Glossary
Acquisition
The purchase of the listed software assets. Today this is an asset sale, not an equity sale.
Buyer
A user or entity evaluating a listing to buy the software assets. In these docs, "buyer" is different from "market participant."
Acquired
The terminal state after an acquisition closes. Market participant payout has completed or is completing, and seller holdback remains as an operational overlay.
Automatic payout
Automatic market participant payout when a listing is acquired or expires. For expiry, payout is USDC reserve divided by active position size.
Automated pricing market
A market that lets users buy and sell listing positions without waiting for a scheduled auction. Buying moves price up. Selling moves price down.
Buyer claim
A buyer's right to dispute the release of part or all of the seller holdback during the 30 day holdback period. The grounds are the standard holdback release criteria: misrepresented metrics, undisclosed liabilities, failed handover obligations, or material undisclosed defects. The exact filing process and resolution standard live in the listing's transaction documents.
Cancelled
The terminal state when a seller cancels during the 24 hour pending period. Trading has not started, so no market position exists for the listing.
Closing
The state after DD when the buyer funds escrow and the parties complete the asset purchase agreement, transfer, payout, and handover steps.
DD
Short for due diligence. A 7 to 14 day review period after an accepted offer. Buyers review financial, operating, legal, and handover information. Source code access starts after closing, not during DD.
Discovery window
A seller-set period from 0 to 30 days when offer submission is blocked. The recommended default is 7 days. It gives the market time to discover price before a buyer can start an acquisition process.
Earnest deposit
An optional deposit equal to 2% of purchase price. If posted, it gives the buyer exclusive DD. If the buyer stops after protected due diligence starts, the deposit goes to the seller.
Escrow
USDC held during closing. After DD, the buyer has a 5 business day target to fund the required escrow amount shown in the live app.
Expired
The terminal state when a live listing reaches its timer without an acquisition. Trading stops, market participants receive their share of the USDC reserve, and the seller claim expires without value.
Holdback
10% of the seller payout held for 30 days after acquisition. It protects the buyer against specific post-closing issues.
Implied valuation
The valuation inferred from market value and the market participant share. At the default 20% market participant split, a $100,000 participant-side market value implies a $500,000 valuation.
KYC
Identity verification used when a user signs an NDA for protected information. It is built into the NDA signing flow so the NDA has an identified signer before non-public listing data opens. Assetmarket uses DocuSign ID Verification for this flow. Raw personal identity data is kept only for the active process and 30 day dispute window, then deleted.
Listing position
A tradeable position tied to one software listing. It can receive payout if the listing is acquired or expires.
Offer eligibility
The state where a buyer has at least a 2% listing position and can submit a term sheet to start the acquisition path.
Offer submitted
The listing state after an offer passes automated checks. Purchase price is fixed from the accepted market price, and DD can begin.
Pending
The 24 hour pre-live state after seller submission. The listing is visible but not tradable. The seller can cancel during this period.
Price impact
How much your trade execution differs from the displayed price because the market price moves during the trade. Larger trades have more price impact.
Protected data
Non-public listing information opened to users who hold at least a 1% listing position and complete a signed NDA with identity verification.
Seller claim
The seller's non-transferable payout right. It pays the seller's share of acquisition payout if a deal closes and expires without value if the listing expires.
Seller percentage
The seller's share of the implied valuation. The default value is 80%. Listing-specific splits are shown on the live listing page.
Term sheet
A non-binding offer document submitted by a buyer when starting the acquisition path. The binding agreement is the later asset purchase agreement.
Market participant acquisition pool
The total acquisition payout distributed across market participants. Equals purchase price × market participant share. Per-unit payout equals the pool divided by active position size.
Market participant
A user who buys or sells listing positions. A market participant is not necessarily trying to acquire the software.
USDC
The dollar-denominated currency used for Assetmarket trading, escrow, and settlement.