Glossary
RWA (Real World Assets)
Digital representation of tangible assets (real estate, bonds, receivables) on blockchain.
Core foundation of Real Estate Finance 3.0.
Real Estate Finance 1.0
Mortgage-centric model, reliant on bank loans and credit.
Represents the traditional baseline NeoMason aims to surpass.
Real Estate Finance 2.0
REITs and MBS securitization, enabling partial liquidity.
Transitional model, but limited by geography and regulation.
Real Estate Finance 3.0
Tokenization of real estate on blockchain for liquidity, composability, and cross-border access.
The paradigm NeoMason is building.
ERC1122 Token
Ethereum standard for lifecycle-managed assets (with states/events).
Used for Parent Tokens ($A_1122_n) to anchor property identity.
ERC20 Token
Fungible token standard on Ethereum.
Used for Child Tokens ($A_20_n) to enable fractional ownership and liquidity.
$A_1122_n (Parent Token)
Unique ERC1122 token representing one property. Cannot be duplicated.
Provides legal and lifecycle anchor for each property.
$A_20_n (Child Token)
ERC20 tokens linked to the same property as $A_1122_n. Fractional and tradable.
Enables investment accessibility and secondary trading.
$REY
Yield-bearing note backed by a pool of future rental income. Minted by depositing $A_20_n.
Provides investors with stable 6–9% returns.
Custody Layer
Dual custody model: off-chain (property management) + on-chain (rental escrow).
Ensures asset safety, transparency, and tamper-resistance.
Tokenization Layer
Process of mapping real estate into tokens (documents → compliance → contracts → issuance).
Lowers entry barriers and creates standardized instruments.
Abstraction Layer
Converts heterogeneous properties into standardized $REY via DCF.
Solves “non-standard asset” problem in real estate finance.
DCF (Discounted Cash Flow)
Valuation method: future NOI discounted to present value.
Basis for REY minting and property valuation.
DSCR (Debt Service Coverage Ratio)
Ratio of NOI to debt service obligations (DSCR ≥ 1.1x).
Key metric for risk management in lending.
NOI (Net Operating Income)
Rental income after deducting expenses.
Input for DSCR calculation and valuation models.
5R Model
Rehab → Rent → REY-ize → Refinancing → Recycling.
NeoMason’s asset yield enhancement cycle.
REITs 3.0
Tokenized REITs with blockchain-native liquidity and composability.
Long-term evolution target for NeoMason’s ecosystem.
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