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Section 16: References

OTCM PROTOCOL

Comprehensive Technical Whitepaper  —  Version 7.0

ST22 Digital Securities Platform  |  March 2026  |  Groovy Company, Inc. dba OTCM Protocol

 

Section 16: References

Federal securities laws, blockchain technical documentation, AML regulations, and OTCM Protocol internal documents cited throughout this whitepaper.

 

FEDERAL SECURITIES LAWS AND REGULATIONS

 

[0a]  U.S. Securities and Exchange Commission and Commodity Futures Trading Commission. Statement on Crypto Asset Securities. Release No. 33-11412. March 17, 2026. Joint interpretation establishing the formal Digital Securities taxonomy — defining five categories of crypto assets and their regulatory treatment. Confirms that ST22 Digital Securities are “Digital Securities (tokenized securities)” where the record of ownership is maintained on a crypto network. Primary regulatory authority governing all ST22 offerings and CEDEX trading.

 

[0b]  U.S. Securities and Exchange Commission. Staff Fact Sheet: Crypto Asset Securities. Division of Corporation Finance. March 17, 2026. Companion to Release No. 33-11412 summarizing the five-category Digital Securities taxonomy and guidance on investment contract lifecycle.

 

[1]  U.S. Securities and Exchange Commission. Joint Staff Statement on Tokenized Securities. Division of Corporation Finance, Division of Investment Management, and Division of Trading and Markets. January 28, 2026. Establishes the SEC staff taxonomy for tokenized securities — defining issuer-sponsored and third-party-sponsored models. Confirms that the format of issuance (on-chain vs. off-chain) does not alter the application of federal securities laws.  https://www.sec.gov/newsroom/speeches-statements/corp-fin-statement-tokenized-securities-012826

 

Key Holdings Relevant to OTCM Protocol

•  A tokenized security is a financial instrument within the definition of “security” under federal securities laws, formatted as or represented by a crypto asset where the record of ownership is maintained in whole or in part on or through one or more crypto networks.

•  Under the issuer-sponsored model, integrating DLT into the master securityholder file — such that a transfer of the crypto asset results in a transfer of the security — is a recognized compliant structure. This is the Category 1 Model A architecture.

•  A crypto asset may alternatively notify the issuer (or its agent) to record the transfer on a master securityholder file maintained off-chain — directly describing OTCM Protocol’s Category 1 Model B architecture: Empire Stock Transfer maintains the authoritative off-chain master securityholder file; the Solana blockchain serves as the operational notification layer.

•  “The format in which a security is issued or the methods by which holders are recorded (e.g., onchain vs. offchain) does not affect application of the federal securities laws.” Registration, exemption, and disclosure obligations apply equally regardless of tokenization format.

•  Series M Preferred Shares underlying ST22 Digital Securities tokens retain full federal securities law protection as equity securities under the Securities Act and Exchange Act.

 

[2]  Securities Act of 1933. 15 U.S.C. §77a et seq. Federal statute governing securities offerings and registration requirements.

[3]  Securities Exchange Act of 1934. 15 U.S.C. §78a et seq. Federal statute governing securities trading, broker-dealers, transfer agents, and market manipulation.

[4]  Regulation D — Rules Governing Limited Offer and Sale of Securities. 17 CFR §§230.500–508. SEC regulations providing exemptions from registration for private placements.

[5]  Rule 506(c) — Conditions for Accredited Investor Offerings. 17 CFR §230.506(c). SEC rule permitting general solicitation in offerings limited to verified accredited investors.

[6]  Rule 10b-5 — Employment of Manipulative and Deceptive Practices. 17 CFR §240.10b-5. SEC rule prohibiting fraud and market manipulation in securities transactions.

[7]  Rule 15c2-11 — Publication of Quotations. 17 CFR §240.15c2-11. SEC rule governing market maker quotation requirements for OTC securities.

[8]  Transfer Agent Registration and Requirements. 17 CFR §§240.17Ad-1 through 17Ad-13. SEC regulations governing transfer agent registration, custody, and reporting obligations.

[9]  Regulation A+ — Conditional Small Issues Exemption. 17 CFR §§230.251–263. SEC regulations permitting offerings up to $75M annually to non-accredited investors.

[10]  Regulation S — Rules Governing Offers and Sales Outside the United States. 17 CFR §§230.901–905. SEC safe harbor for offshore securities offerings to non-U.S. persons.

[11]  Rule 13d-3 — Determination of Beneficial Owner. 17 CFR §240.13d-3. SEC rule defining beneficial ownership for disclosure requirements.

[12]  Rule 144 — Sale of Restricted and Control Securities. 17 CFR §230.144. SEC rule governing resale of restricted securities after holding periods. Directly implemented by Transfer Hook Control 24.

 

ANTI-MONEY LAUNDERING AND SANCTIONS REGULATIONS

 

[13]  Bank Secrecy Act (BSA). 31 U.S.C. §5311 et seq. Federal statute requiring financial institutions to assist in detecting money laundering. Foundation of Empire Stock Transfer’s AML compliance program.

