6: If enough tokens collected (75%+), buyout completes ↓ Step 7: Institution takes ownership of property Understanding the Buyout Offer Reading Your Notification Email When a buyout is proposed, you'll receive an email with the following information: 1. Property Details - Property name and address - Your current token holdings - Total property tokens outstanding 2. Buyout Price - Price per token (in USDC/USDT) - Your total payout (tokens × price) - Original token price (what you or previous holder paid) - Gain/Loss (difference between buyout price and original price) 3. Premium Information - Exit Premium % — Extra amount above base value - Why there's a premium — Compensates for early liquidation 4. Timeline - Proposal date — When buyout was initiated - Deadline — Last day to accept the offer - Days remaining — Countdown to deadline 5. Buyer Information - Institution name — Who is buying - Institution type — Fund, family office, corporation, etc. - KYC status — Verified by SecondaryDAO compliance Example Buyout Offer Property: Sunset Villa, Austin TX Your Holdings: 50 tokens ───────────────────────────────────────── BUYOUT OFFER DETAILS: Price per Token: $120.00 USDC Your Token Holdings: 50 tokens Your Total Payout: $6,000.00 USDC ───────────────────────────────────────── COMPARISON TO ORIGINAL PRICE: Original Token Price: $100.00 Buyout Price: $120.00 Your Gain per Token: $20.00 (20%) Your Total Gain: $1,000.00 ───────────────────────────────────────── PREMIUM BREAKDOWN: Base Property Value: $100.00/token Exit Premium (20%): $20.00/token Total Buyout Price: $120.00/token ───────────────────────────────────────── DEADLINE: Proposal Date: January 15, 2025 Acceptance Deadline: January 29, 2025 Days Remaining: 14 days What is an "Exit Premium"? The exit premium is an additional amount paid above the base property value to compensate you for: 1. Early Liquidation — You're selling earlier than expected 2. Opportunity Cost — You're giving up future rental income and appreciation 3. Market Premium — Similar to a "control premium" in traditional M&A Typical Premium Range: 15–30% above base value How It's Set: - Default premium: 20% (set when property launched) - Adjustable via token holder vote (67% approval required) - You can propose premium changes if you hold tokens Your Rights as a Token Holder 1. Right to Accept or Decline ✅ You have the absolute right to: - Accept the buyout offer and sell your tokens - Decline the offer and keep your tokens - Change your mind before the deadline (if you haven't finalized) ❌ No one can force you to: - Sell your tokens - Accept a price you don't agree with - Make a decision immediately 2. Right to Full Information You have the right to request: - Detailed buyer information (institution name, background) - Property valuation reports - Recent financial performance data - Comparison to recent token trades - Explanation of premium calculation How to Request: Email [email protected] with subject "Buyout Information Request - [Property Name]" 3. Right to Fair Pricing The buyout price must be: - Above Market Rate — Higher than the last token sale price - Include Premium — Exit premium (typically 20%) applied - Transparent — Clear breakdown of base value + premium - Compliant — Approved by SecondaryDAO compliance officer 4. Right to Equal Treatment All token holders receive: - Same price per token - Same deadline - Same information - Same payment terms (USDC/USDT) 5. Right to Contest If you believe the buyout offer is unfair, you can: - Request an independent property appraisal - Challenge the premium calculation - File a complaint with SecondaryDAO governance - Propose a higher exit premium (requires token holder vote) Complaint Process: Email [email protected] within 3 days of notification How to Accept the Buyout Option 1: Accept via SecondaryDAO Dashboard (Recommended) Step 1: Log into Dashboard - Visit: https://dashboard.secondarydao.com - Connect your wallet (MetaMask, WalletConnect, etc.) - Navigate to "My Properties" Step 2: Review Buyout Details - Click on the property with active buyout - Review "Buyout Offer" section showing price, payout, deadline, and buyer information Step 3: Accept Offer - Click "Accept Buyout Offer" - Review transaction details in the popup: You will send: 50 tokens You will receive: $6,000 USDC Gas fee estimate: ~$15-30 (varies) - Click "Confirm" in your wallet - Wait for transaction confirmation (~30 seconds) Step 4: Receive Payment - USDC/USDT automatically sent to your wallet - Email confirmation + transaction hash provided Option 2: Accept via Smart Contract (Advanced Users) // Using ethers.js const buyoutContract = new ethers.Contract(buyoutAddress, buyoutABI, signer); // Approve token spending first const propertyTokenContract = new ethers.Contract( propertyTokenAddress, propertyTokenABI, signer ); await propertyTokenContract.approve( buyoutAddress, ethers.utils.parseEther("50") // 50 tokens ); // Accept buyout const tx = await buyoutContract.approveBuyout( ethers.utils.parseEther("50") // Amount of tokens to sell ); await tx.wait(); // Wait for confirmation Contract Function: function approveBuyout(uint256 tokenAmount) external What Happens: 1. Your tokens transferred to buyout contract 2. Contract calculates your payout: tokenAmount × pricePerToken 3. USDC/USDT sent to your wallet 4. Transaction recorded on blockchain Option 3: Partial Acceptance ✅ Yes, you can sell a portion of your tokens. Example: - You hold: 100 tokens - You accept for: 60 tokens - You keep: 40 tokens How to do it: - Dashboard: Enter the number of tokens in "Partial Acceptance" - Smart