White Paper Report


			..
	White paper for crypto-assets other than asset-referenced tokens or e-money tokens

	Digital Token Identifier:	4F332B2CD
	Offeror or person seeking admission to trading:	2549000YIRFI15EVDZ22 - Kinetiq (BVI) Ltd
	Type of submission:	New

Table of content
General information
SUMMARY
Part A - Information about offeror or person seeking admission to trading
Part B - Information about issuer, if different from offeror or person seeking admission to trading
Part C - Information about the operator of the trading platform in cases where it draws up the crypto-asset white paper and information about other persons drawing the crypto-asset white paper pursuant to Article 6(1), second subparagraph, of Regulation (EU) 2023/1114
Part D - Information about other token project
Part E - Information about offer to public of other tokens or their admission to trading
Part F - Information about other tokens
Part G - Information on rights and obligations attached to other tokens
Part H – Information on underlying technology
Part I - Information on risks
Part J - Information on the sustainability indicators in relation to adverse impact on the climate and other environment-related adverse impacts




[Table 2] Template for white papers for crypto-assets other than asset-referenced tokens or e-money tokens

Template for white papers for crypto-assets other than asset-referenced tokens or e-money tokens [abstract]
General information
00 Table of content	boolean true	true
01 Date of notification	date	2026-04-08
02 Statement in accordance with Article 6(3) of Regulation (EU) 2023/1114	boolean true	This crypto-asset white paper has not been approved by any competent authority in any Member State of the European Union. The person seeking admission to trading of the crypto-asset is solely responsible for the content of this crypto-asset white paper.
03 Compliance statement in accordance with Article 6(6) of Regulation (EU) 2023/1114	boolean true	This crypto-asset white paper complies with Title II of Regulation (EU) 2023/1114 of the European Parliament and of the Council and, to the best of the knowledge of the management body, the information presented in the crypto-asset white paper is fair, clear and not misleading and the crypto-asset white paper makes no omission likely to affect its import.
04 Statement in accordance with Article 6(5), points (a), (b), (c), of Regulation (EU) 2023/1114	boolean true	The crypto-asset referred to in this crypto-asset white paper may lose its value in part or in full, may not always be transferable and may not be liquid
05 Statement in accordance with Article 6(5), point (d), of Regulation (EU) 2023/1114	boolean true	Not applicable
06 Statement in accordance with Article 6(5), points (e) and (f), of Regulation (EU) 2023/1114	boolean true	The crypto-asset referred to in this white paper is not covered by the investor compensation schemes under Directive 97/9/EC of the European Parliament and of the Council or the deposit guarantee schemes under Directive 2014/49/EU of the European Parliament and of the Council.
SUMMARY
07 Warning in accordance with Article 6(7), second subparagraph, of Regulation (EU) 2023/1114	boolean true	Warning This summary should be read as an introduction to the crypto-asset white paper. The prospective holder should base any decision to purchase this crypto –asset on the content of the crypto-asset white paper as a whole and not on the summary alone. The offer to the public of this crypto-asset does not constitute an offer or solicitation to purchase financial instruments and any such offer or solicitation can be made only by means of a prospectus or other offer documents pursuant to the applicable national law. This crypto-asset white paper does not constitute a prospectus as referred to in Regulation (EU) 2017/1129 of the European Parliament and of the Council or any other offer document pursuant to Union or national law.
08 Characteristics of the crypto-asset	textBlock	KNTQ (the 'Token') is an ERC-20 token launched on HyperEVM, the Ethereum Virtual Machine-compatible ('EVM') layer of the Hyperliquid blockchain ('Hyperliquid'). The Token was introduced on 27 November 2025, to serve as the governance and utility token of Kinetiq (the 'Protocol'). The Protocol is a liquid staking protocol built on HyperEVM that allows users to stake HYPE, the native token of Hyperliquid, in exchange for liquid staking tokens ('LSTs') that accrue staking rewards while remaining liquid. In this context, the Token entitles its holders to a set of rights within the Protocol. For instance, Token holders can deposit their Tokens into the Protocol's smart contract to receive sKNTQ, a receipt token representing their deposited Tokens. When withdrawing deposited Tokens, Token holders are subject to a waiting period of seven days. Token holders who hold sKNTQ are entitled to receive Token rewards sourced from the Protocol's buyback mechanism. Additionally, 100% of Token trading fees collected by the Protocol are burned, permanently reducing the Token's total supply. Those who deposit the Token within the Protocol are assigned to one of five tiers based on the quantity of sKNTQ held. Each tier unlocks a set of Protocol benefits, such as referral revenue shares, taker fee discounts on the Protocol's trading infrastructure, and allocations to mint kmHYPE, one of the Protocol's liquid staking tokens. Early users of the Protocol were rewarded with kPoints. Subsequently, during the genesis event, kPoints holders were rewarded with the Token. Additionally, those who held NFTs from the Hypurr collection were rewarded with the Token. The Token is also intended to serve as the Protocol's governance token. However, the governance mechanics and the role of the Token within the governance system have yet to be disclosed. Lastly, it is planned that Hyperliquid validators seeking admission to the Protocol's active validator set will be required to deposit a minimum of 2,500,000 Tokens as a condition of participation. Any modifications to the Token's characteristics, rights, or obligations will be implemented by the Protocol's development team. Any such modification will be communicated to the community through the Protocol's official channels and documentation.
09 Further information about utility tokens	textBlock	Not applicable
10 Key information about the offer to the public or admission to trading	textBlock	Kinetiq (BVI) Ltd. (the "Person Seeking Admission to Trading") is seeking admission to trading the Token across multiple trading platforms within the European Union, which have been outlined in greater detail within E.33 of this whitepaper. This approach is structured around second market facilitation rather than primary issuance. No public offering will accompany the trading platform admissions. The focus is rather on promoting market liquidity and price discovery mechanisms for the Token.
Part A - Information about offeror or person seeking admission to trading
A.1 Name	text	Kinetiq (BVI) Ltd
A.2 Legal form	text	Company Limited by Shares (en) 6Eh6
A.3 Registered address
Registered addess	text	Keyway Chambers, 3rd Floor, Quastisky Building, Tortola, VG1110, Road Town
Country	enumeration	Virgin Islands (British)
Sub-division	text	Not aplicable
A.4 Head office
Head office	text	Keyway Chambers, 3rd Floor, Quastisky Building, Tortola, VG1110, Road Town
Country	enumeration	Virgin Islands (British)
Sub-division	text	Not applicable
A.5 Registration date	date	2025-09-09
A.6 Legal entity identifier	LEI	2549000YIRFI15EVDZ22
A.7 Another identifier required pursuant to applicable national law	text	2186661
A.8 Contact telephone number	text	19542434864
A.9 E-mail address	text	kristofer@kinetiq.xyz
A.10 Response time (days)	integer	7
A.11 Parent company	text	Kinetiq Foundation (the 'Parent Company', the 'Foundation')
A.12 Members of the management body
Member #1	id	1
Identity	text	Kinetiq Foundation
Business address	text	PO Box 897, Windward 1, Regatta Office Park, Grand Cayman.
Function	text	Director
A.13 Business activity	textBlock	The Person Seeking Admission to Trading is responsible for managing all the Token-related operations. Its core activities include managing token issuance as well as entering into exchange, OTC and market-making agreements.
A.14 Parent company business activity	textBlock	The Parent Company is responsible for promoting the growth and development of the Protocol's ecosystem.
