FAQ & Glossary
Frequently Asked Questions
Q: What exactly am I buying when I purchase a property token?
A: You're buying a digital token that represents a legally binding right to a share of rental income, capital appreciation, and sale profits from a real property – held by a regulated legal entity.
Q: Am I becoming a shareholder or co-owner of the property?
A: No. The legal entity is the sole owner on paper. You’re entitled to the economic benefits, not the legal title. This avoids complications and streamlines execution.
Q: Can I really invest with just $1?
A: Yes. Thanks to tokenization and AMM liquidity, there’s no minimum investment amount. You can get exposure to real estate with as little as $1.
Q: How do I earn yield from my property tokens?
A: Rental income and other profits are collected by the legal entity, converted into the property token, and distributed via ERC4626 vaults to all token holders proportionally.
Q: How can I sell my tokens? Do I need a buyer?
A: No buyer needed. You can sell any time via our AMM system, where every property token is paired with $LQE, which in turn is liquid against USDT0. Always-on liquidity, no waiting.
Q: What is $LQE and why is it important?
A: $LQE is the platform’s liquidity and revenue-sharing token. All trades route through it, and 10% of all platform profits flow back into $LQE – making it the economic engine of Liquid Estate.
Glossary
Tokenization
Converting ownership or rights into tradable digital tokens
ERC20
A standard for fungible tokens on Ethereum and compatible chains
ERC4626
A vault standard that automates yield distribution to token holders
GmbH
German limited liability company – holds the real property in the land registry
AMM (Automated Market Maker)
A smart contract that enables instant token swaps without needing a buyer/seller match
$LQE
Liquid Estate platform token – powers liquidity and receives yield from all activity on the platform
Vault
A smart contract that receives income and distributes it to token holders
Liquidity Pool
A pool of tokens used to facilitate decentralized trading
Yield
Income generated from property (rent, appreciation, sale)
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