[14]  BSA/AML Implementation Regulations. 31 CFR §1010. Treasury regulations implementing Bank Secrecy Act AML requirements, including Customer Identification Program and Beneficial Ownership rules.

[15]  OFAC Sanctions Administration Regulations. 31 CFR §§500–598. Treasury regulations governing economic sanctions and prohibited transactions with SDN-listed entities. Enforced on every ST22 transfer by Transfer Hook Controls 8–10.

[16]  FinCEN SAR Filing Requirements. 31 CFR §1020.320. Requirements for filing Suspicious Activity Reports with the Financial Crimes Enforcement Network for transactions of $5,000+ meeting BSA criteria.

[17]  Customer Identification Program Requirements. 31 CFR §1020.220. KYC requirements for financial institutions under the Bank Secrecy Act. Basis for Empire Stock Transfer’s four-pillar identity verification framework.

[17a]  FinCEN Beneficial Ownership Requirements. 31 CFR §1010.230. Beneficial ownership identification requirements for legal entity customers. Basis for Empire Stock Transfer’s KYB entity verification framework.

[17b]  Financial Action Task Force. FATF Virtual Asset Guidance. 2021. International AML/CFT standards for virtual assets and virtual asset service providers. Framework informing OTCM Protocol’s AML architecture and FATF high-risk jurisdiction enhanced due diligence procedures.

 

STATE LAW AND UCC REFERENCES

 

[17c]  Wyoming Business Corporation Act. W.S. 17-16-101 et seq. Wyoming corporate formation and governance law. Governing statute for Groovy Company, Inc. dba OTCM Protocol.

[17d]  Wyoming Digital Asset Statute. W.S. 34-29-101 et seq. Wyoming state law providing legal recognition of digital asset transfers and property rights. Supports Model B architecture by recognizing ST22 token transfers as legally effective transfer notifications.

[17e]  Uniform Commercial Code Article 8 — Investment Securities. UCC §8-102(a)(8) effective entitlement order. Legal framework for the transfer notification architecture by which each ST22 transfer on CEDEX constitutes an effective instruction to Empire Stock Transfer to update the Master Securityholder File.

 

SOLANA BLOCKCHAIN TECHNICAL DOCUMENTATION

 

[18]  Solana Foundation. Solana Documentation — Architecture Overview. Official documentation describing Solana blockchain architecture, Proof of History, Tower BFT, Sealevel parallel execution, and consensus mechanisms.  https://docs.solana.com

[19]  Solana Program Library. SPL Token-2022 Program Specification. Technical specification for the Token-2022 standard including Transfer Hook extensions, Confidential Transfers, Permanent Delegate, and all programmable extensions. Foundational specification for OTCM Protocol’s 42-control compliance architecture.  https://spl.solana.com/token-2022

[20]  Solana Labs. Solana Transfer Hook Interface. Implementation guide for SPL Token-2022 Transfer Hook functionality — the security primitive underlying all 42 OTCM Protocol compliance controls.  https://spl.solana.com/token-2022/extensions#transfer-hook

[21]  Coral. Anchor Framework Documentation. Smart contract development framework for Solana. Used in OTCM Protocol smart contract implementation.  https://anchor-lang.com

[22]  Solana Foundation. Solana RPC API Reference. API documentation for Solana RPC node interaction, transaction submission, and account querying.  https://docs.solana.com/api

[22a]  Jump Crypto. Firedancer Validator Client. Independent Solana validator client providing client diversity and improved network fault tolerance. Referenced in Section 13 Solana network stability analysis.  https://firedancer.io

 

CROSS-CHAIN AND INTEROPERABILITY REFERENCES

 

[22b]  Wormhole Foundation. Native Token Transfer (NTT) Specification. Technical framework for multi-chain token existence while maintaining canonical supply on a home chain. Referenced in Section 13 cross-chain interoperability roadmap for Phase 2 EVM representation tokens.  https://docs.wormhole.com/wormhole/native-token-transfers

[22c]  Tokeny Solutions. ERC-3643 T-REX Token Standard. Ethereum security token standard with $32B+ in deployed assets. Referenced in Section 13 Phase 4 EVM compliance layer evaluation as a potential compatibility layer.  https://docs.erc3643.org

 

DEX PROTOCOL TECHNICAL REFERENCES

 

[23]  Uniswap Labs. Uniswap V3 Core Whitepaper. 2021. Technical specification for concentrated liquidity AMM design. Mathematical foundation referenced in OTCM Protocol’s CPMM post-graduation trading implementation.

[24]  Buterin, V. et al. Constant Product Market Maker Theory. Mathematical foundation for x × y = k automated market maker formula underlying CEDEX’s Custom CPMM engine.