Contract: Set tokenAmount accordingly Payment Process When You Get Paid Immediate Payment — As soon as your acceptance transaction confirms. Payment Currency - USDC (USD Coin) — Preferred - USDT (Tether) — Accepted 1 USDC = 1 USDT = $1.00 USD Converting to Fiat Currency - Coinbase (Easiest) — KYC → deposit USDC → sell → withdraw USD - Kraken/Gemini — Similar flow - OTC Desk (>$50k) — Email [email protected] for referrals Tax Reporting You will receive a 1099-B. SecondaryDAO reports sale details; you must report on your tax return. See Tax Considerations. If You Decline the Buyout What Happens If You Don't Accept? You keep your tokens and continue as a token holder: - Receive monthly distributions - Vote on property decisions - Sell tokens on secondary markets (if available) - Participate in future offers Changing Your Mind - Before Deadline: You can still accept - After Deadline: Offer expires (unless extended or reissued) Minimum Threshold Outcome - If threshold not met (e.g., 75%): Buyout cancelled; tokens and funds returned - If met: Buyout completes; non-sellers become minority holders Minority Token Holder Rights - You keep tokens; institution has majority control - Continue receiving proportional income - Options: keep, negotiate, wait for future buyout, or sell on secondary markets - Protections: cannot be forced to sell; governance oversight Tax Considerations Capital Gains Tax Capital Gain = Sale Price - Cost Basis - Transaction Costs Example: Sale $6,000 – Cost $5,000 – Gas $25 = $975 gain → 20% = $195 tax (illustrative) Tax Rates (2025) - Short-Term (<1 yr): Ordinary income (10–37%) - Long-Term (≥1 yr): 0%, 15%, or 20% Holding Period Gain Tax Rate Tax Owed 6 months $1,000 24% $240 18 months $1,000 15% $150 3 years $1,000 15% $150 State Taxes Some states add capital gains tax (e.g., CA up to 13.3%, NY up to 10.9%; FL/TX/NV 0%). Stablecoin Considerations - Selling tokens for USDC = taxable event - Holding USDC = not taxable - Selling USDC for USD = usually $0 gain - Swapping USDC↔USDT = taxable event Reporting & Loss Harvesting - Forms: 1099-B, 1099-MISC, Schedule D, Form 8949 - Losses offset gains; up to $3,000 may offset ordinary income; carry forward excess Consult a Tax Professional Consider CPA/tax attorney/crypto tax software for individual guidance. Frequently Asked Questions Q: Is this buyout mandatory? A: No. You can decline and keep your tokens. Q: How long do I have to decide? A: 7–14 days from proposal date (see email). Q: Can the buyer force me to sell? A: No. Voluntary only. Q: What if I do nothing? A: You keep your tokens. Q: Can I negotiate a higher price? A: Not individually; propose a higher premium via governance (67% approval). Q: When do I receive payment? A: Instantly upon acceptance; funds are escrowed beforehand. Q: Do I need to pay gas fees? A: Yes. Network gas applies. Q: Can I accept from a different wallet? A: No. Must accept from the wallet holding the tokens. Q: Are transactions public? A: Yes. On-chain amounts and addresses are visible. Q: What happens to the physical property? A: Institution takes deed and manages future strategy. Q: Is this legal and compliant? A: Yes. Operates under SEC Reg D, real estate transfer laws, and AML/KYC requirements. Important Warnings ⚠️ Scam Protection - ❌ Never share seed phrases or click unknown links - ✅ Verify emails from @secondarydao.com - ✅ Use the dashboard: https://dashboard.secondarydao.com - ✅ Contact support if unsure ⚠️ Tax Implications Accepting a buyout may trigger capital gains tax; plan accordingly. ⚠️ No Guaranteed Returns Buyout prices are offers, not valuations. Do your own analysis. ⚠️ Minority Holder Risks If you decline and buyout completes, you may face reduced voting power and liquidity. ⚠️ Smart Contract Risks Audited and insured, but risks exist (bugs, congestion, wallet security). Getting Help SecondaryDAO Support - General: [email protected] | | Mon–Fri, 9 AM–6 PM EST - Technical: Discord #token-holder-support | https://docs.secondarydao.com/faq - Complaints/Disputes: [email protected] (include property name, wallet, issue) Emergency Support (24/7 During Active Buyout) - Email: [email protected] Additional Resources - Tax: CoinTracker, TokenTax, IRS virtual currency guidance - Wallet: MetaMask Support, WalletConnect - Legal: [email protected] for referrals Checklist: Before You Accept Financial Review - Understand buyout price and total payout - Estimate capital gain/loss and taxes - Compare to recent market trades - Consider future rental income foregone - Have enough ETH for gas Tax Preparation - Consulted tax professional (recommended for large amounts) - Know short- vs long-term implications - Set aside 15–30% of gains (estimate) - Plan for USDC→USD conversion if needed Technical Readiness - Logged into dashboard - See active buyout in properties - Wallet connected with correct balance - Reviewed transaction preview Risk Understanding - Know acceptance is final - Considered accept vs keep - Understand minority-holder risks - Verified legitimacy (not a scam) Decision - ACCEPT - DECLINE - WAIT (check deadline) Document Control Version Date Author Changes 1.0 October 2025 SecondaryDAO Investor Relations Initial release Disclaimer: This disclosure is for informational purposes only and does not constitute financial, legal, or tax advice. Consult with qualified professionals before making investment decisions. SecondaryDAO is not responsible for your decision to accept or decline a buyout offer. © 2025 SecondaryDAO. All rights reserved. Policies and procedures are updated frequently. Please check back for the latest information.

