MiCAR White Paper

Orbital Line Limited is the issuer and administrator of the Grvt token, a native utility token for use within the Grvt ecosystem and platform. As token issuer, Orbital Line Limited's core business activities include designating and maintaining the Grvt token as the native utility token of the Grvt ecosystem, entering into listing agreements with centralised exchanges as the token issuer counterparty, entering into market-making arrangements as the token issuer counterparty, holding and administering the token treasury and reserve allocations, and executing token buyback and burn programmes. Orbital Line Limited's activities are limited to the issuance and administration of the Grvt token and do not extend to the operation of the underlying Grvt platform, its technology infrastructure, or the investment and trading products offered on it.

Orbital Line Foundation ("OLF") is an exempted foundation company limited by guarantee without share capital, incorporated in the Cayman Islands. Its objects are the development, growth, adoption and promotion of the Grvt project, comprising the Grvt protocol, decentralised network, digital assets and ecosystem community, together with educating the public on the project and fostering the Grvt community. OLF acts as steward of the Grvt ecosystem and does not carry on any business for profit; no part of its income or property may be distributed by way of dividend or profit to its members, directors or supervisors. It has no share capital and does not itself operate the Grvt exchange platform or issue the Grvt token. To pursue its objects, OLF works through two related entities: Orbital Line Limited, of which OLF is sole director and which serves as the designated issuer and administrator of the Grvt token, and GRVT Markets Limited, which operates the Grvt platform and, under an advisory and consulting services agreement, provides technical, operational and advisory support to OLF.

As Orbital Line Limited was established on 2026-05-15, three-year historical financial data is not available.

Orbital Line Limited is a newly established entity in the early stages of development. The company has not yet generated substantial revenue or incurred significant expenses.

A brief summary of Orbital Line Limited's financial performance at the time of writing is as follows:

Funding and Capitalization:

• The company's initial share capital is USD $100.

• The entity is sufficiently self-funded with service fee income generated in connection with its token administration and management activities.

• Such service fee income is supported by financial resources of the Grvt Group, which has raised approximately USD 34 million through early-stage and later-stage Series A investment rounds. 

• The Grvt token has a fully diluted value as of 30 July 2026 of approximately USD $150 million.

Grvt is a self-custodial wealth platform focusing on bringing together everything users want to do with their money, allowing them to earn yield, invest in curated funds, and trade markets from a single composable balance. The Grvt platform is operated by a separate operating entity within the Grvt ecosystem, distinct from Orbital Line Limited.

The platform's architecture features a custom Layer 2 built on the ZKsync stack with off-chain matching and zero-knowledge settlement to the Ethereum mainnet. The project's mission is to provide everyday people with a unified storefront for institutional-grade financial products and eliminate capital fragmentation by leveraging zero-knowledge proofs, the ZK Stack for execution confidentiality, and automated market maker infrastructure for tokenized real-world assets.

The Grvt token is the native utility and membership token of the Grvt ecosystem. Orbital Line Limited is responsible for the issuance and administration of the Grvt token.  The Grvt token is designed to unlock premium fee- and access-based benefits, such as reduced savings product fees, lower trading fees, improved margin efficiency, and expanded access to curated investment products within this interconnected ecosystem.

Disclaimer:
Certain functions of the token might not be available across all jurisdictions for regulatory reasons. Prior to purchase, the purchaser shall be solely responsible for assessing whether token functionalities are available in the jurisdiction where the purchaser resides. No representation is made that the token's utilities will be accessible to all purchasers regardless of location.

The Grvt token has several key functionalities within the Grvt ecosystem. The Grvt platform offers a suite of goods and services designed to provide a self-custodial solution for the on-chain economy that brings together earning yield, investing in trusted funds, and trading markets within a single, fully composable balance the user always controls.

Key utilities of the Grvt token include:

• Membership: Grvt holders can unlock premium benefits across the platform's various verticals by holding or staking the asset.

• Earn: The token is used as a mechanism to secure reduced platform fees on the ecosystem's yield and savings products.

• Trade: Users can benefit from lower trading fees, achieve improved margin efficiency, and utilize advanced trading tools.

• Invest: The token grants access to a broader range of curated institutional-grade investment products and allows users to earn an aggregation premium that compounds capabilities across new yield sources, investment building blocks, and tokenized real-world-asset supply without having to leave the platform.
  
