# Token Lifecycle

From bond issuance to redemption, every stage of the token lifecycle is managed through the ICP Master Ledger, with ERC-3643 permissioned security tokens deployed on Plume, Base, and Canton. Compliance is enforced at the protocol level throughout — no unverified wallet can receive, hold, or transfer Tortuga tokens at any stage.

# Lifecycle Overview

flowchart LR
    A[Minting] --> B[Distribution]
    B --> C[Yields]
    C --> D[Transfers]
    D --> C
    C --> E[Redemption]

# Stages

# Minting

ERC-3643 tokens are minted on the ICP Master Ledger following TradFi settlement of the underlying bond. Supply is fixed and capped to the subscribed amount, linked to the specific ISIN compartment.

# Distribution

KYC-verified investors receive tokens on their preferred live chain (Plume, Base, or Canton) via Chain Fusion. Only wallets registered in the ERC-3643 Identity Registry can receive tokens.

# Yields

USDC coupon distributions to token holders based on bond terms. Holder snapshots taken from the ICP Master Ledger; batched USDC transfers executed on-chain.

# Redemption

At maturity, tokens are burned and USDC principal is returned to verified wallets. The bond lifecycle completes.

# Lifecycle States

stateDiagram-v2
    [*] --> Pending: Bond Created
    Pending --> Active: Tokens Minted
    Active --> Active: Yields Paid
    Active --> Maturing: Approaching Maturity
    Maturing --> Redeemed: Principal Paid
    Redeemed --> [*]: Tokens Burned

    Active --> Suspended: Compliance Issue
    Suspended --> Active: Issue Resolved

State	Description
Pending	Bond structured, awaiting tokenization
Active	Tokens minted, tradeable between verified wallets
Maturing	Within 30 days of maturity
Suspended	Trading halted (compliance)
Redeemed	Principal paid, tokens burned

# Timeline Example

gantt
    title Bond Token Lifecycle (3-Year Bond)
    dateFormat YYYY-MM-DD

    section Issuance
    Due Diligence       :done, 2024-01-01, 30d
    Bond Structuring    :done, 2024-01-15, 30d
    ISIN Assignment     :done, 2024-02-01, 14d
    Token Minting       :done, 2024-02-15, 7d

    section Active Period
    Distribution        :active, 2024-02-22, 60d
    Year 1 Coupon       :milestone, 2025-02-22, 0d
    Year 2 Coupon       :milestone, 2026-02-22, 0d
    Year 3 Coupon       :milestone, 2027-02-22, 0d

    section Redemption
    Maturity Notice     :2027-01-22, 30d
    Redemption          :2027-02-22, 14d

# Data Flow

flowchart TB
    subgraph Issuance
        ASSET[Real Estate Asset] --> BOND[Luxembourg SPV Bond]
        BOND --> ISIN[Swiss ISIN / SIX SIS]
    end

    subgraph On-Chain
        ISIN --> MINT[Mint ERC-3643 on ICP]
        MINT --> DIST[Distribute via Chain Fusion]
        DIST --> HOLD[Holdings on Plume / Base / Canton]
        HOLD --> YIELD[USDC Yield Payments]
        HOLD --> TRANSFER[Transfers between verified wallets]
        TRANSFER --> HOLD
        HOLD --> REDEEM[Redemption]
        REDEEM --> BURN[Token Burn]
    end

    subgraph Settlement
        YIELD --> USDC1[USDC to Investor Wallet]
        REDEEM --> USDC2[USDC Principal Return]
    end

# Key Participants

Participant	Role
Issuer (Tortuga/Estating)	Creates bonds, triggers yields, handles redemption
Investor	Purchases tokens, receives USDC yields, redeems at maturity
Master Ledger (ICP)	Canonical record of ownership, balances, and transactions
KYC Registry (ICP)	Authoritative compliance record; source of truth for all identity state
Chain Fusion (ICP)	Synchronizes compliance state and executes cross-chain operations
ERC-3643 Contracts (EVM)	Enforce compliance on every transfer on Plume, Base, Canton
SumSub	KYC/AML verification provider

For the technical architecture behind the token layer, see the Architecture section.

For identity verification and KYC binding, see Identity & KYC.

For product structure, bond issuance, and investor protections, see the Product section.

For chain-specific deployment details, see Supported Chains.