Business Model Explained
Last updated
Last updated
Lingo is one of the first Web3 startups to truly combine blockchain technology and real-world assets in a way that is both scalable and safe. Let's break down Lingo's unique model.
Lingo generates a platform fee of 2.5% on on-chain token trades, transfers, and redemptions.
This simple, community-driven model perpetually adds value to the ever-growing real estate pool. The remaining part of the revenue goes into ecosystem and marketing, which helps increase project awareness and, in turn, trading volume, which additionally supports real estate funds.
We have 3 main criteria for Lingo's holding company's initial real estate investments:
Tier 1 jurisdictions: We target assets in big cities (Dubai, Paris, London, Miami) that are less volatile and tend to generate stable cashflow in the long term.
Long-term rental: We target a minimum of 6% net rental yield.
Optimised for short-term rental: We target 7-11% if we optimize for short-term rental while hedging risk at 6% for the long term. STR also adds utility value for token holders.
We partner with licensed and tier 1 fiduciary partners to source and shortlist assets based on our criteria. Lingo's DAO then votes for which property to acquire for Lingo's holding company.
Lingo has created an infinitely scalable model powered by the utility of loyalty rewards and value-producing real-world assets. It’s more than just crypto for loyalty rewards - it’s a groundbreaking, scalable system backed by a concrete model and supported by cash-flowing assets that guarantee buying pressure each month.
The core premise of Lingo is transparent and easy to understand:
Lingo benefits token holders by generating perpetual buying pressure through monthly buybacks; the real game changer comes from the flywheel model: Lingo's real estate portfolio keeps growing year on year the more the community grows and trades Lingo tokens.
Through these real estate investments, Lingo aims to sustain an ecosystem that revolves around the Lingo token, leveraging the yields from these investments to support the Lingo token's value through regular buybacks and maintain a stable and robust economy within its platform, which results in continuously scalable results: Lingo's model exists to reward its community members.