  For the avoidance of doubt, any yield or other economic return is derived solely from separate investment products that a holder may choose to participate in under separate agreements with the relevant product providers, and is subject to the applicable terms, eligibility criteria, and regulatory requirements of those providers. The Token itself does not generate, accrue or entitle its holder to any yield, interest, premium, dividend, profit share, capital appreciation or other return, confers no claim against the Issuer or any product provider, and is not the sole means of accessing such products or services.

• Advisory governance participation (planned): A non-binding right, to be introduced, to propose and vote on defined product and protocol matters, conferring voice but no economic entitlement.

Disclaimer:
Certain functions of the token might not be available across all jurisdictions for regulatory reasons. Prior to purchase, the purchaser shall be solely responsible for assessing whether token functionalities are available in the jurisdiction where the purchaser resides. No representation is made that the token's utilities will be accessible to all purchasers regardless of location.

The Grvt Group has secured financial resources (approximately USD$ 34 Million) through backing from early and later-stage Series A investors.

These resources are allocated to key areas, allocation % are shown below:

• General Operation: 33.06%

• Engineering: 26.32%

• Marketing and business development: 18.84%

• Legal & Compliance: 10.24%

• Management: 5.06%

• Human Resource: 3.45%

• CSR: 1.75%

• Finance: 1.29%

The project is supported by a team with a proven track record of continuous product delivery since the mainnet launch, having successfully shipped native mobile apps, spot trading, margin upgrades, a peer-to-peer investment marketplace, and a portfolio dashboard with specialists in engineering, risk management, and compliance. Operational support is bolstered by dedicated personnel focused on AML, sanctions compliance, Travel Rule adherence, and continuous platform engineering.

This is not applicable because there will be no raising of funds. This is not an offer of the Grvt token but rather an admission of the Grvt token to trading, as it is already in circulation.

The admission to trading of the Grvt token ($GRVT) is intended to:

• Increase Accessibility and Liquidity: To make the Grvt token more accessible to European users and improve its liquidity on secondary markets. This can result in more efficient price discovery and reliable trade execution.

• Enhance Transparency and Compliance: This MiCA-compliant disclosure is filed to enhance transparency, regulatory clarity, and investor confidence. It signals the project's readiness to align with the high disclosure standards of Regulation (EU) 2023/1114.

• Support Ecosystem Growth: By increasing access, Orbital Line Limited aims to encourage wider participation and contribution to the Grvt ecosystem, allowing a broader user base to leverage Grvt's features.

This initiative is an admission to trading and not a fundraising event or public offer.

The project is targeted at all types of investors. No restrictions are being applied other than those required by relevant laws, regulations, or the internal policies of the trading platforms.

Access to the Grvt token may be restricted by the individual trading platforms where it is made available. These restrictions may include, but are not limited to, geo-fencing for users in OFAC-sanctioned jurisdictions or other individuals prohibited under the platform's terms and conditions and applicable laws.

Purchases of the Grvt token on  the relevant trading platforms may be made using supported crypto-assets (e.g., ETH, USDT) or fiat currencies (EUR, USD), as per the available trading pairs on the platform. The information on the specific payment methods and providers of payment services is available at https://www.bitvavo.com, https://www.okx.com, https://www.bybit.eu, https://www.coinbase.com, and https://www.kraken.com and their use is subject to the applicable terms and conditions of the specific service provider.

If applicable, any valid reimbursements shall be made to the account or wallet originally used to participate in the offer.

The Grvt token acquired as a result of trades shall be transferred through means designated by the trading platform to the compatible wallet or account as designated by the selected Trading Platforms  or can be transferred directly on compatible blockchain like Ethereum and Binance Smart Chain.

Purchasers must have an account on a trading platform where the Grvt token is listed and abide by that platform's terms. Basic requirements include internet access and a compatible device (computer or mobile).

The Grvt token is available on various centralized and decentralized trading platforms. Investors can access these platforms by creating an account on their respective websites and complying with the platform's requirements, including KYC/AML verification.

Access to the trading platforms is typically free, but users will incur costs related to trading and transactions. These may include transaction fees (maker/taker fees), withdrawal fees, and network fees. These costs are set by the individual exchanges and are not controlled by Orbital Line Limited. Users are advised to review the fee schedule on the respective platform's website at https://www.bitvavo.com, https://www.okx.com, https://www.bybit.eu, https://www.coinbase.com, and https://www.kraken.com.

