Are there any escrow restrictions on NatGold Tokens once they are issued?
Are there any escrow restrictions on NatGold Tokens once they are issued?
Yes. To help ensure an orderly and stable marketplace, NatGold applies fixed escrow provisions based on the size of each token recipient’s allocation at the time of tokenization.
The escrow provisions are as follows:
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If the allocation is 20% or less of the total tokens minted for a project:
There are no escrow restrictions. All tokens are fully transferable upon issuance. -
If the allocation is greater than 20% but less than or equal to 50%:
Only the portion above 20% is subject to escrow. These tokens are locked for six (6) months. -
If the allocation exceeds 50%:
The portion above 20% and up to 50% is escrowed for six (6) months, and any portion above 50% is escrowed for twelve (12) months.
Example:
If a token recipient is allocated 60% of the total tokens:
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The first 20% is immediately transferable
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The next 30% (20–50%) is escrowed for 6 months
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The final 10% (above 50%) is escrowed for 12 months
All escrow terms are embedded into the Title Exchange and Tokenization Agreement and are securely managed through institutional custody. Escrowed tokens are automatically released once their respective terms expire.
This structured approach helps support stable price discovery, reduces the risk of sudden market pressure, and reinforces NatGold’s long-term commitment to building a trusted, asset-backed digital token economy.
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