Frequently Asked Questions about EstateX

EstateX
9 min readJun 22, 2023

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As the excitement from our Microsoft Grant and collaboration settles, we are delighted to witness the immense interest and intriguing questions pouring in from our incredible community.

We appreciate your curiosity and thirst for knowledge, and we’re here to provide you with the answers you seek.

At EstateX, we understand that our business model may appear complex at first glance, but fear not! We’ve put together an exceptional compilation of frequently asked questions to unravel the intricacies and shed light on the incredible potential of our project.

Your feedback has been astounding, and we value your input immensely.

But we don’t want the conversation to end there. We thrive on meaningful discussions and engaging with our community. Our DMs and community chat are always open, eagerly awaiting your questions, ideas, and visions for the future. Together, we will shape the real estate landscape and revolutionize the industry!

So, our dear EstateX Family, let us know if there are any other burning questions you have or any ideas you wish to share. The floor is yours, and we are here to listen, guide, and empower you every step of the way.

Drop your questions below and let the journey of discovery and transformation begin!

Together, we will unlock the boundless potential of EstateX and create a future where real estate is simple, accessible, and life-changing.

Hold on tight, EstateX Family! The adventure has just begun, and the possibilities are limitless! 🚀🌍

1. When is the EstateX Platform launching?

Mark your calendars! The grand launch of the EstateX platform and the corresponding public exchange listing of $ESX tokens is slated for the end of Q3. Be sure to stay tuned for our exclusive launchpad round happening just before this. We can’t wait to take this exciting leap forward with our EstateX community!

2. Where will EstateX be Licensed and Regulated?

We’re in the final stages of securing licenses to operate under the stringent financial authorities of Europe. The licenses that we’re pursuing – either directly or through integrated partners – include an ECSP license, Brokers License, Registry License, and Custody License. EstateX is set to become the first worldwide tokenization platform boasting such a comprehensive suite of integrated licenses and fully regulated solutions. Following this, we will rapidly extend our licensing activities to other jurisdictions, supporting our swift international growth.

3. How does EstateX generate revenue?

EstateX is designed with multiple revenue streams, not only supporting our operational costs but also fueling continual platform development and growth. These revenue streams stem from both individual properties, regardless of the ownership status of the underlying freehold, and overall platform activities. Here’s how:

Tokenisation Fee: EstateX charges a fee for tokenising each property. This process involves an extensive legal and regulatory due diligence to ensure that every tokenised property complies with relevant laws and regulations.

Promotional Fee: We charge a promotional fee for featuring properties to the EstateX community. This allows property owners to reach a wide, diversified group of potential investors for a rapid sale..

Rental Income: We collect a share of the rental income generated from residential, commercial, and industrial tenants. In some cases, we may solely tokenise the rental income stream, allowing investors to reap benefits from the rental revenue without factoring in the fluctuation in the underlying asset value.

Asset Appreciation: Over time, as the value of the properties increase, so does the value of the tokenised asset, generating revenue for EstateX.

Transactional and Arrangement Fees: We will generate an income through various transactional fees, including arrangement fees for instant loans that are secured against the real estate investment.

Furthermore, to ensure consistent income and protect our investors, we’re planning to include rental insurance. This would be optional as voted by the DAO, but would safeguard the revenue stream, even if a property becomes untenanted – although we are very selective about the properties we onboard to ensure they’re situated in high-demand areas.

Apart from these property-specific revenue streams, we also explore additional opportunities for income generation across the entire platform and ecosystem. With each transaction, user interaction and partner collaboration, EstateX is continually growing its revenue, thus building a sustainable business model for the long-term.

4. What are the tokens in the EstateX ecosystem?

We operate with two integral tokens within our ecosystem.

First, meet PROPX, our Security Token. Your ownership of real-world investment is encapsulated in this token, with its value largely tethered to the underlying property’s value. However, market dynamics can also influence its price – a promising property might attract higher bids, pushing up the PROPX price.

Then, there’s the heart of our ecosystem, the $ESX Token. Sold during our presale and soon to be listed on public exchanges, $ESX is the versatile utility token fuelling various operations within EstateX. The demand for $ESX has been phenomenal – within minutes, we raised over $2M! This just shows the immense potential and confidence our community has in our project. We’re excited for what’s to come!

5. Will there be utility to the $ESX Token at launch?

You bet! We’ve meticulously planned our launch strategy to ensure our platform is robust and ready for action from day one. This ensures an immediate activation of token use cases, fostering healthy buy pressure. Remember, as the EstateX platform grows, so does the value of $ESX. With many utilities live at launch, we promise a steady rollout of additional features in the subsequent months to keep the momentum going!

6. Is the $ESX Token classified as a security?

While the $ESX Token is not categorized as a security in most jurisdictions, North America (Canada and the USA) does classify it as such. In light of this, we’ve taken every step to ensure that North American citizens can legally participate in the token offering. This includes filing a security offering with the Securities and Exchange Commission (SEC) and confirming that all paperwork from our accredited North American investors is compliant with US regulations. Your access to $ESX is our top priority and we are committed to ensuring it within the bounds of legal compliance.

7. How often are Golden Staking rewards paid out?

Available only to presale $ESX Tokenholders, your shiny Golden Staking rewards, boasting an incredible 20% APY, can be claimed once per year. It’s a fantastic way to see your investment grow.

8. How frequently can I claim Dynamic Staking rewards?

Get ready to reap the benefits of Dynamic Staking! We’ll be rolling out various reward pools over time, with each pool limited by either the number of investors or total staked tokens. Each pool will have different durations, payout schedules, and APYs. This ensures diverse opportunities for our community members to earn rewards based on their investment strategies.

