Legal & Regulatory Considerations

No Guarantee of Regulatory Classification

The legal and regulatory treatment of GRT may vary by jurisdiction and may depend on, among other factors, the characteristics of GRT, the nature of its underlying assets, the manner in which the protocol operates, its actual degree of decentralization, governance arrangements, secondary-market activity and the activities of persons interacting with or contributing to the protocol.

No representation is made that GRT falls outside securities, collective investment scheme, investment company, commodities, derivatives, money-transmission, cryptoasset, payments or other financial-services regulation in any jurisdiction.

Classification depends on the applicable law and the substance of the arrangements, not solely on labels, disclaimers, use of smart contracts or in-kind settlement. Any required registrations, permissions, disclosures or exemptions must be assessed separately; this notice does not establish that they have been obtained or are available.

Underlying Assets

GRT may be backed by or provide economic exposure to digital assets representing or referencing securities, investment funds, commodities, precious metals, credit instruments, cryptoassets and other financial or real-world assets.

Each underlying asset remains subject to its own legal structure, issuer terms, transfer restrictions, eligibility requirements, jurisdictional limitations and regulatory treatment. Holding GRT does not, by itself, establish direct ownership of the off-chain assets, shareholder rights, or a direct redemption claim against an underlying issuer.

The GRT protocol does not modify, waive or supersede any restriction applicable to an underlying asset. Wrapping or pooling an asset does not establish an exemption from those restrictions.

Users are responsible for determining whether they are permitted to acquire, hold, transfer, contribute or receive an underlying asset under applicable law and its terms. This does not remove any obligations that applicable law imposes on issuers, operators, intermediaries or other persons involved.

Mint Eligibility

Under the proposed design, GRT may be minted only by providing the complete set of constituent assets required by the protocol in the applicable proportions. The core minting function does not acquire constituent assets on behalf of a minting user.

Because the minting wallet must already hold and transfer every constituent asset, minting does not give that wallet exposure to any asset it did not already hold. GRT does not acquire, purchase or unlock constituent assets for a minter: a wallet can mint only with assets it has previously obtained through the channels of their issuers or other providers, subject to their terms. The full-basket requirement is therefore the mechanism by which GRT avoids becoming a route to those assets for wallets that could not obtain them directly.

A successful mint establishes only that the relevant wallet supplied the required constituent assets and satisfied the technical conditions checked by the contract at that time.

It does not constitute a determination, representation or certification that the wallet owner satisfies any legal, regulatory, contractual or jurisdictional eligibility requirement applicable to those assets. Technical acceptance of a transaction is not legal authorization for it.

In-Kind Redemption Eligibility

The proposed GRT redemption process returns applicable constituent assets in kind, rather than converting the basket into fiat currency, stablecoins or another settlement asset. Access to redemption is subject to protocol rules and restrictions affecting the underlying assets.

Under the intended design, a wallet must have previously completed at least one successful full-basket mint before that same wallet becomes eligible to redeem GRT for the underlying constituent assets. Receiving GRT from another wallet does not transfer that wallet’s mint history or satisfy this requirement.

This is a protocol-level eligibility condition only. It does not constitute legal or regulatory verification of the wallet owner, establish continuing eligibility, or replace requirements imposed by an underlying asset issuer or applicable law.

Redemption may be delayed, restricted or unavailable if a component is frozen, non-transferable, subject to a holding restriction, or cannot be delivered to the redeeming wallet, or if protocol operations are suspended. A prior mint does not guarantee immediate redemption, delivery of every component, or a cash alternative. The treatment of blocked components requires final protocol rules and applicable legal terms before launch.

Secondary Transfers

GRT may be transferable between wallets and may be acquired through secondary markets independently of the protocol’s minting process, subject to applicable restrictions. No secondary-market listing, liquidity or transfer availability is guaranteed.

Acquisition or holding of GRT through a secondary market does not automatically provide access to primary minting or in-kind redemption. A holder may be able to acquire GRT while being unable to satisfy the full-basket mint requirement or receive one or more constituent assets, and therefore may be unable to redeem.

