CurioDAO physically-backed NFTs & Fractional NFTs Explained — Part II

CurioDAO Ecosystem
5 min readAug 29, 2022

Rollapp.store (by Curio Capital) together with the CurioDAO multichain protocol, bring the most powerful infrastructure in the market for tokenized real assets with the first multichain Web3 platform that lets users mint physical NFTs, integrating both DeFi and gasless features into a single experience.

CurioDAO is a decentralized real asset protocol for investing in real assets and IP. Our platform and scalable framework for real asset DAOs connect asset originators and real asset investors with quick and easy funding while enabling investors, storage, insurance, authenticators, auditors, and appraisers communities to directly govern and own asset-backed digital assets.

Moreover, the DApp provides support on L1s and L2s, and features in-app fiat on-ramp, staking and yield farming in-app which abstracts away complexity and allows users to earn yield from their real assets as easily as “uploading a file”.

The decentralized protocol has been developed by top-notch experts with the goal to decentralized access to vastly more efficient capital through on-chain liquidity, therefore, enhancing financing and access to real-world assets RWA and IP.

This is only possible due to use of blockchain technology coupled with a strong innovation in the legal and regulatory side.

An international solid tokenization framework

Curio Group already leverages the CurioDAO protocol, empowering users to choose a fraction standard to determine how future owners will be able to view and handle their fractions which can represent Real World Assets, Music IP Rights & more.

Our tokenization mechanism builds upon 5 pillars, namely: regulatory, legal, tech, audit, and logistics.

Regulatory

Swiss — Blockchain / DLT

Switzerland is one of the leading locations in the area of distributed ledger technology (DLT) and blockchain. This is thanks to a growing number of fintech and blockchain ecosystem leaders which have developed in Switzerland.

In 2021, Switzerland became one of the first countries in the world to enact legal regulations for blockchain technology. This creates legal certainty and enables innovation and growth.

Lichtenstein — The Liechtenstein Blockchain Act

The Liechtenstein Blockchain Act is a set of new regulations and amendments to pre-existing legislation that permits the tokenization of rights and assets. Tokenization denotes the ability, as of January 2020, to “bundle” almost any right or asset into a token using the Token Container Model. Thus, Liechtenstein accepts that the physical world as we have known it for hundreds of years will eventually be supplemented by a digital one, propelled by digital transformation. More about it here: Link

Legal

Option 1) Single NFT — Users can create via Rollapp.store, indivisible, non-fungible fractions that can be sold directly in any marketplace. In wallets, each fraction will display as an image of the vault’s contents, alongside any other one. Assets can be Physical, IP, or Digital Assets.

To leverage this feature, user agree to terms and conditions as per rollapp.store: Link

Option 2) Multiple NFTs — Representing co-ownership of the physical asset. Same as above. Users agree to terms and conditions as per rollapp.store

Same link as above.

Option 3) Fractional Base Tokens — Moreover, users can create fungible, divisible fractions recognized within a whitelisted register. It enables the registration of ledger-based securities in a securities ledger.

Users signs terms and conditions as per: Link

Option 3.1) Fractional Wrapped Tokens (ERC-20): Users can wrap tokens within a sub-register to create further fungible, divisible fractions that can be sold on AMM pools like Uniswap and Balancer. In wallets, each fraction will display as a token symbol and its numeric amount, alongside any other ERC-20 tokens. A sub-register can provide additional technical features such as drag along and tag along rights, multi-chain compatibility, or representing a database of a custodian.

Users signs terms and conditions as per Link

Tech

Option 1) Single NFT — ERC 721

Option 2) Multiple NFTs — ERC 1115

Option 3) Fractional Base Tokens — ERC 20 (with whitelist)

Option 3.1) Fractional Wrapped Tokens ERC-20 (without whitelist)

Audit

We work with tier one auditors including Grant Thornton, AAC among others to audit our assets by verifying the financial reserves as well as in the near future it is planned that they verify physical assets are stored by our logistics partners and kept under safe conditions.

Logistics

As you would imagine, our scale-ready setup leverages a tech driven onboarding starting by a so called “know-your-object” supported by Kleros as well as a Custodian driven setup assisted by parters who take care of assets stored at bonded warehouses (also known as freeports) under the safest conditions.

Freeport partners include Germany or Italy-based. As our network expands, collaborations with warehouses located in Switzerland, Liechtenstein, Luxembourg, and Monaco are prioritized for 22, Asia for 2023.

Together we can build a new financial world

There is no doubt, that change is the only certain parameter. Hence it is expected our R&D nurtures further improved setups which may well benefit millions of users in the future.

Moreover, trust within innovation, whether it is a software firm like the Curio Group or an association like CurioDAO, must be built in social coordination with the support of various frameworks which support both the users and the project contributors.

If we, the Web3 community, truly aim to spearhead the current world run by centralized companies and rent-seeking shareholders, these are the challenges we face, but ones that I am confident we will overcome.

For more information, please visit:

CapitalDex | RollApp I CurioInvest | Twitter I Discord I Telegram I YouTube

Legal Disclaimer

This content is provided for informational purposes only, and should not be relied upon as legal, business, investment, or tax advice. You should consult your own advisers as to those matters. References to any digital assets are for illustrative purposes only, and do not constitute an investment recommendation or offer to provide investment advisory services. Furthermore, this content is not directed at nor intended for use by any investors or prospective investors, and may not under any circumstances be relied upon when making a decision to invest in any instrument related to Rollapp. Any investments or portfolio companies mentioned, referred to, or described are not representative of all investments in vehicles managed by Curio Group, and there can be no assurance that the investments will be profitable or that other investments made in the future will have similar characteristics or results.

Past performance is not indicative of future results. The content speaks only as of the date indicated. Any projections, estimates, forecasts, targets, prospects, and/or opinions expressed in these materials are subject to change without notice and may differ or be contrary to opinions expressed by others.

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CurioDAO Ecosystem

CurioDAO accelerates real asset tokenization through community-powered tools, fostering research and development with CGT tokens for governance.