Distribution Committed

Distribution committed describes a state in a tokenized offering where the issuer has set aside and locked the funds for a payout, so holders can claim their share. Once a distribution is committed, the money is allocated to holders and the issuer cannot simply reclaim or redirect it - it is earmarked for the claim, pending each holder withdrawing their portion.

This matters in claim-based distribution models. Rather than pushing payments to every wallet (which costs gas that scales with the number of holders), the issuer commits the total to a distributor contract, and each holder claims their pro-rata share when they choose. "Committed" is the point at which the funds become the holders' to claim rather than the issuer's to control.

For an investor, a committed distribution is a strong signal: the money is already locked in the contract, not merely promised. You can verify on-chain that the funds exist and are allocated before you claim, which is more reassuring than an off-chain IOU.

For an issuer, committing a distribution is a deliberate, often irreversible step - so the calculation (each holder's share, the waterfall order) must be correct before committing. Getting it wrong after funds are committed is harder to unwind than a mistake caught beforehand. The concept also appears around redemptions, where final proceeds are committed for holders to withdraw once an asset is sold.