ArCoin can be identified by the token ticker ARCA.
Before purchasing ArCoin investors should read our FAQs and prospectus to better understand the requirements and processes of ArCoin and being an ArCoin holder.
Our Technology Provider, TokenSoft, has provided an in depth walkthrough of ArCoin and the ArCoin Purchasing Process outlined below and accessible here. The following is a high level overview of the ArCoin purchasing process.
1. Create an ArCoin account in the portal
2. Complete KYC/AML identity verification in the portal
3. Wait for an email confirming identify verification (average time for verification is a few minutes but can take up to three days)
4. In the portal select a compatible ETH wallet where your ArCoin will be minted. Enter the amount you plan to invest in ArCoin (this amount is non-binding).
5. Complete a wire or ACH with the information provided in the portal, see below for more information on wires/ACH. Expect this process to take a few business days.
If purchasing directly from the Fund, the minimum purchase amount is $1,000. If you are purchasing ArCoin from another ArCoin holder, the transaction will be negotiated between the parties and there is no minimum amount that must be purchased.
The length of time between beginning the ArCoin purchasing process and receiving your ArCoin depends mostly on how quickly you move through the purchasing steps. Current investors in ArCoin fall within a 4-10 business day range from initial account opening to ArCoin minting. If you are eager to get your ArCoin, at best, this flow could be completed in four business days, but this would require immediate action on all elements of the purchasing process on your end, including no delays in your wire/ACH. That being said, there are two processes in the purchasing flow which will require patience and may vary your ArCoin receival timeline.
1. The steps in the purchasing flow before the wire/ACH normally take just a day to complete. This section contains investor information needed to mint ArCoin. Note that on average, KYC/AML verification is very short but may take between 1-3 business days to complete.
2. Once the above is completed, the next step in the purchasing process is sending the wire/ACH. This process will, at a bare minimum, take 2 business days but varies in speed depending on your bank. See “what happens after my wire/ACH is sent” for more details.
1. Select compatible wallet for custody: the wallet you created or selected will be empty as the transfer of funds has not yet occurred. Note that ArCoin's custody partners can be found on the home page. There may be wallets not listed that support the ERC-1404 standard. Please check with your wallet provider if you have questions about compatibility.
2. Complete an ACH or wire transfer: contact your bank or read up on their wire policy (most banks have you complete wires in person). For ACHs, some applications are not supported by our receiving bank, Signature Bank, so please check this before sending your ACH. The ACH or wire forms (which your bank will provide) can be filled out using the credentials on the "Make a Payment" page within the portal. It typically takes two to five business days for our Transfer Agent to receive a wire or an ACH.
Investors whose wires are received before close of market (4pm ET) typically see ArCoin minted in their wallet at 5pm ET. Close of market is when the net asset value (NAV) of the Fund is calculated by the Fund's administrator. Arrival of ArCoin into your wallet is also contingent on ETH gas charges (transaction fees). Gas prices on the Ethereum blockchain have been unusually high as of late and thus may slow the process of ArCoin being minted into your account. If this is the case, know that the ArCoin are in route, just the delivery is slowed.
In order to transfer ArCoin peer to peer, the receiving wallet must be whitelisted. This means the owner of the wallet gone through KYC/AML in the ArCoin Portal.
Whitelisting a wallet: to whitelist a wallet complete the KYC/AML section of the “purchase” flow in the ArCoin Portal. You will receive an email once your identity has been verified. Your wallet will then be whitelisted to receive ArCoin from the previous holder.
Transferring ArCoin: ArCoin may be transferred peer to peer using a medium of exchange deemed appropriate by the two transacting parties. At this time, peer to peer transactions must be arranged by two interested parties.
Currently, ArCoin are available for purchase by U.S. Persons, including individuals over the age of 18 who are either U.S. citizens or permanent U.S. residents, and any U.S. corporations, partnerships or similar organizations. There is no requirement that purchasers be either accredited investors or qualified purchasers, as those terms are defined under U.S. securities laws. Arca will continue to evaluate whether ArCoin can be used in any additional jurisdictions, in light of local securities laws and other applicable regulations and laws. Please note, if purchasing through the ArCoin website, the minimum investment is $1,000.
All ArCoin holders will have to undergo AML/KYC and will have to set up a Fund account with the Fund’s transfer agent. ArCoin holders must provide an Ethereum wallet address that will be whitelisted and used to hold ArCoin. If you do not have an Ethereum wallet address, one can be provided by TokenSoft.
