RentFi’s First-Ever Rental Income Distribution and Token Burn
Welcome to a groundbreaking moment in decentralized finance and real estate investment! Today, on March 5th, 2025, RentFi proudly conducts its first-ever rental income distribution. This marks the beginning of our innovative approach that merges the stability of real estate with the accessibility of blockchain technology.
Through our dual mechanism, we’re not just distributing rental income directly to eligible $RENT token holders — we’re also burning tokens to increase scarcity. This powerful combination delivers immediate rewards while enhancing long-term value, creating a system designed to benefit both yield-seekers and long-term investors.
With our initial portfolio of four properties, we’re taking a major step in bringing value directly to our community. Let’s break down what this milestone means, how it works, and why RentFi is redefining real estate investing.
By the Numbers
This month, our properties generated $6,454.78 in gross rental income. After deducting our fees, we have a net distributable income of $4,518.35. According to our tokenomics model, we used this amount to purchase RENT tokens from the open market for distribution and burning.
Our buyback resulted in acquiring 97,238.30535 RENT tokens, which are allocated equally:
- Token Distributions: 48,619.152 RENT (50%)
- Token Burns: 48,619.152 RENT (50%)
Note: The actual USD value at the time of purchase (31.8 SOL ≈ $4,524) was slightly higher than our allocated amount due to SOL price fluctuations during the transaction process. These minor differences are part of the normal market dynamics when converting between currencies and executing transactions on-chain.
Calculation Methodology Section
When calculating RENT token distributions, we follow a precise methodology to ensure fair and transparent rewards for all eligible token holders.
This month, our buyback is 97,238.30535 RENT. Following our tokenomics model, 50% is allocated to token distributions and 50% to token burns.
The website formula states distributions as: (Individual Holdings / Total Supply) × Net Rental Income
However, this doesn’t tell the full story of how we ensure all allocated funds reach our eligible community members. Our actual distribution involves these steps:
- We identify all eligible wallets — those holding at least 1,000 RENT tokens during 15 days before distribution and that aren’t team, liquidity, or other project wallets
- We calculate what each wallet would receive based on the website formula: (Your RENT tokens / 100M total supply) × 48,619.152 RENT
- We then calculate the “unclaimed” portion — the amount that would have been allocated to ineligible wallets based on the formula
- Finally, we redistribute this unclaimed portion proportionally among all eligible wallets based on their holdings
This approach ensures that 100% of the distribution amount goes directly to our eligible token holders. Mathematically, the end result is equivalent to: (Your RENT tokens / Total eligible RENT tokens) x 48,619.152 RENT
For this distribution, 106 eligible wallets were identified, collectively holding a total of 3,336,691 RENT. If you own 1% of the eligible token supply (~33,367 RENT), your share of the distribution will also be 1%, giving you a proportional reward.
After purchasing 97,238.30535 RENT, we distribute these tokens proportionally to all eligible wallets, rounded to whole tokens to ensure clean transactions.
Property Breakdown for First Distribution
Total Gross Rental Income: $6,454.78
Net Income: $4,518.35
Total Fees: $1,936.43
Property Breakdown:
Colombia Property:
- Location: Medellín
- Average Nightly Rate: $55
- Occupancy This Period: 75%
- Gross Income: $1,254.00
Colombia Property:
- Location: Medellín
- Average Nightly Rate: $58
- Occupancy This Period: 80%
- Gross Income: $1,392.00
Bali Property:
- Location: Bali, Indonesia
- Average Nightly Rate: $75
- Occupancy This Period: 82%
- Gross Income: $1,845.00
Vancouver Property:
- Location: Vancouver, Canada
- Average Nightly Rate: $140
- Occupancy This Period: 50% (reduced due to winter season)
- Gross Income: $1,963.78
Total Net Income (after fees): $4,518.35
Final Distribution Calculation:
- Net Income: $4,518.35
- Allocated to Token Distribution (50%): $2,259.18
- Allocated to Token Burns (50%): $2,259.18
These earnings are after deducting operating expenses, which reflect industry-standard costs for professional property management.