Last updated on Dec 08, 2025

🏛️ Token Holder Governance Guide

🏛️ Token Holder Governance Guide 🧩 Your Ownership Rights When you purchase property tokens, you become a fractional owner of real estate. With that ownership, you gain governance rights on decisions affecting your investment. All governance activity is executed on-chain, giving you transparent, immutable voting records. 📘 Overview Through the PropertyGovernance smart contract, you can: - 🛠️ Vote on property expenses — approve or reject maintenance or repair costs - 🏷️ Control buyout policies — determine if buyouts are allowed and what premium applies - 📄 Review contractor quotes — inspect supporting documentation before voting All governance actions are permanently recorded on the blockchain. 🗳️ Types of Proposals 🔧 Expense Proposals When the property manager needs to spend funds beyond routine operations, a proposal may be created. Category Amount Range Voting Period Min. Participation 🚨 Emergency Under $5,000 3 days 5% of tokens 🧹 Maintenance $5,000–$9,999 7 days 10% of tokens 🏗️ Major Change $10,000+ 14 days 25% of tokens Note: Routine expenses below the property’s voting threshold are handled directly by the manager. 🏷️ Buyout Proposals These proposals determine how institutional investors may acquire the entire property. Proposal Type Description Voting Period Min. Participation ✔️ Enable Buyouts Allow buyout offers 7 days 20% ❌ Disable Buyouts Prevent buyout offers 7 days 20% 🪙 Change Premium Adjust 5%–50% premium 7 days 20% 🏗️ How Proposals Are Created 🔧 Expense Requisitions 1. 🧭 Manager identifies need (e.g., roof repair, HVAC replacement) 2. 📑 Quotes collected — minimum of 2 contractor quotes 3. 📝 Requisition submitted — description, cost, documents 4. ⚙️ System checks threshold — auto-creates proposal if required 5. 🔔 Token holders notified — voting starts immediately 🏷️ Buyout Proposals Can Be Created By: - 🛠️ Platform administrator - 🧑‍💼 Token holders owning at least 1% of tokens 🗳️ Voting Requirements ✔️ Who Can Vote You must: - Hold at least 1 token in the property - Be KYC-verified with a whitelisted wallet ✔️ Your Vote - 1 vote per proposal - YES or NO - Vote is final once submitted - 1 person = 1 vote (not weighted by token count) 📊 Minimum Participation Proposal Type Required Participation 🚨 Emergency 5% of total token supply 🧹 Maintenance 10% 🏗️ Major Change 25% 🏷️ Buyouts 20% If participation is not met, the proposal fails automatically. 🧮 How Approval Works A proposal passes only if: 1. Minimum participation reached, and 2. More than 50% of votes are YES Example 1,000 token holders — maintenance proposal requires 10% participation. Votes Cast YES NO Result 80 (8%) 70 10 ❌ Fails — insufficient participation 120 (12%) 50 70 ❌ Fails — majority NO 120 (12%) 65 55 ✅ Passes — quorum + majority YES 🚀 What Happens After Voting If Proposal Passes - Status → Executed - 💸 Funds released from reserves - 🛠️ Work authorized - 🧾 Blockchain record created If Proposal Fails - Status → Failed - No funds released - Manager may revise and resubmit - All documents remain on record 🔄 The Requisition Process (Visual Flow) Property Manager Governance System Token Holders | | | | 1. Submit requisition | | | (description + quotes) | | |-------------------------->| | | | | | 2. Check voting threshold | | | | | [If voting required] | | | | | 3. Create proposal | | |-------------------------------> | | | | | | 4. Review & vote | | |<---------------------------------- | | | | | 5. Tally votes | | | | | [If approved] | | | | | 6. Funds released | | |<--------------------------| | 🧾 What You Can Review Before Voting You’ll see: - 📘 Description of the work - 💵 Amount (in USDC) - 🔗 Quote URLs (e.g., Dropbox links) - 🧑‍💼 Property manager info - 🏷️ Proposal type 🏦 Reserve Funds Each property maintains reserve accounts funded from the initial token sale: Reserve Type Purpose Replenishment 🛠️ Initial Maintenance Routine upkeep From rent 🏘️ Vacancy Reserve Cover vacancy shortfalls When rent resumes 🧱 Deferred Maintenance Known issues at launch Not replenished Approvals do NOT require additional contributions from you. Funds always come from reserves. 🏷️ Buyout Governance 🤝 What Is a Buyout? An institutional buyer attempts to purchase all tokens of a property. 💰 The Buyout Premium Token holders can set a premium (5%–50%) buyers must pay above market value. Example If token value = $100 Premium = 20% Buyer must pay $120 per token. ⚙️ Enable or Disable Buyouts Token holders can collectively choose to: - ✔️ Enable buyouts (allow offers) - ❌ Disable buyouts (block all offers) ⏱️ Timeline Reference Stage Duration Proposal creation Immediate Emergency voting 3 days Standard voting 7 days Major change voting 14 days Buyout voting 7 days Execution Automatic ❓ Frequently Asked Questions 🗳️ Voting What if I miss a vote? Proposals proceed with votes cast. If participation is too low, it fails. Can I change my vote? No — votes are immutable once submitted. How will I be notified? You’ll receive platform notifications. What if I buy tokens after voting starts? You may vote if you hold tokens at the time you vote. 👥 Participation Do I have to vote on everything? No — but participation ensures better governance. Do more tokens = more votes? No — one verified holder = one vote. What if I own tokens in multiple properties? You can vote in each corresponding property. 📄 Proposals Can I create a proposal? - Buyout proposals: need 1% ownership - Expense proposals: created by managers only What happens if a proposal fails? No funds released; manager may revise. Are votes public? Yes — all votes are on-chain. 🔐 Security & Transparency - 🔗 Blockchain-recorded actions - 🧑‍💼 KYC-verified voters only - 📑 Multiple quote requirement - ⏳ Time-locked voting periods - ⚙️ Automated execution of approved proposals 🆘 Getting Help If you have questions: - About a proposal → Review details & documents - About voting → Contact support - Technical issues → Check wallet + KYC status This guide outlines the PropertyGovernance smart contract system. All actions are permanently recorded on Ethereum for transparency and auditability. Last updated: December 1, 2025 Policies and procedures are updated frequently. Please check back for the latest information.

Last updated on Dec 08, 2025

🏠 Property Seller Guide - Listing Your Property on SecondaryDAO

Welcome to SecondaryDAO! This guide explains how property owners can tokenize their real estate and list it for sale on our platform. What is Property Tokenization? Property tokenization converts your real estate into digital tokens on the blockchain. Each token represents fractional ownership of your property. This allows you to: • Sell your property to multiple investors worldwide • Retain partial ownership through token concessions • Access liquidity without selling 100% of your property • Benefit from transparent, blockchain-based transactions and sometimes access SIGNIFICANT tax benefits. How the Listing Process Works Step 1: Initial Consultation Contact our team to discuss your property. We evaluate properties based on location, condition, rental income potential, and market value. Step 2: Property Valuation & Due Diligence Our team conducts thorough due diligence including: • Property appraisal • Title verification • Inspection reports • Rental income analysis • Legal compliance review Step 3: Token Structure Design We work with you to determine: • Total number of tokens (typically based on property value at $50 per token) • Your seller equity retention (token concession) • Reserve fund allocations • Pricing structure Step 4: Legal Documentation All necessary legal documents are prepared including: • Property transfer agreements • Token holder rights documentation • Compliance filings Step 5: Token Launch Your property is listed on SecondaryDAO during the Initial Property Sale (IPS) phase. Seller Equity Retention (Token Concessions) As a property seller, you can retain ownership in your tokenized property. This is called a "seller equity allocation" or "token concession." Example: If you tokenize a property into 10,000 tokens and retain 25% equity: • 7,500 tokens are sold to investors • 2,500 tokens remain yours at $0 cost • You continue earning rental distributions on your tokens Important: Your retained tokens are LOCKED during the IPS (Phase 1) period. Once all investor tokens are sold and Phase 2 (Secondary Market) begins, your tokens unlock and can be traded. Fee Structure for Sellers (Example fees) IPS Fee (Phase 1): 2.5% - Applied when investors purchase tokens during initial sale Trading Fee (Phase 2): 5.0% - Applied on secondary market trades Exit Fee: 5.0% - Applied if you sell your retained tokens Benefits of Tokenizing with SecondaryDAO 1. Global Investor Access - Reach investors worldwide through our platform 2. Partial Liquidity - Sell a portion while retaining ownership 3. Transparent Transactions - All sales recorded on blockchain 4. Ongoing Income - Continue receiving rental distributions on retained tokens 5. Flexible Exit - Sell your retained tokens anytime after Phase 2 begins 6. Professional Management - We handle investor relations and compliance Property Requirements To list on SecondaryDAO, properties typically need: • Clear title with no liens • Current rental income or strong rental potential • Property in good condition • Minimum value thresholds (contact us for details) • Located in approved jurisdictions Getting Started Ready to tokenize your property? Contact our team: • Email: [email protected] • Visit: https://www.secondarydao.com/tokenize Our team will guide you through every step of the tokenization process. Last Updated: December 2025 Policies and procedures are updated frequently. Please check back for the latest information. If you notice any errors, contact [email protected]

