Company: TLGYF
Filing Date: 2025-12-29
Form Type: S-4/A
Source: 0001213900-25-125608
Chunk: 197

Company: TLGY ACQUISITION CORP
Filing Date: 2025-12-29
Form: S-4/A
Chunk 197
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 ENA Token. If SC Assets, StablecoinX or its third-party service providers, including Anchorage, experience a security breach or cyberattack and unauthorized parties obtain access to SC Assets’ or StablecoinX’s ENA Token, or if SC Assets’ or StablecoinX’s private keys are lost or destroyed, or other similar circumstances or events occur, including the ability to reverse engineer private keys, SC Assets or StablecoinX may lose some or all of its ENA Token and its financial condition and results of operations could be materially adversely affected. SC Assets deposited the Locked ENA Token it purchased pursuant to the Token Purchase Agreements, and, following the Closing, StablecoinX expects to continue to hold its ENA Tokens with Anchorage, which is a regulated custodian that has duties to safeguard the private keys associated with the digital wallets holding such ENA Token. Under the Custody Agreements with Anchorage, Anchorage retains exclusive control of the private keys associated with the digital wallets in which our ENA Token are held, and neither SC Assets nor StablecoinX has possession of, or direct access to, such private keys. All of such Locked ENA Token that has already been purchased and all of the ENA Token 64 we will own at Closing, are expected to be held in custody accounts at Anchorage, a digital asset custodian servicing institution, at least initially. Generally, custodial services contracts do not restrict the ability to reallocate ENA Token among custodians. However, in light of the significant amount of ENA Token we will hold, we may seek to engage additional custodians to achieve a greater degree of diversification in the custody of our ENA Token as the extent of potential risk of loss is dependent, in part, on the degree of diversification. If there is a decrease in the availability of digital asset custodians that we believe can safely custody our ENA Token, for example, due to regulatory developments or enforcement actions that cause custodians to discontinue or limit their services in the United States, we may need to enter into agreements that are less favorable or take other measures to custody our ENA Token, and our ability to seek a greater degree of diversification in the use of custodial services could be materially adversely affected. Anchorage, through its parent company, maintains a commercial crime insurance policy, which is intended to cover the loss of digital assets through theft, robbery, burglary, as well as third party computer and funds transfer fraud, subject to its terms and conditions