Skip to main content
All CollectionsLegal
How does Whimsy maintain legal compliance?
How does Whimsy maintain legal compliance?
Updated over 2 months ago

Whimsy LLC offers fractionalized real-world assets under a Regulation A Tier II exemption from the United States Securities and Exchange Commission. All securities-related activity is conducted through a registered broker-dealer that is a member of FINRA/SIPC.

How We Operate

  • Know Your Customer (KYC) identity verification – mandatory process of identifying and verifying the client's identity when opening an account and periodically over time with our Plaid integration to conduct KYC & Liveness checks.

  • No USD will be held by Whimsy at any point. We are integrated with North Capital escrow facilitation services who handle the custody of the offering's funds.

  • By default custodial wallets will be made available once KYC/KYB has been verified. This will be used to hold property shares that you can claim after the sale is sold out and complete.

  • Only wallets that are whitelisted can buy, sell, or own the property asset tokens. Thus after a customer is KYC’d, their wallet will be whitelisted and any other additional wallets they choose connect.

  • Token burns will only occur when a property is no longer on our platform because of sell off or if a fund doesn't reach it's funding goals in the timeline provided.

  • Programatic token claw backs allows for reclaiming tokens in the case an investor loses access to a private key or personal wallet is compromised.

  • Smart Contract transfer protocols for refunds if property doesn't meet the funding within the window or if a property is lost to natural disasters or is sold off.

  • Rental income from the properties will be issued out by default as USD fiat, but if you so choose to accept crypto such as USDC, ADA, ETH, BTC, or SOL you can change those settings in your account and we at Whimsy will be obliged.

Did this answer your question?