Last updated on Dec 08, 2025

Secondary Market Trading Guide

Secondary Market Trading Guide A complete guide to buying and selling property tokens on the SecondaryDAO marketplace. What is Secondary Trading? After a property’s initial token sale is complete, token holders can buy and sell their tokens with other investors on the secondary market. This works like a stock exchange: - Sellers list tokens they want to sell at their asking price - Buyers place orders for tokens they want to buy at their bid price - When prices match, trades execute automatically How the Order Book Works The order book shows all active buy and sell orders for a property: **Sell Orders (Red)Buy Orders (Green)**Lowest prices at topHighest prices at topThese are “asks”These are “bids”Sellers waiting for buyersBuyers waiting for sellers The Spread: The gap between the lowest sell price and highest buy price. When these prices overlap (buyer willing to pay more than seller is asking), trades happen automatically. How to Sell Your Tokens Step 1: Navigate to Secondary Trading Go to the property page and select the “Secondary Trading” or “Order Book” section. Step 2: Enter Your Sell Order - Token Amount: How many tokens you want to sell - Price per Token: Your asking price in USD Step 3: Approve the Transaction Your wallet will ask you to approve the transaction. This is a one-time security step per property that allows the system to transfer tokens when your order is filled. Step 4: Your Order is Live Your sell order now appears in the order book (red side). Other traders can see it and buy from you. Step 5: Wait for a Match When a buyer’s price meets or exceeds your asking price: - The trade executes automatically - You receive USDC (minus any trading fees) - The buyer receives your tokens Step 6: Order Expiration If your order isn’t filled within 7 days (default), it automatically cancels. You can also cancel it manually at any time. How to Buy Tokens Step 1: Navigate to Secondary Trading Go to the property page and select the “Secondary Trading” or “Order Book” section. Step 2: Enter Your Buy Order - Token Amount: How many tokens you want to buy - Price per Token: The maximum price you’re willing to pay Step 3: Approve USDC Spending Your wallet will ask you to approve USDC spending. This allows the system to transfer payment when your order is filled. Step 4: Your Order is Live Your buy order now appears in the order book (green side). Sellers can see your bid. Step 5: Wait for a Match When a seller’s price is at or below your bid: - The trade executes automatically at the seller’s price - You receive the property tokens - The seller receives your USDC payment Step 6: Order Expiration If your order isn’t filled within 7 days (default), it automatically cancels. You can also cancel it manually at any time. Understanding the Order Book Display SELL ORDERS (Asks) BUY ORDERS (Bids) Price Tokens Total Price Tokens Total $52.00 100 $5,200 $48.00 150 $7,200 ← Best bid $51.50 200 $10,300 $47.50 100 $4,750 $51.00 50 $2,550 $47.00 200 $9,400 $50.50 75 $3,788 ← $46.50 125 $5,813 Best ask (lowest) Spread: $2.50 ($50.50 - $48.00) Reading the order book: - Best Ask: The lowest price someone is willing to sell at ($50.50 in example) - Best Bid: The highest price someone is willing to pay ($48.00 in example) - Spread: The gap between best bid and best ask ($2.50 in example) - When spread is zero or negative: Orders will match and trades execute When Orders Match Orders match when a buyer is willing to pay at least what a seller is asking. Example: - You place a buy order at $50.00 - A seller has an order at $48.00 - Result: Trade executes at $48.00 (seller’s price) - You pay less than your maximum! The rule: Trades always execute at the seller’s price, which benefits buyers who bid higher. Top 10 Frequently Asked Questions 1. How long are my orders valid? Orders are valid for 7 days by default, with a maximum of 30 days. After expiration, orders automatically cancel. 2. What fees do I pay? Trading fees vary by property and are set by the property administrator. Check the property details page for the current fee rate. Fees are deducted automatically when trades execute. 3. Why do I need to approve transactions in my wallet? This is a standard blockchain security measure. You’re giving permission for the trading system to move tokens or USDC on your behalf when orders match. It’s a one-time approval per property. 4. Do I need to be verified to trade? Yes, your wallet must be verified (KYC/AML approved) before you can participate in secondary trading. This ensures compliance with regulations. 5. How does price matching work? When your buy price is equal to or higher than a sell price, the trade executes at the seller’s price. This means buyers may pay less than their maximum bid. 6. Can I have multiple orders at once? You can have one active buy order and one active sell order per wallet, per property. Creating a new order of the same type will replace your existing order. 7. What happens if I don’t have enough funds? If your balance drops below what’s needed for your order, the order will be automatically cancelled. There’s no penalty for this. 8. Can I cancel my order? Yes! You can cancel any open order at any time before it’s filled. Just click the cancel button next to your order. 9. What is the spread? The spread is the difference between the highest buy price (best bid) and lowest sell price (best ask). A smaller spread means a more liquid market. When the spread is zero or negative, trades execute immediately. 10. Why did my trade fail? Common reasons: - Your wallet isn’t verified (KYC not approved) - Insufficient token balance (for sellers) - Insufficient USDC balance (for buyers) - Order expired - Trying to trade with yourself (not allowed) Troubleshooting “Insufficient Balance” Error For sellers: Make sure you have enough tokens to cover your sell order. For buyers: Make sure you have enough USDC to cover the purchase price plus fees. “Approval Required” Message Click “Approve” in your wallet to allow the trading system to access your tokens or USDC. This is a one-time step per property. “Verification Required” Error Your wallet needs to be KYC verified before trading. Contact support if you believe you should be verified. Order Not Showing Up - Refresh the page - Check that your wallet is connected - Verify the transaction completed in your wallet Trade Didn’t Execute Even if prices overlap, trades may not execute if: - Either party’s balance changed - Either party isn’t verified - The order expired between matching and execution Glossary Term Definition Ask A sell order; the price a seller wants Bid A buy order; the price a buyer offers Spread The gap between the best bid and best ask Order Book The list of all open buy and sell orders Limit Order An order at a specific price (all orders are limit orders) Fill When an order is matched and executes Partial Fill When only part of an order executes USDC The stablecoin used for payments (1 USDC = $1 USD) Token A digital share representing ownership in a property KYC “Know Your Customer” - identity verification Need Help? If you have questions not covered in this guide: - Check our other Help Center articles - Contact support through the chat widget - Email [email protected] Last updated: December 12, 2025

