Payouts

Depending on the Asset class and Offering terms of an Asset, the Issuer may be required to pay out dividends or coupon payments to Investors. Payout amounts per Investor are typically calculated based on the respective amount of Tokens held by the Investor at a specific point in time. The Payouts tab of the Offering Manager enables admins to prepare Payouts to Investors based on previously taken Registrar snapshots, i.e. a list of Token holders and their respective holdings at a predefined time.

Payout list

When clicking the Payouts tab, the Admin sees a list of all previous payouts.

Payouts tab

Create Payout

To create a new Payout, the admin clicks the "Create Payout" button on the Payouts tab and defines the following inputs:

• Name is a custom name for the Payout, e.g. "Coupon Payment Q1 2022"

• Distribution Amount is the total payout amount to be distributed across all investors. This amount is typically based on a fixed percentage of the total outstanding Token volume (Fixed coupon) or based on certain performance criteria (Variable coupon / Dividend). The Distribution amount for an individual Investors is allocated pro rata: Distribution amount/Total amount of Tokens outstanding x Token holding of individual Investor

• Taxable Share Percentage is a value that describes which share of the payout is eligible for taxation. Typically the full payout amount is taxable (Value=100%), however certain payouts may differ in this regard.

• Snapshot Date allows the Admin to select an existing Registrar snapshot to base the payout on. Payout allocation will be calculated based on the Token holdings registered in the Registrar snapshot.

Once a Payout is created, the dataset can be assessed via API or CSV download for further processing (e.g. advanced tax calculation, payout via bank transfer, payout via on-chain payment to Investor wallets).