Investment Processes
Subsidiary
This website is owned and operated by Curio AG, a subsidiary company incorporated in Vaduz, Liechtenstein under the Companies Act.
CurioInvest is an online platform powered by blockchain technology that enables investors to purchase tokens directly backed by limited edition collectible cars. These tokens allow investors to share in the profit if the value of the underlying vehicle increases.
CurioInvest platform will simplify the investment process – investors can register and purchase tokens online, while CurioInvest manages the purchase, maintenance, insurance, and sale of the vehicle, as well as all related administration and paperwork.
Asset Tokenization
Asset tokenization refers to a process whereby a digital asset is created that is directly backed by a physical asset such as a car. CurioInvest aims to use modern technologies such as crowdfunding and asset tokenization to bring small and mid-level investors to the market.
Asset Identification
CurioInvest identifies rare and classic or modern collectible cars that are priced competitively and likely to increase in value over time.
Crowdfunding
To finance the car, CurioInvest launches a crowdfunding campaign. Investors and car enthusiasts can now invest in the vehicle. The funds are stored in an escrow (smart contract).
If the crowdfunding campaign is successful, CurioInvest Invest will acquire the vehicle and place it in storage with its maintenance partner, Mechatronik Fahrzeugund Motorentechnik GmbH. If the crowdfunding campaign cannot be completed within three months, investors will be refunded everything except third-party payment processing fees.
Security Tokens Issuance
Once the vehicle is purchased, CurioInvest issues security tokens representing the value of the car. These tokens are then distributed to the investors, proportional to the size of their investment. The security token confers the right on the token holder to share in the profit if the value of the vehicle increases. The token is distributed to a wallet which is automatically generated when the user signs up on the CurioInvest platform. The token can be traded peer to peer and will also be traded on digital exchanges in the future.
Proceeds Sharing
If the conditions for disposal are met, the vehicle is resold (see ). All token holders receive a share of the proceeds of the sale proportional to their token holdings minus costs (storage, maintenance, and insurance, for example) and the CurioInvest performance fee of 20%. Token holders who have acquired the token OTC (or on a secondary market) are obliged to sign up on the CurioInvest platform and become a verified user in order to cash out. A KYC check is required for all investments. Reselling Conditions
A sale is subject to the following conditions:
In the first two years, a sale can only take place if the gross sales price is 25% above the purchase price.
In the three subsequent years, a sale can only take place if the gross sales price is 20% above the purchase price. After five years, there is no minimum sale price. The proceeds from the sale of the vehicle (gross sales proceeds) are used to cover ongoing costs such as insurance, maintenance, and storage. This results in the net sales proceeds. Afterward, a 20% performance is deducted from the net profit. This will not be levied on the first car on the platform (Ferrari F12tdf).
Revenues
CurioInvest Invest has three main sources of revenue:
5% Finder’s fee: when a car seller lists a vehicle on the CurioInvest platform, CurioInvest charges the car seller a 5% fee if 100% of the car tokens are successfully sold. 20% Performance fee: in the case of a successful exit scenario when the vehicle is resold, CurioInvest takes a 20% performance fee after covering costs. Subscription fees when the platform achieves sufficient scale. Everybody will be able to signup and invest for free. For €10 a month, users will get early access to new cars on the platform and additional digital content and privileges. For €70 a month, users get personal one-on-one service and physical access to the cars at events. CurioInvest will waive all subscription fees for the first 12-18 months after deployment or until a critical mass of 10k- 20k users has been reached. The monthly trading volume of all token markets is driven by our intellectual property.