Real World Asset Tokenization

Structured access to institutional-grade real-world asset (RWA) tokenization frameworks

Tokenization Details
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Introduction

RWA Tokenization

DeFinityX facilitates structured access to institutional-grade real-world asset (RWA) tokenization frameworks through selected, licensed and regulated tokenization, securitization and administration counterparties.

The framework enables eligible asset owners to participate in a regulated securitization structure while retaining full legal ownership, operational control and economic rights over their underlying assets. Tokenization is used as a structuring and access mechanism, not as a transfer of ownership, sale, or financing instrument.

Tokenization engagements coordinated by DeFinityX are not loans, equity offerings, or asset disposals. DeFinityX does not issue tokens, provide financing, or act as a regulated financial institution. Our role is to support origination, onboarding coordination and execution readiness, while all regulated structuring, issuance, custody, administration and compliance activities are carried out exclusively by licensed and regulated entities.

Structural Framework

Where applicable, real-world assets are structured within a Luxembourg securitization framework, established pursuant to the Luxembourg Securitization Law of 22 March 2004.

These structures are administered by regulated fund managers, trustees and service providers responsible for:

  • Asset and compartment administration
  • Compliance and regulatory oversight
  • Liquidity coordination (where applicable)
  • Operational governance and reporting

This framework is widely recognised by institutional investors for its legal certainty, investor protection mechanisms and flexibility across asset classes.

DeFinityX Role

Within the RWA tokenization process, DeFinityX acts strictly as an independent advisory, distribution and onboarding coordination partner. Our involvement is limited to pre-issuance and engagement coordination activities and does not extend into regulated execution or asset control.

Specifically, DeFinityX supports clients by:

  • Originating and assessing initial RWA tokenization enquiries
  • Coordinating onboarding and documentation readiness
  • Aligning legal, valuation and structuring stakeholders
  • Managing procedural sequencing and engagement milestones through to completion

At no point does DeFinityX act as an issuer, fund manager, arranger, custodian, broker, or regulated financial institution, nor does it hold or control client assets.

Governance & Role Clarity

All regulated activities including securitization, token issuance, custody, administration and compliance, remain the sole responsibility of the relevant licensed and regulated counterparties. DeFinityX's role is designed to support clarity, governance and execution discipline, ensuring that tokenization engagements are structured, compliant and institution-ready from inception through completion.

Key Features

Full Ownership & Economic Retention

Asset owners retain 100% legal ownership, usage rights and economic benefits associated with the underlying asset throughout the life of the structure. Title to the asset remains entirely with the owner at all times and is not transferred, sold, or diluted as part of the tokenization process.

Structured, Predictable Income Profile

Where applicable, the structure may provide access to contractually defined, periodic income distributions, typically structured as fixed monthly coupon payments. Indicative return ranges are determined by the underlying structure, asset profile and institutional counterparties involved and are governed by binding contractual arrangements rather than speculative performance assumptions.

Institutional-Grade Security & Risk Mitigation

Assets are pledged into a Luxembourg securitization compartment benefiting from statutory ring-fencing and bankruptcy remoteness under Luxembourg law. The asset is not refinanced, transferred, or encumbered beyond the defined securitization framework. Capital flows, liquidity management and settlement processes are conducted exclusively through regulated financial institutions meeting institutional credit, compliance and governance standards. Client assets and cash flows remain segregated and administered within regulated infrastructure, with clear legal enforceability supported by contractual documentation and independent trustee oversight.

No Refinancing, Dilution, or Ownership Change

The structure does not involve refinancing, equity dilution, or any change in ownership. The asset remains fully under the control of the owner and is pledged solely for the purpose of participation in a regulated securitization and token distribution framework.

Regulated Luxembourg Securitization Framework

The structure operates pursuant to the Luxembourg Securitization Law of 22 March 2004 and is implemented within a framework aligned with applicable EU securities and regulatory standards, including oversight principles associated with the CSSF regime. This provides a robust legal foundation, transparency and investor protection, consistent with institutional expectations for structured finance and asset-backed arrangements.

Investment Structure

(Detailed structure diagram to be added)

The investment structure diagram illustrates the relationship between asset owners, the Luxembourg securitization vehicle and the various regulated counterparties involved in the tokenization process.

