Settlement
The process of completing a CRT trade on the GigaStar Secondary Market, including the transfer of token ownership from seller to buyer and the corresponding payment.
Understanding Settlement
Settlement is the final step in completing a Channel Revenue Token (CRT) trade on the GigaStar Secondary Market. It encompasses the process of transferring ownership of the CRT from the seller to the buyer and simultaneously transferring payment from the buyer to the seller. Until settlement is complete, a trade is considered pending and neither party has finalized their side of the transaction.
In traditional securities markets, settlement typically follows a standardized timeline. The GigaStar Secondary Market, operated by GigaStar Securities as a broker-dealer, follows its own settlement procedures designed for the CRT asset class. The specific settlement timeline and process are outlined in the platform's terms and conditions.
During the settlement process, several important steps occur. The system verifies that the seller holds the CRTs being sold and that the buyer has sufficient funds to complete the purchase. The CRT ownership records are updated to reflect the new holder, and the corresponding payment is processed. Once settlement is complete, the buyer becomes the new CRT holder and is entitled to future monthly distributions.
For both buyers and sellers, understanding the settlement process is important for managing expectations around when ownership transfers and when funds become available. Pending trades that have not yet settled may restrict the seller from making additional trades with those same CRTs and may restrict the buyer's funds until the process completes.
Settlement also has implications for distribution timing. If a trade settles close to a distribution date, Investors should understand the rules governing which party—the buyer or the seller—is entitled to the upcoming distribution. These details are typically specified in the Secondary Market's operating rules and trading agreements.
Key Points to Remember
- Settlement is regulated by the SEC under Regulation Crowdfunding
- All investments carry risk — past performance doesn't guarantee future results
- Review all offering documents carefully before investing
Related Terms
Channel Revenue Token (CRT)
A digital asset that represents a percentage of a YouTube channel’s future revenue. A CRT becomes tradable in the secondary market after a 12-month holding period from its initial purchase.
Distribution
A distribution is a Monthly payment made to Channel Revenue Token (CRT) holders, representing their share of a YouTube Creator's revenue earned during that period.
GigaStar Secondary Market
GigaStar Trading is GigaStar's upcoming SEC-registered Alternative Trading System (ATS), where CRT holders may buy and sell their positions, launching in 2026.
GigaStar Securities
GigaStar Securities LLC (dba GigaStar Trading), is an SEC-registered broker-dealer and FINRA/SIPC member that operates a secondary market Digital Alternative Trading System (ATS) for the trading of Creator securities (CRTs).
Limit Order
An order where you set the exact price you want to buy or sell at. Your order will only go through at that price or better.
Market Order
An instruction you give the platform to buy or sell a certain number of CRTs at a price you choose.
Secondary Trading
Secondary trading is the buying and selling of Channel Revenue Tokens (CRTs) on the GigaStar Secondary Market after the mandatory 12-month holding period has elapsed.
Frequently Asked Questions
What is the GigaStar secondary market?
The GigaStar secondary market platform, called GigaStar Trading, is an SEC-registered digital Alternative Trading System (ATS) that allows eligible investors to buy and sell previously issued Channel Revenue Tokens (CRTs) with other investors after the initial offering period and any applicable restricted period, subject to securities regulations and platform rules. (e.g., Reg CF = 12-month restricted holding period). This secondary market platform enables peer-to-peer trading of existing CRTs. Note that Investment offerings are speculative, illiquid, and involve a high degree of risk, including the risk of loss of your entire investment. Securities purchased in GigaStar Market must be held 12 months before trading in the secondary market. There is no guarantee of an active or liquid secondary market and investments are subject to market risk and will fluctuate in value. Past performance is not a guarantee of future results.
How is the secondary market different from GigaStar Market?
GigaStar Market (Primary Market) is an SEC-registered Funding Portal and member of FINRA that offers securities under a Regulation Crowdfunding (Reg CF) platform. This is the primary marketplace where Channel Revenue Tokens (CRTs) are first issued and sold directly to investors to fund a Creator. GigaStar Trading (Secondary Market) is an SEC-registered broker-dealer (BD) operating a digital Alternative Trading System (ATS) for the trading of Digital Asset Securities. This is a secondary market trading venue separate from the primary market, where eligible investors may buy and sell CRTs with one another. Primary offerings raise capital for Creators. Secondary trading allows existing investors to trade CRTs, transferring ownership, subject to market availability. NOTE: Investment offerings are speculative, illiquid, and involve a high degree of risk, including the risk of loss of your entire investment. Securities purchased in GigaStar Market must be held 12 months before trading in the secondary market. There is no guarantee of an active or liquid secondary market and investments are subject to market risk and will fluctuate in value. Past performance is not a guarantee of future results.
What assets can be traded?
Eligible Channel Revenue Tokens (CRTs) that were issued in primary offerings, have satisfied applicable holding requirements (12-month holding period from initial purchase) and meet platform eligibility standards can be traded on the GigaStar Trading platform.