Frequently Asked Questions

What are tokenized stocks?

Tokenized stocks are blockchain-based tokens that represent real-world equities such as Apple, Tesla, or Microsoft. Each token is fully backed and redeemable for the underlying share, held by qualified custodians. They combine the benefits of traditional stock ownership with the efficiency of blockchain, enabling fractional ownership, instant settlement, 24/7 access, and DeFi interoperability.

Where can I buy tokenized stocks?

Tokenized stocks are available via PrimeDelta Swap, PrimeDelta Mint, and select PrimeDelta distribution partners. PrimeDelta Swap is the easiest way to get started, enabling real-time trading with on-chain settlement. PrimeDelta Mint provides access to stock trading through traditional exchanges and may involve standard settlement timelines (T+1).

Do tokenized stocks pay dividends?

Yes, tokenized stocks distribute dividends from the underlying equities. Dividends are paid in dUSD and can be claimed in the Portfolio section of your PrimeDelta (Mint & Swap) account. You remain eligible for dividends even when your tokens are used in DeFi applications, such as providing liquidity on PrimeDelta Swap.

Do tokenized stocks offer voting rights?

No, tokenized stocks on PrimeDelta currently do not provide voting rights. While they represent legal ownership of the underlying shares, proxy voting is not supported at this time.

What happens when a stock splits?

Stock splits and reverse splits are handled through a multiplier mechanism within the tokenized stock. Instead of adjusting token balances directly on-chain, the multiplier determines how many underlying shares each token represents during issuance and redemption on PrimeDelta Mint. For example, after a 2:1 stock split, one token would be redeemable for two shares. This ensures tokenized stocks remain aligned with corporate actions, preserves proportional ownership, and avoids any disruption to liquidity.

On which blockchains are tokenized stocks available?

Tokenized stocks are issued and settled on PrimeDelta Chain. Support for bridging to other EVM-compatible networks will be introduced over time.

What is PrimeDelta Swap?

PrimeDelta Swap is a decentralized exchange purpose-built for tokenized stocks and digital assets. It enables seamless swaps between tokenized stocks and crypto, with real-time pricing and on-chain settlement. Users can also provide liquidity to earn yield on their tokenized stocks.

What are liquidity pools on PrimeDelta Swap?

Liquidity pools are pools of assets that enable trading on PrimeDelta Swap. They consist of tokenized stocks paired with dUSD, allowing users to swap between assets directly on-chain without a counterparty. Users can contribute to these pools by providing liquidity and earn a share of the trading fees generated by the pool.

How do I earn yield on tokenized stocks?

You can earn yield by providing liquidity to PrimeDelta Swap. To do this, you deposit a tokenized stock and dUSD into a liquidity pool. In return, you receive LP tokens representing your share of the pool and earn a portion of the trading fees generated.

What are the fees on PrimeDelta Swap?

PrimeDelta Swap charges fees that vary by asset and pool type.

• Tokenized stock pools use a dynamic fee model based on pool balance, trade size, and trade direction. Balanced pools typically start at 0.15%, with lower fees for rebalancing trades and higher fees for trades that increase imbalance.
• Digital asset pools (e.g. DEL/dUSD) use fixed swap fees of 0.3%.

Trades may also include a small oracle fee for real-time pricing, plus standard network gas fees paid in DEL.

What are PrimeDelta Swap trading hours?

PrimeDelta Swap operates from 4:00 AM to 8:00 PM ET, Monday to Friday for tokenized stock trading in line with U.S. equity market hours. Digital assets such as DEL and dUSD remain available for trading 24/7.

What is dUSD?

dUSD is the native USD-backed stablecoin of the PrimeDelta ecosystem. It is used for settlement, trading, and liquidity across PrimeDelta applications, and can be issued or redeemed at 1:1 with USD through PrimeDelta Mint.

What is PrimeDelta Mint?