Process

Step-by-Step Process Overview

Indicative Timeline: 6-12 Weeks from Initial Engagement to Completion. The following timeline may vary depending on asset class, jurisdiction, documentation readiness and regulatory complexity.

1

Week 1-2
Initial Documentation & Compliance

Prospective participants complete initial onboarding and compliance documentation to establish eligibility and readiness for participation in the securitization structure. This phase includes execution of confidentiality and non-circumvention documentation, submission of corporate and ownership information and provision of supporting asset information. Where available, existing valuation reports are submitted alongside indicative current valuations prepared or underwritten by the relevant asset manager.

Key Documentation: NCNDA | Non-Solicitation Letter | Client Information Profile (CIP) | Shareholder / Management Questionnaires | Asset Valuation Materials

Outcome: Onboarding readiness confirmed and file prepared for preliminary review

2

Week 2-3
Preliminary Review & Heads of Terms

Submitted documentation is reviewed by Luxembourg legal counsel together with the appointed audit and structuring advisers to confirm structural feasibility and alignment with securitization requirements. Subject to this preliminary assessment, the asset manager may issue a non-binding Heads of Terms, outlining indicative structural parameters, subject to full legal, technical and compliance due diligence.

Key Documentation: Preliminary Heads of Terms (Non-Binding)

Outcome: Indicative structural alignment confirmed, subject to full due diligence

3

Week 3-6
Legal Due Diligence, Structuring & Compartment Establishment

A comprehensive due-diligence process is conducted, including legal ownership and asset traceability verification, KYC / AML and counterparty assessments, review and validation of valuation methodologies and confirmation of compliance with Luxembourg securitization requirements. A dedicated Luxembourg securitization compartment is established under the relevant securitization vehicle pursuant to the Luxembourg Securitization Law of 22 March 2004. The compartment is legally ring-fenced, bankruptcy-remote and segregated from all other compartments and issuances within the securitization structure.

Key Documentation: Compartment Establishment / Incorporation Agreement | Due Diligence Reports

Outcome: Structure approved and ready for formal constitution

4

Week 6-8
Notarial Execution & Security Perfection

Security is established through direct notarial pledge and usufruct arrangements over the shares of the entity holding the underlying asset. These notarial deeds secure the compartment's rights while preserving the asset owner's legal ownership, usage rights and economic interest, subject to the terms of the securitization documentation. A limited Power of Attorney may be granted to enable the appointed asset manager or administrator to complete procedural steps before the notary.

Key Documentation: Notarial Deed of Pledge and Usufruct Over Shares | Limited Power of Attorney Agreement

Outcome: Legal security perfected and structure formally constituted

5

Week 8-10
Security Token Issuance & Custody Framework

Asset-backed security tokens are issued by the licensed issuer on the Polymesh blockchain, a permissioned, institutionally governed network designed for compliant real-world asset tokenization. Polymesh's governance model, identity framework and resistance to protocol-level disruptions support legal continuity and enforceability of issued securities. Tokens are held within regulated institutional custody arrangements operated by the appointed custodian in accordance with the applicable Token Issuance and Custody Agreements.

Key Documentation: Token Issuance and Custody Agreements | Custodial Confirmations

Outcome: Structure activated and operational

6

Week 10-12
Liquidity Coordination & Distribution

Liquidity access, where applicable, is coordinated through the relevant licensed counterparties acting within their authorised regulatory perimeter. Neither DeFinityX nor the securitization vehicle provides banking, lending, or discretionary investment services. All assets remain fully ring-fenced within the securitization compartment and all activity is subject to ongoing reporting and compliance oversight. Where structured, periodic coupon distributions are made in accordance with contractual terms and securitization documentation.

Key Documentation: Distribution Agreements | Administration Confirmations

Outcome: Fully operational securitization with ongoing governance

Important Notes
  • Timelines are indicative and not guaranteed
  • Complex assets or cross-border structures may require additional time
  • Regulatory, legal, or valuation findings may extend certain phases
  • DeFinityX coordinates the process but does not control third-party execution timelines

Eligible Asset Classes

Eligibility is assessed on a case-by-case basis and is subject to legal, valuation, compliance and jurisdictional review. Assets must be capable of being structured within a regulated securitization framework and meet institutional standards of ownership, valuation and enforceability.

