How it works.

Blockchain technology at Shelters' service.

The blockchain is a decentralized information storage and transmission technology, which allows to secure and verify transactions by recording them in a public and immutable register. It works through a network of computers that verify and validate transactions. Once a transaction is validated, it is added to a block and becomes a permanent part of the blockchain.

blockchain icon
Security
Transactions are encrypted and stored in a decentralized manner, making them extremely difficult to hack or modify
Transparency
All transactions are recorded on the blockchain and can be viewed by anyone, ensuring full transparency and verifiable transaction history.
Rapidity
Transactions on the blockchain are generally faster and more efficient than traditional transactions because they do not require intermediaries or trusted third parties.

Real estate tokenization.

Real estate tokenization is a process that consists of converting financial rights related to an asset, in our case real estate, into « small pieces » called fractions. These fractions are then represented as collections of NFTs (or Non Fungible Tokens) on the MultiversX blockchain.

Shelters fractions

Shelters is based on two fundamental principles: tokenization and the fractionalization of the financial rights of real estate within a blockchain. Tokenization consists of issuing one or more Non-Fungible Tokens (NFTs) that represent certain financial rights of a real property on the blockchain. Fractionation, on the other hand, makes the acquisition of these financial rights more accessible by distributing them among several NFTs. This method significantly lowers the unit price of purchasing a portion of these rights, making investment in rental real estate accessible from 10€ at Shelters.

Let's take a practical example. If Shelters buys a property with a value of 100 000€. This property can be split into a collection of 10,000 NFTs with a unit value of 10€. The user who owns 1000 of these NFTs therefore has the financial rights corresponding to one tenth of the property

By investing in fractions of Shelters, investors acquire rights in proportion to the amount of NFTs they own. This allows them to benefit from the rents and participate in the gains from a potential resale of the property, while having the freedom to manage and exchange their fractions as they see fit.

house picture

185 rue des Pontonniers

Strasbourg - France

1 460 300 €

4.2%

net rental yield

6.7%

price reassessment

Yields and rents.

Holding these fractions allows the investor to receive a share of the rent and ultimately the disposal amount generated by the underlying property in proportion to the quantity held. Thus, if a property generates 1 000€ of rent per month, with a collection of NFTs of 10000 NFT, the user owning 1000 NFT will be entitled to a tenth of the rent, that is in our example 100€/month (before deduction of the management fees) as well as his share in case of a potential sale.

These returns are distributed either in euros to your bank account via a transfer or using a third party such as Paypal, or in $USDC stablecoin. The $USDC stablecoin is a digital representation of a US dollar on the blockchain, giving it the stability and predictability much appreciated by investors. Each $USDC is backed by a real dollar, stored in partner banks before being issued on the MultiversX blockchain.

As mentioned in the previous example, investors' ownership of fractional Shelters entitles them to the returns generated by the underlying real estate. These fractions represent a share of the financial rights associated with the property, allowing investors to receive a proportionate share of the rents and, potentially, the gains from the resale of the property.

The $USDC crypto-asset.

The use of the $USDC crypto asset is an option in addition to the « classic » euro for earning returns directly on your digital wallet, and offers several advantages for holders of fractional Shelters.

Stability: Returns that are distributed in $USDC, protects investors from fluctuations in the crypto-assets market by guaranteeing them a stable value for their earnings.

Security: $USDC transactions are encrypted and stored in a decentralized manner on the MultiversX blockchain, ensuring the safety of investors' funds.

Transparency: $USDC transactions are recorded on the blockchain and can be viewed by all users, ensuring transparency and traceability of transactions.

Know Your Customer (KYC).

To be eligible for yield distributions through the holding of Shelters fractions, it is imperative that the holder of these fractions has validated a KYC (Know Your Customer) process on the Shelters application. KYC is an essential step to ensure regulatory compliance and protect investors.

By requiring investors to pass a valid KYC, Shelters is committed to meeting the standards set by regulators and creating a safe and secure environment for everyone. This approach reinforces the credibility of our project and allows us to build a relationship of trust with our investors, while ensuring a solid link between the world of the Web 3.0 blockchain and the real world.

In case a Shelters fractional holder has not yet completed and validated their KYC, the returns to which they would normally be entitled will be temporarily stored on the Shelters platform. These returns will remain on hold until the user has passed and validated the KYC process on the Shelters application.

Resale of real estate.

In order to always act in the best interest of its investors, Shelters reserves the right to sell a property when it believes it is beneficial to them. This decision could be made based on various factors, such as the realization of a significant capital gain, the evolution of the real estate market etc.

When a property is sold, Shelters fraction holders are entitled to their share according to the number of fractions they hold. Once the sale transaction has been completed at the notary's office, holders of the corresponding fractions will be invited to visit the Shelters application to exchange the fractions for euros or the stablecoin $USDC. These fractions are then permanently destroyed, or « burned », by Shelters, guaranteeing a fair distribution of gains between investors.

This approach maximizes investor returns while ensuring flexible and responsive management of real estate assets, adapting to changing market conditions and taking advantage of opportunities as they arise.