Collateral
NFT Launch
Support affordable housing and earn $EMP
- Launch in 29th May
- 90 / 900 $EMP per NFT
- 11.1% APR
What does the Collateral NFT do?
Collateral NFTs provide an opportunity for $EMP token holders to support housing developers to meet their collateral obligations, while also earning $EMP rewards in the process.
This novel approach to collateralisation, which leverages our $EMP token, ensures our ability to scale across multiple countries while providing investors a liquid form of security.
How do I earn rewards?
Buy NFT
Collateral NFTs can be purchased for 90 $EMP each
Lock $EMP
The initial Collateral NFTs will lock up $EMP tokens for 1 year
Earn Rewards
After 1 year, Empowa can buy the NFT back for 100 $EMP (11.1% APR)
What homes does this Collateral NFT support?
The NFTs will support collateral for the 35 homes in Mozambique as well as the additional homes in Kenya. The homes in Kenya are part of a two phase plan:
Phase 1 – Initial Launch:
The initial Kenyan launch will include two homes that are near completion and will be ready for occupancy in May of this year. The local Kenyan developer is BrownCap.
Phase 2 – Future Expansion:
The 2 homes pilot is the preamble to a larger project that will include 100 homes in Kenya. This will be the first of our projects delivered in collaboration with EY.
Who is the developer of the Kenya homes?
The developer for this project is BrownCap – a top property developer in Kenya.
BrownCap have been using Empowa Pay for data recording since the middle of last year which has helped us to track their performance and evaluate this project.
You can learn more about them here
Why is collateral needed
and what is the role of $EMP?
How are the Kenya homes funded?
The funds for initial Kenya launch will come from the Cardano Summit NFT and our treasury. Thanks to the support of the generous Cardano community, we successfully raised 89,000 ADA from the 2023 Cardano Summit NFT, which is directly allocated to this project.
FAQs
What are Collateral NFTs?
Collateral NFTs provide an opportunity for $EMP token holders to support housing developers to meet their collateral obligations, while also earning $EMP rewards in the process.
This novel approach to collateralisation, which leverages our $EMP token, ensures our ability to scale across multiple countries while providing investors a liquid form of security.
Projected $EMP Rewards per NFT?
After the period of 1 year, each Collateral NFT will accrue 10 / 100 $EMP worth of rewards.
This is based on the following calculation:
Cost of Collateral NFT is 90 / 900 $EMP
Empowa will buy back Collateral NFT for 100 $EMP or 1000 $EMP
Reward per Collateral NFT:
100-90 = 10 $EMP
1000 - 900 = 100 $EMP
This equates to an APR of 11.1%
Who is eligible to purchase the NFTs?
Anyone interested in supporting sustainable housing projects in Africa can purchase the NFTs. However, priority will be given to FC NFT holders and those who hold the Summit World NFT.
How much $EMP will be locked up?
For this initial launch, we have calculated that 370,000 EMP will need to underwrite the funding for the homes.
The approach for determining this level is explained in our black paper a video explaining the approach can be viewed here
The initial Colateral NFTs will lock up this $EMP for 1 year.
What happens after I buy an NFT?
Upon purchasing a Collateral NFT, the equivalent EMP tokens will be locked up for a year as part of collateral for the homes. At the end of the lock-up period, NFT holders have the option to sell back their NFT to Empowa for $EMP tokens.
Where can I trade Collateral NFTs?
Within a month of the Collateral NFTs going on sale the Empowa NFT Marketplace will go live.
This is needed so that the Collateral NFTs can be traded in $EMP avoiding the currency risk of having to trade an NFT that has an $EMP reward in $ADA.
The marketplace will be there to allow for the trading of Collateral NFTs in our $EMP token, naturally the NFTs can be traded on other marketplaces if the seller and buyer are happy to trade in $ADA.
What homes are being supported?
The NFTs will support collateral for the 35 homes in Mozambique as well as the additional homes in Kenya. The homes in Kenya are part of a two phase plan:
Phase 1 - Initial Launch:
The initial Kenyan launch will include two homes that are near completion and will be ready for occupancy in May of this year. The local Kenyan developer is BrownCap.
Phase 2 - Future Expansion:
The 2 homes pilot is the preamble to a larger project that will include 100 homes in Kenya. This will be the first of our projects delivered in collaboration with EY.
Who is the local housing developer?
The local developer is BrownCap. They have been using Empowa Pay for data recording since the middle of last year which has helped us to track their performance and evaluate this project.
How are we working with Ernst & Young?
The intial 2 homes pilot is the preamble to a larger project that will include 100 homes in Kenya.
This project will be the first of our projects delivered in collaboration with EY.
