Company: TLGYF
Filing Date: 2025-09-29
Form Type: S-4
Source: 0001213900-25-092592
Chunk: 163

Company: TLGY ACQUISITION CORP
Filing Date: 2025-09-29
Form: S-4
Chunk 163
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 acquisition, however: •our acquisition strategy is susceptible to various risks associated with ENA Token, including volatility; •we may compete with others to acquire ENA Token, and as competition increases, decreased availability or increased prices for acquisition could result despite our ongoing Collaboration Agreement with Ethena; •we may experience difficulty in anticipating the timing and availability of ENA Token acquisitions; •we may not be able to obtain further financing, on favorable terms or at all, to finance any of our potential ENA Token acquisitions; •we may not be able to meet the requirements to participate in the proposed Converge’s validator network or other validation opportunities in the Ethena ecosystem utilizing ENA Token; and •we may not be able to generate the cash or digital assets necessary to execute our ENA Token acquisition strategy. The occurrence of any of these factors could adversely affect our ENA Token acquisition strategy. Further, StablecoinX intends to use the ENA Tokens in its treasury as collateral for its node validation operations, earning staking awards in the form of additional ENA Tokens. Its ability to operate and maintain its validator business as well as earn staking rewards therefrom is subject to significant risks. Our success depends on the continued growth, development, and adoption of blockchain networks on which SC Assets operates its validator nodes and the growth of blockchain-based financial applications and the broader Ethena Protocol and the proposed Converge n etwork, which growth remains uncertain. The Ethena Protocol is a decentralized finance (“ DeFi”) protocol that currently operates on the Ethereum blockchain network. Upon the launch of Converge, a proposed new blockchain network designed to support and advance “institutional DeFi” and tokenized assets that was developed jointly by Ethena Labs and Securitize, Ethena plans to migrate its existing DeFi ecosystem to the Converge network. One of the differentiating factors between Ethereum and Converge (as currently contemplated) is expected to be the role validators play on the network. While Ethereum maintains a decentralized, permissionless network, the Converge network is expected to be a semi -centralizedsystem with a permissioned validator set that acts as a security council for emergency interventions, expected to be known as the Converge Validator Network (the “ CVN”). To participate in the CVN, validators will be required to stake ENA Token. Those who stake ENA Token, whether they are operators or users who delegate such token, are expected to be eligible to earn a share of protocol transaction fees