Last updated on Dec 12, 2025

💰 Investor Earnings Distribution Guide

Investor Earnings Distribution Guide Overview As a property token holder, you automatically earn a share of the rental income generated by the properties you invest in. This guide explains how your earnings are calculated, when you receive them, and how the distribution system works. How Earnings Are Calculated Your share of rental income is proportional to the number of property tokens you hold: Your Earnings = (Your Tokens / Total Tokens) x Distributable Income Example: If a property generates $10,000 in distributable income and you hold 50 out of 1,000 tokens: - (50 / 1,000) x $10,000 = $500 How Distributions Work SecondaryDAO uses an automated, trustless distribution system that sends your earnings directly to your wallet. Automatic Distribution - No action required - Distributions are sent automatically to KYC-verified wallets - Platform pays gas fees - You receive your full distribution amount - On-chain calculation - Your share is calculated entirely on the blockchain for transparency - Batch processing - Distributions are processed in batches to manage network efficiency What to Expect 1. Rent is collected and expenses/reserves are deducted 2. Distributable income is sent to the distribution contract 3. The system calculates each holder's pro-rata share on-chain 4. USDC is sent directly to your wallet KYC Requirements - KYC-verified holders receive distributions automatically - Non-KYC holders have their distributions held pending until KYC is completed - Once you complete KYC verification, any pending distributions are released to your wallet During Initial Property Sale (IPS) While a property is still selling tokens, distributions work slightly differently: - Distributions for unsold tokens go to the property seller - Once you purchase tokens, you begin receiving your proportional share Distribution Schedule Distributions occur when rental income is processed: - Rent collection: Property manager collects rent from tenants - Reserve allocation: Required reserves are funded first - Distribution trigger: Remaining income is distributed to token holders - Payment arrival: USDC arrives in your wallet typically within minutes of processing Payment Details All earnings are paid in USDC on Arbitrum One. Why USDC on Arbitrum? - USDC is pegged 1:1 to the US Dollar - Very low transaction fees ($0.01-$0.20) - Fast confirmations (seconds) - Widely supported by wallets and exchanges Your Dashboard The Earnings section of your dashboard shows: - Property: Income-generating property - Your Tokens: Number of tokens you hold - Total Distributed: Cumulative distributions received - Last Distribution: Most recent distribution date and amount Frequently Asked Questions When do I receive my earnings? Distributions are processed when rental income is available and reserves are adequate. You receive USDC directly to your wallet automatically. Do I need to do anything to receive payments? No, as long as you are KYC-verified. Funds are sent automatically to the wallet holding your tokens. What if I am not KYC-verified? Your distributions are calculated and held pending. Once you complete KYC verification, all pending distributions are released to your wallet. Can I change my wallet address? Yes. Contact support. KYC verification is required for any new wallet address. How do I verify my payment? - Check your USDC balance in your wallet - View transactions on Arbiscan - Review distribution history in your dashboard What happens to blacklisted addresses? For regulatory compliance, distributions for blacklisted addresses are redirected to the property treasury. Claim History Your dashboard keeps a full record of: - Date and time of each distribution - Amount received - Transaction hash (viewable on Arbiscan) Need Help? If you have questions: 1. Review your Dashboard → Earnings 2. Check Arbiscan transaction history 3. Contact support at [email protected] Future Enhancement: Tiered Distribution System SecondaryDAO is developing an enhanced distribution system that will provide more options for how you receive your earnings. This system is not yet active but will be available in a future update. How the Tiered System Will Work The future system will organize distributions into three tiers based on your accumulated earnings: Distribution Tiers: - Auto-Push ($50+): Automatically sent to your wallet - Manual Claim ($5 - $49.99): Claim anytime from your dashboard - Accumulating (Under $5): Builds until it reaches $5 Auto-Push ($50+): When your accumulated earnings reach $50 or more, they will be automatically sent to your wallet with no action required and no gas fees (platform covers them). Manual Claim ($5 - $49.99): For amounts between $5 and $49.99, you will be able to claim them anytime from your dashboard. A small gas fee ($0.10-$0.20 on Arbitrum) will apply. Gasless Claims: The future system will also support gasless claims using a signature-based system, with a small relay fee of $0.05 USDC. Accumulating (Under $5): Small amounts under $5 will accumulate until they reach the $5 threshold to avoid gas fees consuming small payouts. Claim Window In the tiered system, unclaimed earnings will remain available for 2 years. After that, unclaimed funds transfer to the property treasury. Key Differences from Current System Key Differences: - Distribution method: Current: Automatic to all KYC-verified holders | Future: Tiered based on amount - Claim required: Current: No | Future: Only for $5-$49.99 tier - Minimum payout: Current: None | Future: $5 for manual claims - Gasless option: Current: N/A | Future: Yes ($0.05 relay fee) - Claim expiry: Current: None | Future: 2 years We will notify all token holders when the tiered distribution system becomes available. Last updated: January 2026