A.15 Newly established	boolean	true
A.16 Financial condition for the past three years	textBlock	Not applicable
A.17 Financial condition since registration	textBlock	The Person Seeking Admission to Trading, being the BVI entity acting as the token issuer and contracting party for exchange listing agreements, forms part of a broader organisational structure. In line with prevailing industry practice, this entity operates under a Cayman Foundation, at which level the majority of expenditure, staffing and strategic-decision making is undertaken, rather than within the Person Seeking Admission to Trading itself. It is worth noting that the Person Seeking Admission to Trading was only incorporated on 09-Sept-2025, and has not yet commenced operational activity. Notwithstanding this, a loan of 500,000 USDC from Kinetiq Research Pte. Ltd. (the Protocol's DevCo), to fund its startup expenses, including, without limitation: - Legal fees; - Formation costs; - Director costs; and - Administrative fees.
Part B - Information about issuer, if different from offeror or person seeking admission to trading
B.1 Issuer different from offerror or person seeking admission to trading	boolean	false
B.2 Name	N/A		.
B.3 Legal form	N/A		.
B.4 Registered address
Registered addess	N/A		.
Country	N/A		.
Sub-division	N/A		.
B.5 Head office
Head office	N/A		.
Country	N/A		.
Sub-division	N/A		.
B.6 Registration date	N/A		.
B.7 Legal entity identifier	N/A		.
B.8 Another identifier required pursuant to applicable national law	N/A		.
B.9 Parent company	N/A		.
B.10 Members of the management body
Member #1	N/A		.
Identity	N/A		.
Business address	N/A		.
Function	N/A		.
B.11 Business activity	N/A		.
B.12 Parent company business activity	N/A		.
Part C - Information about the operator of the trading platform in cases where it draws up the crypto-asset white paper and information about other persons drawing the crypto-asset white paper pursuant to Article 6(1), second subparagraph, of Regulation (EU) 2023/1114
C.1 Name	N/A		.
C.2 Legal form	N/A		.
C.3 Registered address
Registered address	N/A		.
Country	N/A		.
Sub-division	N/A		.
C.4 Head office
Head office	N/A		.
Country	N/A		.
Sub-division	N/A		.
C.5 Registration date	N/A		.
C.6 Legal entity identifier	N/A		.
C.7 Another identifier required pursuant to applicable national law	N/A		.
C.8 Parent company	N/A		.
C.9 Reason for crypto-asset white paper preparation	N/A		.
C.10 Members of the management body
Member #1	N/A		.
Identity	N/A		.
Business address	N/A		.
Function	N/A		.
C.11 Operator business activity	N/A		.
C.12 Parent company business activity	N/A		.
C.13 Other persons drawing up the crypto-asset white paper according to Article 6(1), second subparagraph, of Regulation (EU) 2023/1114	N/A		.
C.14 Reason for drawing the white paper by persons referred to in Article 6(1), second subparagraph, of Regulation (EU) 2023/1114	N/A		.
Part D - Information about other token project
D.1 Crypto-asset project name	text	Kinetiq Protocol
D.2 Crypto-asset name	text	Kinetiq Token
D.3 Abbreviation	text	KNTQ
D.4 Crypto-asset project description	textBlock	The Protocol is a liquid staking protocol built on HyperEVM. The Protocol allows users to deposit HYPE into smart contracts deployed on HyperEVM and receive in exchange LSTs that accrue staking rewards while remaining liquid. Unlike traditionally staked HYPE, LSTs can be exchanged or used in other decentralised finance ('DeFi') applications. Beyond its liquid staking features, the Protocol offers a suite of products to allow users to engage in a range of DeFi opportunities within the Hyperliquid ecosystem. The following is a list of the Protocol's products: - kHYPE (Liquid Staking): Users deposit HYPE into the kHYPE smart contract on HyperEVM and receive kHYPE (Kinetiq Staked HYPE) in return. kHYPE is a yield-bearing LST whose exchange rate against HYPE appreciates over time as staking rewards accumulate. Under the KIP-2 model, a 10% fee is applied to HYPE staking rewards, of which 70% is used to buy back the Token and distribute it to sKNTQ holders, and the remaining 30% is allocated to the Protocol's operational treasury to fund its development and operations. - StakeHub: StakeHub is the Protocol's autonomous Hyperliquid validator selection and management system. Through algorithmic evaluation of validator performance metrics, such as uptime, historical annual percentage rate ('APR'), slashing history, and commission rates, StakeHub distributes delegated HYPE across the Protocol's validator set and rebalances delegations in real time to optimise staking yield and minimise risk for kHYPE holders. - iHYPE (Institutional Staking): iHYPE is the Protocol's institution-exclusive liquid staking pool, designed for entities requiring Know Your Business ('KYB') and/or Know Your Customer ('KYC')-compliant infrastructure. iHYPE uses the same yield-bearing mechanics as kHYPE but offers features tailored to institutional requirements, such as a private, risk-isolated staking pool, validator selection options, custom-branded LST tickers, enterprise-grade operational standards, and custodian services. - kmHYPE (Markets by Kinetiq): kmHYPE is the first LST listed as a HIP-3 asset on Hyperliquid. HIP-3 is a Hyperliquid standard that allows external teams to launch and manage their own perpetual markets on Hyperliquid's HyperCore infrastructure. As a HIP-3 LST, kmHYPE is a yield-bearing token that entitles its holders to a share of Hyperliquid trading fees. Access to mint - kmHYPE is related to the Protocol's five-tier system, which requires depositing the Token within the Protocol. A minimum of 10% of the market deployer share plus 100% of builder code income is used to buy back the Token and distribute it to sKNTQ holders. - Launch (HIP-3): Launch is the Protocol's permissionless perpetual exchange creation platform built on the HIP-3 standard. It allows any user or community to deploy an LST on HyperCore's infrastructure by crowdfunding the 500,000 HYPE staking requirement. The Protocol handles validator setup, smart contract deployment, and all necessary integrations. 10% of the deployer share from each Launch deployment is used to buy back the Token and distribute it to sKNTQ holders. - Earn: Earn is the Protocol's automated DeFi yield vault for kHYPE, developed in partnership with Veda Labs and managed by Seven Seas, Veda's in-house risk curator. HYPE and kHYPE holders can deposit into the Earn vault and receive vkHYPE, a receipt token representing their share of the vault's assets plus the accrued yield. The vault deploys deposited kHYPE into DeFi strategies, such as liquidity provisioning, lending, and fixed yield, within the Hyperliquid ecosystem. A performance fee of 20% is charged on profits generated, with no management, entry, or exit fee. The Token serves as the Protocol's governance and utility token. While the Protocol team has announced the Token's future role as the Protocol's governance token, the precise governance mechanics and timeline have yet to be disclosed.
D.5 Details of all natural or legal persons involved in implementation of crypto-asset project
Person #1	id	1
Type of person	enumeration	Development team
Name of person	text	Kinetiq Research Pte. Ltd.
Business address of person	text	21 Bukit Batok Crescent, #25-73, WCEGA Tower
Domicile of company	enumeration	Singapore
D.6 Utility token classification	boolean	false
D.7 Key features of goods or services for utility token projects	text	Not applicable
D.8 Plans for the token
Description of past milestones	textBlock	- On June 19, 2025, the Protocol launched iHYPE, its institution-exclusive liquid staking pool for entities requiring KYB/KYC-compliant infrastructure. - On July 31, 2025, the Protocol introduced Launch, its permissionless perpetual exchange platform built on the HIP-3 standard. - On November 13, 2025, the Protocol launched the kPoints loyalty programme, distributing 800,000 kPoints per week to users interacting with Protocol products. - On November 27, 2025, the Token was launched as an ERC-20 token on HyperEVM, and the Protocol conducted a genesis event distributing 250,000,000 Tokens in total: 240,000,000 Tokens were distributed to participants in the kPoints programme, and 10,000,000 Tokens were distributed to holders of the Hypurr NFT collection. - On 9 December 2025 and 24 December 2025, the Protocol introduced KIP-1 and KIP-2 respectively, establishing the Token's deposit feature and a new fee structure for kHYPE staking rewards.
