THE MECHANICS

Your equity works for you.
Not the bank.

DeedRiver converts your home equity into tokens you own and control. No deed transfer. No broker. Designed to test structures where verified equity can support a non-recourse collateral advance — not a traditional HELOC. Final treatment depends on transaction documents, state law, mortgage terms, and regulatory review.

FOUR STEPS

01

Tokenization

DeedRiver mints 1,000 DEED tokens representing 100% of your net equity — property value minus any existing mortgage balance. Your deed never moves. Title stays with you at all times. You receive all 1,000 tokens immediately.

Works with mortgaged homes. The mortgage holder's first lien is untouched.

02

Non-Recourse Collateral Advance

You pledge a portion of your tokens (typically 60–80%) to DeedRiver Capital. DeedRiver is designed to test structures where verified equity can support a non-recourse collateral advance — not a traditional HELOC. Final treatment depends on transaction documents, state law, mortgage terms, and regulatory review. A regulator or securities lawyer may characterize the structure differently depending on jurisdiction and documentation.

Unpledged tokens remain fully unencumbered. The pledge can be reduced or exited at any time.

03

Fund Deployment

Advanced capital is deployed into the DeedRiver Capital fund — managed by the former CTO of BFAM Partners. The team's experience includes institutional trading systems and fund infrastructure associated with BFAM Partners. DeedRiver's fund is new and has no independent operating track record. The fund targets an 8% gross annual return. Returns are variable and not guaranteed.

Historical references to BFAM Partners are team background only — not DeedRiver fund results.

04

Yield Distribution

Returns are distributed quarterly to your DeedRiver account, net of platform fees. Withdraw, reinvest, or accumulate. Exit anytime by reducing or removing your pledge to recover your full token position.

No lockup period. No prepayment penalty.

ILLUSTRATIVE EXAMPLE

$1M home. 70% pledge. $72,450 net annual yield.

Free and clear. Numbers are illustrative based on an 8% gross fund return target.

Item

Calculation

Amount

Net equity tokenized

$1,000,000 × 100%

$1,000,000

Tokens minted

1,000 DEED @ $1,000/token

1,000 tokens

Tokens pledged

700 of 1,000

$700,000 collateral

Capital deployed to fund

$700,000

Gross fund return (8%)

$700,000 × 8%

$56,000

Management fee (1.25% AUM)

$700,000 × 1.25%

−$8,750

Performance fee (10% above 8%)

At hurdle — $0

−$0

Net annual yield to homeowner

$47,250

7.2%
Return on Total Equity
10.3%
Return on Deployed Capital
+$128K
Delta vs. HELOC (same capital)

Illustrative only. Past performance does not guarantee future results. This is not investment advice. Estimates based on target fund returns.

EQUITY SCENARIOS

Works with your existing mortgage

DeedRiver does not require a paid-off home. Tokens represent the equity layer only — your mortgage holder's first lien is untouched and senior in all scenarios. The economic sweet spot is $500,000 or more in net equity.

Scenario

Property Value

Mortgage

Tokenizable Equity

Free & Clear

$1,000,000

$0

$1,000,000

Typical

$1,000,000

$600,000

$400,000

Leveraged

$1,000,000

$800,000

$200,000

COMPARISON

How the structures compare

DeedRiver is not free leverage. Capital advanced against tokenized collateral carries a cost — embedded in the fund structure through fees, capital partner terms, and investment risk. The structural differences below are what distinguish it from a HELOC or home equity agreement.

HELOC

MONTHLY PAYMENT

Yes — monthly interest required

RECOURSE

Usually yes — personal liability

RATE / COST

Stated interest rate (currently 8–10%)

UPSIDE / DOWNSIDE

Borrower keeps all investment upside and absorbs all loss

Home Equity Agreement

MONTHLY PAYMENT

No monthly payment

RECOURSE

Usually limited — tied to property value

RATE / COST

Share of future home appreciation (typically 15–40%)

UPSIDE / DOWNSIDE

Investor shares in property upside; homeowner gives up a portion permanently

DeedRiver Yield Deed

MONTHLY PAYMENT

Designed for no monthly payment

RECOURSE

Intended non-recourse to homeowner

RATE / COST

Capital cost + platform fees + investment risk embedded in fund

UPSIDE / DOWNSIDE

Returns variable — dependent on fund performance, capital cost, and market conditions

DeedRiver is designed as a non-recourse collateral advance structure. Capital cost is embedded in fund fees, capital partner terms, and investment performance — not a stated interest rate. Final characterization of the structure depends on transaction documents, state law, and regulatory review. This is not investment advice and does not constitute an offer to lend or invest.

COMPARISON

DeedRiver vs. Reverse Mortgage

A reverse mortgage transfers compounding risk to the homeowner. DeedRiver keeps you in control — no interest, no mandatory insurance, no lender deciding when you sell.

Reverse Mortgage

DeedRiver

Interest accrues

Yes — compounds daily

No

Mortgage insurance

Required (MIP)

None

Homeowner controls pace

No

Yes

Estate retains equity

Often little or none

All unsold tokens

Upfront fees

$6,000+

Sub-1%

Age requirement

62+ required

No minimum

DeedRiver is designed as a non-recourse collateral advance, not a mortgage product. Final treatment depends on transaction documents, state law, and regulatory review. Currently available to accredited investors in Wyoming.

FEES

Transparent. No surprises.

No HELOC interest. No origination fees. No mortgage insurance. No broker commissions.

Fee

Rate

Basis

Tokenization

0.35%

One-time, on net equity at onboarding

Management

1.25% AUM

Annual, on deployed capital only

Performance

10%

Of returns above 8% hurdle rate

Marketplace

1.0–1.5%

On token sale value, buyer + seller split

RISK FACTORS

What you should know

We believe in direct language. These are the risks homeowners should weigh before participating.

Property Value Decline

Token values are pegged to an automated valuation model (AVM). A significant decline may trigger an LTV adjustment. The platform maintains a conservative 70% LTV threshold with an annual AVM refresh and dispute mechanism.

Fund Performance

Returns are investment-linked, not guaranteed. DeedRiver's fund is new and has no operating history. The fund manager's background at BFAM Partners is provided as team context only — it is not a representation of DeedRiver fund results. You may receive less than the 8% gross target.

Lien Priority

If you have an existing mortgage, the first mortgage holder has a senior claim. Token holders hold subordinate equity interests. If you default on your mortgage, the first lien holder's claim takes precedence.

Marketplace Liquidity

Early-phase marketplace trading may have limited depth. The yield product does not depend on marketplace liquidity, but token resale timing cannot be guaranteed.

Due-on-Sale Clauses

Most mortgages include due-on-sale clauses triggered by property interest transfers. The synthetic token layer is not a recorded property interest and likely does not trigger this clause — but we recommend seeking lender consent where possible.

READY TO START

See what your equity could earn.

Enter your home value and equity. Get a personalized yield estimate in under a minute.

Currently available to accredited investors in Wyoming. This is not investment advice. Past performance does not guarantee future results.