ArCoin operates on the ERC-1404 Token Standard which is an open source standard for security tokens. In addition to ArCoin's custody parters listed on the home page, investors are offered a TokenSoft Investment Account wallet which can be generated for you while you are purchasing ArCoin. ArCoin can not be minted or moved to wallets which are not capable of supporting ERC-1404 tokens.* There may be wallets not listed on the homepage that support the ERC-1404 standard. Please check with your wallet provider if you have questions regarding wallet compatibility.
*Please note only select BitGo wallets support ArCoin custody
If you enter a wallet address which does not currently support ArCoin you will need to email email@example.com with a supported wallet. ArCoin's custody partners can be found on the home page. On average, it will take one to two days to update your new Ethereum wallet with the system. Please check with your wallet provider if you have questions regarding wallet compatibility.
TIA is the TokenSoft Investment Account, which is a wallet created by our service provider. Since the onboarding / KYC and self custody wallet are both TokenSoft products, the ArCoin portal will pre-determine what the ETH address of the wallet will be, all you have to do is select the TIA wallet when you get to the wallet custody screen. You are then able to use the same log-in credentials used in the ArCoin Portal for the TokenSoft Investment Account. The Tokensoft wallet is a self custody wallet so when you log-in the first time, private keys will be generated and the investor (you) will be given the option to download the private keys. The wallet is free so no need to worry about subscription fees!
Please contact the Fund’s transfer agent, TTA LLC, at 1 (800) 445-3148 for further instructions.
ArCoin are minted in an investor's wallet typically an hour after close of market (4pm ET). This is when the net asset value (NAV) of the Fund is calculated by the Fund's administrator, Ultimus Solutions. The NAV of ArCoin is calculated by taking the total value of the Fund's portfolio of assets, minus any liabilities, and dividing it by the number of ArCoin outstanding to get a per share NAV.
The Arca US Treasury Fund has a fundamental policy to make monthly offers to shareholders to repurchase a portion of its common shares. Subject to the review and approval of the Fund’s Board of Trustees, the Fund will offer to repurchase between 5% and 25% of the ArCoin outstanding (not to exceed 25% of the Fund’s outstanding shares over a three-month period). Please see the prospectus for more information regarding the repurchase offers.
On the first business day of each month, the Transfer Agent, TTA LLC, will contact all shareholders of the Fund to provide formal notification of the next monthly repurchase window, the process and detailed instructions on how to request a repurchase of your ArCoin.
Repurchase offers will be conducted through the ArCoin Portal. Shareholders will be asked to provide banking information for the repurchase and will need to send their ArCoin to a locked redemption wallet, which will be held in the shareholder’s name with the Transfer Agent until tokens are burned and the proceeds from the share repurchase are distributed. Note, if the redemption request window is still open (i.e. – the Repurchase Request Deadline has not passed), a shareholder may request a portion or all of their ArCoin in their locked redemption wallet be returned to them. To have ArCoin removed from the redemption wallet please contact firstname.lastname@example.org
Below are all shareholder actions for any given ArCoin redemption:
Example 1 - No Redemption
An ArCoin shareholder has no requirement to partake in any given monthly redemption. If you wish not to partake in a share redemption, no shareholder action is required. Choosing not to partake in a monthly redemption has no impact on your future ability to redeem ArCoin.
Example 2 - Partial Redemption
Follow the above steps for ArCoin repurchase, locking only a portion of your ArCoin. This partial redemption of ArCoin will be fully fulfilled if aggregate repurchase requests are less than the total amount of the Fund’s repurchase offer. This partial redemption of ArCoin will be partially fulfilled if aggregate repurchase requests are more than the total amount of the Fund’s repurchase offer.
Example 3 - Partial Redemption Increased
If you submitted for a partial redemption and want to increase the amount of ArCoin eligible for said monthly redemption period, you may, before the Repurchase Request Deadline, return to the ArCoin portal and submit more ArCoin to your locked redemption wallet.
Example 4 - Partial Redemption Decreased / Cancel
Contact TTA at email@example.com to decrease the amount of ArCoin you have sent to your locked redemption account or to fully cancel your redemption. TTA will work with you to get a portion or all of your ArCoin back to your original wallet. You may only make such a request before the Repurchase Request Deadline.
Example 5 - Full Redemption
Send tokensTo submit ArCoin for a full redemption, send all of your ArCoin to the locked redemption wallet via the process above. This full redemption of ArCoin will be fully fulfilled if aggregate repurchase requests are less than the total amount of the Fund’s repurchase offer. This full redemption of ArCoin will be partially fulfilled if aggregate repurchase requests are more than the total amount of the Fund’s repurchase offer.Example 5 - No RedemptionFor any monthly redemption period, you may choose not to redeem any of your ArCoin. This will not affect your eligibility for future monthly repurchase offers.