To the best knowledge of Orbital Line Limited, no conflicts of interest have been identified in relation to the admission to trading.

Consumers: Where the counterparty qualifies as a consumer, this white paper shall be governed by the laws of Singapore, except to the extent that the mandatory provisions of the law of the consumer's country of residence apply and cannot be excluded or limited by agreement.

Business-to-Business (B2B): This white paper and any non-contractual obligations arising out of or in connection with it shall be governed by and construed in accordance with the laws of Singapore.

Where the application of Singapore law is found to be invalid or unenforceable, in whole or in part, with respect to a given dispute, the applicable law shall be determined in accordance with the mandatory conflict-of-laws rules of the jurisdiction in which the counterparty is domiciled or where the relevant proceedings are otherwise required to be brought.

Consumers: For disputes arising out of or in connection with this white paper where the counterparty qualifies as a consumer, jurisdiction shall be determined in accordance with the mandatory consumer protection rules of the applicable law, including any rules granting consumers the right to bring proceedings before the courts of their place of residence.

Business-to-Business (B2B): In the event of any controversy or claim arising out of or relating to this white paper, the parties agree to first attempt to resolve the dispute through mediation administered by the International Centre for Dispute Resolution (ICDR) under its Mediation Rules. If the dispute is not resolved within 60 days after service of a written demand for mediation, any unresolved controversy or claim arising out of or relating to this white paper shall be finally settled by arbitration in accordance with the International Arbitration Rules of the International Centre for Dispute Resolution (ICDR).

Where arbitration under the foregoing is found to be unenforceable, in whole or in part, with respect to a given dispute, the competent venue shall default to the courts of Singapore. Where the courts of Singapore are not available or competent to hear the dispute, jurisdiction shall be determined in accordance with the applicable mandatory rules of the jurisdiction in which the counterparty is domiciled or in which proceedings are otherwise required to be brought.

The Grvt token is classified as an "Other Crypto-Asset" under Regulation (EU) 2023/1114, as it is not an Asset-Referenced Token (ART) or E-Money Token (EMT). It is a fungible token based on the ERC-20 standard.

The Grvt token's primary functionalities within the Grvt ecosystem include:

• Earn Benefits: Holding or staking the token unlocks reduced platform fees on various savings products within the ecosystem.

• Trade Enhancements: Users holding the token benefit from lower trading fees, improved margin efficiency, and access to advanced trading tools.

• Invest Access: The token acts as a membership key, granting users access to a broader range of curated, institutional-grade investment products.
  
  For the avoidance of doubt, any yield or other economic return is derived solely from separate investment products that a holder may choose to participate in under separate agreements with the relevant product providers, and is subject to the applicable terms, eligibility criteria, and regulatory requirements of those providers. The token itself does not generate, accrue or entitle its holder to any yield, interest, premium, dividend, profit share, capital appreciation or other return, confers no claim against the Issuer or any product provider, and is not the sole means of accessing such products or services.

• Staking and Aggregation Membership: By holding or staking the token, users unlock compounding capabilities across the aggregation layer, expanding their access as new yield sources and tokenized real-world asset integrations are added.

• Advisory Governance Participation (planned): A non-binding right, to be introduced, to propose and vote on defined product and protocol matters, conferring voice but no economic entitlement. 
  
  Disclaimer:
  Certain functions of the token might not be available across all jurisdictions for regulatory reasons. Prior to purchase, the purchaser shall be solely responsible for assessing whether token functionalities are available in the jurisdiction where the purchaser resides. No representation is made that the token's utilities will be accessible to all purchasers regardless of location.

As at the date of this crypto-asset white paper, the functionalities described in F.2 are operational. The token generation event took place on 30 July 2026, activating fee reductions, trading and margin benefits, membership access to curated investment products, staking across the aggregation layer, and advisory governance participation. These apply in respect of platform products already live in production, including perpetual futures, spot trading, peer-to-peer investment marketplace, base-yield savings, and real-world asset vaults.

Certain functionalities are expected to broaden as development continues, in particular unified margin and a wider real-world asset offering with direct TradFi liquidity, all planned during 2026. The functionalities described in F.2 will apply to those products as and when deployed.

Planned deployments are provided for informational purposes and remain subject to change due to business, regulatory, compliance or operational considerations.

