> ## Documentation Index
> Fetch the complete documentation index at: https://docs.monochrome.exchange/llms.txt
> Use this file to discover all available pages before exploring further.

# Digital IPOs

> Compliant, on-chain primary issuance: Monochrome's flagship product and the largest structural driver of MCR demand.

<div class="mc-eyebrow">Flagship</div>

# Weeks to market. Not years.

A Digital IPO on Monochrome is a compliant, blockchain-native primary issuance: a company offers equity or equity-like instruments to eligible investors, and the issuance, subscription, allocation, and settlement all happen on-chain.

## Traditional IPO vs. Digital IPO

|                    | Traditional IPO                                            | Digital IPO on Monochrome                                 |
| ------------------ | ---------------------------------------------------------- | --------------------------------------------------------- |
| **Time to market** | 12 to 24 months                                            | Weeks                                                     |
| **Cost base**      | Underwriting, listing, and compliance fees in the millions | Materially reduced                                        |
| **Investor reach** | One exchange, one jurisdiction                             | A global pool of eligible, verified investors             |
| **Settlement**     | T+2                                                        | Atomic on-chain delivery-versus-payment                   |
| **Documentation**  | Bespoke per listing                                        | The Monochrome Digital IPO Standard, applied consistently |

## The compliance wrapper

Every Digital IPO runs under a compliance wrapper appropriate to the issuer's jurisdiction, the target investor jurisdictions, and the nature of the instrument. At minimum:

<Steps>
  <Step title="Issuer diligence">
    Corporate, financial, legal, and beneficial-owner review before onboarding.
  </Step>

  <Step title="Offer documentation">
    An offer document meeting the disclosure standards of each target jurisdiction, filed with the relevant regulator where required.
  </Step>

  <Step title="Investor eligibility">
    Each investor verified against KYC, AML, and eligibility criteria, including wholesale or accredited status where the offer is limited to those classes.
  </Step>

  <Step title="Post-issuance obligations">
    Continuous disclosure applies for as long as the instrument trades on Monochrome.
  </Step>
</Steps>

The exact wrapper for any given issuance is disclosed in that offering's documentation.

## How MCR fits in

MCR is the **exclusive access token** for every Digital IPO on the platform.

* **Eligibility gate.** Hold or stake a minimum MCR balance during the snapshot window to participate.
* **Allocation coefficient.** When an issuance is oversubscribed, allocation is weighted by snapshot MCR balance, so larger holders receive a larger pro-rata share.
* **Fee benefit.** VIP tiers reduce subscription fees.

MCR is never consumed by participating. Holders keep their MCR after every issuance.

## Why every issuance strengthens the token

Monochrome earns platform fees on each Digital IPO: listing, underwriting-equivalent, and subscription fees. **25% of that revenue is added to the quarterly buy-back and burn**, on top of the base 20% of net profit.

So each new issuance creates two kinds of MCR demand at once:

<CardGroup cols={2}>
  <Card title="Subscription demand" icon="users">
    Investors acquire or stake MCR to secure allocation.
  </Card>

  <Card title="Burn demand" icon="fire">
    Monochrome buys MCR from the open market and destroys it.
  </Card>
</CardGroup>

<Note>
  Digital IPO instruments are distinct from any regulated fund unit issued by any Monochrome-branded affiliate and confer no exposure to any such product.
</Note>