SECTION 5 — Legal, Compliance & Risk
⚖️ Section 5 — Legal, Compliance & Risk
📍 5.1 — Legal & Compliance Summary
“Fully permitted. Fully regulated. Fully transparent.”
MUY Token is a real estate–backed security token that complies with both Mexican corporate law and international digital asset regulations. This ensures investor protection, legal enforceability, and audit-ready clarity across all stages of participation — from token issuance to rental income distribution and secondary market liquidity.
🧑⚖️ Legal Framework
Legal Entity (SPV)
MUYALTA SPV under Mystard S.A. de C.V.
Land Ownership
Directly owned by SPV; no fideicomiso required
SPV Director
Gustavo Calderón – Legal representative and fiduciary
Construction License
Fully approved by Municipality of Solidaridad
Corporate Bylaws
Enforce investor rights, founder governance, DAO triggers
✅ The project is held inside a legally separate, asset-owning structure — giving investors indirect ownership without exposure to property title complexity.
⚖️ Token Classification
Security Token (STO) under international digital asset regulations
ERC-1400 / ERC-3643 standard with:
Smart contract enforcement
On-chain ownership registry
KYC and transfer restrictions
MUY is not a utility token. It is a financial instrument backed by real estate equity and income rights.
📋 KYC/AML Compliance
KYC Provider
SumSub or equivalent global platform
Requirements
ID, selfie, source of funds, IP/geolocation check
Exclusions
OFAC-sanctioned and FATF high-risk jurisdictions
Accredited Investor Check
Required for U.S. and Canada (via Reg D / Exemptions)
Wallet Whitelisting
Required before token delivery
✅ Only verified users can receive and trade MUY Tokens.
🌎 Regulatory Readiness
Resellable on compliant platforms (INX, Securitize, Tokeny)
On-chain audit trail (PolygonScan)
Jurisdictional onboarding filters
Compliant with regulations across LATAM, Canada, and EU (MiCA aligned)
🧾 Investor Agreement Disclaimers
Risk acknowledgement (real estate, token, jurisdictional)
12-month lock-up confirmation
Understanding MUY is a financial instrument, not a speculative asset
📣 MUY offers trust through transparency — not promises.
📍 5.2 – Smart Contract Security & Audit
“If the legal structure is the foundation, the smart contract is the vault.”
MUY’s token logic is embedded in a smart contract architecture that automates protection, rights, and returns. Built on the Polygon blockchain using ERC-3643, it ensures:
🔒 Token issuance to only whitelisted wallets
💸 Automatic quarterly income distributions
📈 Governance and voting logic
🔁 Buybacks under DAO trigger control
🔐 ERC-3643 Security Token Standard Features
Transfer Restrictions
Whitelisted wallets only
Partitioned Tokens
Multiple rights (dividends, votes, etc.)
Vesting Logic
Enforced lockups for team and DAO builders
Event Logging
Every token move is recorded on-chain
🔍 Third-Party Audit Scope
Performed by independent blockchain security firm (to be disclosed).
✅ Covers:
Token minting & transfers
KYC triggers
Distribution logic
Treasury wallet safeguards
Buyback logic
Voting rights enforcement
📩 Report will be published pre-launch on: muytoken.gitbook.io/legal
⚙️ Investor-Visible Smart Contract Functions
issueTokens()
Mint to verified wallets
distributeIncome()
Quarterly USDC/USDT payouts
buyBackTokens()
DAO-authorized buybacks
transfer()
Between whitelisted users only
checkLockStatus()
Vesting unlock tracker
castVote()
DAO Builder governance input
📣 The MUY smart contract is not editable post-audit — ensuring immutability and investor peace of mind.
📍 5.3 — Investor Onboarding & Compliance Workflow
“Invest in 10 minutes — whether you use MetaMask or Mastercard.”
MUY’s investor onboarding process was designed to combine speed, accessibility, and regulatory certainty.
🌍 Jurisdictional Compliance
Legal Jurisdiction
Mexico (Mystard S.A. de C.V.)
Token Type
Security Token (ERC-1400/3643)
Restricted Zones
U.S. (unless exempt), OFAC, FATF high-risk
Investor Agreements
Signed digitally: TSA, Disclaimers, Risk
🔐 KYC/AML Workflow
ID Upload
Passport or national ID
Biometric
Face match / liveness check
Proof of Address
Bank statement / utility bill
IP Screening
Geo-verification for eligibility
Source of Funds
Required above $10,000 investment
✅ Only approved wallets or custodians receive MUY Tokens.
💰 Crypto or Fiat Investment Paths
Web3 Native:
Connect wallet
Complete KYC
Send USDC/ETH/USDT
Tokens delivered to wallet
Traditional Investor:
KYC via dashboard
Choose a custodial wallet
Wire funds or use Stripe
Tokens held by regulated partner
🧾 Token Delivery
Smart contract issues tokens once:
KYC complete
Funds received
Wallet is whitelisted
Investor receives:
Token balance
Timestamp
Signed agreement archive
📣 The entire process can be completed in 15–30 minutes.
📍 5.4 — Token Holder Reporting & Transparency
“Your money. Your metrics. Your move.”
MUY offers institutional-grade reporting — for retail or whale investors alike.
🧾 Quarterly Reports Include:
Rental Income
By unit, occupancy, ADR
Expenses
Cleaning, taxes, maintenance
Net Profits
DAO distribution pool
Treasury Balance
Reserves, buyback funds
DAO Activity
Proposal outcomes & votes
📩 Reports sent via email and uploaded to:
Investor Dashboard
IPFS or Google Drive (for public verifiability)
🛠️ Construction Updates (Until Q2 2026)
Photos/Videos
Monthly
Budget Progress
Quarterly
Gantt Snapshot
Quarterly % progress
🌐 Smart Contract Data
Balances
PolygonScan
Vesting
Smart Contract Dashboard
Voting Status
DAO Builder accounts
📬 Communication Channels
All Investors
Email, Portal, Downloadables
DAO Builders
Quarterly Zooms, voting preview
Founders Tier
Direct founder Q&A
📣 MUY doesn’t just deliver income — it delivers insight.
📍 5.5 — Risk Factors
“Every investment carries risk. What matters is how we manage it — and how clearly we disclose it.”
🔍 Key Risk Categories & Mitigations
Construction Delays
Materials, labor, climate
Fixed-price contract + milestone reports
Rental Demand Drops
Tourism or medical stay downturn
Mixed commercial + residential tenants
Legal Uncertainty
Property rights, foreign ownership
Direct SPV ownership, no fideicomiso
Regulatory Changes
Security laws, KYC updates
On-chain compliance & DAO-controlled treasury
Token Liquidity
No resale market
Buybacks + future DEX/marketplace integration
Smart Contract
Exploits or bugs
Audited contract + multisig wallet control
Custodian Risk
Custody breach or mismanagement
Regulated, insured providers only
Governance Conflict
Founder or director misalignment
DAO Builder override + founder vesting
Force Majeure
Hurricanes, politics, inflation
Insurance, reserves, and DAO response planning
📣 MUY doesn’t eliminate risk — it makes risk visible, manageable, and shared.
With MUY, risk is not hidden — it’s acknowledged, mitigated, and engineered for transparency.
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