Question 1

Of regulatory and operational risks anticipated, what mitigation strategies have you considered?

Accepted Answer

Critical to the success of this innovative project, we have proactively anticipated a number of factors that would either be required to fulfil our application requirements or we expect (based on team experience and legal advice) could arise as we activate and develop our platform.

For more information, please get in touch.

Question 2

How does Valhalla plan to scale especially in diverse regulatory environments?

Accepted Answer

Establishing the (stand-alone) network of community banks in quick succession is a critically important part of this project’s launch strategy. Several tools are being developed to ensure rapid but sustainable roll-out, one of which will be to streamline processes by use of existing documentation, as well as leveraging strong legal and regulatory connections to support our mission. We will be working very closely with our advisors, investors and legal counsel to identify and implement the most effective accelerants that can resolve any barriers to entry and mitigate risks, helping us expand to new markets as per our original plan.

It is important to note that in the months immediately following the completion of Phase 1, we will initially have to focus on setting up community banks in European jurisdictions where the model is already recognised in some form and regulations are similar. As soon as these are successfully established, we will be in a stronger position to offer expansion internationally. Potentially, these could present more challenging regulatory environments and so require jurisdiction-specific expertise that will need to be identified through our network and/or new stakeholders.

Question 3

Why did we wait until 2H24 to establish the Foundation?

Accepted Answer

The project's roadmap has not been delayed, but we have had to allow time for the many interlocking processes to run their respective course as they emerged.

Key to the success of this project is establishing a comprehensive token economy that can align with both investor expectations and regulatory requirements. Hence, before approaching any regulator, it was essential that the intricate relationships between the Foundation, the Council, the investors, and any subsidiary entities be fully understood and ratified. Designed with a robust token economy that prioritises longevity, regulatory and investor acceptance, rewards for active participation, as well as utility, this project is a complex hybrid.

Furthermore, given that establishing the Foundation is a one-time endeavour, it was imperative that we designed the right legal structure before proceeding to the next step.

This project is innovative and through a hybrid structure intends to combine the best of traditional and new frameworks. While we established early on that there is no rule against our legal structure, it goes without saying that final approval does still depend on the regulator's decision.

FREQUENTLY ASKED QUESTIONS

Please contact us for more information.

Of regulatory and operational risks anticipated, what mitigation strategies have you considered?

How does Valhalla plan to scale especially in diverse regulatory environments?

Why did we wait until 2H24 to establish the Foundation?