Higher-risk mutual fund (AIFMD/UCITS) with variable NAV. Transition from TMMF or direct purchase. Target yield ~6-8% (not guaranteed).
This is like a mutual fund — higher risk but higher reward (~6-8% target). Your money is invested in bonds and other assets, so the value goes up and down. It's like having a professionally managed investment portfolio that you can buy instantly — redemption is subject to a T+2 cooldown period (per UCITS rules). Banks offer this as a next step after TMMF: start with the safe savings account, then move to this for higher returns as you get more comfortable with investing.
Higher-risk mutual fund with variable NAV. Structured as an AIF (Alternative Investment Fund) under AIFMD, or UCITS for retail investors — subject to MiFID II suitability requirements. Built on a layered ERC standard stack: ERC-3643/T-REX (permissioned shell), ERC-4626 (vault accounting), ERC-7540 (async redemption for T+2 settlement), ERC-1643 (prospectus/KID/KIID anchoring). Supervised by FSMA under Belgian Law of 11 December 2025.
Standards used: ERC-3643/T-REX (permissioned shell + ONCHAINID), ERC-4626 (vault accounting), ERC-7540 (async redemption), ERC-1643 (prospectus/KID anchoring), FATF Travel Rule (KYC-gated), oracle price feeds (variable NAV).
IdentityRegistry.checkCompliance() — FATF Travel Rule: investor must be verified + accredited (higher threshold than TMMF).
NAV updated daily via Chainlink-style push oracle: authorized oracle submitter (asset management team) calls updateNAV(newNAV). Circuit breaker: if NAV hasn't been updated in 48 hours, all deposits/redeems freeze automatically. NAV is market-driven (more volatile than TMMF). ERC-4626: getNAV() returns current share value.
Direct: TMF.purchaseWithEURTokens() — restricted to EUR tokens (MiCA CASP compliance). USDC requires separate authorization.
From TMMF: requestTMFTransition() — burns TMMF shares, mints TMF shares based on NAV ratio.
YieldDistributionEngine distributes yield (~6-8% target) proportionally to all TMF shareholders.
vault.redeem(shares) — investor redeems for pro-rata assets. ERC-4626 assumes immediate redemption, so lock-up is implemented via a withdrawal queue pattern: investor calls requestRedeem(shares) → 2-day cooldown → executeRedeem() releases assets. This satisfies UCITS T+2 redemption rules while using the ERC-4626 vault interface.
Banks offer product upselling: start with low-risk TMMF, then transition to higher-yield TMF. This is how retail banks guide customers from savings accounts to investment products.
How does TMMF trust TMF to burn its shares? The TMF contract address is whitelisted in the TMMF contract's authorizedTransitions[] array. Only the TMF contract can call burnFromTMMF(tmmfShares) on the TMMF contract. This is a one-way trust: TMMF trusts TMF to burn TMMF shares, and TMF trusts TMMF to verify the user has approved the transfer. The TMF contract address is immutable once set at deployment — no admin can change it. This prevents phishing attacks where a malicious contract impersonates TMF.
Every EUR token is backed 1:1 by real EUR deposits. Third-party attestations verify the reserve monthly, using Merkle-proof technology similar to Circle's USDC model.
Customers can purchase TMF directly with their tokenized EUR deposits or USDC. This is how banks offer investment products alongside deposit accounts.
Simulate how the asset management team updates the TMF NAV and how variable pricing works.