Run a decrease of capital on a tokenized asset with the Platform API

Reduce issued capital with batch burns, an optional supply-cap reduction, and an optional cash return to holders.

A decrease of capital retires issued units, either pro-rata across all holders or from specific positions such as a treasury account after a buyback. You execute the reduction itself as a burn: the Supply Management role removes units from holder addresses directly, no holder signature required. A cap change and a cash return complete the reduction when the terms include them.

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Prerequisites

API key for a wallet with the Supply Management role on the asset, plus the governance role when the cap changes.
For a pro-rata reduction: a consistent holder snapshot, which means pausing the asset or running in a quiet window.
For a cash return: a funded distribution wallet holding the cash token.

Running the reduction

Fix the scope and the numbers

A pro-rata reduction burns balance x reduction ratio from every holder, rounded down; snapshot the holder set first with GET /api/v2/tokens/{tokenAddress}/holders (paused) or the record-date snapshot (past date). A targeted reduction, such as cancelling repurchased shares, burns exact amounts from named positions and needs no snapshot beyond those balances.

Batch burn the retired units

Burn in groups of up to 100 addresses, one Idempotency-Key per request.

curl -X POST "https://your-platform.example.com/api/v2/tokens/0x9459D52E60edBD3178f00F9055f6C117a21b4220/burns" \
  -H "X-Api-Key: sm_dalp_test_xxxxxxxxxxxxxxxx" \
  -H "Idempotency-Key: capdec-nwih-2026-batch-001" \
  -H "Content-Type: application/json" \
  -d '{
    "addresses": [
      "0x742d35Cc6634C0532925a3b844Bc9e7595f0bEb",
      "0x8ba1f109551bD432803012645Ac136ddd64DBA72"
    ],
    "amounts": [
      "100000000000000000000",
      "25000000000000000000"
    ]
  }'

The burn pre-check verifies each address's indexed balance covers its amount, counting frozen units, so your reduction can retire frozen positions too. A batch fails whole when one address falls short; correct that address's amount and rerun your batch under a fresh Idempotency-Key.

Lower the supply cap

When the asset is capped and the reduction is permanent, bring the cap down to the new authorized level. A lowered cap stops a future mint from silently restoring the retired capital.

curl -X PATCH "https://your-platform.example.com/api/v2/tokens/0x9459D52E60edBD3178f00F9055f6C117a21b4220/supply-cap" \
  -H "X-Api-Key: sm_dalp_test_xxxxxxxxxxxxxxxx" \
  -H "Content-Type: application/json" \
  -d '{ "newCap": "800000000000000000000000" }'

Return cash to holders when the terms include it

A capital repayment pays each holder the announced amount per retired unit in a cash token. Compute from the same snapshot the burns used and push the payments with POST /api/v2/tokens/{cashTokenAddress}/transfers in batches of up to 10,000, following the one-off distribution path in the cash dividend guide.

Verify and report

Confirm every transaction, then check GET /api/v2/tokens/{tokenAddress}/stats/total-supply against the approved post-reduction supply and reconcile burned amounts per holder against your allocation table. Keep your approval record, your snapshot, the burn payloads, and the transaction hashes together as the audit trail of the reduction.

Operational notes

Burns are irreversible. Verify your allocation table against the approved reduction before the first batch, not after.
The platform records the burn, the cap change, and the cash return; the capital-account bookkeeping behind the reduction (share premium, reserves) lives in your corporate records, not on-chain.
Where local law requires creditor notice periods or court approval before a reduction, complete them before the burn run; the platform does not model those gates.

Stock split and reverse split reduces share count without reducing capital.
Burn assets covers the burn primitive through the Console.
Token holders and transfers API reference documents burn pre-checks and freeze interactions in depth.

Decrease of capital