BaseLots
Compliance & investor protections

Built to protect you.
Not to work around you.

Most real estate tokenization platforms are built for traders. BaseLots is built for everyday investors – with the legal protections that entails.

Regulation Crowdfunding (Reg CF)FINRA-registered funding portalIdentity-verified tokens (ERC-3643)Blockchain-recorded ownership
Reg CF protectionsInvestment limitsERC-3643 tokensInvestment flowFAQ

Your Regulation Crowdfunding protections

Reg CF is a federal securities law that gives retail investors enforceable rights when investing in private offerings. Here’s exactly what it means for you on BaseLots.

You don’t have to be wealthy to invest

Unlike most real estate investment platforms, BaseLots doesn’t require you to be an “accredited investor” – someone with $200K+ income or $1M+ net worth. Reg CF was specifically designed to open private investment to everyday Americans.

What this means: If you have income or savings, you can invest in BaseLots properties – subject to annual limits designed to keep risk proportionate to your finances.

You can cancel your investment within 48 hours

Changed your mind? Under Reg CF, you have the right to cancel your commitment at any time up to 48 hours before the offering closes – no questions asked, full refund.

What this means: Your money isn’t locked up until a deal closes. The cancel option is surfaced clearly in your investor dashboard at all times during an open offering.

You’re notified of any material changes

If anything significant changes about a property offering – price, structure, projected yield, or deal terms – we are legally required to notify you. You then have 5 business days to reconfirm or cancel for a full refund.

What this means: You’re never bound to a deal that changed after you committed. Material change notifications go to your email and appear in your dashboard.

We file a Form C with the SEC for every offering

Before any property goes live on BaseLots, we file a Form C with the SEC – a public disclosure document covering the property details, financials, legal structure, risk factors, and our team backgrounds.

What this means: Every BaseLots offering has an SEC-registered paper trail. You can look up our Form C filings on SEC EDGAR at any time. Nothing is hidden.

Bad actor disqualification checks

Under Reg CF rules, BaseLots conducts “bad actor” background checks on all principals involved in an offering. Prior securities violations, criminal convictions, or regulatory sanctions automatically disqualify a deal.

What this means: You’re protected from investing alongside promoters with known histories of securities fraud. This is an automatic gating requirement – not a discretionary check.

Investments processed through a FINRA-registered portal

BaseLots operates through a funding portal registered with FINRA (the organization that oversees investment firms like Fidelity). This is a specific license created for crowdfunding offerings and comes with real regulatory oversight.

What this means: Every dollar you invest goes through a regulated intermediary that FINRA supervises. This is not optional; it is a Reg CF requirement.

Investment limits, explained

Reg CF places annual caps on how much you can invest across all crowdfunding platforms – not just BaseLots. These limits keep crowdfunding risk proportionate to your financial situation.

Estimate your annual limit
SEC-mandated caps based on your annual income and net worth. BaseLots tracks this automatically.
Annual income$75,000
Net worth (excl. primary home)$80,000
Your estimated annual Reg CF limit
$3,750
Across all Reg CF platforms combined · 12-month rolling window

BaseLots tracks your remaining capacity automatically as you invest. If you approach your annual limit, the system will show your remaining room before you can complete a new investment. Learn how the 12-month rolling calculation works →

Why we use ERC-3643, not ERC-20

Most blockchain real estate platforms use a basic token standard designed for speculative trading. We use a stricter standard built for regulated investments. Here’s why that matters.

Standard ERC-20 token
Other platforms
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Anyone can receive the token regardless of identity
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No automatic check that buyer verified their identity
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Transfer restrictions exist only as company policy (easily bypassed)
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Token can be sent to anyone, potentially violating U.S. securities rules
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Compliance depends entirely on operator goodwill
ERC-3643 (T-REX standard)
BaseLots
✓
Transfers only allowed to wallets with verified identity
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Identity automatically checked before every transaction
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U.S. investor restrictions enforced by the smart contract
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Location restrictions automatically block ineligible buyers
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Compliance is structural – it works whether or not you trust us

Compliance you can verify, not just trust

When most platforms say “we follow the rules,” they mean their internal team enforces those rules manually. When BaseLots says it, we mean the smart contract itself enforces those rules – automatically, transparently, and without anyone being able to override it.

