Tokenization guide

How to tokenize an asset, step by step

To tokenize an asset you verify your entity, structure the offering with your counsel, model the asset and its token, set the compliance rules every transfer must pass, deploy the smart contracts, onboard and verify investors, run the raise, then service the token with distributions, redemptions and compliant secondary transfers. On Libertum’s T-Suite this is nine phases.

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This guide describes the Libertum platform workflow. It is not legal advice: registration or exemption analysis in every jurisdiction where you offer is your responsibility, with your own counsel.

What are the steps to tokenize an asset?

These are the nine phases of the complete tokenization process, with the typical duration of each.

  1. 01

    01 Prepare (2–10 business days)

    Apply to become an issuer and complete Know Your Business verification through SumSub, then choose a plan. Your plan sets offering count, team seats and module access.

  2. 02

    02 Structure (1–3 weeks)

    Prepare the legal and commercial structure with your counsel, optionally in the Structuring module, then model the asset, its token economics and its documents in the Tokenization Wizard.

  3. 03

    03 Configure compliance (same day)

    Choose the token standard and compose the rules every transfer must pass: country allow or restrict lists, supply limit, maximum balance and hold time. Set up investor agreements if they are required.

  4. 04

    04 Deploy (2 business days, SLA)

    Libertum admins review the submission, then the contracts deploy on the chain you chose and the offering receives a signed Smart Contract Certificate.

  5. 05

    05 Onboard investors (minutes to 2 days each)

    Investors verify their identity, their wallets are whitelisted and, where required, they sign the investor agreement with a one-time code.

  6. 06

    06 Raise (offering window)

    Investors pay by card, bank wire or stablecoin. As orders settle, tokens are minted or transferred and the cap table updates.

  7. 07

    07 Service (ongoing)

    Run the cap table, dividends and distributions, governance votes, documents and announcements, plus controls such as freeze, forced transfer and recovery.

  8. 08

    08 Distribute (ongoing)

    Find and qualify investors with Distribution Hub and Libby AI, a whitelabel marketplace, Coming Soon listings and Ecosystem Directory hosting.

  9. 09

    09 Secondary (post-issuance)

    Whitelisted investors transfer peer-to-peer under the same on-chain rules, and you open redemption windows when investors want to exit.

What do you need before you tokenize an asset?

You need a verified legal entity, an asset with a clear legal structure, and counsel for every jurisdiction where you will offer the tokens. On Libertum, Know Your Business verification supports fifteen entity types, from individuals and LLCs to trusts and foundations. The document set varies by entity type and jurisdiction, but generally includes:

  • Certificate of incorporation or formation, and articles of association or operating agreement
  • Tax registration
  • ID and KYC for every beneficial owner at 25% or above, and ID for directors and officers
  • A bank reference letter and a source-of-funds declaration

Pay Per Listing suits one-off deals; monthly plans suit issuers running several offerings or a whitelabel marketplace. Offering limits count mainnet offerings only. Compare options on the plan page or see what tokenization costs.

How do you structure a tokenized offering?

Structuring has two parts. First, the legal and commercial structure, which you can prepare with the optional Structuring module: a Beta software tool (USD 500/month) that helps you and your counsel draft documents from a jurisdiction pack. It is not a legal service, and your counsel remains responsible for the structure. The Cayman Islands (CIMA) pack is counsel-reviewed and published; the El Salvador (CNAD/LEAD), US (SEC Reg D/Reg S) and EU (MiCA/MiFID II) packs are Beta, pending counsel review.

Second, the Tokenization Wizard models the offering. It adapts to the asset class, from 4 steps for real estate to 10 for equity and commodities, and captures the overview, class-specific project details, token structure (supply, price, minimum and maximum ticket, raise target), documents and distribution settings.

Four fields need care because changing them later means redeploying: decimals, total supply, token price and the minimum and maximum ticket. The maximum ticket should mirror your Max Balance compliance module.

Which token standard should you use to tokenize an asset?

For securities that must stay with verified investors, use a standard that enforces compliance on-chain. Read more on security token platforms or compare every option on standard compliance.

If you are issuing…StandardLive mainnets on Libertum
Real estate, equity, debt or fund units on EVM ERC-3643 (T-REX) Base, Ethereum, Polygon, Arbitrum
The same on Cardano, with on-chain compliance CIP-113 Cardano
A token on the XRP Ledger for verified holders XRPL issued currency with authorised trust lines, or XLS-33 MPT with authorisation XRP Ledger
A utility or governance token ERC-20 or CIP-20 ERC-20: Base, Ethereum. CIP-20: Cardano
A single unique asset ERC-721 Base

How long does it take to tokenize an asset?

