NFT Pricing

Each NFT aims to give a 25% cash return per year, and the price of the NFT will be based on the 25% per year target. For example, if a property cash flows $2,000 per month, each NFT holder would receive $20 per month in rewards. Over the year, this NFT holder would receive a total of $240 in rewards. With this estimate, we can determine the starting price of the NFT by multiplying the yearly rewards rate by 4 to reflect the 25% return per year, making the starting price of the NFT at $960. Over the course of the year, the holder would receive the $240 worth of rewards, and the NFT value could go up or down depending on the price of the property associated with it.
If the property is ever sold, the NFT holders will receive 1% of the sale price per NFT they own. For example, a property that will cash flow $2,000 a month will be purchased for $960. The price of a property that cash flows $2,000 per month would likely be around $500,000, so if the property is ever sold, the 1% ownership that the NFT represents would be worth about $5,000. We have no intentions of selling properties, but if a property is ever sold for any reason, the NFT owner will receive the lump sum of 1% of the sale price and the NFT will be rendered useless. The lump sum payment of the property sale will be significantly larger than the purchase price of the NFT.