Tokenization Process
Legal Framework Innovation
Raizer is built on the idea that investments firms will want to have their holdings of companies tokenized to access Decentralized Finance. Thus, each tokenization needs to be backed by a clear Legal Framework.
Each investment is represented legally by a DAO LLC Wyoming established in the USA. This legislation provides, for the first time, a clear legal framework that recognizes the direct relationship between blockchain tokens and company ownership.
Legal Innovation
Value Structure
The Wyoming DAO LLC operates through a sophisticated financial arrangement where it holds a binding contract with a separate legal entity, rather than direct ownership of company shares. This contract guarantees that each token will be fully tradeable against the company’s IPO price when the initial public offering occurs, or earlier if the shares are sold.
This structure is deliberately designed to ensure the DAO LLC possesses no direct shareholding or associated legal rights in the underlying company. Instead, it only maintains contractual rights to the performance and future value of those shares. This critical distinction helps position the tokens outside the traditional definition of securities under SEC regulations.
At the time of TGE, the marketcap of the coin is 100% equal to the amount invested in the company. When the IPO occurs, token holders have guaranteed legal rights, per EU and US regulations, to trade their tokens at the corresponding IPO valuation, providing a clear and legally enforceable value proposition without creating a direct security interest.