ERC-3643 is a token standard designed specifically for regulated securities. Before any transfer is allowed, the contract checks a built-in identity registry to confirm the recipient has been verified and meets eligibility requirements.

This matters because it makes investor protections impossible to accidentally – or deliberately – skip. A BaseLots property token cannot land in an unverified wallet. The compliance is baked into the token itself.

The plain-English version: ERC-3643 is like a check that can only be cashed by the person it was written to. An ERC-20 token is like cash – once it leaves your hand, there’s no control over where it goes.

What happens when you invest

Every BaseLots investment follows the same secure, compliant process. From account creation to token in your wallet.

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Step 01
Identity verification
We verify your ID and run a background check, then link your identity to your account.
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Step 02
Limit check
Remaining annual Reg CF capacity shown before you commit.
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Step 03
Investment agreement
You sign a legal agreement confirming your share in the property’s holding company.
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Step 04
Escrow
Your money is held safely by a regulated third party until the property reaches its funding goal.
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Step 05
Your tokens are created
Digital tokens representing your ownership are created and delivered to your wallet.
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Step 06
Dashboard live
Your investment, earnings, and property updates all appear in your dashboard.
Your 48-hour cancel window

At every point before Step 4 closes – and up until 48 hours before an offering deadline – you can cancel your investment from your dashboard and receive a full refund. No penalty, no paperwork. This is a federal right under Reg CF, not a BaseLots courtesy policy.

Common questions

Things investors ask before committing to a BaseLots property.

BaseLots operates under Regulation Crowdfunding (Reg CF), a set of rules created by the SEC that allows everyday people to invest in private offerings. Before any property goes live, we file a public disclosure document (called a Form C) with the SEC. All investments are processed through a funding portal registered with FINRA – the same organization that oversees major investment firms.
You do need a digital wallet to receive your property tokens - but we make setup as simple as possible, including the option to create one with just your email address (no complicated passwords or technical experience required). You don’t need to understand blockchain to invest. The compliance, identity checks, and transfer restrictions all happen automatically behind the scenes.
Arbitrum is a blockchain network built on top of Ethereum – it has the same security but costs a fraction of the price (pennies per transaction instead of dollars). Your legal rights as an investor come from the holding company and the investment agreement you sign, not from the blockchain itself. The blockchain serves as a permanent, tamper-proof record of who owns what – think of it like a public deed registry that nobody can alter.
Each property is held in its own separate LLC (a dedicated holding company just for that property). That LLC exists independently of BaseLots as a company. What you actually own is a share of that LLC – your token is proof of that ownership. If BaseLots ever ceased operating, the LLC and the property would still exist, and you would keep your legal rights to the property’s income and value.
Reg CF limits your total crowdfunding investments across all platforms in a rolling 12-month window – not just with BaseLots. We calculate your remaining capacity based on the income and net worth information you provide during onboarding, and update that figure as you invest. Attempting to invest beyond your limit will be blocked at checkout, not caught retroactively.
An unencumbered property simply means one with no existing mortgage. Most mortgages have a clause that lets lenders demand full repayment if ownership changes hands. Moving a mortgaged property into an LLC to sell shares of it could trigger that clause. By only working with mortgage-free properties, BaseLots avoids this risk entirely – no bank can come knocking and disrupt your investment.
Not on open exchanges - and that’s by design, not a limitation. These tokens represent real securities, so selling them on a public exchange would violate securities law. The token itself enforces this: it can only be transferred to another verified, eligible investor. BaseLots is building a marketplace where verified investors can buy and sell shares from each other. Until that goes live, you hold your tokens for the property’s investment term.
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Important disclosures. Investing in real estate through BaseLots involves risk, including the potential loss of principal. Past performance is not indicative of future results. Offerings are made pursuant to Regulation Crowdfunding under Section 4(a)(6) of the Securities Act of 1933. Only investors who meet the applicable investment limits under Reg CF may participate. All offerings are conducted through a FINRA-registered funding portal. This page is for informational purposes only and does not constitute an offer to sell or solicitation to buy securities. Before investing, review the relevant Form C filing on SEC EDGAR and consult a financial advisor if appropriate.