[25]  Raydium. Raydium Protocol Documentation. Solana-based AMM and liquidity protocol. Referenced in Section 15 comparative analysis of existing DEX infrastructure and Token-2022 architectural incompatibility.  https://docs.raydium.io

[26]  Jupiter. Jupiter Aggregator Documentation. Solana DEX aggregator technical documentation. Referenced in Section 15 Token-2022 compatibility analysis.  https://docs.jup.ag

[27]  Orca. Orca Whirlpools Documentation. Concentrated liquidity implementation on Solana. Referenced in Section 15 DEX vulnerability analysis — JIT attack surface amplification in CLMM design.  https://docs.orca.so

 

BLOCKCHAIN ANALYTICS, COMPLIANCE, AND INFRASTRUCTURE PROVIDERS

 

[28]  Chainalysis, Inc. Chainalysis Reactor — Know Your Transaction (KYT) API Documentation. Blockchain analytics platform for AML compliance and investigation. Integrated in OTCM Protocol Transfer Hook Controls 11–15 for AML risk scoring and in the Predictive Marketing AI Module investor wallet behavioral profiling.  https://chainalysis.com

[29]  TRM Labs. TRM Labs Risk Assessment Methodology and Forensics API. Machine learning risk scoring for cryptocurrency transactions. Co-integrated with Chainalysis KYT for AML risk scoring across 200+ behavioral features.  https://trmlabs.com

[30]  Pyth Network. Pyth Price Feed Documentation. Real-time price oracle network. Integrated in OTCM Protocol Layer 6 Oracle Network for TWAP-resistant price feed.  https://docs.pyth.network

[31]  Jito Labs. Jito Block Engine and Bundle Submission Documentation. MEV protection infrastructure for Solana. Integrated in CEDEX for private transaction submission — eliminating mempool-visible frontrunning and sandwich attacks.  https://jito.wtf

[32]  Helius. Helius RPC Node Documentation. Enterprise Solana RPC infrastructure. Primary RPC provider for OTCM Protocol CEDEX order matching and Transfer Hook execution.  https://docs.helius.dev

 

SECURITY AUDIT AND FORMAL VERIFICATION

 

[33]  Quantstamp. Smart Contract Audit Methodology. Formal verification and security audit procedures for blockchain protocols. Engaged for OTCM Protocol Transfer Hook programs, CEDEX AMM, and Global Unified CEDEX Liquidity Pool pre-mainnet certification. Audit required to clear all Critical and High findings before mainnet launch.

[34]  Certora, Inc. Certora Prover Documentation. Symbolic execution and formal verification tools for smart contracts. Engaged for mathematical proof of six invariants: no unauthorized minting, 1:1 backing ratio, no fund extraction from Global Pool, Transfer Hook always executes, 5% fee collection accuracy, circuit breaker trigger correctness.  https://docs.certora.com

[35]  Halborn. Halborn Security Assessment Framework. Penetration testing and security assessment methodology for DeFi protocols. Engaged for oracle network, key management, and infrastructure penetration testing.

 

OTCM PROTOCOL INTERNAL DOCUMENTS

 

[36]  Groovy Company, Inc. dba OTCM Protocol. OTCM Protocol Comprehensive Technical Whitepaper. Version 7.0. March 2026. This document.

[37]  Groovy Company, Inc. dba OTCM Protocol. OTCM Protocol SPL Token-2022 Transfer Hook Technical Specification. March 2026. Implementation documentation for all 42-control Digital Securities security architecture.

[38]  Groovy Company, Inc. dba OTCM Protocol. OTCM Protocol SEC Roadmap for Tokenized Securities. March 2026. Regulatory compliance analysis prepared for SEC Crypto Task Force engagement.

[39]  Groovy Company, Inc. dba OTCM Protocol. OTCM Protocol Predictive AI Module Strategy. March 2026. Technical specification for Layer 9 IDOS scoring engine, EDGAR NLP pipeline, and investor wallet profiling.

[40]  Groovy Company, Inc. dba OTCM Protocol. OTCM Protocol Competitive Analysis — Securitize vs. OTCM Protocol. March 2026. Detailed competitive intelligence and architectural comparison.

[41]  Groovy Company, Inc. dba OTCM Protocol. OTCM Protocol Confidential Private Placement Memorandum (PPM). Version 6.1. 2026. Offering documentation for accredited investor Digital Securities offering under Rule 506(c).

[42]  Groovy Company, Inc. dba OTCM Protocol. OTCM Protocol Global NDA. 2026. Non-disclosure agreement template for issuer and investor engagements.

[43]  Groovy Company, Inc. dba OTCM Protocol. Description of Intangible Asset — Software Valuation. 2026. GAAP-compliant intangible asset valuation supporting financial reporting.

 

Document Information

 

Field

Value

Document Title

OTCM Protocol Comprehensive Technical Whitepaper

Version

V7.0

Date

March 2026

Issuer

Groovy Company, Inc. dba OTCM Protocol

Jurisdiction

Wyoming Corporation

SEC EDGAR CIK

1499275

Ticker

GROO (OTC Markets)

Contact — Investors

invest@otcm.io

Contact — Issuers

frank@otcm.io

Contact — Partners

invest@otcm.io

Website

otcm.io

Address

12 Daniel Rd East, Fairfield, NJ 07004

 

© 2026 Groovy Company, Inc. dba OTCM Protocol. All rights reserved.

Wyoming Corporation  |  CIK: 1499275  |  invest@otcm.io  |  otcm.io

 

 

Groovy Company, Inc. dba OTCM Protocol  |  CIK: 1499275  |  Version 7.0  |  March 2026  |  Confidential


 

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