Company: OWLS
Filing Date: 2025-01-24
Form Type: DRS/A
Source: 0000950123-25-000547
Chunk: 64

Company: OBOOK HOLDINGS INC.
Filing Date: 2025-01-24
Form: DRS/A
Chunk 64
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, we may be subject to regulatory scrutiny, inquiries, investigations, fines and other penalties, which may adversely affect our business, operating results and financial condition.

The regulatory treatment of a range of digital assets, products and services, including
stablecoins like USDC, is highly uncertain and has drawn significant attention from legislative and regulatory bodies around the world. The SEC has taken the position that a range of digital assets, products and services could fall within the
definition of a “security” under U.S. federal securities laws. Some stablecoins have been asserted to be securities under the federal securities laws by the SEC and/or federal courts, including BUSD, a U.S. dollar stablecoin issued by
Binance, and UST, a U.S. dollar stablecoin issued by Terra. The SEC also sent a subpoena to the financial technology company PayPal relating to the PayPal USD stablecoin that requested the production of documents. Our stablecoin solutions services
do not currently involve, and we do not intend to expand our services in the future to involve, BUSD, UST or PayPalUSD. In addition, the SEC has brought enforcement actions against certain participants in the digital assets economy, in which the SEC
has asserted that digital assets including SOL, ADA, MATIC, FIL, ATOM, SAND, MANA, ALGO, AXS, COTI, CHZ, FLOW, ICP, NEAR, VGX, DASH and NEXO, are securities under the federal securities laws. There can be no guarantee that the SEC will not bring
similar claims involving these or other digital assets in the future. Our current operations involve, on our own account and as a part of our services to handle gas fees payments for the customers, holding and transacting MATIC and, potentially in
the future, SOL. The SEC could also allege other digital assets as securities, including digital assets that are currently being held or transacted by us or otherwise involved in our business operations. Despite the SEC serving as the principal
federal securities law regulator in the United States, federal courts ultimately determine whether or not an asset, product or service constitutes a security or a securities offering under federal securities laws. The legal tests for determining
whether any given digital asset, product, or service is a security requires a highly complex, fact-driven analysis. Accordingly, whether any given digital asset, product or service would be ultimately deemed by a federal court to be a security is
uncertain and difficult to predict. Such legal determination of “security