> For the complete documentation index, see [llms.txt](https://docs.lumia.org/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs.lumia.org/tokenize/eligibility-and-investor-tiers.md).

# Eligibility and investor tiers

**Who this is for:** issuers designing who is allowed to hold a tokenized asset.

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This page describes a common pattern, not a specific eligibility rule. Which categories and thresholds apply to a given asset and jurisdiction is a determination for your own counsel, not stated here.
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## The general pattern

RWA issuers commonly restrict who can hold a token to one or more defined tiers, rather than allowing any address to acquire it. A tier is typically defined by two things together:

* **A category:** for example, retail/individual versus institutional, or a jurisdiction-defined investor classification with its own eligibility bar. Which categories exist, and what qualifies someone for one, varies by jurisdiction and by asset type; this page names the pattern, not the specific categories.
* **A verification level:** the identity or standing check a holder must pass before being admitted to that tier. This is where the tier maps onto Lumia's compliance taxonomy: an individual investor's tier typically maps to a [KYC](file:///lumia/compliance/KYC-Know-Your-Customer.md) check, and an institutional investor's tier to a [KYB](file:///lumia/compliance/KYB-Know-Your-Business.md) check.

## Why tiering exists

A single asset can have different offer terms for different holder categories: different minimum allocation sizes, different transfer restrictions, and different reporting obligations the issuer owes back to the holder. Tiering lets one token contract enforce more than one eligibility rule at once, checked at the same `transfer()` gate described in [Permissionless base, permissioned app layer](file:///lumia/compliance/Permissionless-base-permissioned-app-layer.md).

## What this page does not state

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It does not name specific investor categories, income or net-worth thresholds, or which jurisdictions require what. Those are legal and regulatory determinations that vary by asset, offering structure, and jurisdiction. Resolve them with your own counsel as part of [Compliance overview for issuers](broken://pages/045bbee2171b458fda1c9e4ac44eef20b4da765e), not from this page.
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