Overview

Tangible Baskets are permissionless, rebasing ERC-20 tokens—100% backed by tokenized, yield-generating real estate—that distributed yield back to token holders via daily rebase.

Baskets price is soft-pegged to the TPV (true property value) of the assets in the pool and will fluctuate based on market demand and the activity of arbitrageurs.

With Baskets, anyone, anywhere, at any budget can invest in income-producing real estate with just a few clicks.

Real Estate Baskets

Tangible Baskets are a simpler, safer way to own tokenized real estate, giving owners access to a focused selection of high-yield properties all through one, rebasing token. Baskets remove the risks of single-property exposure while giving holders access to the full range of DeFi composability.

Basket tokens are designed to increase returns over time as properties accrue value and cash from rental yield is compounded into new property purchases.

Valuation

The value of each ERC-20 is based on the true value of the real estate assets in the basket, using the True Property Valuation (TPV,) third-party valuations collated and distributed through a decentralized oracle.

The token value is equal to the total TPV of all real estate NFTs in the basket divided by the number of tokens in circulation. Token prices may fluctuate based on demand, but the TPV used in mint/redemptions help ensure token prices will find their correct asset-backed value as market makers can arbitrage the spread.

Yield

As rental yield accrues in the Basket users are distributed additional Basket tokens via rebase to reflect this increase in total vault value. Once enough rental yield has accrued, that cash is converted into a new property for the pool.

In the case of wrapped Baskets, the token value goes up to account for the additional yield. When wrapped Baskets are unwrapped, they'll receive a greater number of Basket tokens to account for the incoming yield.

Mint

Real estate Basket tokens are minted with whole Tangible real estate NFTs. Baskets allow any Tangible NFT holders to deposit freely in exchange for basket tokens (as long as the TNFT is compatible). Users will receive ERC-20s equivalent in value to the TNFTs they minted with.

A 0.5% mint fee is applied to all Basket mint transactions.

Redeem

At any time, users can burn ERC-20 basket tokens and redeem them for an equivalent value of real estate NFTs. Any accumulated rental yield not yet converted into a new property will remain in the vault.

Only one property is available for redemption at a time, with a new property becoming available for claim after the previous property TNFT has been redeemed. Redemption properties are generated at random using Gelato VRF.

Redemptions are only available for whole properties, and the value of Basket tokens being redeemed must match the TPV of the full property being redeemed.

US persons cannot redeem nor take possession of the underlying real estate.

Revenue Share

10% of the incoming Baskets rent is distributed to veRWA holders. $RWA is the governance token for re.al, a Arbitrum Orbit L2 that is home to Tangible. All protocols on the chain will receive liquidity incentives as a key benefit to sharing a portion of protocol revenue with the ecosystem.