FAQ
We compiled a list of questions and related answers asked in Telegram and Discord chats for your easy reference, do engage with us if anything is not clarified in this page appropriately.
1. How do I create a fund?
A fund can be created in 4 simple steps.
1. Click on the Create Fund icon to start the simple process of launching a new XTF token fund.
2. Choose an appropriate Ticker (no char limits) for the XTF token fund.
3. Select the assets to include and the relative weights.
4. Assign a Risk Rating to the fund and add some details on the investment strategy (free text input).
The final step is to click Launch after following through all the above!
You can also refer to the video tutorials.
2. How many underlying assets can I select in a fund?
Currently, in the first phase of the DEXTF mainnet release, a DEXTF fund can hold a maximum of 10 assets. We expect to increase the limit gradually and to eventually enable the creation of fund of funds (FOFs) on the front end.
Read more on FOFs here.
3. What are the available assets that can be used in a fund?
You can refer to the list of supported tokens here:
We are releasing new tokens on a regular basis (happy to receive suggestions either via support@domani.finance or through our Discord channel in #request-token-support). We expect to include all asset types, as tokenization efforts continue, including real world assets such as equity, debt, options etc. Note: Before adding a token as supported asset the team performs an analysis of its smart contract to assure it strictly conforms with the ERC-20 standard and no suspicious/unusual code is present.
4. Can I create a fund with 1 underlying asset?
No, the minimum is 2 assets. We expect to enable the front-end creation of fund of funds (FOFs), which will still require a minimum of 2 funds.
5. What does the "symbol" represent in a fund?
The symbol is a unique identifier (a.k.a. ticker) that represents the token fund on the platform's database. The limit is currently set at 3 alphanumeric characters.
6. Does the risk rating influence any price or calculation in a fund?
No, at the moment the risk rating is purely to inform the investor of the fund's overall risk rating based on assets' composition. However, we expect that it may be used for risk analytics purposes.
7. After creating a fund on the platform, it is not visible for an investor, why?
After a fund is created on the platform, it needs to be Launched on the blockchain to be visible by investors. Please make sure that you have completed this step.
8. How/Where can I define the management fee?
At the moment the platform does not have management fees and this feature will be developed soon.
9. How is the total supply of 100M allocated?
50% of total token supply to be allocated to portfolio managers and investors
30% of total token supply allocated to DEXTF team for platform development
15% of total token supply community driven allocation
5% of total token supply allocated to advisors
10. Is there any vesting period for the allocated tokens?
Yes, the 30% allocation to the DEXTF team is vested for 2 years. While rewards for portfolio managers have currently a locking period of 2 months.
11. Can I use a fiat currency (i.e. USD, EUR) to invest in a fund?
No, our platform currently can only accept digital currencies.
12. Which (stablecoins) digital currencies can I currently use to invest in a fund?
Our platform currently accepts DAI and USDC for new investments.
13. How many wallets does your platform support?
At the moment we only support Metamask. We are working to integrate new wallets in the future.
14. I do not own any of the underlying assets in my wallet but I want to buy a share of the fund, what should I do?
Our platform is integrated with Kyber Network (a decentralized exchange) which allows you to invest in a fund using DAI and buy the underlying assets on Kyber, through our platform, in a single transaction. Therefore, as long as you own sufficient DAI, you'll be able to complete the subscription into the fund.
15. I do not own all the underlying assets in my wallet but I have some and not enough to buy my target quantity, what should I do?
Please refer to FAQ #14. In view of our Kyber integration you can swap the balance quantity required to subscribe to the fund without moving away from the platform as long as the token is supported by Kyber.
16. Can I buy less than 1 token of a fund?
Yes, XTF fund tokens are divisible in less than 1 unit.
17. Can I access the assets in the Safe at a later stage for future investments?
Yes, this is indeed the purpose of the Safe, which is to allow investors to keep the funds available for future subscriptions/investment without withdrawing the assets back into the wallet.
18. Can I use a different exchange to purchase the underlying assets of a fund?
No, at the moment our platform is integrated with Kyber but we are planning to add more exchanges in the future.
19. What is the market slippage when using Kyber Swap?
The slippage is the difference between the price a transaction was executed and the price it was requested at. On our platform you can decide to accept any market slippage or set a predefined amount, in which case, a transaction will be executed only if the slippage is less than your preset amount.
20. How do I calculate the required quantity of assets to invest in the fund?
Given the XTF token quantity you'd like to buy in the Instructions tab, click on the revolving arrow icon next to Required Quantity column to compute the required amount.
21. What is the recommended Gas Limit for the various operations?
The Gas Limit indicates the maximum amount of Gas you’re willing to spend on a particular ethereum transaction. There is no exact formula to determine the Gas Limit to set the various operations; nevertheless, based on the analysis of past ethereum transactions, these are the recommended values:
Fund Launch | |||||||
2 assets | 1,200,000 | 3 assets | 1,300,000 | 4 assets | 1,400,000 | ||
5 assets | 1,450,000 | 6 assets | 1,500,000 | 7 assets | 1,600,000 | ||
8 assets | 1,700,000 | 9 assets | 1,800,000 | 10 assets | 2,000,000 |
Fund Investment | (using wallet) | |||||
2-4 assets | 500,000 | 5-6 assets | 650,000 | |||
7-8 assets | 750,000 | 9-10 assets | 850,000 |
Fund Redemption | (using wallet) | |||||
2-4 assets | 350,000 | 5-6 assets | 550,000 | |||
7-8 assets | 650,000 | 9-10 assets | 750,000 |
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