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Staking tokenized real estate

Oceanpoint enables anyone to start earning BST with their real estate assets. To start, you will first need to tokenize your real estate property using Blocksquare's tokenization protocol. Don't worry, you can send a request for tokenization using this online form and our team will guide you through the whole process.
Once your property has been tokenized, 10,000 BSPT tokens will be minted to your wallet. Make sure to use an Ethereum wallet compatible with Oceanpoint. Currently, Metamask or WalletConnect compatible mobile wallets are supported, while use of hardware wallets is enabled through Metamask.

What are BSPT tokens?

Blocksquare Property Tokens (BSPTs) are a standard Ethereum ERC-20 token smart contract with a defined maximum issuance of 100,000 tokens for each real estate property, where 1,000 tokens can be issued for each 1% of an asset's capital stack.
Each asset has its own BSPT, meaning the token symbol varies from property to property i.e. BSPT-XYZ-##. The token standard features on-chain property valuation, a legally binding tokens enforceable by a standardized corporate resolution stored on IPFS. Learn more about it.

Why have you decided to issue 10,000 BSPT to an owner of a tokenized property?

Tokenizing 10% of a real estate asset's value seems the safest possible fraction and simplifies due diligence on the property title and capital stack structure. As a rule of thumb, real estate lenders (e.g. banks) usually require that the owner has at least 20% of equity in the asset. This means going for 10% mitigates potential issues and ensures we are tokenizing in the safest possible manner.

Ethereum transactions

Transactions in Ethereum are cryptographically signed data messages that contain a set of instructions. These instructions can interpret to sending Ether from one Ethereum account to another or interacting with a smart contract deployed on the blockchain.
Initiating a transaction involves paying a fee to the network for it to be processed. This means you will need to hold a small amount of Ether on your wallet to interact with Oceanpoint and deposit/withdraw BSPT.

Step 1: Connect your wallet

Open app.oceanpoint.fi on your Chrome or Brave browser and click connect wallet in the top right section of the screen.
A pop-up to select your wallet type will display. For this guide, we will use Metamask.
Make sure you are connected to Mainnet with the Ethereum wallet account where you hold BSPT tokens.

Step 2: Approve your property token

Once you have connected your wallet, scroll down until you see the Asset pool section.
Click on it to expand. Choose your property from the drop down on the left side. To make searching easier, the "hide tokens without balance" toggle switch is turned on by default.
After selecting the property you would like to stake, you will first need to allow Oceanpoint to interact with the BSPT tokens on your wallet. To do so, click approve and confirm the transaction in Metamask.

What is token allowance?

Because the Ethereum blockchain allows transactions with smart contracts and those smart contracts can be facilitated by 3rd parties – like a DEX or Protocol Relayer – permissions have to be granted to the 3rd party by token owners before those smart contracts can execute.
Setting token allowance does not mean you are giving your tokens to the 3rd party. All it means is you are willingly allowing the smart contract to transfer up-to a specified amount of a token on your behalf.
Oceanpoint enables you to manually approve token allowance amounts by switching off the "infinite" approve toggle button.

Step 3: Deposit your property tokens

Once the approval transaction is confirmed, you will be able to deposit your real estate property tokens in the Asset pool to earn staking rewards.
Enter the desired token amount in the input field, than click Deposit and confirm the transaction in Metamask.
Please note, depositing BSPT to the Asset pool is subject to a 6 months lock period. This means you will be able to withdraw only after 6 months. Furthermore, depositing additional tokens of the same property won't be possible before the lock period ends.
See Asset pool for a deeper dive into pool mechanics.
Once your deposit transaction is confirmed, refresh your browser to see your deposited value and pool share.

Step 4: Earn crypto

Just like staking in the Governance pool, staking in the Asset pool is auto-compounding as long as your BSPT tokens are deposited.
You will see your earned BST under the My stats section of the Oceanpoint dapp.
Please note BST rewards will start being distributed to those staking only after 60% of the initial pool of tokenized real estate assets is deposited, however, no later that 22.8.2022.
250,000 BST / month have been initially set as rewards for real estate owners staking on Oceanpoint. With the introduction of v0.3 this reward is going to decrease to shift incentives towards liquidity providers.
To learn more 👉 Supply, Issuance, & Rewards
Last modified 6mo ago