Company: TLGYF
Filing Date: 2025-12-29
Form Type: S-4/A
Source: 0001213900-25-125608
Chunk: 296

Company: TLGY ACQUISITION CORP
Filing Date: 2025-12-29
Form: S-4/A
Chunk 296
---
 Business Model with Embedded Token Economics. After the Closing, StablecoinX will operate validator infrastructure that supports the Ethena ecosystem on the proposed Converge network or on other validation opportunities in the Ethena ecosystem utilizing ENA Token (once Ethena migrates its protocol to Converge, or any other validation opportunities in the Ethena ecosystem utilizing ENA Token), generating recurring rewards through transaction validation and staking yields. This business model is expected to offer both a predictable revenue stream and potential upside linked to the appreciation and broader adoption of ENA Token and related Ethena ecosystem assets. • Potential Profit Participation in USDe Protocol. The Ethena community has approved a proposal under which, once specific governance and operational milestones are achieved, including continued growth in USDe supply, cumulative protocol revenue targets, and expanded exchange listings, holders of ENA Token could potentially receive distributions of transaction fees generated by USDe activity. Any such benefit would occur through distributions to sENA holders if the protocol’s Wintermute Proposal is approved and activated. T he market value of ENA Tokens may reflect investor expectations regarding the potential benefits to be received if the Wintermute Proposal was ever implemented and other governance rights that influence USDe and sUSDe performance. The TLGY Board views this as an important potential source of long -term economic upside for StablecoinX and its shareholders, while acknowledging that timing and amounts of any such indirect benefit remain subject to further community governance approval and regulatory considerations. • NAV -Accretive Platform Architecture. The TLGY Board considered the market precedent of digital -assettreasury vehicles that can trade at premiums to their net asset value (“ NAV”). A premium -to -NAVtrading profile could allow StablecoinX to raise capital above the underlying value of its digital assets, thereby making subsequent equity issuances accretive to existing shareholders. The TLGY Board believes that StablecoinX’s structure and exposure to ENA Token and validator rewards positions it to achieve similar NAV -accretivedynamics, enhancing capital formation flexibility. • ENA Staking and Yield Generation.StablecoinX intends to participate in ENA Token staking and delegated proof -of -stake(“ PoS”) programs, including potential delegation requests from the Ethena Foundation to trusted validators. The TLGY Board believes that prudent staking of ENA Tokens can generate a modest but recurring yield, complementing validator rewards and creating a diversified revenue base. This staking strategy also aligns StablecoinX with the long -termnetwork security