Definition

Market administrators deploy token markets for their asset class and financial use cases. Markets

are custom, and owned by market administrators
host one or many vaults or staking pools as per the market type
are public or private
optionally, hold compliance rules

Each market is a diamond contract following the EIP-2535 standard, with configured facets as per the market type and features

Market Types

Type	Issuers	Investors
`Sale Fraction`	1. Wraps assets 2. and sells fraction	1. Purchases fractions 2. optional -> Burn fractions for wrapped asset
`Financing Fraction`	1. Wraps assets as collateral, 2. Sells fractions 3. Purchases the fraction back	1. Purchases fractions 2. Sells fraction at a (higher) price to the investor
`Staking`	Creates a staking pool: 1. locking input token, 2. rewarding output tokens 3. that follow a distribution algorithm	1. Stakes input token 2. Gets reward in output token

Deployment

Markets share common requirements to specify when administrators deploy them:

Whether it is gated by compliance rules hosted on ComPilot ID (KYB/KYC/KYT)
Accessibility of the market whether it is private (invite-only) or public (open for everyone)
EVM Chain on which the market and tokens are be deployed.

Compliance Rules

Onboarding involves bringing issuers and investors onto the platform. Define who can issue and invest in assets within your market where only approved participants can interact, ensuring that all participants meet your compliance standards.

Market Creators can use the ComPilot Crypto AML Compliance Solution widget, integrated into the Token Market Infrastructure, to:

Onboard participants, add their information, and upload their documentation (ID, proof of address, etc.).
Check participants against sanction lists, PEP (politically exposed persons) lists, and adverse media records.
Assign a verified wallet to each participant through the KYC/KYB service.
Gate the platform, ensuring only users who have completed the verification checks can access the market.
After verification, participant activity is continuously monitored via KYT, with each transaction requiring an additional eligibility check to maintain compliance.

Market accessibility

Deciding whether to make your market public or private is a key strategic decision. This choice affects the accessibility of the market and the potential investor base:

Private Market: Admin must invite users by granting them roles (issuers, investors...) which involve on-chain transactions.
Public Market: No roles are required to issue assets and sales and invest in them. Public markets can still be gated by compliance rules.

Chain

Markets can be deployed on a single chain or multiple chains through Evergon's omnichain infrastructure.

For fraction markets, the wrapped and collateralized assets are secured in a single chain, but the fractions purchased and issued to investors are omnichain.