Revenue-backed contract
Contracted future cash flows.
What this instrument is
Read off the asset template the product uses to structure one of these, not written separately for the website.
| Fungibility | fungible |
|---|---|
| Income | Produces periodic income, so a distribution cycle applies. |
| Maturity | Has a defined end date, at which the instrument retires. |
| Physical custody | Not required; the claim is documentary. |
| Proof of reserve | Not required, as there is no specific physical backing to attest to. |
| Independent valuation | Not required; a market or contractual price is available. |
Token model
Derived from what the instrument is — whether it is fungible, whether it is fractionalised, whether transfers depend on the recipient, whether it accrues rather than pays, and whether units come in batches.
ERC-3643. Transfers depend on who the recipient is. ERC-3643 pairs the token with an identity registry and a compliance module, so an ineligible transfer is rejected by the contract itself rather than only by policy.
Alternatives considered
| Standard | When it is the better choice |
|---|---|
| ERC-7943 | A newer permissioned standard. Consider it where its tooling and audit coverage are sufficient for your deployment; verify support on your target chain first. |
| ERC-4626 | If the instrument is a yield-bearing vault, wrap the restricted token rather than replacing it. |
What must exist before it can be offered
Readiness is derived from what has actually been recorded against the asset. These are the requirements this class carries.
Parties
- Asset owner — required.
- Issuer — required.
- Legal counsel — required.
- Special purpose vehicle — required.
- Servicer — required.
- Auditor — recommended.
- Insurer — recommended.
- Administrator — recommended.
Documents
- Ownership evidence — required and must be current.
- Legal opinion — required and must be current.
- Offering memorandum — required and must be current.
- Subscription agreement — required and must be current.
- Investor disclosures — required and must be current.
- Contracts — required and must be current.
- Financial statements — required and must be current.
- Audit — recommended.
- Servicing report — recommended.
- Insurance — recommended.
Legal structures commonly used
Presented as options for counsel to choose between, never applied automatically: Special purpose vehicle, Security interest, Debt instrument, Note.
What is distinctive about receivables
The shape of the claim
The asset is somebody else’s obligation to pay, usually short-dated and self-liquidating. Performance is measured in collection rates and dilution rather than in price.
Servicing burden
Relentless and operational. Collections, chasing, credit notes and disputes run continuously, and the portfolio turns over rather than being held.
Principal risk
Dilution and fraud. Invoices that are disputed, already factored, or never represented a real delivery are the recurring failure.
Liquidity, realistically
Self-liquidating rather than tradeable — the position resolves by being paid, typically within months.
Structure a revenue-backed contract.
Launch Studio will not let this asset reach an offering without the parties and documents listed above.