On the platform side, entity verification typically takes 2–10 business days, structuring 1–3 weeks, compliance configuration can be done the same day, and Libertum’s pre-deployment review has an SLA target of 2 business days for clean submissions. The raise then runs for your offering window. The longest variable is usually legal: registrations, exemptions and approvals in your jurisdictions run on their own timelines, separate from Libertum’s review.

Libertum’s admin review checks KYB, documents, token economics and compliance configuration. It is a platform review, not a regulatory approval; your own registration with the CNAD or any other regulator is separate.

How do investors buy and hold a tokenized asset?

Investors complete identity verification before they can subscribe; those verified claims are exactly what the on-chain compliance modules read on every later transfer. Wallets reach your whitelist when an investor connects one, when you add it manually, or by CSV upload. Where the offering requires an agreement, the investor signs it with a one-time code and your side is countersigned automatically.

Investors pay by card, bank wire or stablecoin: USDC and USDT on EVM through the Escrow contract, or RLUSD and USDC on the XRP Ledger. They can also pay from their custodian wallet balance, in which case network fees are sponsored for the investor and billed to the issuer.

What happens after an asset is tokenized?

Most of the work happens after issuance, and T-Suite keeps it in one place:

  • Cap table and Transfer Journal: a real-time holder table and an immutable ledger mirroring on-chain events.
  • Dividends and distributions: declare an amount and date; the platform computes pro-rata allocations and pays each wallet in stablecoin.
  • Redemptions: open pool or tranche windows with a fixed price or one set at approval.
  • Secondary transfers: peer-to-peer transfers between whitelisted investors, with Libertum’s P2P order book live on Base mainnet.
  • Funds: fund administrators can run tokenized fund units with Funds.

Can you bring an already-tokenized asset to Libertum?

Yes. Token Import brings an existing token into T-Suite as a read-only Mirror, with its cap table and history, for every supported standard. On EVM it can move to Operate after you grant roles to the platform or hand control to your organisation’s custodian wallet. Cardano and XRPL imports are read-only.

Watch: running a tokenized offering in T-Suite

See an issuer create an offering step by step, accept orders and mint tokens, manage the cap table and compliance controls, update the NAV and open a redemption window.

Transcript: Issuer operations demo

Raising capital is only half the job. Running the offering afterwards is where it gets messy.

Orders in spreadsheets, a transfer agent for the cap table, lawyers for every compliance action, and investors waiting on updates.

On Libertum, you create the offering step by step: the asset, the financial terms, the token standard and the chain.

Subscription orders arrive in one queue. You accept the order, confirm the payment, and mint the tokens to the investor.

Your cap table updates itself. Open any holder to see their position and the compliance controls.

Freeze a wallet, unfreeze it once resolved, or recover tokens when a regulator requires it, all enforced on-chain.

When the asset is revalued, you update the NAV, and investors see the new price.

When investors want to exit, you open a redemption window with a set price and capacity.

Requests come to you to approve, settle and record the payout.

For funds, asset managers and fund administrators: run the whole offering lifecycle in one place. Book a demo at libertum.io.

Related

Tokenization FAQ

What kinds of assets can I tokenize?

The Tokenization Wizard covers real estate, debt digital assets, invoice factoring, revenue digitisation, equity digital assets and commodity tokenization, each with its own steps and project details. Fund administrators can tokenize fund units with the Funds module, which is available by request.

Do I need a lawyer to tokenize an asset?

Yes. Libertum provides the technology, and the Structuring module is a software tool, not a legal service. Your own counsel is responsible for the structure, the documents and any registration or exemption in every jurisdiction where you offer the tokens.

Does Libertum's review mean my offering is approved by a regulator?

No. Libertum’s pre-deployment review, with an SLA target of 2 business days, checks KYB, documents, token economics and compliance configuration on the platform. It is not a regulatory approval, and your registration with the CNAD or any other regulator is separate.

Can I test before going to mainnet?

Yes. EVM testnets, Cardano preview and the XRPL testnet are available for testing, and testnet offerings do not count towards your plan’s offering limit. Plan limits count mainnet offerings only and are checked when an offering is published.

Can I change the token supply after deployment?

Total supply, decimals, token price and the minimum and maximum ticket are fixed in the deployed configuration, so changing them later means redeploying. Total supply is enforced on-chain by the Supply Limit module. Check them carefully in the Tokenization Wizard before you submit.

How do investors get paid dividends on a tokenized asset?

You declare an amount, currency and date. The platform snapshots holders, computes pro-rata allocations and, on the scheduled date, pays each wallet in stablecoin: USDC or USDT on EVM, RLUSD or USDC on the XRP Ledger. A 0.5% dividend fee (minimum USD 1) is deducted at payout.

Tokenize your first asset

Walk through the nine phases with our team, from KYB and structuring to deployment and your first distribution.

Read the full process guide