Description of future milestones	textBlock	- Governance system: The Protocol intends to launch a governance system with the Token as the governance token. However, the precise governance mechanics and timeline have not yet been disclosed. - Validator deposit requirement: The Protocol plans to introduce a requirement for Hyperliquid validators seeking admission to the Protocol's active validator set, requiring a deposit of 2,500,000 Tokens. 50% of the commissions charged by these validators will be used by the Protocol's buyback mechanism and distributed to sKNTQ holders. - Protocol development: The Protocol intends to continue expanding its products and DeFi integrations within the Hyperliquid ecosystem.
D.9 Resource allocation	text	The Token's initial supply, consisting of 1,000,000,000 Tokens, was distributed as follows: - Protocol Growth and Rewards: 30% – 300,000,000 Tokens, allocated to incentivise Protocol growth and reward Protocol participants. - Genesis: 25% – 250,000,000 Tokens, distributed through the genesis event to early Protocol participants. Of this allocation, 240,000,000 Tokens were distributed to participants in the kPoints loyalty programme, and 10,000,000 Tokens were distributed to holders of the Hypurr NFT collection. - Core Contributors: 23.5% – 235,000,000 Tokens, allocated to the Protocol's founding team and core contributors, subject to a one-year cliff followed by a two-year linear monthly vesting period. - Foundation: 10% – 100,000,000 Tokens, allocated to the Kinetiq Foundation for long-term Protocol development and strategic initiatives. - Investors: 7.5% – 75,000,000 Tokens, allocated to early investors, subject to a one-year cliff followed by a two-year linear monthly vesting period. - Liquidity: 4% – 40,000,000 Tokens, allocated to provide liquidity for trading purposes.
D.10 Planned use of collected funds or other tokens	text	Not applicable
Part E - Information about offer to public of other tokens or their admission to trading
E.1 Public offering or admission to trading	enumeration	Admission to trading
E.2 Reasons for public offer or admission to trading	textBlock	The Person Seeking Admission to Trading, is seeking admission to trading the Token across multiple trading platforms within the European Union, which have been outlined in greater detail within E.33 of this whitepaper. This approach is structured around second market facilitation rather than primary issuance. No public offering will accompany the trading platform admissions. The focus is rather on promoting market liquidity and price discovery mechanisms for the Token.
E.3 Fundraising target
Target expressed in currency	monetary	0	EUR
Target expressed in units	decimal	0
Target expressed in digital token identifier	text	Not applicable
E.4 Minimum subscription goals
Goals expressed in currency	monetary	0	EUR
Goals expressed in units	decimal	0
Goals expressed in digital token identifier	text	Not applicable
E.5 Maximum subscription goals
Goasl expressed in currency	monetary	0	EUR
Goals expressed in units	decimal	0
Goals expressed in digital token identifier	text	Not applicable
E.6 Oversubscription acceptance	boolean	false
E.7 Oversubscription allocation	text	Not applicable
Issue price details
E.8 Issue price	decimal	0
E.9 Official currency determining issue price	enumeration
E.9 Any other tokens determining issue price	text	Not applicable
E.10 Subscription fee
Fee expressed in currency	monetary	0	EUR
Fee expressed in units	decimal	0
Fee expressed in digital token identifier	text	Not applicable
E.11 Offer price determination method	text	Not applicable
E.12 Total number of offered or traded other tokens	integer	1000000000
E.13 Targeted holders	enumeration	All types of investors
E.14 Holder restrictions	text	The purchase of the Token from EU-regulated Exchanges will be available to all users of such Exchanges. Most trading and exchange services offered by Exchanges are open to retail holders, and may be subject to the compliance requirements of the respective Exchange. The Exchanges may impose restrictions on holders of Tokens on their respective Exchanges, in accordance with applicable laws and internal policies. The Token will not be offered to residents or entities in restricted jurisdictions, including those where digital asset participation is prohibited or requires prior regulatory authorisation.
E.15 Reimbursement notice	boolean true
E.16 Refund mechanism	textBlock	Not applicable
E.17 Refund timeline	text	Not applicable
E.18 Offer phases	textBlock	Not applicable
E.19 Early purchase discount	textBlock	Not applicable
E.20 Time-limited offer	boolean	false
E.21 Subscription period beginning	date
E.22 Subscription period end	date
E.23 Safeguarding arrangements for offered funds or other tokens	textBlock	Not applicable
E.24 Payment methods for other token purchase	textBlock	Not applicable
E.25 Value transfer methods for reimbursement	textBlock	Not applicable
E.26 Right of withdrawal	textBlock	Not applicable
E.27 Transfer of purchased other tokens	textBlock	Not applicable
E.28 Transfer time schedule	text	Not applicable
E.29 Purchaser's technical requirements	textBlock	Technical requirements will be specified by the CASP and may include the following: - A compatible digital wallet or account on supported exchange; - Internet access; - A device (computer or mobile) to manage digital wallet/private key and/or account on exchange to carry out transactions
Other token services provider characteristics
E.30 Other token service provider (CASP) name	text	Not applicable
E.31 CASP identifier	LEI
E.32 Placement form	enumeration	Not applicable
Trading platforms characteristics
E.33 Trading platforms name	text	The Person Seeking Admission to Trading is seeking admission to trading of the Token on several Exchanges, including but not limited to the following: - OKX - Kraken - Coinbase - Crypto.com - Bitvavo - Bybit - Gate.io - Bitstamp - Bithumb - Upbit
E.34 Trading platforms market identifier code (MIC)	text	Not applicable
E.35 Trading platforms access	text	The Exchanges are accessible via their respective websites.
E.36 Involved costs	textBlock	The use of services offered by Exchanges may involve costs, including transaction fees, withdrawal fees, and other charges. These costs are determined and set by the respective Exchanges and are not controlled, influenced, or governed by the Person Seeking Admission to Trading. Consequently, any changes to fee structures or the introduction of new costs are solely at the discretion of these platforms.
E.37 Offer expenses	textBlock	Not applicable
E.38 Conflicts of interest	textBlock	Not applicable
E.39 Applicable law	textBlock	Laws of the British Virgin Islands
E.40 Competent court	textBlock	Arbitration as per the rules of the International Chamber of Commerce
Part F - Information about other tokens
F.1 Crypto-asset type	text	The Token is classified as a "crypto-asset other than asset-referenced token or e-money token" under Title II of the Markets in Crypto-Assets Regulation (EU) 2023/1114.
F.2 Other token functionality	textBlock	According to the article 3(1)(5) of MiCA, a crypto-asset is a digital representation of a value or of a right that is able to be transferred and stored electronically using distributed ledger technology or similar technology. As reminded by the European Banking Authority ("EBA"), the term 'right' should be interpreted broadly in accordance with recital (2) of MiCA. The Token qualifies as a crypto-asset within the meaning of MiCA, as it a digital representation of the right to access the Ecosystem and participate in the Ecosystem's governance. The Token can be transferred and stored using the distributed ledger technology ("DLT"). The Token facilitates Token holders' interaction with the Protocol by displaying the following functionalities: - Deposit (Staking): Token holders can deposit their Tokens to receive sKNTQ, a receipt token representing their deposited Tokens, and receive Token rewards. Token deposits are subject to a seven-day waiting period before withdrawal. . Rewards: The Token is used to reward those who deposit the Token within the Protocol. Token rewards are sourced from a buyback mechanism implemented by the Protocol. Additionally, kPoints and Hypurr NFT collection holders were rewarded with the Token, during the genesis event. - Special Access: Those who deposit the Token within the Protocol are assigned to one of five tiers based on the amount of sKNTQ held, with each tier conferring increasing referral revenue shares, taker fee discounts on the Protocol's trading infrastructure, and allocations to mint kmHYPE. - Governance: The Token is intended to serve as the Protocol's governance token. The specific governance mechanics have not yet been disclosed by the Protocol team. - Validator Deposit Requirement: It is planned that Hyperliquid validators seeking admission to the Protocol's active validator set will be required to deposit a minimum of 2,500,000 Tokens as a condition of participation.