Asset TypeEligibilityInstitutional Considerations
Real EstateYesResidential, commercial, or land assets with clear legal title. Asset owners retain usage rights, rental income and capital appreciation, subject to securitisation documentation.
Luxury VehiclesYesSupercars, collector cars and classic vehicles with verifiable market value, clean title and appropriate storage, insurance and provenance documentation.
CommoditiesYesPhysical commodities (e.g. gold, silver, oil) subject to verifiable ownership, recognised custody arrangements and benchmark pricing references.
Fine Art & CollectiblesYesAssets must have certified provenance and institutional-grade valuation from recognised specialists or auction houses.
Legal Copyrights (Music & IP)YesCopyrights and intellectual property with verifiable ownership, contractual revenue history and independent professional valuation.
Equity in Privately Owned CompaniesYesShares in private companies with verifiable ownership, corporate documentation and independent valuation. Subject to governance, transferability and enforcement considerations.
Other / Bespoke AssetsCase-by-caseAssets assessed individually based on market comparables, legal enforceability, valuation methodology and suitability for structured securitisation. Custom structuring may be required.
Important Notes
  • Eligibility does not imply acceptance
  • All assets are subject to full legal, technical, valuation and compliance due diligence
  • Certain asset classes may be excluded based on jurisdictional or regulatory constraints
  • Final acceptance is determined solely by the licensed and regulated structuring counterparties

Security and Risk Mitigation

The securitization framework facilitated through DeFinityX is designed to incorporate multiple, layered risk-mitigation mechanisms aligned with institutional standards, legal certainty and regulatory best practice. These mechanisms operate collectively to support asset protection, enforceability, transparency and disciplined governance throughout the lifecycle of each structure.

Ring-Fenced Legal Compartments

Each asset or project is allocated to a dedicated securitization compartment established pursuant to the Luxembourg Securitization Law of 22 March 2004 (as amended). Compartments benefit from statutory ring-fencing and bankruptcy remoteness, ensuring that assets, liabilities and cash flows are legally segregated from other compartments and from the wider securitization vehicle.

Luxembourg Legal & Regulatory Framework

The securitization structure operates in accordance with the Luxembourg Securitization Law of 22 March 2004 and applicable EU legal and regulatory frameworks. Where relevant, regulatory alignment is supported by professional advisers operating within the scope of Commission de Surveillance du Secteur Financier (CSSF) guidance.

Institutional Custody & Safekeeping

Tokenized securities and related assets are held under enforceable custodial arrangements with regulated financial institutions. Custody structures provide segregation, safekeeping and enforceability of rights in accordance with Luxembourg law and applicable custodial standards.

Distributed Ledger-Enabled Record-Keeping & Settlement Support

Distributed ledger technology is used to support controlled record-keeping, auditable settlement processes and transparent asset representation within the securitization framework. This operates alongside traditional legal and custodial controls and does not replace contractual or regulatory safeguards.

Smart Contract-Based Operational Controls

Smart contracts may be deployed to automate predefined operational functions, such as coupon calculation, distribution scheduling and restriction enforcement, strictly in accordance with approved legal documentation. These controls support consistency of execution and reduce operational risk.

Immutable Audit & Record Trails

Token issuance, transfers, compartment allocations and beneficial ownership records are captured within tamper-resistant systems, creating verifiable audit trails accessible to authorised parties. This supports transparency, traceability and regulatory review throughout the lifecycle of the structure.

Contractual Distribution & Cash-Flow Framework

Distribution mechanisms, where applicable, are governed by binding contractual arrangements documented within the securitization structure. All distributions are subject to the terms, conditions and risk factors set out in the definitive legal documentation and are not guaranteed.

Institutional Liquidity Coordination (US-Based)

Liquidity coordination, where applicable, is supported through institutional counterparties operating from the United States. These counterparties may provide liquidity coordination, risk management input and structuring support within their authorised scope.

Digital Asset Institutional Custody

Digital asset-related securities are safeguarded through regulated institutional custodians, ensuring secure storage, segregation and operational controls aligned with industry best practice. Custodial arrangements are structured to support institutional security, auditability and regulatory compliance.

Key Stakeholders Involved with the Tokenization Process

Luxembourg Legal Counsel

Provides securitization structuring analysis, regulatory guidance and jurisdiction-specific execution requirements.