There are no repurchases fees imposed by the Fund. However, if a shareholder would like to participate in a share repurchase, they will be required to send their ArCoin to a locked redemption wallet in their name. In order to send a “peer to peer” transaction of ArCoin on the Ethereum blockchain the shareholder is responsible for paying gas fees (transaction fees) imposed by the Ethereum blockchain. (Note: in the case of TIA wallets no gas fee will be applied)
The Arca U.S. Treasury Fund will make a repurchase offer for between 5% and 15% of outstanding ArCoin on a monthly basis, so long as the amount of monthly share repurchase offers do not exceed 25% of the Fund’s outstanding shares over a three-month period. The Fund will fulfill all repurchase requests up to the maximum amount as pre-determined by the Fund’s Board of Trustees. If the holders of ArCoin in the aggregate submit repurchase requests for more than the total amount of the Fund’s repurchase offer, the Fund may, but is not required to, repurchase an additional amount of shares not to exceed 2% of outstanding ArCoin in any three-month period. If the Fund determines not to repurchase more than the Repurchase Offer Amount, or if shareholders tender shares in an amount exceeding the Repurchase Offer Amount plus 2% of the outstanding shares on the Repurchase Request Deadline, the Fund shall repurchase shares on a pro rata basis, subject to limited exceptions set forth in the prospectus. In this scenario, ArCoin in excess of the eligible repurchase amount will be returned to their shareholder’s wallet address.
The repurchase price of ArCoin will be the Net Asset Value (NAV) of the Fund as of the close of regular trading on the New York Stock Exchange on the “Repurchase Pricing Date.” The Repurchase Pricing Date typically falls on the 10th business day of the month but may vary according to NYSE holidays. Please review the prospectus for more information about the Repurchase Pricing Date. You will be able to find the daily NAV on arcoin.arcalabs.com or you can call 1 (800) 445-3148.
Once the redemption request window has closed, given the repurchase request is in good order, the Fund’s Transfer Agent will issue a payment to the corresponding shareholder’s bank account. Details of the payment date can be found in the prospectus. Payments will occur within seven calendar days of the Repurchase Pricing Date. Payments for ArCoin will be sent via ACH or Signet. There is no need to signal which payment method you would like to receive. If you enter a Signet account, it will be recognized as such.
Please call the Transfer Agent at 1 (800) 445-3148.
Immediately contact the Transfer Agent at 1 (800) 445-3148. The Transfer Agent will freeze your account and investigate the reported issues. The Transfer Agent may establish a new account and replace your ArCoin or take other actions as outlined in the Fund’s prospectus.
An investor should carefully consider the investment objectives, risks, charges, and expenses of the Arca US Treasury Fund before investing. This and other important information is available in the Fund’s prospectus, which should be reviewed carefully prior to investing. To obtain a prospectus, please visit https://arcoin.arcalabs.com or call 1-800-445-3148.
The Fund’s Annual Operating Expense Ratio, as reflected in the current prospectus is 3.22%, however, Management has entered into an expense limitation agreement pursuant to which the Fund’s expenses will not exceed 0.75% for the first year after the effective date of the Fund’s prospectus. For more details relating to the fund’s expenses, please review the prospectus.
No assurance can be given that the Fund will achieve its investment objective, and investment results may vary substantially over time and from period to period.
An investment in the Fund involves risk, including loss of principal. An investment in the Fund is suitable only for investors who can bear the risks associated with limited liquidity in the shares and the uncertainty of emerging technologies and should be viewed as a long-term investment.
Other risks specifically associated with the Arca U.S. Treasury Fund are detailed in the prospectus and include no history of operations risk, conflict of interest risk, interval fund risk, no minimum amount of proceeds risk, fund closure risk, liquidity risk, tax related risks, credit and non-payment risk, interest rate risk, portfolio management risk, market risk, repurchase agreement risk, portfolio turnover risk, call risk, valuation risk and issuer risk.
The Arca U.S. Treasury Fund is the first registered funds to offer digital securities and there are additional risks associated with this feature of the Fund, including regulatory risk, liquidity risk, emerging technology risk, operational and technology risk, and risks specifically associated with Ethererum blockchain. There is the risk that management may be unable to successfully use blockchain technology to validate ownership and transfer ArCoin.
For details regarding all of the risks described above, please review the prospectus.
Arca Capital Management, LLC (“Arca Capital”) serves as adviser to the Arca U.S. Treasury Fund, and the Fund is distributed by Ceros Financial Services, Inc., Member FINRA/SIPC (“Ceros”). Arca Capital and Ceros are not affiliated.