Equity and Token Cap Tables are essential tools for managing company ownership and token distribution. While they're often maintained separately, there can be instances where they're connected, such as when investors have Token Side Letters or Token Warrants. In these cases, you can calculate the percentage of tokens an investor receives from the pool based on their equity stake.
Note: The templates provided below contain example data to make it easier to learn how to use the tables.
Equity Cap Tables
Equity Cap Tables are a valuable resource for tracking share ownership across various stages of equity issuance. This template includes four different Cap Tables (Stage 0-3) that help you maintain historical information on share ownership and investments in your company. If your needs are simpler, you can use a single Cap Table and add or remove information based on your company's up-to-date equity status.
Please note that if your company has different classes of shares, it's essential to add an additional column in the Cap Table that specifies which share class belongs to each shareholder.
Template and Resources
Recommended resources for raising equity via SAFE agreements:
Token Cap Tables
Token Cap Tables offer a comprehensive overview of the total token emission and the division of tokens into different pools. They also outline the various distribution methods used for each pool.
The Token Cap Table Template includes:
1. A Token Cap Table
This usually features a summary of tokens issued to all pools, including:
Standard token pools:
- Founders' pool – tokens set aside for the Web3 project's founders
- Team & advisory pool – tokens allocated to employees and advisors
- Investors' pool – tokens designated for fundraising
- Community pool – tokens earmarked for community members like ambassadors, users, contributors, and creators
Custom token pools (examples):
- Validators' pool – tokens for transaction validators in the blockchain protocol
- Oracles' pool – tokens for oracles validating cross-protocol transactions
- Liquidity pool – tokens used in smart contracts in DEX, DeFi, and token swaps, providing liquidity for asset exchanges
Distribution methods for each token pool:
- Founders' and team pools: Token Options with vesting
- Investors: SAFTs or private token sales agreements
- Community pool: Airdrops, public token sale, staking rewards
2. A Token Allocation
An in-depth breakdown of token recipients, the specific documents governing the issuance, and the quantity of tokens distributed.