Creating Long-Term Value for Token Holders
RentFi’s ecosystem is designed with a dual benefit mechanism that creates compounding value over time:
- Direct Distributions
Rental income is immediately shared with token holders, providing consistent returns on investment. - Token Burns
By reducing the circulating token supply, every burn increases scarcity, positioning RENT for potential upward price pressure.
This synergy between returns and scarcity ensures that both yield-seekers and long-term holders benefit from RentFi’s growth trajectory.
Future Growth and Scalability
This first distribution represents just the initial step in our long-term vision for RentFi. As we look ahead, several key growth drivers will enhance returns for token holders:
Portfolio Expansion
We’re actively expanding our real estate portfolio beyond our initial 4 properties. Our acquisition team is evaluating opportunities across strategic markets to:
- Diversify across multiple geographic regions to minimize seasonal fluctuations
- Target properties with optimal yield-to-value ratios
- Balance short-term and long-term rental models for income stability
- Capitalize on emerging real estate opportunities in high-growth markets
Each new property added to our portfolio directly increases the rental income stream, resulting in larger distribution and burn amounts for token holders.
Operational Efficiencies
As our property portfolio grows, we’ll benefit from significant economies of scale:
- Reduced property management fees through volume negotiations
- More efficient maintenance and service contracts
- Optimized vacancy rates through professional management
- Streamlined administrative and operational processes
- Enhanced marketing reach for consistent occupancy
These efficiencies will progressively lower our expense ratio from the current 30%, allowing a greater percentage of rental income to flow to token holders.
Stronger Ecosystem
The growth of the RentFi ecosystem creates powerful network effects:
- Increased adoption of RENT tokens improves market liquidity
- Larger distribution pools attract more participants to the ecosystem
- Regular token burns continue to reduce circulating supply
- Enhanced visibility attracts institutional interest and partnerships
- Community-driven governance through our upcoming DAO implementation
Compounding Effects
The true power of our model lies in its compounding nature:
- Distributions provide immediate value to holders
- Burns systematically reduce supply, potentially enhancing token value
- Reinvestment of profits expands the property portfolio
- Enhanced portfolio generates more rental income
- Larger rental income fuels bigger distributions and burns
With each property, we add and each distribution cycle we complete, this virtuous cycle strengthens, creating a resilient ecosystem designed for long-term growth and sustainability.
FAQs
1.1. How significant is this first distribution?
- This initial distribution represents a key milestone — proof that our model works exactly as designed. While we’re starting with four properties, this is just the beginning. Each property we add expands our rental income, directly increasing future distribution amounts. With a yield of approximately 11.66% annually, our model is already delivering competitive returns compared to traditional real estate investment options, and we’re just getting started.
2. Are 30% expenses justified?
- Yes, these costs are aligned with industry standards, even lower, industry standard fees are around 30 to 45%, covering professional property management, maintenance, and reserves for operational continuity.
3. Am I late to benefit?
- No. RentFi rewards all holders proportionally based on token holdings, regardless of when they joined. Long-term supporters may benefit from cumulative appreciation and yields.
4. How is this different from direct property ownership?
- Traditional real estate requires significant capital and expertise; RentFi eliminates these barriers, enabling anyone to participate in real estate income through tokenized investment.
Join the Movement
At RentFi, we’re redefining real estate investment by combining blockchain innovation with tangible income streams. This first rental distribution and token burn milestone is just the beginning of our journey. Ready to join the movement? Invest in RENT today and be part of the future of decentralized real estate finance.
Distribution Tx
Burn Tx
BuyBack Tx
Erratum: Transaction Value Reconciliation
After publishing this announcement, we noticed a discrepancy between our calculated figures and the on-chain transaction data that we want to transparently clarify:
Our distribution calculation was based on:
- Rental income: $4,518.35
- SOL purchase: 31.8 SOL (~$4,524 at calculation time)
- RENT tokens acquired: 97,238.30535
- Value per RENT token: ~$0.0465
The actual on-chain transaction shows:
- Same 31.8 SOL but valued at $4,647.84 (higher USD value)
- RENT tokens actually acquired: 98,220.51
- Value per RENT token: ~$0.0473
While we distributed based on our original calculation (97,238.30535 RENT tokens), token holders actually received better value in USD terms. For future distributions, we’ll base our calculations on the final executed transaction values to ensure complete alignment between our announcements and on-chain data.