9. How does tokenization of assets work legally?

Here’s how it works: We establish a Special Purpose Vehicle (SPV) and transfer your property ownership to this SPV. This SPV, which allows multiple investors to pool their capital for investment, is then tokenized to signify your property ownership. So, initially, you would own 100% of the SPV and 100% of the tokens. You then have the power to decide what percentage you wish to sell, and agree on the ‘rent’ that will be paid to the new token holders owning a percentage of your property. This is a simplified overview of the process, but it outlines the legal and operational framework.

10. Will I be able to buy real estate at launch?

Absolutely! We’re revolutionizing how you invest in real estate. Starting from the launch, or soon thereafter, you’ll be able to own fractional real estate. With beta testing well underway before the official launch, we’re ensuring a seamless experience for all our users. Welcome to the future of real estate!

11. Do I need to hold $ESX Tokens to purchase PROPX Tokens?

Not at all! We’re all about accessibility here at EstateX. You can buy PROPX tokens using Fiat or various Cryptocurrencies (including $ESX). Our aim is to onboard the massive 98% of the global public not currently involved in crypto, allowing them to experience our groundbreaking financial solutions.

And there’s more! Our platform will feature a functional DAO where $ESX Token holders will have the power to vote on key decisions influencing the future of the EstateX ecosystem. This includes decisions like which new properties should be listed or where to allocate funds for charitable initiatives. Here at EstateX, we truly believe in giving power to the investor!

12. Who is the owner of the property?

In our innovative model, the property is held by a Special Purpose Vehicle (SPV). And guess who owns the SPV? That’s right, you – the PROPX Token holders! By investing with EstateX, you own a piece of the property through your PROPX tokens. It’s real estate ownership, reimagined.

13. Who takes care of property maintenance?

The responsibility for property upkeep legally rests with the SPV, as they are the formal owner of the property. However, we’re working to contract external management companies to handle the maintenance of all properties on-boarded onto EstateX. Maintenance costs are factored into the investment structure, so there won’t be any unexpected costs for our investors down the line.

14. Who decides when to sell the property?

The power lies with you, the PROPX Token holders! Major decisions regarding a property, such as when to sell, are made via a mini-DAO (Decentralized Autonomous Organization) per property. This setup ensures that decision-making power is in the hands of the majority of PROPX Token holders. This is decentralized governance at its finest!

15. What happens to my real estate investments if EstateX stops trading?

Invest with peace of mind! Our fully regulated platform, under the supervision of various European authorities, ensures the safety of your assets. You won’t have to lift a finger – the Registrar (under BaFin supervision) will keep track of all investments on our platform. If EstateX were to cease operations, your assets would be claimable via the registrar. Should such a situation arise, we would guide you through the process step-by-step. Your investment security is our priority.

16. Are there limits on withdrawal and why?

Great news! As of now, we have no restrictions on withdrawal limits. This ensures that you have full control over your investments and returns. EstateX strives for a user-friendly experience in all aspects of our platform.

17. What countries will EstateX Pay be available in?

Initially, EstateX Pay Cards will be accessible to our European investors, shortly after that worldwide. These cards offer the revolutionary ability to transact daily goods and services directly from your property portfolio! As long as you hold a PROPX token, even if your $ESX balance is zero, an automatic overdraft feature will let you leverage your PROPX token as collateral for instant payments.

Rest assured, we’re working tirelessly to expand this service to other regions. The vision is global access, and we’re determined to make it happen!

18. What will be the fees and payback terms on the loans?

We’re designing flexible loan products to suit your needs, offering both variable and fixed payback terms. And guess what? Our loan fees are going to be highly competitive, made possible by securing your loan against your PROPX token. This reduces the risk for our finance provider, making our rates even more attractive.

Part of your interest will also be automatically paid in ESX. However, exact fees and terms will be dependent on the liquidity provider we partner with. Rest assured, we’re committed to securing the best conditions for our investors.

19. When will you announce your VC partners?

We’ll be unveiling our esteemed VC partners closer to our platform’s launch. Timing is critical, and we want to ensure that our announcement delivers lasting impact and maximal benefits for our token holders.

What makes us stand out is our robust community, which has allowed us to develop EstateX without relying heavily on VC funding. Our partnerships are less about money and more about creating substantial value for the project.

Now, EstateX is not just an idea – we’re a nearly launch-ready ecosystem that’s poised to revolutionize real estate ownership, investing, and lending. We assure you, the VC partners we will introduce will significantly bolster our credibility, bring long-term value to the project, and fuel our rapid ecosystem growth.

20. How will you mitigate sell pressure on launch and prevent a potential dump of the initial 10% released to tokenholders?

We are preparing a robust strategy to tackle sell pressure effectively at launch. There’s already a significant amount of buy pressure accumulating, with many of our original investors (OGs) and new participants eager to secure $ESX Tokens.

This demand is expected to increase as we move closer to launch and amplify our marketing efforts. These initiatives aim to expand our community with new investors who align with our vision.

Our strategic partnerships with top-tier launchpad and exchange platforms will expose EstateX to a massive audience of potential new investors, further increasing awareness and demand.

In addition, we plan to launch our platform around the same time as our token launch. This strategy not only aligns the token with immediate real-world utility, but it also creates an environment that fosters healthy token economics from day one.

21. Will I be able to purchase Season 1 NFTs?

Absolutely! If you missed out on our presale events, fret not – we’ll be releasing a limited quantity of Season 1 NFTs for public purchase before our launch. It’s a great opportunity to snag these digital collectibles!

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EstateX

Blockchain Disruptor, Making Investing in Real Estate simple, affordable & accessible