FAQ

Where does the yield come from? From the financing fee on real, short-term commodity trade finance, not from crypto lending or token rewards. The vault funds the movement of physical goods and earns a fee when each trade settles. See The yield engine.

Is the yield guaranteed? No. Trade Dollar targets a net yield of 8% to 12% per year, but this is a target, not a promise. The actual yield varies with deal flow, how much capital is deployed, and when trades settle.

How is this different from a lending protocol or private credit? Most lending protocols and private credit lend money and depend on a borrower repaying. Trade Dollar is non-credit: it finances goods, and a financing vehicle holds legal title to them on the vault's behalf, so recovery runs through the goods and insurance, not a borrower's solvency. See The non-credit model: default and recovery.

What does Trade Dollar finance? Two products on the same vault architecture. At launch, physical commodity trade, starting with metals. The near-term second product line is trade receivables, for example agricultural exports. The metals product is secured by owning the goods. The receivables product works the same way but is secured by an assigned receivable, with trade-credit insurance covering buyer non-payment.

What happens if a counterparty does not pay? The financing vehicle that holds title can sell the goods, redirect the shipment, or claim on the cargo insurance, where the vehicle is the named loss payee. Recovery does not depend on the counterparty staying solvent, though it still depends on the value of the goods, how fast they sell, and the insurance process. For the receivables variant, recovery runs through the assigned receivable and trade-credit insurance instead. See The non-credit model: default and recovery.

What do I actually hold when I deposit? A vault share token: an on-chain claim on the vault's Net Asset Value. Behind it, a financing vehicle holds legal title to the goods or receivables on the vault's behalf. The full structure is on Legal: what you hold.

What happens if Trade Dollar, the company, shuts down? The honest answer has two parts: deployed capital sits in a financing vehicle designed to be bankruptcy-remote from Trade Dollar, Salus, and the Curator, and the vault contracts keep running on Ethereum regardless. See Legal: what you hold.

How fast can I withdraw? You can request a withdrawal at any time. Requests are paid first from the liquid buffer, then from trades as they mature, through a first-in, first-out queue. A full withdrawal usually settles within the 30 to 90 day deal length, and can take longer under stress. See NAV, liquidity and withdrawals.

What do I deposit, and on what chain? You deposit a stablecoin on Ethereum, USDT or USDC, and receive a vault share token. Each vault shows its accepted deposit token. Stablecoins carry their own risk, including depeg and issuer failure; see Risks.

Can someone time a deposit around a NAV update? The NAV initially moves in steps, so entry and exit timing are governed by explicit rules. Withdrawals are priced at the NAV on fulfillment, not on request. The deposit pricing rules around NAV updates are part of the vault parameters, published before launch. See NAV, liquidity and withdrawals.

Can I transfer my vault share tokens? Yes. The vault share token is transferable from launch, and transfers themselves are not restricted. What is restricted is interaction with the vault: depositing, and redeeming through the withdrawal queue, require a verified, whitelisted address. A holder who is not whitelisted can hold or sell the token, but cannot redeem against the vault. If the token trades on a secondary market, its price there can differ from NAV; the vault itself always prices deposits and withdrawals at NAV. See NAV, liquidity and withdrawals.

How do Ethereum and IOTA fit together? Trade Dollar uses Ethereum for the vault, LP accounting, deposits, withdrawals, and the share token. It uses the Salus documentation layer, which runs on IOTA, for Digital Warehouse Receipts and trade-document workflows. The two layers serve different roles. See Salus and IOTA integration.

Is it audited? The vault contracts follow the ERC-4626 and ERC-7540 standards. An independent third-party smart-contract audit is planned before mainnet, with reports published when complete. No smart contract is ever fully safe. See Security and audits.

Who can take part? Access is a verified whitelist, so you complete verification before you can deposit. Access is not open in restricted jurisdictions, and may not be open where you live. The current list is set out in the Terms. Access can also change if rules change or are applied differently in a jurisdiction; see Risks. See Access: who can join and how.

Is there a minimum deposit? There is no minimum deposit. Verification is required before you can deposit.

How do I know my capital is really deployed? Through the Glass Box. You can verify the vault's composition, the stage of each deal, and every NAV update on-chain. Verification does not remove investment risk. See Transparency.

What are the fees? One fee: a performance fee on realized yield, shared between Trade Dollar and the Curator. If the vault earns nothing, no fee is taken. The expected range is 10% to 20% of realized yield, with the actual rate set at launch and shown in the app. See Fees and the yield waterfall.

What are the main risks? Counterparty, fraud and documentation, commodity price, smart contract, stablecoin, liquidity and redemption, valuation, concentration at launch, key-person, regulatory, infrastructure, and tail risks. Each one, and how it is managed, is explained on the Risks page.