Token qualification
The token may be classified as a financial instrument (security token) under applicable law.
Represented rights
The token represents specific rights against the issuer, as defined in the offering documentation.
Relationship between token and rights
The token constitutes a digital representation of such rights but does not itself constitute the legal right.
Underlying legal structure
The rights are linked to the overall structure of the transaction (issuing entity and underlying assets).
Link to real-world assets
The value and characteristics of the token are associated with real-world assets (e.g. land) through the defined legal structure.
Role of the smart contract / protocol (XRPL)
The protocol governs the issuance, recording, and transfer of the tokens according to predefined rules.
Protocol limitations
The protocol does not create or modify legal rights, which are governed exclusively by contractual documentation.
Restrictions and transferability
Any limitations on the transfer of tokens are defined in accordance with applicable regulations.
Hierarchy of documents
In the event of discrepancies, the terms of the offering and the offering document shall prevail.