Last updated on Jan 13, 2026

SecondaryDAO Privacy Policy

Privacy Policy 1. Introduction This Privacy Policy ("Policy") describes how SecondaryDAO SA de CV ("SecondaryDAO SA de CV," "we," "us," or "our") collects, uses, and protects the personal information of users ("User," "you," or "your") who access our platform, website, or services. By using our services, you agree to the collection and use of your information in accordance with this Policy. 2. Information We Collect 2.1 Personal Information We collect personal information that you provide directly to us during the registration, KYC (Know Your Customer) process, and use of our services. This information may include, but is not limited to: - Full legal name - Date of birth - Nationality - Residential address - Government-issued identification (e.g., passport, national ID) - Email address - Phone number - Payment information (e.g., bank account details) - Transaction history 2.2 Non-Personal Information We may also collect non-personal information that cannot be used to identify you directly. This may include: - Browser type and version - IP address - Device type and operating system - Pages visited and the time spent on our website - Cookies and other tracking technologies 3. How We Use Your Information 3.1 Service Provision We use your personal information to provide and manage our services, including account creation, transaction processing, customer support, and compliance with legal and regulatory requirements. 3.2 KYC and AML Compliance Your personal information is used to verify your identity and assess your risk profile as part of our KYC and AML (Anti-Money Laundering) obligations. 3.3 Communication We may use your contact information to communicate with you about your account, service updates, or any issues related to our platform. This includes sending you transactional emails, security alerts, and important notices. 3.4 Marketing With your consent, we may use your information to send you promotional materials, newsletters, and other marketing communications. You can opt-out of these communications at any time. 3.5 Analytics and Improvements We use non-personal information to analyze how our services are used, to improve our platform, and to develop new features. This data helps us enhance user experience and tailor our services to better meet your needs. 4. Information Sharing and Disclosure 4.1 Third-Party Service Providers We may share your information with third-party service providers who assist us in delivering our services, such as identity verification services, payment processors, and cloud storage providers. These third parties are required to protect your information and use it only for the purposes for which it was shared. 4.2 Legal Compliance We may disclose your information to law enforcement, regulatory authorities, or other governmental entities if required by law or in response to legal requests (e.g., subpoenas, court orders). 4.3 Business Transfers In the event of a merger, acquisition, or sale of all or part of our business, your personal information may be transferred to the acquiring entity as part of the transaction. We will notify you of any such transfer and any new privacy policies that may apply to your information. 4.4 Consent We may share your information with third parties if you provide explicit consent for such sharing. 5. Data Retention We retain your personal information for as long as necessary to fulfill the purposes outlined in this Policy, including compliance with legal obligations, dispute resolution, and enforcement of our agreements. When your information is no longer needed, we will securely delete or anonymize it. 6. Data Security We implement appropriate technical and organizational measures to protect your personal information from unauthorized access, disclosure, alteration, or destruction. These measures include encryption, access controls, and regular security assessments. 7. Your Rights 7.1 Access and Correction You have the right to access and request correction of any personal information we hold about you. You may update your account information directly through our platform or contact us to request changes. 7.2 Data Portability You have the right to request a copy of your personal information in a structured, commonly used, and machine-readable format. 7.3 Right to Erasure You have the right to request the deletion of your personal information, subject to certain legal or contractual limitations. 7.4 Objection and Restriction You have the right to object to the processing of your personal information or request that we restrict its processing under certain circumstances. 7.5 Withdrawal of Consent If you have provided consent for the collection, use, or sharing of your personal information, you have the right to withdraw that consent at any time. However, this may limit your ability to use certain features of our services. 8. Cookies and Tracking Technologies We use cookies and similar tracking technologies to enhance your experience on our website. These technologies allow us to remember your preferences, track user activity, and analyze site traffic. You can control the use of cookies through your browser settings. 9. International Data Transfers Your personal information may be transferred to and processed in countries outside of your jurisdiction, including countries that may not have the same level of data protection as your home country. By using our services, you consent to such transfers. 10. Changes to This Policy We may update this Privacy Policy from time to time to reflect changes in our practices, technology, legal requirements, or other factors. We will notify you of any significant changes by posting the updated Policy on our website and, if applicable, through other communication channels. 11. Contact Us If you have any questions or concerns about this Privacy Policy or how we handle your personal information, please contact us at: SecondaryDAO SA de CV SV [email protected]

Last updated on Dec 31, 2025

🏛️ PROPERTY GOVERNANCE AT SECONDARYDAO

🏛️ PROPERTY GOVERNANCE AT SECONDARYDAO Each tokenized property on SecondaryDAO operates as its own decentralized autonomous organization (DAO). Token holders have voting rights on major decisions affecting their property investment. All Property DAO smart contracts are deployed on Arbitrum One and can be verified on Arbiscan. Contract addresses are linked in each property's details page at explorer.secondarydao.com. 🗳️ WHO CAN VOTE? To participate in governance voting, you must: ✅ Hold Property Tokens • Own at least 1 token of the property being voted on 🆔 Be KYC Verified • Complete identity verification through our platform 🔐 Be Whitelisted • Your wallet must be on the property’s whitelist ⚖️ Voting Power • One vote per verified investor per proposal • Token count does NOT increase voting power • Ensures fair representation across all investors 📌 WHAT REQUIRES A VOTE? 🔧 1) PROPERTY MAINTENANCE & EXPENSES The Property Manager (PM) submits requisitions for property expenses. Voting depends on the amount. 💰 Expense tiers: A) Under $5,000 • ⏱️ Voting period: 3 days • 👥 Quorum: 5% participation • 🚨 Type: Emergency B) $5,000 – $10,000 • ⏱️ Voting period: 7 days • 👥 Quorum: 10% participation • 🛠️ Type: Maintenance C) Over $10,000 • ⏱️ Voting period: 14 days • 👥 Quorum: 25% participation • 🏗️ Type: Major Change ℹ️ Quorum = minimum percentage of token holders who must participate for the vote to be valid. 🏠 2) BUYOUT GOVERNANCE Token holders can vote on buyout-related changes: A) Enable / Disable Buyouts • ⏱️ Voting period: 7 days • 👥 Quorum: 20% participation B) Change Buyout Premium • ⏱️ Voting period: 7 days • 👥 Quorum: 20% participation 📎 Notes: • Buyout premium range: 5% – 50% • A single investor may hold up to 90% of tokens before buyout rules trigger ❌ WHAT DOESN’T REQUIRE A VOTE? Handled automatically or by the Property Manager: • 🧹 Routine maintenance under the voting threshold • 💵 Monthly rent collection and distributions • 📋 Standard property management tasks • 🏦 Insurance and property tax payments • 🔑 Security deposit management ✍️ WHO CAN INITIATE PROPOSALS? 📄 A) Requisition-Based Proposals (Expenses) • PM submits requisition with at least 2 contractor quotes • SecondaryDAO Admin creates the on-chain proposal • Proposal auto-creates if amount exceeds voting threshold 🏷️ B) Buyout Proposals • SecondaryDAO Admin may initiate proposals • Token holders with at least 1% of total tokens may also initiate 🧭 HOW VOTING WORKS 1️⃣ Proposal Created • Appears in your Dashboard under the Governance tab 2️⃣ Voting Period • Cast a YES or NO vote before the deadline 3️⃣ Results Calculated • Quorum must be met • Majority approval required (>50% YES) 4️⃣ Execution • Funds released from reserve or settings updated 📜 VOTING RULES • ☝️ One vote per person (one wallet = one vote) • 🔒 Votes are final once submitted • 🧾 Must be KYC verified and whitelisted • ⏳ Token balance snapshot is taken at vote time 🧾 REQUISITION PROCESS (EXPENSE WORKFLOW) 1. 🧑‍💼 PM submits request 2. 📎 PM uploads minimum 2 quotes (Dropbox) 3. 🔍 SecondaryDAO reviews requisition 4. 🗳️ Above threshold → Vote created ✅ Below threshold → Direct approval 5. 👥 Token holders vote (if required) 6. 💰 If approved → Funds released from reserve 📑 QUOTE REQUIREMENTS • Minimum 2 quotes required • Quotes stored on Dropbox • Quote links visible during voting • Quotes linked to the on-chain proposal 📊 VIEWING GOVERNANCE ACTIVITY 🖥️ Dashboard • Log in to your SecondaryDAO Dashboard • Navigate to your property holdings • Open the Governance tab to view: - Active proposals - Past proposals and results - Your voting history 🌐 Explorer • Visit: /governance • View governance activity across all properties • Review historical voting results 🔗 ON-CHAIN TRANSPARENCY All governance actions are recorded on Arbitrum: • 📝 Proposal creation details • 🗳️ Individual votes (YES/NO + wallet address) • 📊 Final tallies and execution status • 💸 Fund disbursements All actions are verifiable on Arbiscan. ❓ FAQ Q: What if quorum isn’t met? A: The proposal fails. No funds are released. Q: Can I delegate my vote? A: No. Voting must be done directly from your wallet. Q: What happens if I sell my tokens after voting? A: Your vote remains valid. Eligibility is checked at vote time. Q: How do I know when there’s a new proposal? A: You’ll receive an email notification. Q: Can proposals be cancelled? A: Only by SecondaryDAO Admin, and only for valid reasons. 📬 CONTACT Questions about governance? 📧 Email: [email protected] 🆘 Help Center: app.secondarydao.com/help 💬 Live Chat: Available on the platform Last Updated: January 2026 Contract Version: PropertyGovernance v2.0 (UUPS Upgradeable) If you want, I can also produce: • a short Chatwoot auto-reply version • a compliance-friendly CNAD version • or a plain-English investor summary