F.3 Planned application of functionalities	textBlock	The deposit, rewards, and special‑access functionalities have already been implemented. Meanwhile, the implementation date for the governance and validator‑deposit requirements has yet to be disclosed.
A description of the characteristics of the other token, including the data necessary for classification of the crypto-asset white paper in the register referred to in Article 109 of Regulation (EU) 2023/1114, as specified in accordance with paragraph 8 of that Article
F.4 Type of crypto-asset white paper	enumeration	Other crypto-asset token white paper
F.5 Type of submission	enumeration	New
F.6 Other token characteristics	textBlock	The Token is an ERC-20 token launched on HyperEVM, the EVM layer of Hyperliquid. The Token was introduced on 27 November 2025, to serve as the governance and utility token of the Protocol, a liquid staking protocol built on HyperEVM that allows users to stake HYPE, the native token of Hyperliquid, in exchange for LSTs that accrue staking rewards while remaining liquid. In this context, the Token entitles its holders to a set of rights within the Protocol. For instance, Token holders can deposit their Tokens into the Protocol's smart contract to receive sKNTQ, a receipt token representing their deposited Tokens. When withdrawing deposited Tokens, Token holders are subject to a waiting period of seven days. Token holders who hold sKNTQ are entitled to receive Token rewards sourced from the Protocol's buyback mechanism. Additionally, 100% of Token trading fees collected by the Protocol are burned, reducing the Token's total supply. Those who deposit the Token within the Protocol are assigned to one of five tiers based on the quantity of sKNTQ held. Each tier unlocks a set of Protocol benefits, such as referral revenue shares, taker fee discounts on the Protocol's trading infrastructure, and allocations to mint kmHYPE, one of the Protocol's liquid staking tokens. Early users of the Protocol were rewarded with kPoints. Subsequently, during the genesis event, kPoints holders were rewarded with the Token. Additionally, those who held NFTs from the Hypurr collection were rewarded with the Token. The Token is also intended to serve as the Protocol's governance token. However, the governance mechanics and the role of the Token within the governance system have yet to be disclosed. Lastly, it is planned that Hyperliquid validators seeking admission to the Protocol's active validator set will be required to deposit a minimum of 2,500,000 Tokens as a condition of participation. Any modifications to the Token's characteristics, rights, or obligations will be implemented by the Protocol's development team. Any such modification will be communicated to the community through the Protocol's official channels and documentation.
F.7 Commercial name or trading name	text	Kinetiq Token
F.8 Website of the issuer	text	https://kinetiq.xyz/
F.9 Starting date of offer to the public or admission to trading	date	2026-06-01
F.10 Publication date	date	2026-05-08
F.11 Any other services provided by the issuer	textBlock	Not applicable
F.12 Language or languages of white paper	text	English
F.13 Digital token identifier code used to uniquely identify the crypto-asset or each of the several crypto assets to which the white paper relates, where available	text	4F332B2CD
F.14 Functionally fungible group digital token identifier, where available	text	ZFDNRDRL9
F.15 Voluntary data flag	boolean	false
F.16 Personal data flag	boolean	true
F.17 LEI eligibility	boolean	true
F.18 Home member state	enumeration	Malta
F.19 Host member states #1	enumerationSet	Austria
F.19 Host member states #2	enumerationSet	Belgium
F.19 Host member states #3	enumerationSet	Bulgaria
F.19 Host member states #4	enumerationSet	Croatia
F.19 Host member states #5	enumerationSet	Cyprus
F.19 Host member states #6	enumerationSet	Czechia
F.19 Host member states #7	enumerationSet	Denmark
F.19 Host member states #8	enumerationSet	Estonia
F.19 Host member states #9	enumerationSet	Finland
F.19 Host member states #10	enumerationSet	France
F.19 Host member states #11	enumerationSet	Germany
F.19 Host member states #12	enumerationSet	Greece
F.19 Host member states #13	enumerationSet	Hungary
F.19 Host member states #14	enumerationSet	Iceland
F.19 Host member states #15	enumerationSet	Ireland
F.19 Host member states #16	enumerationSet	Italy
F.19 Host member states #17	enumerationSet	Latvia
F.19 Host member states #18	enumerationSet	Liechtenstein
F.19 Host member states #19	enumerationSet	Lithuania
F.19 Host member states #20	enumerationSet	Luxembourg
F.19 Host member states #21	enumerationSet	Netherlands
F.19 Host member states #22	enumerationSet	Norway
F.19 Host member states #23	enumerationSet	Poland
F.19 Host member states #24	enumerationSet	Portugal
F.19 Host member states #25	enumerationSet	Romania
F.19 Host member states #26	enumerationSet	Slovakia
F.19 Host member states #27	enumerationSet	Slovenia
F.19 Host member states #28	enumerationSet	Spain
F.19 Host member states #29	enumerationSet	Sweden
Part G - Information on rights and obligations attached to other tokens
G.1 Purchaser rights and obligations	textBlock	The Token gives its holders the following rights (and has the following features): - Deposit: Token holders have the right to deposit their Tokens into the Protocol's smart contract, receive sKNTQ, and rewards in the form of the Token sourced from the Protocol's buyback mechanism. Withdrawal of deposited Tokens is subject to a waiting period of seven days. - Rewards: Token holders who deposit their Tokens within the Protocol are entitled to be rewarded with the Token, sourced from the Protocol's buyback mechanism. Additionally, kPoints and Hypurr NFT collection holders, were rewarded with the Token during the genesis event. - Special Access: Those who deposit their Tokens within the Protocol are granted one of five tiers based on the amount of sKNTQ held. Each tier confers them increasing referral revenue shares, taker fee discounts on the Protocol's trading infrastructure, and allocations to mint kmHYPE. Future Use cases: - Governance: The Token is intended to entitle its holders to governance rights within the Protocol. However, the specific governance rights that Token holders will have, are yet to be disclosed. - Validator Deposit Requirement: Hyperliquid validators seeking admission to the Protocol's active validator set will be required to deposit a minimum of 2,500,000 Tokens as a condition of participation.
G.2 Exercise of rights and obligations	textBlock	To exercise the rights referred to in G.1, Token holders must: - Deposit: To exercise their deposit rights, Token holders must deposit their Tokens into the Protocol. - Rewards: To be rewarded with the Token, Token holders must deposit their Tokens into the Protocol. To receive Token rewards during the genesis event, users must have held kPoints or a Hypurr NFT. - Special Access: To be assigned to one of the five tiers, Token holders must deposit their Tokens into the Protocol. - Governance: The procedures for Token holders to exercise their governance rights are yet to be disclosed. - Validator Deposit Requirement: Specific details on how validators must deposit 2,500,000 Tokens to be part of the Protocol's active validator set are yet to be disclosed.
G.3 Conditions for modifications of rights and obligations	textBlock	Any modifications to the Token's characteristics, rights, or obligations will be implemented by the Protocol's development team. Any such modification will be communicated to the community through the Protocol's official channels and documentation.
G.4 Future public offers	textBlock	Not applicable
G.5 Issuer retained other token	integer	0
G.6 Utility token classification	boolean	false
G.7 Key features of goods or services utility tokens	text	Not applicable
G.8 Utility tokens redemption	text	Not applicable
G.9 Non-trading request	boolean	true
G.10 Other tokens purchase or sale modalities	text	Not applicable
G.11 Other tokens transfer restrictions	text	The Exchanges may impose restrictions on holders of Tokens on their respective Exchanges, in accordance with applicable laws and internal policies. Token holders who acquire the Token through 'private sales' are subject to restrictions as per the terms of sale.
G.12 Supply adjustment protocols	boolean	false
G.13 Supply adjustment mechanisms	text	The Token will rely on an inflation mechanism, with its annual percentage determined by the DAO. However, this supply‑adjustment mechanism will not be related to changes in the Token's demand.
