The Words of Mattereum

Glossary for understanding Mattereum terminology

A

Arbitration

  • Arbitration is a process in which an independent person makes an official decision that ends a legal disagreement without the need for it to be solved in court
  • The advantage is that arbitration is usually faster and cheaper than law courts, and is better suited to make judgements over complex and/or novel technical disputes.

Asset

  • An asset is anything that can be used to produce positive economic or utility value, or that is durable enough that it can be used as a store of value. 
  • That includes things with a physical substance (such as currencies, real estate, equipment, vehicles, artwork, gold, wine, and collectables) as well as intangibles (such as patents, copyrights, trademarks, and metaverses).
  • Mattereum works specifically with what we call Real World Assets, which includes most physical assets and some intangibles, which we link to an Asset Passport and mint as a Trustable NFT.

Asset Identity

This is the name of a warranty inside the Mattereum Asset Passport (MAP) that clearly identifies the asset to which the passport is linked.

Automated Custodian

The Automated Custodian is the technical/legal machinery for doing instant property ownership transfer almost anywhere in the world. Mattereum is working towards creating this for the future.

C

Carbon Offset Warranty

This is the name of a warranty inside the Mattereum Asset Passport (MAP) that shows that Mattereum has offset the carbon cost of MAP production. Clients also have the option to buy additional carbon offsets to cover the production of their assets

Certification

The Mattereum Asset Passport (MAP) backs certification with a financial stake in the form of an indemnity.  To attach a certification to an object, Certifiers will follow the same procedure as owners when they supplied the initial information at the MAP generation phase (owners are also certifiers of at least the Asset Identity).

Certification Contract

Each certification is backed up by both a legal contract and a smart contract stating the financial indemnity the certifier is willing to place behind the veracity of their information and the certifier fee they charge for providing this indemnity.

 

Certification Fee

Certifiers can set a fee which must be paid in order to activate a certification so that subsequent owners can enjoy the coverage offered. Current owners of assets can also set fees for their certifications, so that they can continue to profit from their knowledge even after the object has been sold on to several future owners.

Certifier

  • A person or organisation paid to provide information about an asset that is included in the Mattereum Asset Passport (MAP) that is legally binding (e.g. certifying that an artwork is by the artist it claims to be).  Certifiers are not necessarily bonafide experts – they may just have some niche knowledge that happens to be valuable in the context of a MAP (a person does not need to be an expert on Picasso to certify that their grandmother bought this one from Picasso himself and here are the documents to prove it)
  • Mattereum doesn’t offer certifiers, issuers find their own

D

Digital twin

As an exact digital replica of something in the physical world. All Mattereum Asset Passports (MAPs) will include a digital twin of the item they represent.

Digital Passport

Any digital document that authenticates the item or person to which it is linked. The information may be limited or only apply to a specific aspect of the thing to which it is linked, e.g. a biometric passport that just holds the basic data to allow the holder’s identity to be confirmed. It is less inclusive than the MAP and does not include any enforceable legal warranties.

E

Expert

Someone with specialist knowledge regarding an asset who is willing to act as a Certifier.

M

Mattereum Asset Passport (MAP)

  • An Asset Passport is a unique contractual container (legal and smart contracts together) that records and manages the rights and obligations associated with a given asset. These legal containers are defined by their original owners as part of the Mattereum NFT creation process. Asset Passports identify property in the same way that URLs identify information.
  • Asset passports differ from other digital passports because they include enforceable legal warranties.
  • The Mattereum Asset Passport (MAP) provides digital identity credentials for real world assets which are immutably stored on a blockchain and can be openly verified by third-parties.

MTRM Industries Limited

The UK company that provides Mattereum Asset Passports (MAPs), Trustable NFTs and allied services as laid out in this glossary.

N

NFT

A non-fungible token (NFT) is a type of cryptographic token that represents a unique asset. NFTs are tokenized versions of digital or real-world assets. They act as verifiable proofs of authenticity and ownership within a blockchain network. NFTs are not interchangeable with each other; something that is interchangeable with another item, e.g. two banknotes of the same value, is fungible, so hence ‘non-fungible token’

NFT Pairing

One of the warranties within a Mattereum Asset Passport (MAP) is the NFT itself. Turning the NFT into an actual warranty claim within the MAP allows it to denote true ownership of an underlying good in a systemic way rather than what would amount to a mere promise by a stranger on the Internet. Also, the smart contract is now a fundamental part of the deal, with execution of the agreement now deferred to the smart contract.

P

Physical NFT

  • Commonly used to refer to the physical display of born-digital artwork that is bound to an NFT (e.g. a Bored Ape printed onto paper or shown on a physical computer screen). There is a growing trend for exhibiting NFT digital artwork in physical galleries.
  • Less commonly used to refer to a born-physical asset (particularly physical artwork) that is bound to an NFT; such usage is easily misunderstood due to the scale of common definition’s popularity.

R

Ricardian Contract

Invented by financial cryptographer and Mattereum Chief Scientist Ian Grigg at the turn of the 21st century, this model allows for the creation of digital value in a manner that is enforceable and recognizable in an international court of law.

Real World Asset NFT (rwaNFT)

The term Mattereum used for an earlier version of its Trustable NFT.

S

Smart Property Register

The definitive, aggregate record of all asset passports comprises the Smart Property Register. Imagine a DNS for the physical world. Automated custodians function as registrars which upload goods to the global register. The SPR is the single, shared source of truth on the state of all Trustable NFTs.

T

Trustable NFT

NFTs used as a mechanism for improving truth in trade via Mattereum Asset Passports (MAPs). A Trustable NFT improves the trustworthiness of assets traded as NFTs, which helps to reduce fraud and provides a legal mechanism for redress.

V

Vault

A secure physical storage facility where the objects linked to Mattereum Trustable NFTs are stored, similar to a bank vault. These are third party facilities, such as secure art storage specialists Cadogan Tate.

W

Warranty

  • A warranty is a written guarantee that statements regarding an asset are true.
  •  Warranties are  issued to the purchaser of an asset by its vendor or an appropriate expert
  • Warranties are part of the Mattereum Asset Passport (MAP) and are backed by legally enforceable natural language and smart contracts.