No representation is made that a secondary-market buyer is eligible to acquire, receive or hold every underlying constituent asset. Secondary-market prices may differ from the value of the basket, particularly where access to redemption is limited.

Smart Contracts and Investment Management

The protocol is intended to operate through smart contracts and predefined protocol rules, including governance-authorized changes. The website and proposed protocol functions are not intended to provide individualized investment advice or portfolio management tailored to a holder’s circumstances.

No person should rely on the existence, composition or operation of GRT as a recommendation to acquire any constituent asset or GRT itself.

Use of smart contracts does not establish the absence of a custody, investment-management, fiduciary or other regulated relationship. Any such relationship depends on the actual arrangements and applicable law. Underlying assets may remain held or administered by third-party custodians and fund managers.

Decentralization and Governance

VORA is the governance token for GRT, dedicated to participation in proposals and voting. Explore VORA.

The regulatory treatment of decentralized protocols remains subject to evolving laws, regulations and interpretations. Smart contracts, permissionless transfers or decentralized governance do not by themselves determine GRT’s regulatory classification or establish an exemption.

Governance mechanisms, administrative authority, upgradeability, fees, emergency controls, oracle dependencies and other forms of continuing control may be relevant to the legal characterization of the protocol and the obligations of persons involved.

Community approval does not override applicable law or issuer restrictions. Governance decisions and contract changes may also create economic and operational risks, including concentration of control and adverse changes to the basket or its operation.

No Guarantee of Value or Performance

GRT does not guarantee any minimum value, redemption value, yield, return, capital preservation or performance relative to inflation or any benchmark.

Its value may increase or decrease as a result of changes in the value, liquidity, credit quality, availability or legal status of constituent assets, as well as fees and execution costs. Displayed allocations are proposed target weights, not a live valuation, verified reserve report or promise to maintain those weights continuously.

Holders may lose some or all of the economic value associated with GRT. Diversification does not eliminate loss, correlated exposures or counterparty risk.

Third-Party and Technical Risk

Underlying assets may depend on third-party issuers, custodians, tokenizers, brokers, fund managers, banks, smart contracts, bridges, oracles or other infrastructure. Decentralization of GRT would not eliminate risks associated with those parties.

Failure, insolvency, regulatory action, suspension, depegging, redemption restrictions or other events affecting an underlying asset may adversely affect GRT. A token backed by an asset does not necessarily give its holder priority or direct recourse to that asset in an insolvency.

Contract vulnerabilities, compromised keys, network outages, transaction ordering, inaccurate data and failures of integrations may cause loss or prevent transactions. Tokenization does not make illiquid underlying investments immediately liquid or remove fund-level redemption limits.

No Legal, Tax or Investment Advice

Information provided in connection with GRT is for informational purposes only and does not constitute legal, tax, investment or financial advice tailored to any person.

Users are responsible for evaluating the implications of their own activities and should obtain independent professional advice where appropriate. Minting, transferring, receiving distributions or redeeming in kind may have tax or reporting consequences even when no fiat currency is received, depending on the applicable rules.

Jurisdictional Restrictions

Access to, use of, holding of or interaction with GRT or its constituent assets may be restricted or prohibited in certain jurisdictions or for certain persons. Technical access to a website or contract is not permission to participate.

Nothing in this website or the proposed protocol should be interpreted as an offer, solicitation or distribution where such activity would be unlawful. Offering, marketing, distribution and secondary trading may each require separate legal assessment.

The goal of avoiding protocol-level identity collection does not exempt any person from applicable sanctions, anti-money-laundering, identity-verification or other legal requirements. Issuer and intermediary requirements continue to apply where relevant.

Status of This Notice and Mandatory Rights

This notice describes a proposed design and general risks. It is not a prospectus, offering memorandum, regulatory authorization or complete statement of the terms and rights of a launched product. It does not itself grant a redemption right or implement a protocol rule.

Nothing here excludes duties or liability that cannot lawfully be excluded, waives mandatory investor or consumer protections, or overrides applicable law or legally binding issuer terms. Describing user responsibilities does not transfer the legal obligations of other persons to users.