Tulpea - Whitepaper V1
  • Tulpea: The First Decentralized Bank
    • What is Tulpea?
    • Systemic Failures in Traditional Finance
    • Limitations of DeFi: Structural Inefficiencies and Barriers to Adoption
    • Tulpea: A New Financial Paradigm
      • Architecture: DAO at the core
      • Business Units
  • Decentralized Intermediation
    • Smart-Collateralized Loans in Rental Real Estate Investment
    • RE Lending: Between Bureaucratic Gatekeeping and Asset-limited Lending
    • Inefficient Existing Alternatives
  • Tulpea’s Solution
    • 1. Identification of Opportunities
    • 2. Submission to the DAO
    • 3. Collective Capital Contribution
    • 4. Debt structuring
    • 5. Deal Execution
    • 6. ABDT Distribution to Lenders
    • 7. REBT Distribution to Borrowers
    • Banking-Financed Model
  • System Analysis
    • Borrowers’ Perspective
    • Lenders’ Perspective
    • Institutional Lenders’ Perspective
  • Expansion of the Model: Decentralized Banking
  • veTULIP: Locked Governance & Incentive Mechanism
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  1. Tulpea’s Solution

3. Collective Capital Contribution

Tulpea structures its funding model through a strategic combination of equity contributions and debt financing, ensuring capital efficiency while maintaining financial stability. Once a real estate project is approved by the DAO, Tulpea invites interested borrowers to participate in the equity funding phase:

  • Investor Equity Contribution: Investors collectively provide a down payment, typically around 20-30%, ensuring that the project has sufficient initial capital while maintaining a balanced leverage ratio. The Loan-to-Value (LTV) ratio varies depending on the project's risk profile and investment thesis, as defined in the DAO-approved proposal. This approach ensures that each project aligns with Tulpea’s investment criteria and risk management framework.

  • Reserve Fund Allocation: An additional 5% reserve is allocated to cover unforeseen risks, strengthening the project's resilience and ensuring long-term financial sustainability. This reserve is project-specific, unlike the DAO’s general reserve, which can also be used. Funds are allocated to stable, risk-free strategies and returned to investors upon maturity.

This structured approach enables Tulpea to optimize capital deployment while safeguarding both borrowers and lenders against potential risks.

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