Last updated on Jan 03, 2026

Tokenize Your Property: Frequently Asked Questions

WHY TOKENIZE YOUR PROPERTY? Property tokenization converts real estate into digital tokens on the blockchain. This enables fractional ownership and opens your property to a global pool of investors. WHY PROPERTY OWNERS TOKENIZE - Unlock liquidity without selling completely - Access a global investor pool - Maintain partial ownership - Receive transparent, automated income - Enjoy professional property management UNLOCK LIQUIDITY WITHOUT SELLING COMPLETELY Traditional real estate is illiquid. Selling takes months and involves high transaction costs. Tokenization allows you to sell part or all of your property while it continues operating and generating income. ACCESS A GLOBAL INVESTOR POOL Instead of finding one buyer with deep pockets, you can sell to hundreds or thousands of investors worldwide, each purchasing as little as one token. MAINTAIN PARTIAL OWNERSHIP You control how much you sell. For example, you can sell 70% and keep 30%. You retain tokens representing your ownership stake and continue receiving proportional rental income. TRANSPARENT, AUTOMATED DISTRIBUTIONS Rental income is distributed automatically to token holders via smart contracts. No manual calculations and no disputes. PROFESSIONAL PROPERTY MANAGEMENT SecondaryDAO handles tenant relations, maintenance, and reporting. You get the benefits of ownership without operational headaches. FEATURES, FUNCTIONS, AND BENEFITS FRACTIONAL TOKENS Function: Property is divided into tradeable digital shares Benefit: Sell to many investors instead of one buyer SMART CONTRACT ESCROW Function: Funds are automatically held and released as tokens sell Benefit: Get paid incrementally without waiting for a full closing AUTOMATED RENT DISTRIBUTION Function: Rental income is distributed pro-rata Benefit: Passive income on retained tokens BUILT-IN RESERVE FUNDS Function: Funds are set aside for taxes, maintenance, and vacancies Benefit: Property stability and investor confidence SECONDARY MARKETPLACE Function: Token holders can trade after the initial sale Benefit: Liquidity makes tokens more attractive to buyers KYC AND AML COMPLIANCE Function: All investors are verified Benefit: Regulatory protection and institutional-grade compliance TRANSPARENT REPORTING Function: All transactions are recorded on-chain Benefit: Fully auditable and verifiable PROFESSIONAL MANAGEMENT Function: SecondaryDAO manages operations Benefit: Hands-off ownership WHAT ARE RESERVE FUNDS? Reserve funds ensure the property can handle expenses and continue operating smoothly. There are ten reserve categories, divided into one-time costs and ongoing operating reserves. ONE-TIME COSTS Funded once from initial property sale proceeds. - Taxes and transfer fees Real estate transfer taxes, recording fees, and closing costs Amount varies by state - Appraisal and inspection Professional valuation and inspection reports Typical range: $500 to $2,000 - LLC setup fee Legal formation of the property-holding LLC Typical range: $500 to $1,500 - Deferred maintenance Known repairs needed at the time of tokenization Property-specific - SecondaryDAO listing fee Platform fee paid when trading begins Percentage of property value - Miscellaneous Buffer for unexpected closing costs Usually $0 OPERATING RESERVES Automatically replenished from rent if depleted. - Vacancy reserve Covers mortgage and expenses during tenant turnover Typically 5 to 15 percent of annual rent - Maintenance reserve Covers ongoing repairs and upkeep Approximately 5 percent of property value - Annual taxes Property taxes escrowed monthly Based on tax bill - Annual insurance Property insurance escrowed monthly Based on policy HOW RESERVE FUNDS ARE FUNDED Reserve funds are funded from initial property sale proceeds. Process: 1. Buyer purchases tokens using USDC 2. Smart contract calculates any reserve shortfall 3. Required amounts fund reserves first 4. Remaining proceeds are paid to the seller FUNDING PRIORITY ORDER 1. Taxes and transfer fees 2. Appraisal and inspection 3. LLC setup fee 4. Deferred maintenance 5. Vacancy reserve 6. Maintenance reserve 7. Annual taxes 8. Annual insurance 9. Miscellaneous 10. SecondaryDAO listing fee (paid last) This structure protects both sellers and buyers. Sellers receive a properly funded sale, and buyers receive tokens backed by a property with healthy reserves from day one. WHAT WILL I RECEIVE WHEN I TOKENIZE? Your total proceeds depend on how quickly the tokens sell. EXAMPLE PROPERTY - Property value: $258,000 - Reserve requirement: $25,000 - Net to seller from sale: $233,000 - Current monthly rent: $2,500 During the sale period, you continue receiving rental income on the unsold portion of tokens. Once all tokens sell, you receive the full sale proceeds. FINANCIAL SCENARIOS FAST SALE – 2 MONTHS Month 1 - Tokens sold: 50 percent - Your ownership: 50 percent - Sale proceeds: $104,000 - Rent income: $1,250 - Total received: $105,250 Month 2 - Tokens sold: 100 percent - Your ownership: 0 percent - Sale proceeds: $129,000 - Rent income: $0 - Total received: $129,000 Total received: $234,250 Timeline: 2 months MODERATE SALE – 4 MONTHS Month 1 - Tokens sold: 25 percent - Ownership: 75 percent - Sale proceeds: $39,500 - Rent income: $1,875 Month 2 - Tokens sold: 50 percent - Ownership: 50 percent - Sale proceeds: $64,500 - Rent income: $1,250 Month 3 - Tokens sold: 75 percent - Ownership: 25 percent - Sale proceeds: $64,500 - Rent income: $625 Month 4 - Tokens sold: 100 percent - Ownership: 0 percent - Sale proceeds: $64,500 - Rent income: $0 Total received: $236,750 Timeline: 4 months SLOW SALE – 10 MONTHS Month 1 - Tokens sold: 10 percent - Ownership: 90 percent - Sale proceeds: $800 (reserves funded first) - Rent income: $2,250 Month 2 through Month 9 - Monthly token sales increase by 10 percent - Monthly sale proceeds: $25,800 - Rental income decreases proportionally Month 10 - Tokens sold: 100 percent - Ownership: 0 percent - Sale proceeds: $25,800 - Rent income: $0 Total received: $244,250 Timeline: 10 months SUMMARY - Fast sale (2 months): $234,250 total - Moderate sale (4 months): $236,750 total - Slow sale (10 months): $244,250 total Key insight: Slower sales often produce more total income because you continue receiving rent on unsold tokens. FREQUENTLY ASKED QUESTIONS WHEN DO I GET PAID? You receive proceeds incrementally as tokens sell. Once reserves are funded, proceeds flow directly to you. WHAT HAPPENS TO RENT DURING THE SALE? You receive rental income proportional to your unsold tokens. CAN I KEEP SOME TOKENS? Yes. Many sellers keep 10 to 30 percent to continue earning rental income. WHAT IF THE PROPERTY SELLS SLOWLY? You continue receiving rental income. There is no penalty for slow sales. ARE RESERVE FUNDS REFUNDABLE? No. Reserve funds belong to the property and protect all token holders. HOW IS THE PROPERTY MANAGED AFTER TOKENIZATION? SecondaryDAO handles tenant relations, maintenance, and financial reporting. READY TO TOKENIZE YOUR PROPERTY? Unlock the value of your real estate while maintaining income potential. Get started: https://www.secondarydao.com/tokenize Questions: [email protected] SecondaryDAO — Democratizing Real Estate Investment

