Frequently Asked Questions
Explore FAQs on real-world asset (RWA) tokenization, security token offerings (STOs), investing, and issuing tokenized assets on the InvestaX platform.
How can a company or investment fund issue tokenized assets?
The rationale and the scope of issuing tokenized assets remains the same as those of traditional security offerings. However, tokenization provides an added component of "digitizing" or digitally representing the ownership interests of private companies or investment funds. Only a licensed tokenization platform, such as InvestaX, can issue and distribute compliant tokenized assets on behalf of private companies and investment funds.
The key stages of the process typically include:
- Asset evaluation: confirming the asset's suitability for tokenization, ownership documentation, and applicable regulatory classification
- Legal structuring: selecting the appropriate issuing vehicle (e.g. SPV, fund, trust) and preparing the offering documentation
- Token structuring: defining token type, token standard, and the rights embedded in the token (e.g. interest payments, voting rights, redemption terms)
- Investor qualification: determining eligible investor categories and configuring KYC/AML and transfer compliance rules
- Primary issuance: launching the offering to qualified investors on a licensed platform
- Secondary trading and lifecycle management: managing ongoing reporting, distributions, and investor communications post-issuance
For a step-by-step breakdown of each stage, see: Real-World Asset Tokenization Process Explained