Dividend Distribution & Proxy Voting

As the introduction outlined, the significant drawback of the first iteration of onchain synthetic equities is that they conferred none of the traditional secondary benefits to investors beyond price action. Many of these benefits – namely dividends, voting rights, and other benefits – are a core motivation for investors. In line with Multitude's mission to only improve the traditional system, the team were adamant that our community enjoy access to them through our broker.

Dividend Distribution

Dividend distribution will be implemented by leveraging our broker partner's custody of real-world assets. When the broker receives dividends on behalf of the users, it will update the real-time ledger of user funds. Subsequently, the Multitude smart contract will create a corresponding number of synthetic assets representing the dividend distribution. These assets will then be deposited into the respective user wallets. This process ensures that users holding synthetic stocks on Multitude receive their fair share of dividends, mirroring the experience of traditional stock ownership.

Proxy Share Voting

In addition to dividend distribution, Multitude aims to empower users by allowing them to participate in shareholder votes. Proxy share voting will be facilitated through the integration of our broker partner's API. This integration will provide users with a seamless way to sign in with their wallets on the Multitude platform and vote in shareholder meetings.

Users will have the ability to review relevant information regarding the vote, such as the agenda, proposed resolutions, and other pertinent details. Once informed, users can cast their votes on the platform. These votes will then be aggregated and submitted to the broker partner, who will relay the users' collective preferences to the respective companies. Other Investor Benefits

On occasion owning stock in a company confers discounts and other benefits to investors who conduct business with the company. As an example, one of the team fondly recalls receiving a 10% discount on a cruise because he owned stock in Carnival, the cruise provider. While policies will differ between companies, users will be able to export both their portfolio and transactions to prove ownership, and Multitude aims to offer Customer Support for more complicated requests. In short, Multitude aims to deliver a comprehensive and engaging stock ownership experience, further democratizing access to traditional finance from within the crypto ecosystem.