Asset & Tokenization Model
Last updated
Last updated
LumiVault ensures that its 80-tonne gold reserve is securely tokenized and fully backed by its total 50 million $LVT token supply. Each $LVT represents a fractional ownership claim over the gold reserves, ensuring a 1: 0.16g gold peg, where every token corresponds to 0.16 grams of physical gold. This mechanism guarantees that $LVT maintains intrinsic value, offering investors an asset that is secure, verifiable, and redeemable.
The tokenization of these gold reserves is governed by on-chain proof-of-reserves (PoR) mechanisms, which link stored gold reserves to a multi-signature vault system managed by third-party custodians. These reserves undergo periodic audits, with reserve data continuously updated on-chain using blockchain oracle feeds. Through these smart contract-verifiable reserves, LumiVault ensures transparency and tamper-proof proof-of-backing for every issued token.
Beyond investment utility, $LVT token holders can redeem their digital assets for physical gold through LumiVault’s gold redemption smart contract. This mechanism allows users to burn their $LVT tokens in exchange for an equivalent gold weight, provided they meet the minimum redemption threshold of 1,000 $LVT. This safeguard ensures logistical feasibility while preserving reserve integrity and liquidity stability.
Source Asset: 80 tonnes (80,000 kg) of legally registered and verifiable gold mining reserves in South Korea and Africa.
Tokenized Representation: The entire reserve is fractionalized into 500,000,000 $LVT tokens.
Backing Ratio: 1 $LVT = 0.16g of gold (Based on 80,000 kg ÷ 500M tokens)
Valuation Basis: The live spot price of gold determines the USD value of each $LVT token.
Price of 1 $LVT is pegged dynamically using:
Chainlink or LayerZero oracle feeds
Real-time gold price (e.g. from PAXG markets)
Internal reserve formula:
Primary Sale Only: $LVT is acquired via LumiVault’s official DApp, not on DEXs (yet).
Accepted Payments: USDT, USDC, and ETH.
No Staking Rewards: Unlike most DeFi tokens, $LVT doesn’t inflate through staking emissions — preserving token scarcity and value over time.
Vault Data Transparency: Gold reserve audits, mining licenses, storage documents uploaded on-chain.
Live Oracle Sync: Constant feed between real-world gold vaults and on-chain reserve indicators.
Dashboard Access: Users can verify backing of all circulating LVT in real-time.
Minimum Redemption Threshold: Users must hold ≥ 1,000 LVT to redeem.
Redemption Format: Users exchange $LVT for PAXG — a gold-pegged stable asset fully redeemable for physical gold through Paxos.
Deflation Mechanism: All redeemed $LVT tokens are burned, reducing total supply and reinforcing value.
Without staking, LumiVault now earns protocol-level revenue through:
Token sales (from treasury or reserves)
Redemption service fees (in PAXG or stablecoin)
Institutional B2B gold access deals (off-chain fiat inflow)
No staking inflation
Preserves $LVT value and avoids yield-based devaluation
Real-world pegging
Strong market trust via PAXG-linked redemption
Transparent valuation
Oracle-synced pricing + audit-backed proof-of-gold
Asset burn on exit
Redemption reduces supply, creating scarcity
Institutional appeal
Lower compliance risks, clear redemption pathway
