Frequently Asked Questions
Oleaster is a pioneering agri developer based in the US, dedicated to unlocking unique investment opportunities in premium green assets, namely trees. Our approach bridges modern finance with sustainable agriculture, creating a pathway for individuals to engage in eco-conscious investments while benefiting from the enduring value of nature.
Our proprietary algorithm selects the most unique, profitable, and remarkable trees among promising markets. We implement our certified and third-party audited management system that guarantees effective tree management and carbon credit valuation. We link these real, natural assets to a token deployed via a smart contract on the Polygon Blockchain, which is recognized for its sustainability. You select the properties you want to invest in and the number of trees you want to hold. Producers will continue to manage the trees on your behalf, and you follow the cycle of the tree year-long, receiving an annual return paired with carbon credit.
No, you do not own the tree, but you own the usufruct of the tree or the future production. You own real rights on the tree and its usufruct backed by two contracts with the producers deployed via a smart contract on the Polygon blockchain. The producer continues to manage the tree on your behalf and receives management fees in return. You don’t own the land, but the land is put as collateral in case of mismanagement, ensuring you have no right to cut, transport, or damage the tree.
Some producers offer the opportunity to visit the property under certain conditions (by appointment, avoiding harvest periods, etc.). This would be mentioned on the property profile before investment.
A new tree is planted. Since the return on one tree is a portion of total revenues generated by the whole grove, the value of your tree and return would be only partially affected. (if 10,000 trees have been tokenized, one damaged and lost tree would only affect the total revenues by 1/10,000)
We pre-selected and ranked 670+ out of 2000+ olive grove producers based in the Mediterranean. We selected 20 top candidates per country (starting in Spain and Italy). We conduct site visits and perform due diligence in collaboration with strategic partners such as BDO, ESAO (The Olive School of Spain), and Lexvel Law firm. We check the business model, profitability, historical data, and social and environmental impacts, eventually contracting the most promising and relevant partners for tree tokenization. This gives our customers access to the most distinguished high-end olive oil producers in the world. We duplicate this approach for new types of trees and other green assets.
We select premium and award-winning properties who are willing to sell up to 40% of their trees. They continue to manage the whole property, including your trees, and receive management fees in return. They implement our Management System (OOMS) and get audited by a third party once a year. You have access to audit reports and periodic updates and communication from producers.
OOMS stands for Oleaster Management System. It is a comprehensive framework that helps organizations achieve environmental, social, and governance goals. The system is based on international standards and guidelines, providing a systematic approach to sustainability. OOMS covers five pillars: Thematic, Governance, Social Impact, Environmental Impact, and Resilience. Implementing the OOMS allows organizations to improve their sustainability performance, enhance reputation, attract investors, and comply with relevant regulations. Certification under OOMS requires undergoing an audit by a third-party auditor to demonstrate compliance with OOMS requirements and continuous improvement
The OOMS covers various aspects of olive oil production. It includes the management of olive groves, milling, and oil marketing. The focus is on implementing state-of-the-art processes that ensure the health and vitality of the orchard while producing premium olive oil. This approach emphasizes sustainability, self-improvement, and continuous monitoring throughout the entire value chain. The OOMS also addresses factors like land legal status, soil and land management, tree management, milling, storage, and bottling. It aims to ensure legal compliance, clear status of the land, and the use of environmentally friendly practices in olive oil production.
The OOMS score is a numerical rating that assesses the performance of an organization in implementing the Oleaster Management System (OOMS). It measures the organization’s compliance and improvement across the five OOMS pillars: Thematic, Governance, Social Impact, Environmental Impact, and Resilience. The OOMS score ranges from 0 to 5, with 1 being the lowest positive score and 5 being the highest. The score is determined through a weighted average of individual pillar scores, with 80% weightage given to the pillar scores and 20% based on improvements made and compliance with OOMS requirements. The OOMS score provides a quantifiable measure of an organization’s sustainability performance and determines its eligibility for OOMS certification.
A score of zero denotes a default scenario, while a score of five signifies excellence in tree management. The management or success fees awarded to producers are contingent on the achieved score.
The first issuance will include high-end and award-winning olive properties in Spain, Italy, and France. Upcoming issuances will diversify products with new tree types: Avocado, Cacao, Macadamia, Dates palms, and Pistachios.
We will be launching our mobile app after the first issuance.
The returns on your investment are derived from the annual yield of the olive trees, which is primarily from the sale of olive oil. While the exact returns can vary based on several factors including the health of the trees, market prices for olive oil, and the success of the harvest, historically, the properties we have selected have demonstrated a strong and consistent yield. Additionally, the carbon credits generated provide an added value to your investment. Our platform provides a detailed breakdown of the anticipated returns, backed by historical data and third-party audits, to provide a clear picture of the potential financial benefits.
The value of carbon credits is determined based on the amount of carbon dioxide and other greenhouse gases sequestered or offset by the olive trees on the property. A third-party organization, following international standards, will evaluate and certify the carbon sequestration capability of the trees. While the carbon credits generated emphasize the positive environmental impact of your investment, Oleaster will strive to monetize these credits, although this is not guaranteed.