Other token schemes details
G.14 Token value protection schemes	boolean	false
G.15 Token value protection schemes description	textBlock	Not applicable
G.16 Compensation schemes	boolean	false
G.17 Compensation schemes description	textBlock	Not applicable
G.18 Applicable law	textBlock	Laws of the British Virgin Islands
G.19 Competent court	textBlock	Arbitration as per the rules of the International Chamber of Commerce
Part H – Information on underlying technology
H.1 Distributed ledger technology (DTL)	text	The Token was launched on HyperEVM, the Ethereum Virtual Machine-compatible layer of the Hyperliquid blockchain.
H.2 Protocols and technical standards	text	The Token was launched on HyperEVM as an ERC-20 token, ensuring industry-standard compatibility with the broader Ethereum ecosystem.
H.3 Technology used	textBlock	As an ERC-20 token, the Token was deployed as a smart contract on HyperEVM. Users can manage the Token through their own non-custodial wallet software provided by third parties or by directly interacting with the Token's smart contract through a third-party API.
H.4 Consensus mechanism	text	Hyperliquid is a decentralized perpetual exchange (DEX) built on its proprietary Layer 1 blockchain, Hyperliquid L1. At the core of its architecture is the HyperBFT consensus mechanism, inspired by the Hotstuff protocol, designed to meet the demands of high-frequency trading while maintaining security and consistency across the ecosystem.
H.5 Incentive mechanisms and applicable fees	text	Hyperliquid incentivizes participants through its native token, HYPE. Validators and delegators earn rewards in HYPE for securing the network and participating in governance. Users can also earn HYPE by staking, providing liquidity, and engaging in other ecosystem activities. This dual-token system encourages active participation and supports the network's growth and stability. Hyperliquid employs a dynamic fee model where transaction fees are based on network activity and the complexity of the transactions. These fees are paid by users conducting transactions on the network and are designed to cover the costs of processing transactions while incentivizing validators.
H.6 Use of distributed ledger technology	boolean	false
H.7 DLT functionality description	textBlock	Not applicable
Other token audit details
H.8 Audit	boolean	true
H.9 Audit outcome	textBlock	The Protocol and its products have undergone eight audits, and all reports are available here: https://kinetiq.xyz/docs/contracts-and-audits#audit-reports
Part I - Information on risks
I.1 Offer-related risks	textBlock	The Person Seeking Admission to Trading neither operates, controls, oversees, nor manages the functioning of the Exchanges where the Token will be admitted to trading. Additionally, the Token's underlying protocol may evolve due to ongoing technical, regulatory, and industry developments. Unforeseen risks may arise, and new challenges or opportunities may necessitate changes in the Network's strategies, goals, and structure. The risks outlined below highlight regulatory uncertainty, liquidity limitations, governance risks, network centralisation concerns, security vulnerabilities, and potential adjustments to fees or token supply that could impact the offer and trading of the Token. - Regulatory Compliance Risks: Although the Token is designed to comply with existing regulations (such as MiCA), evolving regulatory landscapes could impact its classification, trading status, or market/ community acceptance. Changes in regulatory requirements may necessitate modifications to the Network's operation, structure, or governance. Token holders must ensure compliance with local laws, as regulatory treatment of crypto-assets varies across jurisdictions. - Market Volatility: The Token is subject to extreme price fluctuations, influenced by market speculation, investor sentiment, and broader industry trends. External factors, such as regulatory announcements or technological developments, may further contribute to volatility, potentially leading to financial losses for holders. - Liquidity Risks: The ability to buy, sell or otherwise transact Tokens depends on activity on decentralised exchanges ("DEXs") and, if applicable, centralised exchanges ("CEXs"). Limited liquidity may result in difficulties executing large trades without significant price impact, increasing the risk of loss. - Risk of Trading Platforms: When Token holders trade on Exchanges, the Person Seeking Admission to Trading does not act as a contractual party to these transactions. All legal relationships regarding these trading platforms are subject to their respective terms and conditions, with no responsibility assumed by the Person Seeking Admission to Trading for their operations, services, or outcomes. - Risk of Delisting: There is no guarantee that the Token will remain listed on any exchange. Delisting could significantly hinder the ability to trade Tokens, reducing liquidity and market value. - Risk of Bankruptcy: The Exchanges or trading platforms where the Token is listed may become insolvent or cease operations, potentially resulting in a loss of access to funds or Tokens. -Blockchain and Smart Contract Dependency: The Token relies entirely on its blockchain infrastructure. Any network downtime, congestion, security vulnerabilities, or smart contract failures could negatively impact its functionality, accessibility, or security. Additionally, the Network may initially operate under a centralised or permissioned model, where specific providers or node operators manage the network. This structure presents centralisation risks, including the potential for censorship or data monetisation. - Operational Risks: Risks associated with the Token issuer/offeror's internal processes, personnel, and technologies may impact the ability to manage the Token's operations effectively. Failures in operational integrity could lead to disruptions, financial losses, or reputational damage. - Financial Risks: The Token issuer/offeror may face financial risks, including liquidity shortages, credit risks, or market fluctuations, which could affect its ability to continue operations, meet obligations, or sustain the stability and value of the Token. -Legal Risks: Uncertainties in legal frameworks, regulatory changes, potential lawsuits, or adverse legal rulings could pose significant risks, affecting the legality, usability, or value of the Token. - Fraud and Mismanagement Risks: The risk of fraudulent activity or mismanagement within the Token issuer/offeror's operations may impact the credibility of the project and the usability or value of the Token. - Reputational Risks: Negative publicity – whether due to operational failures, security breaches, or associations with illicit activities – could damage the Token issuer/offeror's reputation and, by extension, impact the value and acceptance of the Token. -Technology Management Risks: Inadequate management of technological updates or failure to keep pace with advancements may result in security vulnerabilities, inefficiencies, or obsolescence of the Token and its supporting infrastructure. - Dependency on Key Individuals: The success of the Token and its ecosystem may be highly dependent on key individuals. Loss or changes in project leadership could lead to operational disruptions, a loss of trust, or potential project failure. - Conflicts of Interest: Misalignment of interests between the Token issuer/offeror and Token holders may lead to governance decisions that are not in the best interests of the community, potentially affecting the value of the Token or damaging the credibility of the project. - Counterparty Risks: The Token issuer/offeror's reliance on external partners, service providers, and collaborators introduces risks related to non-fulfilment of obligations, which may affect the Token's operations, liquidity, or overall ecosystem stability. - Industry Competition Risks: The Token issuer/offeror faces competition from other projects, including larger and well-funded ventures that may attract more users and liquidity, potentially diminishing the viability of the Token. - Investor Vesting Risks: While Tokens allocated to the team and other stakeholders may be subject to a vesting schedule to prevent "rug pulls" and conflicts of interest, the unlocking of Tokens over time could affect supply and demand trends and liquidity. - Speculative Nature of the Token: Other than as stated herein with respect to the rights, functions, governance, staking, and fee-payment, the Token has no inherent utility beyond market sentiment and community-driven interest. Its value is highly speculative and subject to fluctuations based on external perceptions. - Unanticipated Risks: There may be additional risks that cannot be foreseen. Some risks may materialise as unexpected variations or combinations of the factors discussed in this section.
I.2 Issuer-related risks	textBlock	N/A - the Issuer is the same as the Person Seeking the Admission of the Token to Trading.