Licensed Asset Manager & Fund Administrator

Manages compartment operations, compliance oversight, liquidity coordination and governance.

Regulated Custodian

Holds digital asset securities in fully segregated, ring-fenced custody with institutional security controls.

Licensed Token Issuer

Issues asset-backed security tokens on regulated blockchain infrastructure (Polymesh).

Valuation & Appraisal Partners

Provides independent asset valuations supporting structuring and governance requirements.

Compliance & Risk Framework Providers

Supports KYC/AML verification, counterparty assessment and ongoing monitoring.

Conclusion

The tokenization structure facilitated through DeFinityX provides asset owners with access to a regulated, institutional-grade framework designed to support the structuring and representation of eligible real-world assets without requiring a sale, refinancing, or dilution of ownership.

Through this framework, eligible assets may be structured within a Luxembourg securitization arrangement established pursuant to the Luxembourg Securitization Law of 22 March 2004. Asset owners retain legal ownership, usage rights and economic interests in their underlying assets, subject to the terms of the applicable securitization and contractual documentation.

The structure combines legally enforceable securitization mechanics with distributed-ledger-enabled record-keeping, supporting transparency, operational discipline and auditable lifecycle management, while operating alongside institutional custody and governance standards implemented by licensed and regulated counterparties.

Where applicable and subject to client instruction, access to liquidity may be coordinated through relevant affiliated or third-party regulated entities operating within their authorised regulatory scope. Such activity is conducted independently from the securitization vehicle, preserving strict separation between asset structuring, custody and liquidity-related functions.

This framework is designed to support asset owners seeking structured capital efficiency, improved cash-flow planning and participation in institutional financial arrangements, within a secure, regulated and governance-led environment.

Positioning Line: DeFinityX facilitates access to institutional structuring frameworks through disciplined coordination, regulatory alignment and execution oversight without assuming custody, issuance, or regulated financial activity.

Get Started

Start the Process

If you wish to explore whether asset tokenisation may be appropriate for your circumstances, the first step is to initiate DeFinityX's formal enquiry and assessment process.

Prospective clients are invited to complete the initial enquiry and application forms below. Submission of these forms does not constitute acceptance or commitment but enables a preliminary review of suitability and eligibility.

Upon submission, you will receive an automated email outlining the next steps, including execution of a Non-Disclosure, Non-Circumvention and Non-Solicitation Agreement (NCNDA).

Following execution of the NCNDA:

  1. 1. Your submission will be reviewed for initial eligibility and structural suitability.
  2. 2. Further information will be provided regarding the indicative process, documentation requirements and next steps.
  3. 3. Secure communication channels will be established for the exchange of additional information and documentation.

Personal Information

Engagement Intent

Submission of an enquiry does not constitute an offer, advice, or commitment and is subject to confidentiality and eligibility requirements.

Enquire Now

If you would prefer an initial discussion before commencing the formal assessment process, you may submit an enquiry to speak with a member of the DeFinityX team.

This option is suitable for asset owners, professional advisers and stakeholders seeking a high-level overview of the tokenisation framework, indicative eligibility considerations and the overall process prior to initiating formal onboarding.

Enquire Now

Download Reference Materials

Access to reference materials is locked. Complete the enquiry form and sign the NCNDA & Non-Solicitation Agreement to unlock downloads.

To access reference materials, you must:

  1. 1

      Complete the enquiry form above.
  2. 2

      Sign the NCNDA & non-solicitation agreement.

Reference materials are indicative only and may vary by jurisdiction, asset class and transaction structure. Access to reference materials is provided via a secure environment and is subject to completion of the initial onboarding and confidentiality requirements. Materials are intended to support understanding and do not constitute an offer, advice, or commitment.

FAQs

Frequently Asked Questions

Find answers to common questions about our tokenization framework, structure and processes.

Credibility & Track Record

Core Structure & Regulation

Compliance, Framework & Location

Polymesh & Tokenization Technology

Fractional vs Security Tokens

Ring-Fence Protection & Risk

Onboarding Process

Ownership & Control

Investor Access

Insurance & Contractual Security

Payments & LTV Control

Taxation

Costs & Fees

Repayment & Exit

Additional Services

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DeFinityX facilitates structured access to institutional securitization frameworks through disciplined coordination, governance alignment and execution oversight never through regulatory shortcuts.