OilXCoin Whitepaper
  • OilXCoin Whitepaper
  • Introductory Disclaimer and Legal Notice
  • OilXCoin as the first "RWA+" Token
  • Business Overview
  • General Information (Prospectus Excerpt)
  • Legally Relevant Information about the Securities (Prospectus Excerpt)
  • Market Context & Problem
  • The Solution
  • Market Possibility and Proven Traction
  • Excursus: The Importance of Crude Oil & Natural Gas
  • Excursus: Overview of Gas and Oil Exchanges & Price Determination
  • Dual Business Model
  • Strategic Objectives (Prospectus Excerpt)
  • Strategic GIP & OIP Approach (Prospectus Excerpt)
  • The Digital Asset (Prospectus Excerpt)
  • Native Transaction Fee
  • Reinvestment Strategy
  • Key Risks Specific to the Tokens (Prospectus Excerpt)
  • Key Risks Specific to the Issuer (Prospectus Excerpt)
  • Environmental, Social and Governance (ESG)
  • Regulatory Compliance
  • Proof of GIP and OIP & Auditing
  • Organizational Structure (Prospectus Excerpt)
  • Team
  • Equity Allocation and Token Distribution
  • Roadmap
  • Benefits and Key Aspects of OilXCoin
  • Related Links
  • Final Disclaimer
  • OilXCoin Whitepaper
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Key Risks Specific to the Tokens (Prospectus Excerpt)

  1. Holders of OilXCoin tokens do not have ownership or governance rights in the issuer or its assets, only a limited right to terminate the OilXCoin Terms and receive a payment tied to the value of the relevant assets. This termination right is similar to shareholders' rights to liquidation proceeds but does not grant any influence over the management of the assets.

  2. The issuer can take on significant debt and use the relevant assets as collateral, which could reduce the net proceeds available to token holders in the event of a termination. This debt could potentially deplete the funds available for distribution to holders, leaving them with little or nothing.

  3. The payment to holders upon termination is uncertain and may not reflect the true value of the relevant assets due to the difficulty in selling them and the reliance on third-party valuations. Additionally, holders will receive payment only after all other creditors are paid, which may leave little or no funds for distribution.

  4. The tokens have complex and non-standard terms, making it difficult for holders to assess potential returns and risks accurately. Standard valuation methods may not be effective, leading to uncertainties about the timing and amount of any payoff.

  5. The tokens are managed through a smart contract on the Ethereum blockchain, which may contain flaws or bugs that could harm holders or impair the functionality of the tokens. If the smart contract fails, the issuer may cancel and reissue the tokens, complicating the transfer and exercise of associated rights.

  6. An issuer substitution could lead to unfavorable tax treatment, suspension of holders' rights, a higher risk of default by the substitute issuer, and less favorable legal, political, and economic conditions in the new jurisdiction. These changes may increase the overall risk to holders

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Last updated 10 days ago