Detailed terms and conditions for the Monthly Dividend Disbursement partnership class.
The VeroChain Monthly Dividend Disbursement (MDD) Partnership Class is a proprietary trading program designed exclusively for selectively onboarded Investment Partners seeking consistent monthly income derived from the firm's digital asset trading activities. This term sheet outlines the material terms and conditions governing participation in the MDD program.
The MDD class operates within VeroChain's proprietary trading operations, providing Investment Partners with exposure to the firm's multi-strategy digital asset portfolio while receiving regular monthly distributions from realized trading profits. VeroChain maintains a highly selective onboarding process and reserves the right to decline any application at its sole discretion.
| Term | Details |
|---|---|
| Issuer | VeroChain DMCC, Dubai, UAE |
| Product | Monthly Dividend Disbursement (MDD) Partnership Class |
| Currency | USD / USDT / USDC |
| Minimum Partnership Capital | $100,000 USD equivalent |
| Additional Capital | $25,000 USD minimum increments |
| Onboarding Frequency | Monthly (1st business day) |
| Distribution Frequency | Monthly (last business day) |
| Target Distribution | 1–3% of Net Asset Value |
| Management Fee | 2.0% per annum (charged monthly) |
| Performance Fee | 20% of net new profits above high-water mark |
| Lock-up Period | None |
| Redemption Notice | 7 business days written notice |
| Redemption Settlement | T+5 business days |
| NAV Calculation | Monthly, independently verified |
VeroChain's fee structure is designed to align the interests of the firm with those of its Investment Partners. The management fee covers operational costs, technology infrastructure, and research, while the performance fee ensures that VeroChain is incentivized to maximize risk-adjusted returns.
| Fee Type | Rate | Calculation Basis | Payment Frequency |
|---|---|---|---|
| Management Fee | 2.0% p.a. | Average monthly NAV | Monthly in arrears |
| Performance Fee | 20% | Net new profits above HWM | Quarterly in arrears |
| Subscription Fee | None | — | — |
| Redemption Fee | None | — | — |
| Administrative Fee | Included | Covered by management fee | — |
High-water mark (HWM) ensures that performance fees are only charged on net new profits. If the portfolio experiences a drawdown, no performance fee is charged until previous losses are recovered.
Prospective Investment Partners may be admitted to the MDD class on the first business day of each calendar month, subject to completion of all required documentation, KYC/AML verification, and approval by VeroChain's partner review committee. Partnership capital must be received in cleared funds no later than three business days prior to the onboarding date.
Redemptions may be requested at any time by providing written notice to VeroChain's partner relations team. Redemption proceeds are calculated based on the NAV as of the next monthly valuation date following the notice period and are settled within five business days thereafter.
This term sheet and the partnership agreement are governed by the laws of the United Arab Emirates as applicable within the DMCC Free Zone. Any disputes arising from or in connection with the partnership shall be resolved through arbitration administered by the DIFC-LCIA Arbitration Centre in Dubai.
VeroChain reserves the right to amend these terms with 30 calendar days' written notice to all Investment Partners. Material changes to fee structures or redemption terms require the affirmative consent of a majority of Investment Partners by NAV.