I.3 Other tokens-related risks	textBlock	- Market Volatility Risks: The Token's value is highly volatile and may fluctuate due to market speculation, investor sentiment, regulatory developments, and technological advancements. External factors, such as shifting trends in the crypto industry, changing demand for blockchain services, or macroeconomic conditions, could contribute to extreme price fluctuations, potentially leading to total depreciation. - Speculative Nature: No assurances of future value, performance, or rewards are made regarding the Token. Other than as stated herein with respect to the rights, functions, governance, staking, and fee-payment, the Token has no inherent or guaranteed utility beyond its role in the Network, and its valuation depends entirely on user adoption, demand, and community engagement. If adoption of the Network fails to grow as expected, the Token's value may be significantly impacted. - Liquidity Risks: The ability to trade the Token depends on the level of activity on DEXs and, where applicable, CEXs. Low trading volume may result in difficulties executing large transactions without significant price impact. Limited demand for the Token or the underlying protocol may further reduce liquidity, making it difficult to acquire, sell or otherwise transact with the Token. - Adoption and Network Demand Risks: The long-term success of the Token is dependent on widespread adoption of the Network. Adoption is influenced by various external factors, including user demand, competitive economic conditions, and organic community-driven expansion. The Person Seeking Admission to Trading has no control over the pace of adoption, and there is no guarantee that the Network will gain sufficient traction to sustain its economic model. If demand is too low, obtaining services through the Network may be difficult, while an inadequate supply may lead to delays in accessing services. - Blockchain Dependency Risks: The Token operates exclusively on its underlying blockchain network. Any disruptions, such as network congestion, downtime, or security vulnerabilities, could impact the ability to transfer, store, or trade the Token. Changes to blockchain infrastructure, governance, or transaction fees may also influence the Token's usability and cost-effectiveness. - Transaction Costs: While blockchain fees are generally low, network congestion, high demand, or changes in blockchain fee structures may increase transaction costs, potentially reducing the economic viability of using the Token within the Network. Security Risks: - Smart Contract Vulnerabilities: Despite security audits and best practices, unforeseen vulnerabilities in smart contracts could lead to security breaches, impacting Token security or functionality. - Private Key Management: Token holders are solely responsible for safeguarding their private keys and recovery phrases. Loss of wallet credentials will result in the permanent loss of Tokens, as blockchain transactions are irreversible. - Scam and Fraud Risks: Token holders are exposed to risks associated with scams, phishing attacks, fake giveaways, impersonation of the Token issuer/offeror or its team, counterfeit Tokens, and fraudulent airdrops. Engaging with unverified third-party platforms or unofficial communications increases the risk of fraud. - Community and Narrative Risks: The Token's success is closely tied to community interest and the broader crypto narrative. Macroeconomic trends, emerging competitors, or declining community engagement may negatively impact the Token's perceived value and adoption. Regulatory and Compliance Risks: - Evolving Legal Frameworks: Regulations governing crypto-assets differ across jurisdictions and are subject to change. New legal requirements may impact the Token's classification, availability, or functionality. - Jurisdictional Restrictions: Some jurisdictions may impose restrictions or prohibitions on the trading or use of the Token, limiting its accessibility for certain users. - Regulatory Harmonisation Risks: A lack of global regulatory alignment may create uncertainty, with some authorities potentially classifying the Token as a security or financial instrument, leading to increased compliance costs and legal obligations. - Regulatory Enforcement Risks: Government agencies may take enforcement actions against the Token issuer/offeror if the Token is deemed an unregistered security or if other financial laws are found to have been violated. Such actions could negatively impact the Token's availability, appeal, and value. - Anti-Money Laundering ("AML") & Counter-Terrorism Financing ("CTF") Risks: Crypto transactions may be scrutinised for potential links to illicit activities. Authorities may take action against wallets or platforms suspected of facilitating money laundering or terrorist financing, affecting the ability of Token holders to use or trade their assets. - Taxation Risks: The tax treatment of the Token varies by jurisdiction, and Token holders are solely responsible for understanding and complying with applicable tax laws. Any appreciation, conversion, or sale of the Token may trigger tax obligations that differ depending on the regulatory environment. – Team Vesting and Token Release Risks: Tokens allocated to the team and other stakeholders may be subject to a vesting and unlock schedule. When these Tokens are vested, unlocked, and released into circulation, they may affect demand trends and liquidity. - Technological Obsolescence Risks: The blockchain and crypto industries evolve rapidly. The emergence of new technologies, changes in market demand, or advancements in competing protocols could render the Token or its underlying blockchain infrastructure less competitive, reducing adoption and utility. - Software Weakness Risks: The Token's infrastructure relies on relatively new blockchain technologies, which may contain undiscovered bugs, vulnerabilities, or inefficiencies. There is no guarantee that the process of transacting, storing, or interacting with the Token will be uninterrupted or error-free. - Unanticipated Risks: Beyond the risks outlined above, additional unforeseen risks may emerge due to changes in regulatory, technological, or macroeconomic conditions, potentially affecting the Token's security, functionality, or value.
I.4 Project implementation-related risks	textBlock	The Person Seeking Admission to Trading neither operates, controls, oversees, nor manages the technology underlying the Network. While efforts are made to ensure security and stability, blockchain-based technologies are still evolving, and various risks exist. Additionally, the success and sustainability of the project rely on various external factors, including macroeconomic conditions, regulatory developments, and technological advancements. Technical Development Risks: - Smart Contract Issues: Despite robust security measures, unforeseen vulnerabilities or bugs in the smart contracts could disrupt Token distribution, refunds, or vesting mechanisms. - Blockchain Dependency: The Token operates exclusively on its underlying blockchain. Any network congestion, downtime, or security breaches could impact the project's implementation and functionality. - Risk of Security Weaknesses in Core Infrastructure: The project relies on open-source software, which may be modified by third parties not directly affiliated with the Issuer. Weaknesses or bugs introduced into the core infrastructure could compromise security and lead to the loss of digital assets. Furthermore, malfunctions or inadequate maintenance of the Network may negatively impact the Token's usability. - Bugs in Core Blockchain Code: Even with rigorous testing, unknown bugs may exist in the blockchain protocol, potentially leading to disruptions, incorrect transaction processing, or security vulnerabilities. Regulatory and Compliance Risks: - Regulatory Actions in One or More Jurisdictions: The Token and the underlying Network could be impacted by regulatory inquiries or actions, which may restrict further development, implementation, or usage. - Evolving Laws and Regulations: New and changing laws related to financial securities, consumer protection, data privacy, cybersecurity, and intellectual property could impact the project. Compliance with these laws may require significant resources and could impose additional operational constraints. - Governance Risk: Decision-making mechanisms in blockchain governance may be inefficient, slow, or disproportionately influenced by specific stakeholders, leading to potential centralisation or unfavourable network changes. Operational Risks: - Resource Allocation: The project's success depends on the issuer of the Token and its core team allocating sufficient resources (both financial and non-financial) to ensure timely development and deployment. Poor resource management could lead to delays or failure to achieve key milestones. - Team Vesting Risks: While the team's Tokens may be subject to a vesting and unlock schedule to align interests with the community, the eventual vesting and unlocking of these Tokens may impact market stability or long-term commitment from team members. Market Adoption Risks: - Competitive Environment: The crypto industry is highly competitive and trend-driven. There is a risk that the Token may fail to capture sufficient interest, limiting its adoption. - Community Engagement Risks: The success of the Token depends heavily on community-driven sentiment and engagement. Failure to build or sustain an active community could hinder growth and long-term tradability Timeline and Milestone Risks: - Delayed Milestones: Key deliverables such as Token distribution and liquidity access may face delays due to technical, operational, or funding challenges. - CEX Listing Risks: Listings on centralised exchanges depend on securing the necessary funding for listing fees and meeting platform-specific requirements. Delays or insufficient resources could postpone broader market/ community access. Ecosystem Risks: – Dependence on External Partners: The project relies on partnerships with infrastructure providers, liquidity providers/ market makers, exchanges and other third-party service providers. Any failure or delay from these partners could disrupt implementation plans. - Risk of Withdrawing Partners: The Token holder understands that the feasibility of the project depends strongly on the collaboration of service providers and other key stakeholders. A loss of critical partnerships could impact project sustainability. Technology