The Grvt token is a fungible, transferable crypto-asset classified as an "Other Crypto-Asset" under MiCA. It operates on the Ethereum blockchain as an ERC-20 token, and bridges at TGE to Grvt's own custom Layer 2 built on the ZKsync (ZK) Stack.

The underlying network, Ethereum, uses a Proof-of-Stake consensus mechanism designed for security and decentralization. Grvt's Layer 2 layers its own mechanism on top of this base chain: order matching and execution happen off-chain for centralized-exchange-grade performance, with zero-knowledge validity proofs settling to Ethereum L1 to preserve on-chain guarantees and execution confidentiality.

The Grvt token does not represent ownership, profit rights, or legal claims, and functions solely to support the protocol's technical and economic operations.

The issuer operates in the field of token issuance and administration and provides the following services as part of its everyday business activity: designating and maintaining the Grvt token as the native utility token of the Grvt ecosystem; entering into listing agreements with centralised exchanges as the token issuer counterparty; entering into market-making arrangements as the token issuer counterparty; and holding and administering the token treasury and reserve allocations, including token buyback and burn programmes.

Orbital Line Limited does not itself provide decentralized finance services, operate the Grvt platform, or develop or maintain the underlying Layer 2 blockchain infrastructure, investment marketplace, or portfolio management tools offered on the Grvt platform, which is operated by a separate entity within the Grvt ecosystem.

Disclaimer:
Certain functions of the token might not be available across all jurisdictions for regulatory reasons. Prior to purchase, the purchaser shall be solely responsible for assessing whether token functionalities are available in the jurisdiction where the purchaser resides. No representation is made that the token's utilities will be accessible to all purchasers regardless of location.

Purchasers or holders of the Grvt token do not acquire any contractual rights, equity interests, profit-sharing rights, dividends, or other legal claims against Grvt or any affiliated entity by virtue of holding the token.

The Grvt token is a decentralized digital asset designed for functional use within the Grvt ecosystem. Any "rights" are limited to the token's protocol-level utility, such as:

• Earn Benefits: The ability to access reduced platform fees on savings products by holding or staking the token.

• Trade Enhancements: The ability to benefit from lower trading fees, improved margin efficiency, and advanced trading tools.

• Investment Access: The ability to gain membership access to a broader range of curated investment products within the platform.

Holding the Grvt token does not represent ownership in any legal entity and does not confer any right to financial returns.

Advisory governance participation (planned): A non-binding right (to be introduced) to propose and vote on defined product and protocol matters, conferring voice but no economic entitlement.

Disclaimer:
Certain functions of the token might not be available across all jurisdictions for regulatory reasons. Prior to purchase, the purchaser shall be solely responsible for assessing whether token functionalities are available in the jurisdiction where the purchaser resides. No representation is made that the token's utilities will be accessible to all purchasers regardless of location.

There are no formal contractual rights to "exercise." Any functionality associated with GRVT is exercised technically by interacting with the Grvt protocol's smart contracts.

For example:

• Utility: Rights are exercised by holding or staking the token to unlock fee- and access-based membership benefits across the platform's verticals, such as reduced platform fees on savings products, lower trading fees, improved margin efficiency, advanced trading tools, and access to a broader range of curated investment products.

• Advisory governance participation (planned): Once introduced, this right is exercised by signing an off-chain vote using the wallet that holds the Grvt token. No tokens or assets are transferred, locked, or spent in the process. As governance outcomes are advisory only, participation in a vote does not obligate any person or entity to implement or act upon the result. 

These actions are carried out on-chain and are validated by the decentralized network, not by Orbital Line Limited or the Grvt platform. Procedures are defined in the project's public documentation (e.g., https://grvt.io).

Disclaimer:
Certain functions of the token might not be available across all jurisdictions for regulatory reasons. Prior to purchase, the purchaser shall be solely responsible for assessing whether token functionalities are available in the jurisdiction where the purchaser resides. No representation is made that the token's utilities will be accessible to all purchasers regardless of location.

Orbital Line Limited may unilaterally modify the rights, features, and functionalities associated with the token, including its utility and applicable conditions.

As all governance outcomes are advisory and non-binding, no vote may require the modification, retention, or removal of any right, feature, or functionality of the token. Such modifications may be implemented by the issuer at its sole discretion, subject to compliance with applicable law.

Orbital Line Limited does not intend to conduct any future public offerings of the Grvt token. The token is already in circulation and available on secondary markets.

