Real Estate Investment Glossary
Key terms you need to know when investing in tokenized real estate.
APR (Annual Percentage Rate)
The annual rate of return on a rental property investment, expressed as a percentage of the investment amount.
DAO LLC
A Decentralized Autonomous Organization registered as an LLC in Wyoming, USA, providing legal ownership structure for tokenized assets.
Fractional Ownership
Owning a percentage share of a property rather than the entire asset, enabled through tokenization.
KYC (Know Your Customer)
Identity verification process required before investing, ensuring regulatory compliance and platform security.
Passive Income
Regular earnings from an investment that require minimal ongoing effort from the investor.
ROI (Return on Investment)
The total return on a construction-stage investment, including capital appreciation when the property is completed and sold or rented.
Secondary Market
A marketplace where investors can buy and sell property tokens from each other, providing liquidity for tokenized real estate.
Smart Contract
A self-executing program on a blockchain that automatically enforces the terms of an agreement without intermediaries.
Stablecoin
A cryptocurrency pegged to a stable asset like the US dollar, used for transactions on the Binaryx platform.
Tokenization
The process of converting ownership rights in a real asset into digital tokens on a blockchain.