and Software Risks: - Risk of Software Weakness: The Token holder acknowledges that blockchain and smart contract technologies are still evolving. There is no guarantee that Token usage will be uninterrupted or error-free. Vulnerabilities in the underlying blockchain, smart contracts, or supporting technologies could lead to the complete loss of Tokens or their functionality. - Dependency on Underlying Technology: The Network relies on blockchain infrastructure, hardware, and network connectivity, all of which may be subject to failures, outages, or vulnerabilities. - Risk of Technological Disruption: The emergence of new technology, such as quantum computing, could undermine the security of blockchain encryption and compromise the integrity of digital assets. Network Security Risks: - Network Attacks and Cybersecurity Threats: Blockchain networks can be vulnerable to cyberattacks such as 51% attacks, Sybil attacks, or distributed denial-of-service ("DDoS") attacks. These threats could disrupt network operations and compromise security. - Blockchain Network Attacks: The Network may be subject to validation attacks, including double-spend attacks, reorganisations, majority mining power attacks, "vampire" attacks and work race condition attacks. Successful attacks could compromise the proper execution of transactions and smart contracts. Privacy and Anonymity Risks: - Public Ledger Transparency: Blockchain transactions are recorded on a public ledger, which may expose transaction history and financial activity. Certain transactions could be linked to specific wallet addresses, making users vulnerable to fraud, phishing attacks, or targeted scams. Economic and Governance Risks: - Consensus Failures or Forks: Errors in the consensus mechanism could lead to forks, where multiple versions of the ledger coexist, or network halts, reducing trust in the network. - Economic Self-Sufficiency: The long-term sustainability of the Token ecosystem depends on sufficient transaction volume to generate fees to support rewards for validators, which in turn maintain network security. A lack of adoption could lead to governance-driven changes to monetary policy, fee structures, or consensus mechanisms. - Incentive Model Risks: Changes to block rewards, staking incentives, or governance models may be required to maintain network participation. Governance decisions could result in modifications that impact Token holders, including inflationary adjustments, transaction fees, or redistribution of rewards. Software Weakness Risks: - Unforeseen Bugs and Security Vulnerabilities: The Token and its supporting infrastructure rely on blockchain technologies that may still be evolving. There is no guarantee that Token transactions will be uninterrupted or error-free. Software vulnerabilities, weaknesses in smart contracts, or infrastructure issues may result in loss of assets, security breaches, or unexpected network failures. Unanticipated Risks: - Unforeseen Regulatory, Technological, or Economic Challenges: In addition to the risks identified, new threats may emerge due to changes in legal, technological, or economic conditions. Developments such as regulatory crackdowns, unforeseen Network vulnerabilities, or disruptive innovations could impact the usability, security, or value of the Token in ways not currently foreseeable.
I.5 Technology-related risks	textBlock	The Person Seeking Admission to Trading neither operates, controls, oversees, nor manages the technology underlying the Network. While efforts are made to ensure security and stability, blockchain-based technologies are still evolving, and various risks exist. Blockchain Dependency Risks: - Network Downtime and Congestion: The Token relies entirely on its underlying blockchain network, which may experience outages, congestion, or downtime. Such events could disrupt Token transfers, trading, or other functionalities. - Scalability Challenges: As transaction volume grows, the blockchain network may face scaling limitations. Increased congestion could lead to slower transaction processing times and higher fees, reducing efficiency and usability. - Settlement and Transaction Finality Risks: Blockchain transactions are designed to be irreversible; however, under exceptional circumstances such as network forks or consensus failures, there remains a theoretical risk that transactions could be reversed, or multiple competing ledger versions could persist. Transactions sent to an incorrect address are not recoverable, leading to permanent loss of assets. Smart Contract Risks: - Vulnerabilities: While smart contracts are developed with security measures, undiscovered vulnerabilities or exploits may impact Token security, distribution, or access. Bugs in the contract code may lead to unintended loss of Tokens, unauthorised transactions, or exposure to external attacks. - Immutability Risks: Once deployed, some smart contracts cannot be altered. Errors or security flaws in the code could result in operational failures without the possibility of corrections. - Security Exploits: Bugs or vulnerabilities in smart contracts may expose the Token ecosystem to potential hacks, allowing attackers to manipulate transactions, drain liquidity, or disrupt contract execution. Network Security Risks: - Risk of Attacks and Forks: The blockchain may be susceptible to consensus-related attacks, such as double-spend attacks, majority validation power takeovers, censorship attacks, or forks. These risks could affect Token transactions, balance integrity, and overall network security. - Cybercrime and Theft Risks: Despite security efforts, blockchain-based assets and services may be exposed to cyberattacks, including hacking, phishing, or malware threats. Compromised wallets, exchanges, or smart contracts could lead to asset theft, loss of funds, or disruptions in Token functionality. - Data Corruption Risks: The reliability of blockchain data could be compromised due to software bugs, human error, or deliberate tampering. Such incidents may affect transaction records, network integrity, and user confidence in the system. Wallet and Storage Risks: - Private Key Management: Token holders are solely responsible for securing their private keys and recovery phrases. The loss of private keys results in irreversible loss of Tokens, as blockchain transactions are final and cannot be undone. - Compatibility Issues: The Token is supported only by blockchain-compatible wallets. Incompatibility with specific wallet software, network malfunctions, or wallet provider shutdowns may affect access to and usability of the Token. Ecosystem Dependency Risks: - DEX and CEX Integration Issues: The Token's availability depends on integration with DEXs and CEXs. Technical failures, security breaches, or delisting from these platforms could limit liquidity, disrupt trading, and reduce Network accessibility. - Reliance on Third-Party Services: Many blockchain services, including wallets, bridges, and oracles, depend on third-party providers. Failures, security breaches, or regulatory actions against these services could negatively affect the functionality of the Token. - Centralisation Concerns: Although blockchain networks are designed to be decentralised, a small number of validators or node operators could introduce centralisation risks. This may lead to potential censorship, control over transactions, or increased vulnerability to governance attacks. Software and Protocol Risks: - Bugs in Core Blockchain Code: Despite rigorous testing, undiscovered bugs in the core blockchain protocol could lead to network failures, incorrect transaction processing, or security vulnerabilities. A failure to address such issues promptly could result in loss of user confidence and network instability. – Risk of Technological Disruption: Emerging technologies, such as quantum computing, could potentially compromise blockchain encryption, making networks vulnerable to attacks that could compromise data integrity or enable unauthorised asset transfers. - Dependency on Underlying Technology: The stability of the Token ecosystem relies on underlying technical infrastructures, including internet connectivity, computing hardware, and cryptographic algorithms. Disruptions in these foundational technologies may impact network security and operational efficiency. Privacy and Anonymity Risks: - Public Ledger Transparency: Blockchain transactions are recorded on a publicly accessible ledger, which may expose sensitive transaction data. While addresses do not directly reveal identities, sophisticated data analysis could potentially link certain transactions to specific individuals or entities. - Exposure to Fraud and Targeted Attacks: Increased transparency may lead to risks such as phishing, fraud, or unauthorised tracking of user activity by malicious actors. Individuals with significant Token holdings may be targeted for scams or social engineering attacks. Economic and Network Viability Risks: - Economic Self-Sufficiency: The long-term sustainability of the Token ecosystem depends on maintaining sufficient transaction volume to generate rewards for incentivising validators to ensure network security. If network adoption remains low, there is a risk of reduced validator participation, increased transaction costs, or a need for governance-driven changes to monetary policy, fee structures, or consensus mechanisms. - Incentive Model Risks: Changes to block rewards, staking incentives, or governance models may be required to ensure ongoing network security and sustainability. Governance proposals may introduce modifications that impact Token holders, including inflation adjustments, transaction fees, or redistribution of rewards. Software Weakness Risks: - Unforeseen Bugs and Security Vulnerabilities: The Token and its supporting infrastructure rely on blockchain technologies that may still be evolving. There is no guarantee that Token transactions will be uninterrupted or error-free. Software vulnerabilities, weaknesses in smart contracts, or infrastructure issues may result in loss of assets, security breaches, or unexpected network failures. Unanticipated Risks: - Unforeseen Regulatory, Technological, or Economic Challenges: In addition to the risks identified, new threats may emerge due to changes in legal, technological, or economic conditions. Developments such as regulatory crackdowns, unforeseen Network vulnerabilities, or disruptive innovations could impact the usability, security, or value of the Token in ways not currently foreseeable.