The Grvt token functions as a utility token within the Grvt ecosystem, providing access to its core goods and services. These include:

• Earn: Token holders benefit from reduced platform fees on savings products that generate base yield from sustainable traditional and on-chain markets without requiring an opt-in.

• Trade: Membership grants lower trading fees, improved margin efficiency, and advanced trading tools for executing spot and perpetual futures trades using integrated savings and investments as collateral.

• Invest: The token provides access to a wider selection of curated, institutional-grade investment products including tokenized real-world-asset vaults and managed liquidity provider strategies. 
  
  For the avoidance of doubt, any yield or other economic return is derived solely from separate investment products that a holder may choose to participate in under separate agreements with the relevant product providers, and is subject to the applicable terms, eligibility criteria, and regulatory requirements of those providers. The Token itself does not generate, accrue or entitle its holder to any yield, interest, premium, dividend, profit share, capital appreciation or other return, confers no claim against the Issuer or any product provider, and is not the sole means of accessing such products or services.

The Grvt token is "redeemed" or used within the ecosystem to access the goods and services listed in G7. This occurs when users hold or stake the token to unlock premium membership benefits, such as reduced platform fees on savings products, lower trading fees and improved margin efficiency, and access to a broader range of curated institutional-grade investment products. The type of goods or services that can be redeemed may evolve over time based on ecosystem development and governance.

There are no restrictions on the transferability of Grvt tokens at the protocol level; it may be freely transferred between users.

However, a portion of the token supply allocated to investors, the team, and the future emissions and rewards category is subject to contractual lock-up and/or vesting schedules e.g., a 12-month lockup followed by 36-month vesting for the team and, for investors, a blended schedule under which a smaller tranche vests on a shorter lockup while the majority follows the same 12-month lockup and 36-month vesting as the team. A portion of the Community Airdrop allocation is also distributed in tranches over the twelve months following TGE, rather than released in full at TGE. 

These locked allocations are enforced on-chain rather than by discretion. The Grvt token's full token unlock schedule is publicly disclosed at https://coinmarketcap.com/currencies/grvt/#token_unlocks. These Grvt tokens  are locked in Ethereum smart contracts, and Orbital Line Limited cannot alter the unlock schedule at its sole discretion. The timing of unlocks is therefore fixed and outside its control.

As at the date of this white paper, the tokens held in Orbital Line Limited's wallets consist solely of a portion of the Ecosystem Development allocation, amounting to 13,240,000 tokens (1.324% of total supply). Of these, 9,930,000 tokens have been dedicated to liquidity provisioning. Orbital Line Limited does not hold any of these tokens for its own benefit. It acts purely as steward of the Ecosystem Development allocation, which is intended to be distributed to the broader ecosystem over time as certain milestones are met.

Separately, individual trading platforms may impose their own transfer restrictions in accordance with applicable laws and internal policies.

There is no written legal agreement between the person seeking admission to trading and the crypto-asset holder that sets out the laws governing the legal relationship between those parties. In the absence of such an agreement, the legal relationship relating to the $GRVT shall be governed by the laws of Singapore. Where the crypto-asset holder qualifies as a consumer, this shall not prejudice the application of any mandatory provisions of the law of the consumer's country of residence that cannot be excluded or limited by agreement.

There is no written legal agreement between the person seeking admission to trading and the crypto-asset holder that sets out the forum governing disputes between those parties.

Consumers: Where the crypto-asset holder qualifies as a consumer, jurisdiction shall be determined in accordance with the mandatory rules of the applicable law, including any rules granting consumers the right to bring proceedings before the courts of their place of residence or any other competent court.

Business-to-Business (B2B): Where the crypto-asset holder does not qualify as a consumer, any dispute arising out of or in connection with the $GRVT shall first be submitted to mediation administered by the International Centre for Dispute Resolution (ICDR) under its Mediation Rules. If the dispute is not resolved within sixty (60) days following a written request for mediation, it shall be finally settled by arbitration in accordance with the International Arbitration Rules of the ICDR.

Where arbitration is found to be invalid or unenforceable, in whole or in part, with respect to a particular dispute, the competent courts of Singapore shall have jurisdiction. Where the courts of Singapore are unavailable or lack jurisdiction, jurisdiction shall be determined in accordance with the applicable mandatory rules of the jurisdiction in which the counterparty is domiciled or where proceedings are otherwise required to be brought.

