Protocol document

Oceanpoint Protocol Whitepaper

Whitepaper · April 2025 · Petrovčič & Kaines

Executive summary

The core vision

Oceanpoint is the liquidity engine for tokenized real estate. It unifies fragmented property tokens into a single, instantly tradable liquidity layer through POINT, a dynamic liquidity aggregator token with flatcoin-like qualities.Reference: §1 · Executive Summary

Evolutionary foundations

The protocol evolved through multiple iterations:

Phase 1

Governance pools (sBST)

Early participants staked $BST to receive sBST (staked BST), gaining governance rights and revenue share from marketplace fees.

Phase 2

Asset pools (BSPT)

Property token holders could stake individual BSPTs to earn protocol rewards, but liquidity remained fragmented across hundreds of micro-pools.

Phase 3

Liquidity aggregator (POINT)

The current model unifies all property tokens into a single liquidity pool backed by the POINT token, a liquidity aggregator for tokenized real estate.

Marketplace Launchpad

Certified Partners (CPs) use the Launchpad to crowdsource funding for white-label marketplace software licenses. Investors pledge sBST in exchange for:

  • A share of the CP's future marketplace revenue
  • Governance influence over CP operations
  • Early access to new property listings on that marketplace

Reference: §2.1.2 · Marketplace Pools (Launchpad)

Liquidity problem

The problem statement

Individual property tokens (BSPTs) suffer from extreme fragmentation:

  • Each property has its own token with a micro market cap (often $100k–$5M)
  • Low trading volumes lead to wide bid-ask spreads
  • Investors face weeks-long escrow periods for exits
  • DeFi protocols cannot integrate fragmented, illiquid assets

Reference: §3 · Problem Statement

The liquidity spectrum

ILLIQUIDHIGHLY LIQUID
Real estateBSPTs (before)POINT (after)Stablecoins
Reference: §3–4 · Liquidity & Access

POINT token mechanics

POINT is an ERC-20 token with unlimited supply, minted against treasury deposits:

Stablecoin deposits

Users deposit DAI, USDC or USDT into the protocol treasury. In Phase I, POINT is minted at a fixed 1:1 ratio with the stablecoins deposited.

BSPT deposits

Users deposit property tokens (BSPTs) at their oracle-verified market value. POINT is minted proportionally to the property's contribution to total NAV.

Reference: §4.2 · POINT Aggregator Token / §5.1

Flatcoin qualities

Unlike stablecoins pegged to fiat, POINT is a flatcoin that tracks the inflation-hedged value of real estate:

  • 1 POINT ≈ $1 of real estate NAV (not $1 USD)
  • Value rises with property appreciation and rental income accumulation
  • Insulated from fiat currency debasement
  • Provides stable purchasing power over long time horizons

Token synergy

$BST: Utility token

  • Governance: stake to sBST for voting rights
  • Revenue share: earn from marketplace fees
  • Buybacks: protocol uses revenue to buy & burn BST
  • Growth capture: positioned to capture the network's expanding reach and utility
Reference: §4.3 · Expanding BST's Utility & Influence

$POINT: Liquidity token

  • Instant liquidity: exit positions in seconds
  • DeFi bridge: integrate with lending, AMMs, derivatives
  • Value accrual: tracks real estate appreciation + rent
  • Composability: use as collateral across DeFi
Reference: §4.2 · POINT: A Liquidity Aggregator Token

The economic loop

All BSPT ↔ stablecoin swaps are routed through the BST:POINT trading pool, creating constant buy pressure on BST:

User wants: BSPT_A → USDC

1. BSPT_A → POINT (deposit to treasury)
2. POINT → BST (swap in liquidity pool)
3. BST → USDC (swap in DEX)

Result: every exit from a property position routes volume (and fees) through the BST pool.

Reference: §4.3 · The Expanding Role of BST

Technical architecture

Smart contract layer

OceanpointToken.solERC-20

The POINT token contract. Handles minting/burning, transfer restrictions during redemption cooldowns, and integration with the protocol treasury.

OceanpointProtocol.solUUPS upgradeable

The core treasury and liquidity management contract. Implements:

  • Stablecoin deposit/withdrawal with dynamic tax rates
  • BSPT deposit/redemption with NAV-based pricing
  • Oracle integration for property valuations
  • Emergency pause mechanisms
OceanpointRouter.sol (OPR)Router

Optimizes trades by comparing routes across POINT treasury, 0x API, and AMM pools. Automatically selects the best execution path for users.

Dynamic rate system

The protocol uses algorithmic rates to balance the treasury and prevent arbitrage attacks.

NAV discount/premium rate

Rate = (Treasury NAV / POINT Supply) − 1

Stablecoin deposit/withdrawal tax

  • Deposit tax: applied when the treasury is undercollateralized (NAV < supply). Discourages minting new POINT during weak periods.
  • Withdrawal tax: applied when the treasury is overcollateralized (NAV > supply). Prevents users from extracting stablecoins at below-market rates.

Tax revenues are used to rebalance the treasury and fund the "POINT Zero" stability mechanism.Reference: §5.2.1 · Dynamic Rate System / §7.1

Roadmap & risk

Multi-phased rollout

Phase I

Bootstrapping liquidity (Stablecoin ↔ POINT)

Establish the core mint/burn logic at a fixed 1:1 ratio between POINT and stablecoins (DAI, USDC, USDT), and launch a BST:POINT liquidity pool on Uniswap v2 to build a baseline TVL.

Phase II

BSPT integration

Allow BSPT holders to swap property tokens into POINT and back. Introduce the Dynamic Rate System and Target Portfolio Composition to keep BSPTs and stablecoins balanced while preserving 1:1 stablecoin redemption.

Phase III

Advanced risk management

Harden the protocol with dynamic spread controls and the POINT Zero stability backstop that defend the treasury during undercollateralization events.

Phase IV

BSPT lending

Enable BSPTs to be used as collateral for borrowing, launching real estate-backed credit markets on top of the liquidity engine.

Stability backstop: POINT Zero

If the treasury becomes undercollateralized (NAV < POINT supply), the protocol activates POINT Zero:

  • Detect shortfall: oracle confirms NAV deficit (e.g., property values drop 10%)
  • Use reserves: deploy stablecoin reserves from deposit taxes and protocol fees
  • Buy POINT: purchase POINT from the open market at discount prices
  • Burn: permanently remove purchased POINT from circulation, reducing supply
  • Restore peg: continue until the NAV/supply ratio returns to the target range

This mechanism ensures POINT cannot trade significantly below NAV for extended periods, protecting investor confidence.Reference: §5.3.1 · POINT Zero: The Protocol's Stability Backstop

Resources

Podcast deep dive

Listen to the 26-minute AI-generated episode unpacking the whitepaper: the liquidity problem, POINT mechanics, token synergy and the roadmap, in plain English.

Listen to the episode

Download whitepaper

Get the full 47-page technical document (PDF) for offline reading and detailed appendices.

Download PDF

Developer docs

Explore smart contract interfaces, API references, and integration guides for builders.

View documentation

Questions or feedback? Join the community channels to discuss the protocol with the core team and other developers on Discord, Telegram, Twitter / X.