I.6 Mitigation measures	textBlock	Not applicable
Part J - Information on the sustainability indicators in relation to adverse impact on the climate and other environment-related adverse impacts
J.1 Adverse impacts on climate and other environment-related adverse impacts	textBlock	The environmental impact associated with the crypto-asset arises from the energy used to validate transactions and maintain the integrity of the underlying distributed ledger. For the reporting period 27 February 2026 to 27 February 2027, the estimated total energy consumption is 2,010.41999 kWh per year, with an average energy intensity of 0.00005 kWh per transaction. Approximately 34.5924693127% of the energy used is estimated to originate from renewable sources. In terms of greenhouse gas emissions, Scope 1 emissions are estimated at 0.00000 tCO2e per year, while Scope 2 emissions are estimated at 0.66895 tCO2e per year. The average GHG emission intensity is estimated at 0.00001 kgCO2e per validated transaction. These estimates are derived by calculating the energy consumption of the underlying blockchain network and allocating a proportionate share to the crypto-asset based on its activity on the network. Estimations rely on publicly available data, assumptions regarding node distribution and hardware, and conservative methodologies where precise data is not available.
Mandatory information on principal adverse impacts on the climate and other environment-related adverse impacts of the consensus mechanism
General information about adverse impacts
S.1 Name	text	Kinetiq (BVI) Ltd.
S.2 Relevant legal entity identifier	text	2549000YIRFI15EVDZ22
S.3 Name of the crypto-asset	text	Kinetiq Token
S.4 Consensus mechanism	text	Hyperliquid is a decentralized perpetual exchange (DEX) built on its proprietary Layer 1 blockchain, Hyperliquid L1. At the core of its architecture is the HyperBFT consensus mechanism, inspired by the Hotstuff protocol, designed to meet the demands of high-frequency trading while maintaining security and consistency across the ecosystem.
S.5 Incentive mechanisms and applicable fees	text	Hyperliquid incentivizes participants through its native token, HYPE. Validators and delegators earn rewards in HYPE for securing the network and participating in governance. Users can also earn HYPE by staking, providing liquidity, and engaging in other ecosystem activities. This dual-token system encourages active participation and supports the network's growth and stability. Hyperliquid employs a dynamic fee model where transaction fees are based on network activity and the complexity of the transactions. These fees are paid by users conducting transactions on the network and are designed to cover the costs of processing transactions while incentivizing validators.
S.6 Beginning of period to which disclosed information relates	date	2026-02-27
S.7 End of period to which disclosed information relates	date	2027-02-27
Mandatory key indicator
S.8 Energy consumption	energy (kWh)	2010.41999
Sources and methodologies
S.9 Energy consumption sources and methodologies	textBlock	The energy consumption associated with this crypto-asset is aggregated of multiple contributing components, primarily the underlying blockchain network and the execution of token-specific operations. To determine the energy consumption of a token, the energy consumption of the underlying blockchain network Hyperliquid is calculated first. A proportionate share of that energy use is then attributed to the token based on its activity level within the network (e.g. transaction volume, contract execution). The Functionally Fungible Group Digital Token Identifier (FFG DTI) is used to determine all technically equivalent implementations of the crypto-asset in scope. Estimates regarding hardware types, node distribution, and the number of network participants are based on informed assumptions, supported by best-effort verification against available empirical data. Unless robust evidence suggests otherwise, participants are assumed to act in an economically rational manner. In line with the precautionary principle, conservative estimates are applied where uncertainty exists – that is, estimates tend towards the higher end of potential environmental impact.
Supplementary information on principal adverse impacts on climate and other environment-related adverse impacts of consensus mechanism
Supplementary key indicators
S.10 Renewable energy consumption	percent	34.5924693127 %
S.11 Energy intensity	energy (kWh)	0.00005
S.12 Scope 1 DLT GHG emissions - controlled	GHG emissions (tCO2e)	0.00000
S.13 Scope 2 DLT GHG emissions - purchased	GHG emissions (tCO2e)	0.66895
S.14 GHG intensity	GHG emissions (tCO2e)	0.00001
Sources and methodologies
S.15 Key energy sources and methodologies	textBlock	To determine the proportion of renewable energy usage, the locations of the nodes are to be determined using public information sites, open-source crawlers and crawlers developed in-house. If no information is available on the geographic distribution of the nodes, reference networks are used which are comparable in terms of their incentivization structure and consensus mechanism. This geo-information is merged with public information from Our World in Data, see citation. The intensity is calculated as the marginal energy cost wrt. one more transaction. Ember (2025); Energy Institute - Statistical Review of World Energy (2024) - with major processing by Our World in Data. "Share of electricity generated by renewables - Ember and Energy Institute" [dataset]. Ember, "Yearly Electricity Data Europe"; Ember, "Yearly Electricity Data"; Energy Institute, "Statistical Review of World Energy" [original data]. Retrieved from https://ourworldindata.org/grapher/share-electricity-renewables.
S.16 Key GHG sources and methodologies	textBlock	To determine the GHG Emissions, the locations of the nodes are to be determined using public information sites, open-source crawlers and crawlers developed in-house. If no information is available on the geographic distribution of the nodes, reference networks are used which are comparable in terms of their incentivization structure and consensus mechanism. This geo-information is merged with public information from Our World in Data, see citation. The intensity is calculated as the marginal emission wrt. one more transaction. Ember (2025); Energy Institute - Statistical Review of World Energy (2024) - with major processing by Our World in Data. "Carbon intensity of electricity generation - Ember and Energy Institute" [dataset]. Ember, "Yearly Electricity Data Europe"; Ember, "Yearly Electricity Data"; Energy Institute, "Statistical Review of World Energy" [original data]. Retrieved from https://ourworldindata.org/grapher/carbon-intensity-electricity Licenced under CC BY 4.0.
Optional information on principal adverse impacts on the climate and on other environment-related adverse impacts of the consensus mechanism
Optional indicators
S. 17 Energy mix	percent	0 %
S.18 Energy use reduction
Energy use reduction target (absolute value)	energy (kWh)	0
Energy use reduction target (percentage)	percent	0 %
S.19 Carbon intensity (kgCO2e/kWh)	decimal	0
S.20 Scope 3 DLT GHG emissions - value chain	GHG emissions (tCO2e)	0
S.21 GHG emissions reduction targets or commitments	textBlock	Not applicable
S.22 Generation of waste electrical and electronic equipment (WEEE)	mass (tonnes)	0
S.23 Non-recycled WEEE ratio	percent	0 %
S.24 Generation of hazardous waste	mass (tonnes)	0
S.25 Generation of waste (all types)	mass (tonnes)	0
S.26 Non-recycled waste ratio (all types)	percent	0 %
S.27 Waste intensity (all types)	mass (tonnes)	0
S.28 Waste reduction targets or commitments (all types)	textBlock	Not applicable
S.29 Impact of use of equipment on natural resources	textBlock	Not applicable
S.30 Natural resources use reduction targets or commitments	textBlock	Not applicable
S.31 Water use	volume (m3)	0
S.32 Non recycled water ratio	percent	0 %
Sources and methodologies
S.33 Other energy sources and methodologies	textBlock	Not applicable
S.34 Other GHG sources and methodologies	textBlock	Not applicable
S.35 Waste sources and methodologies	textBlock	Not applicable
S.36 Natural resources sources and methodologies	textBlock	Not applicable