Company: TLGYF
Filing Date: 2025-09-29
Form Type: S-4
Source: 0001213900-25-092592
Chunk: 173

Company: TLGY ACQUISITION CORP
Filing Date: 2025-09-29
Form: S-4
Chunk 173
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 Token acquisition strategy has not been tested by us to date. While certain issuers have operating histories that involve digital asset acquisition strategies that may be comparable to the one StablecoinX intends to execute, including those focused on acquiring other digital assets, these have not been tested over an extended period of time or under different market conditions. We will continuously examine the risks and rewards of our ENA Token acquisition strategy. Some investors and other market participants may disagree with our ENA Token acquisition strategy or actions we undertake to implement it. If ENA Token prices were to decrease or our ENA Token acquisition strategy otherwise proves unsuccessful, our financial condition, results of operations and the market price of shares of StablecoinX Class A Common Stock may be materially adversely impacted. See also “— A significant decrease in the market value of our ENA Token holdings could adversely affect our ability to raise capital or satisfy our financial obligations.” Our ENA Token acquisition strategy will expose us to the risk of non -performanceby counterparties, whether contractual or otherwise. Risk of non -performanceincludes the inability or refusal of a counterparty to perform for any reason, including because of a deterioration in the counterparty’s financial condition and liquidity. Custodians, or other counterparties, might fail to perform in accordance with the terms of current or future agreements with them, which could result in a loss of ENA Token, a loss of the opportunity to generate funds, or other losses. For example, we currently have an agreement with Anchorage pursuant to which Anchorage has agreed to hold the Locked ENA Tokens we purchased pursuant to the terms of the Token Purchase Agreements in Custodial Accounts, for which Anchorage is serving as custodian. A loss of any of the Locked ENA Token held in the Custodial Accounts could impact our ability to consummate the Business Combination and operate our validator business after the Closing and could also exposes us to litigation. Although we plan to implement various measures that are designed to mitigate our counterparty risks, including by storing substantially all of the ENA Token in custody accounts at U.S. -based, custodians that service institutions and negotiating contractual arrangements intended to establish that our property interest in custodially -heldENA Token is not subject to claims of our custodians’ creditors, applicable insolvency law is not fully developed with respect to the holding of digital assets in custodial accounts. While any custodians we use are expected to be subject to regulatory regimes intended to protect customers in the event of a custodial bankruptcy, receivership or