The Grvt token is an ERC-20 token. This standard ensures industry compatibility with wallets, exchanges, and smart contracts. The Ethereum network itself is an established Layer-1 blockchain that utilizes a Proof-of-Stake (PoS) consensus mechanism for its operations. The Grvt token additionally bridges to the Grvt project's own custom built on the ZKsync (ZK) Stack, which utilizes off-chain order matching combined with zero-knowledge validity proofs settled to Ethereum L1 for its operations. The Grvt token is also bridged to BNB Smart Chain (BSC). Additional bridges to other networks may be introduced in the future as the Grvt ecosystem expands, subject to the same technical and security considerations described in this whitepaper.

As a ERC-20 token, the Grvt token is deployed as a smart contract. Users can hold, store, and transfer the token using any wallet software (non-custodial or self-custody) that is compatible with the Ethereum network. Users may also manage the token through accounts provided by third-party custodians or centralized exchanges.

The Ethereum network, which the Grvt token relies on, operates using a Proof-of-Stake (PoS) consensus mechanism.

In this system, validators are chosen to propose and attest to new blocks based on the amount of native tokens (ETH) they have staked as collateral.

Separately, the Grvt project's own Layer 2 does not run an independent consensus mechanism of its own. It relies on the ZKsync (ZK) Stack architecture, in which off-chain order matching and execution are proven correct using zero-knowledge validity proofs, which are then settled and verified on Ethereum L1, inheriting Ethereum's underlying security and finality.

The validators who secure the Ethereum network are rewarded with economic incentives for their work. These incentives consist of newly issued ETH awarded as staking rewards for proposing and attesting to blocks, together with priority fees (tips) paid by users to have their transactions included. Under Ethereum's fee model, the base portion of each transaction fee is burned rather than paid to validators.

The Grvt protocol and token contracts have undergone four independent security audits as of 1 August 2026: 

1. one by Spearbit in December 2024 covering the core exchange and bridging contracts (https://drive.google.com/file/d/1ttAtGDlCNh1w56eQK4DzK4xgyQYiFB8y/view);

2. one by Cantina in April 2026 covering the treasury vault contracts (https://drive.google.com/file/d/11n-IBWwoCzwrBeG89rXaxVVV2_wqrte5/view);

3. one by Cantina in May 2026 covering the token contracts (https://drive.google.com/file/d/1m8XxZHwzRBeowlGTo-FAN3uWtLAJFLKq/view); and 

4. one by Pashov Audit Group in June 2026 covering the SGhoStrategy contract (https://drive.google.com/file/d/1Gy1WnotvD5RN40u_74MMvj16I8z9PtAY/view);

reflecting an ongoing commitment to rigorous, independent security review. Across all four audits, every issue rated Critical or High risk was identified and resolved, and no Critical or High-risk issues remain outstanding today.

The admission of the Grvt token to trading on third-party platforms involves specific risks for holders:

• Third-Party Platform Risk: Holders are subject to the terms and conditions of the trading platforms. The platform's operational disruptions (e.g., outages, cyberattacks) or a decision to delist GRVT (due to low liquidity, regulatory pressure, or internal policy) could severely impact the token's accessibility and liquidity.

• Platform Insolvency Risk: If a trading platform holding a user's Grvt tokens becomes insolvent or bankrupt, users risk the partial or total loss of those assets.

• Regulatory Risk (Platforms): Crypto-asset service providers are subject to evolving regulations. New rules could force platforms to halt trading, restrict access for users from certain jurisdictions, or delist the Grvt token.

N/A

Holding the Grvt token involves risks inherent to most crypto-assets:

• Market Volatility: Crypto-asset prices are extremely volatile and subject to significant, rapid fluctuations. The value of the Grvt token can be influenced by market speculation, shifts in sentiment, and macroeconomic factors, and may not reflect the project's fundamentals. There is no guaranteed price floor, buyback or redeemability mechanism, which means that acquiring the the Grvt token may result in total loss of the invested amounts.
• Liquidity Risk: The market for the Grvt token may lack depth and liquidity. It may be difficult to buy or sell large quantities at a desired price, or at all, leading to significant financial losses.
• Custody & Private Key Risk: Holders are responsible for securing the private keys to their wallets. The loss, theft, or compromise of these keys will result in the irreversible loss of all associated the Grvt token tokens, with no recourse.
• Regulatory Risk: The legal and regulatory treatment of crypto-assets is uncertain and evolving. Future regulations could impose restrictions on the holding, use, or trading of the Grvt token, or it could be classified in a way that adversely affects its value or legality.
• Utility Risk: The expected utility of the the Grvt token token within the Grvt ecosystem may fail to materialize due to low user adoption, technical failures, or superior competing projects, undermining its fundamental value proposition.