PrimeDelta Mint is PrimeDelta's tokenization platform for issuing and redeeming tokenized assets, including tokenized stocks and dUSD. Similar to traditional trading platforms, it allows users to buy and sell stocks through traditional exchanges, with the added ability to withdraw stock and USD balances as tokens on-chain.

Who can use PrimeDelta Mint?

PrimeDelta Mint is available to all verified participants with a valid Digital Identity.

How does issuance and redemption work?

Issuance and redemption of tokenized stocks and dUSD are handled through PrimeDelta Mint deposits and withdrawals.

• Issuance: Tokens are issued when stock balances are withdrawn from your PrimeDelta account to your wallet.
• Redemption: Tokens are redeemed when deposited back into your PrimeDelta Mint account. The tokens are burned, and the corresponding shares or USD balances are credited to your account.

Note: PrimeDelta Mint supports only whole tokenized stock units for withdrawals and deposits.

What are PrimeDelta Mint trading hours?

PrimeDelta Mint operates from 4:00 AM to 8:00 PM ET, Monday to Friday for stock trading in line with U.S. market hours. Deposits and withdrawals of dUSD and tokenized stocks are available 24/7.

What are the fees on PrimeDelta Mint?

PrimeDelta Mint charges a 0.5% trading fee on stock buys and sells. Deposits and withdrawals of tokenized stocks and dUSD have no platform fees. Standard network gas fees may apply.

What is a Digital Identity?

Digital Identities are non-transferable tokens issued to verified users and smart contracts, representing the compliance layer of the PrimeDelta ecosystem. Tokenized assets on PrimeDelta are permissioned and can only be held and transferred by participants with a valid Digital Identity, ensuring a safe and compliant on-chain environment.

How do I get a Digital Identity?

Connect your wallet, select Verify Identity, and complete the one-time KYC process. Once approved, you can claim your Digital Identity to your wallet, enabling access to tokenized stocks and platform features.

You will need:

• A government-issued ID (passport, driver's license, or national ID)
• A proof of residency (utility bill, bank statement, or similar)
• A liveness check
• A small amount of DEL to cover gas fees

Can I recover my Digital Identity if I lose access to my wallet?

Yes. You can recover your Digital Identity if you lose access to your wallet.

Recovery is handled through a secure re-verification process. Once approved, your Digital Identity and any associated tokenized stocks are transferred to your new wallet address.

Recovery steps:

1. Connect a new wallet on PrimeDelta
2. Go to your profile and select Recover Digital Identity
3. Complete the verification process
4. Your Digital Identity and tokenized assets will be restored to your new wallet

Are Digital Identities secure and private?

Yes. Digital Identities are designed to enable compliance without exposing sensitive information on-chain. Your Digital Identity only represents your verified status and includes a jurisdiction marker required for compliance purposes. No personal information is stored on-chain. All KYC information is securely managed off-chain by our licensed verification partner, Sumsub, under strict privacy safeguards.

Which regulations does PrimeDelta operate under?

PrimeDelta is not a broker-dealer. All securities transactions are executed by registered broker-dealers regulated by the U.S. Securities and Exchange Commission (SEC) and Financial Industry Regulatory Authority (FINRA). Underlying securities remain held by qualified custodians.

Are PrimeDelta tokenized stocks fully backed by underlying shares?

Yes. Tokenized stocks are fully backed by the corresponding underlying shares held with a qualified custodian in segregated omnibus accounts. New tokens are only issued once matching shares have been acquired, and tokens are burned when redeemed. Holdings are reconciled daily against tokens in circulation, and regular independent attestation reports are published to provide ongoing transparency and verify that tokenized supply remains aligned with the underlying assets at all times.

Are PrimeDelta's smart contracts audited and open-source?

Yes. PrimeDelta's core smart contracts are open-source and publicly available on GitHub.

They have been independently audited by Cyfrin, a leading blockchain security auditor, to ensure security and reliability. You can review the audit report here.