Net asset value vs token price: why the numbers can diverge

The idea in plain English

Net asset value, or NAV, is a valuation of a fund or vehicle’s assets minus liabilities under its methodology, commonly expressed per unit. A token’s market price is the price at which participants are willing to trade. They can differ because of timing, liquidity, fees, restrictions and uncertainty.

The distinction that matters

Check when NAV is calculated and whether it is indicative, official or stale. A secondary-market quote can move while the underlying market is closed. The ability of eligible participants to create or redeem units may influence deviations, but not every holder can use those mechanisms directly.

A practical example

A fictional token trades below a published NAV from the prior business day. The discount could reflect redemption costs, new information or limited buyers. It is not automatically a riskless profit because the holder may be unable to redeem at the quoted NAV or may face delays.

Try this without moving money

• Write the timestamp and methodology of the NAV figure.
• Compare market price only with awareness of timing and costs.
• Read who can redeem and whether minimums or restrictions apply.

A mistake to avoid

Do not label every discount a bargain. A valuation number is not a standing cash bid for your entire holding.

Before you act

Tokenization changes how a claim is represented, not automatically the quality of the claim. Rights, eligibility and redemption are product- and jurisdiction-specific. The SEC staff reference is a US taxonomy discussion, not worldwide legal advice or a binding rule. Cairn is introduced here as research software, not a place to deposit money.