💹Asset Tokens

Understanding Revenue Distribution Mechanisms

Machine asset tokens are dedicated to a specific project (for instance, a single automated vertical farm) and represent a time-bound revenue-share contract. The functions of asset token are listed below:

Fractional Ownership

• Representation of Revenue Shares: The primary function of a machine token is to represent a share in the revenue streams generated by the automated machines or robots listed on the platform for a given project. Investors purchase these tokens to gain a proportional claim on the revenue produced by these assets.

• Liquidity: Tokens might be traded on a secondary market, providing liquidity to investors. This means investors can sell their tokens to other interested parties, making it easier to enter or exit investments. However, initially, there will likely be little liquidity for these asset tokens.

Revenue Distribution

• Automated Payouts: The revenue share smart contract on the blockchain automates the distribution of revenues. When the machine operator distributes the revenue generated by the machines, it is allocated to machine token holders based on the number of tokens they hold. This process ensures timely and transparent payouts without the need for intermediaries.

• Yield Generation: Holding the token entitles investors to passive income, as they receive a share of the ongoing earnings from the automated business operations tied to their tokens

By understanding the functions and benefits of machine tokens, investors and operators can fully leverage the secure, transparent, and efficient revenue distribution mechanisms provided by the XMAQUINA network.