The future success of the Grvt ecosystem is subject to significant implementation risks:

• Adoption & Competition Risk: The project may fail to attract a sufficient number of users, developers, and participants to create a viable ecosystem. It faces competition from other projects that may have substantially greater financial, technical, and marketing resources.
• Roadmap & Development Risk: The project may experience delays, fail to deliver on its published roadmap, or encounter unforeseen technical complexities. Strategic shifts or "pivots" may result in features that do not align with community expectations.
• Funding & Treasury Risk: Continued development depends on the effective management of the project's treasury. A shortfall in funding or misallocation of resources could slow or halt ecosystem development.
• Governance Risk: For decentralized projects, governance "deadlock" or misalignment of incentives among participants can impede critical network upgrades and strategic decisions.

The Grvt token and Grvt platform rely on complex, emerging technology, which introduces specific risks:

• Smart Contract Risk: The smart contracts for N/A, a Digital Token Identifier is provided in F.13 and the ecosystem's applications, despite audits, may contain hidden bugs, flaws, or vulnerabilities. Such flaws could be exploited by malicious actors, potentially resulting in the theft or irreversible loss of funds.

• Underlying DLT Risk: The project relies on the security and performance of the underlying Ethereum network. This network is subject to its own risks, such as network congestion, high transaction fees, consensus failures (e.g., 51% attacks), forks, or operational halts. Execution of transactions requires gas fees, which are subject to market conditions and may fluctuate during periods of high activity. Users who interact with N/A, a Digital Token Identifier is provided in F.13 via decentralized exchanges (DEXs) may face exposure to front-running or Maximal Extractable Value (MEV), where third parties reorder or insert transactions for their advantage.

• Cybersecurity Risk: The ecosystem, including its protocols, bridges, and front-end applications, is a target for cyber-attacks (e.g., DDoS attacks, hacks). A successful attack could disrupt services or lead to a loss of user assets.

• Bridge Risk (if applicable): If N/A, a Digital Token Identifier is provided in F.13 exists on multiple blockchains, the bridges connecting them are a critical vulnerability. An exploit of a bridge protocol could lead to de-pegging or unrecoverable losses.

• Scalability Risk: The underlying technology may not scale effectively to handle a high volume of users or transactions, leading to slow performance and high fees, which would deter adoption.

The project has implemented several measures to mitigate the identified risks:

• Security Audits: Commissioning comprehensive security audits of all smart contract code from reputable, independent third-party security firms.

• Bug Bounty Program: Operating an active bug bounty program to incentivize ethical hackers and security researchers.

• Regulatory Monitoring: Actively monitoring the global regulatory landscape with the assistance of external legal counsel.

• Use of Reputable Technology: Building on a secure and battle-tested DLT (like Ethereum).

• Strategic Partnerships: Strategic partnerships and exchange listings are pursued to improve liquidity and operational resilience.

The Ethereum network, which the Grvt token relies on, operates using a Proof-of-Stake (PoS) consensus mechanism.

In this system, validators are chosen to propose and attest to new blocks based on the amount of native tokens (ETH) they have staked as collateral.

Separately, the Grvt project's own Layer 2 does not run an independent consensus mechanism of its own. It relies on the ZKsync (ZK) Stack architecture, in which off-chain order matching and execution are proven correct using zero-knowledge validity proofs, which are then settled and verified on Ethereum L1, inheriting Ethereum's underlying security and finality.

The validators who secure the Ethereum network are rewarded with economic incentives for their work. These incentives consist of newly issued ETH awarded as staking rewards for proposing and attesting to blocks, together with priority fees (tips) paid by users to have their transactions included. Under Ethereum's fee model, the base portion of each transaction fee is burned rather than paid to validators.

Data provided by CCRI; all indicators are based on a set of assumptions and thus represent estimates; methodology description and overview of input data, external datasets and underlying assumptions available at: carbon-ratings.com/dl/whitepaper-mica-methods-2024 and docs.mica.api.carbon-ratings.com. We do not account for any offsetting of energy consumption or other market-based mechanism as of today.