Last updated on Jan 13, 2026

🏠 Property Buyout Process

Property Buyout Process (Support Overview) What Is a Property Buyout? A property buyout is how a single buyer acquires 100% of a tokenized property by purchasing all outstanding tokens from current holders. It uses a tender offer model, similar to public company acquisitions: - A buyer escrows the full purchase price in USDC on-chain - Token holders decide whether to sell - Once 51% of tokens are sold, the buyout automatically completes - Remaining holders are bought out at the same price Important: 👉 51% is the execution trigger, not a requirement to start. Buyers do not need to own tokens beforehand. Why Buyouts Exist Without a buyout mechanism, one token holder could block a full property sale forever. The buyout system ensures: - A clear, on-chain path to full acquisition - Buyer funds held in smart contract escrow (not by SecondaryDAO) - Market price protection (no lowball offers) - Compliance-approved buyers only - Equal pricing for all holders - Automatic settlement once the threshold is reached Key Rules (At a Glance) - Buyers must pass KYC/AML approval - Buyer escrows 100% of purchase price upfront - Offer price must be ≥ last trade price (or original sale price) - Token holders can sell voluntarily - At 51% sold, remaining tokens are force-purchased - All sellers receive the same price - Funds are either paid to sellers or refunded to buyer — never trapped For Buyers: How It Works 1. Get Approved Only compliance-approved wallets can create buyout offers. 2. Set Your Price - Price is per token, in USDC - Must meet the price floor (market protection) 3. Deposit Funds You escrow: - Token purchase amount - Buyer fee - Exit premium (only charged on completed purchases) 4. Create the Offer You choose: - Price per token - Offer duration (1–90 days) Funds move into the smart contract in the same transaction. 5. Holders Sell (Optional) Token holders may sell at any time during the offer. 6. 51% Trigger → Buyout Completes Once 51% of tokens are sold: - Remaining tokens are bought automatically - Sellers are paid immediately - Buyer receives 100% ownership - Fees are settled on-chain - Any unused funds are refunded 7. If the Offer Expires or Is Cancelled - Unused USDC is returned - Tokens already purchased stay with the buyer - No funds are lost or locked What Buyers Receive on Completion - 100% of property tokens - Settlement snapshot (reserves, renter deposits, balances) - Unused USDC refund (after fees) Buyers then choose how the property is handled going forward. Post-Buyout Options Continue Managed (Default) SecondaryDAO continues operations: - Rent collection - Distributions (100% to buyer) - Reserve management - Renter deposit custody No transition fee. Exit / Transfer Out Buyer takes full control: - Reserve funds transferred - Renter deposits transferred - Services discontinued - Transition fee up to 5% applies Buyer assumes all legal and operational obligations. For Token Holders Voluntary Sale You can sell tokens into an active offer: - Paid instantly in USDC - Seller fee deducted - Same price as everyone else Forced Buyout If 51% is reached: - Remaining tokens are automatically sold - Same price and fee apply - No action required If Offer Fails If 51% is never reached: - Nothing happens to unsold tokens - Voluntary sales remain final Fees Summary FeeWho PaysWhenSeller FeeToken holderOn each saleBuyer FeeBuyerOnly if buyout completesExit PremiumBuyerOn tokens acquiredTransition FeeBuyer (Exit mode only)On asset transfer All fees are transparent and enforced on-chain. Common Questions Do buyers need to own tokens first? No. This is a tender offer. Funds + approval matter, not prior ownership. Can buyers change the price later? No. Offers are immutable once created. What if no one sells? Offer expires, buyer gets funds back. Can I refuse a forced buyout? No. Once 51% is reached, the buyout completes for everyone. Are buyer funds safe? Yes. Funds are locked in audited smart contracts and can only be: - Paid to sellers - Refunded to buyer - Paid as defined fees

Last updated on Feb 09, 2026