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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.

 

⚖️

FederalSecuritiesLawsand Regulations

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 under federal securities law — defining five categories of crypto assets and their respective regulatory treatment. Confirms that ST22 SecurityDigital TokensSecurities are "“Digital Securities (tokenized securities)" — financial instruments formatted as crypto assets” where the record of ownership is maintained on a crypto network. The primaryPrimary regulatory authority governing all ST22 Digital Securities offerings and tradingCEDEX on CEDEX.trading.

 

[0b]   U.S. Securities and Exchange Commission. Staff Fact Sheet: Crypto Asset Securities. Division of Corporation Finance. March 17, 2026. Companion fact sheet 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. Primary regulatory guidance establishingEstablishes the SEC staff taxonomy for tokenized securities — defining issuer-sponsored and third-party-sponsored models,models. and confirmingConfirms that the format of issuance (on-chain vs. off-chain) does not alter the application of federal securities laws.

 

Available: https://www.sec.gov/newsroom/speeches-statements/corp-fin-statement-tokenized-securities-012826-statement-tokenized-securities012826

 

🔑 Key Holdings Relevant to OTCM Protocol:Protocol

•  A tokenized security is a financial instrument within the definition of "security"“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 on the master securityholder file — is a recognized compliant structure. This is the modelCategory upon1 whichModel OTCMA Protocol ST22 architecture is built.architecture.

Alternatively,• a A crypto asset may alternatively notify the issuer (or its agent) to record the transfer of ownership on a master securityholder file maintained off-chain — directly describing OTCM Protocol SECProtocol’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• SEC states: "“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.

Stock• is an "equity security" under the Securities Act and Exchange Act regardless of its format, confirming that Series M Preferred Shares underlying ST22 Digital Securities tokens retain full federal securities law protection.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 § §240.17a-17Ad-1 etthrough seq.17Ad-13. SEC regulations governing transfer agent registration, custody, and reporting.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 U.S.the United States. 17 CFR § §230.901–905. SEC regulationssafe 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-MoneyLaunderingandSanctions Regulations

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.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.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.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] 

⚡ SolanaFinCEN BlockchainBeneficial TechnicalOwnership Documentation

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. Available: 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. Available: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's 42-controlProtocol compliance architecture.controls.  https://spl.solana.com/token-2022/extensions#transfer-hook

[21]   Coral. Anchor Framework Documentation. Smart contract development framework for Solana. Available: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] 

🔄 DeFiJump ProtocolCrypto. 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 References

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'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'CEDEX’s Custom CPMM engine.

[25]   Raydium. Raydium Protocol Documentation. Solana-based AMM and liquidity protocol. Referenced in Section 515 comparative analysis of existing DEX infrastructure.infrastructure Available: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. Available: https://docs.jup.ag

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

 

✅

BlockchainAnalyticsandCompliance

BLOCKCHAIN ANALYTICS, COMPLIANCE, AND INFRASTRUCTURE PROVIDERS

 

[28]  Chainalysis, Chainalysis.Inc. Chainalysis Reactor — Know Your Transaction (KYT) API Documentation. Blockchain analytics platform for AML compliance and investigation. Integrated via Chainalysis KYT (Know Your Transaction) API in OTCM Protocol Transfer Hook 3Controls (11–15 for AML Analyticsrisk Screening).scoring and in the Predictive Marketing AI Module investor wallet behavioral profiling.  https://chainalysis.com

[29]   TRM Labs. TRM Labs Risk Assessment Methodology.Methodology and Forensics API. Machine learning risk scoring for cryptocurrency transactions. Co-integrated with Chainalysis KYT for AML risk scoring inacross Hook200+ 3.behavioral features.  https://trmlabs.com

[30]  Pyth FinancialNetwork. ActionPyth TaskPrice Force.Feed FATFDocumentation. VirtualReal-time Assetprice Guidance.oracle 2021.network. InternationalIntegrated AML/CFT standards for virtual assets and virtual asset service providers. Framework informing OTCM Protocol's AML architecture.

📁in OTCM Protocol InternalLayer Documents

6 Oracle Network for TWAP-resistant price feed.  https://docs.pyth.network

[31]  Jito GroovyLabs. Company,Jito Inc.Block dbaEngine OTCMand Protocol.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 Whitepaper V6.1. March 2026. Primary technical specification document for protocol architecture. This document.

[32] Groovy Company, Inc. dba OTCM Protocol. CEDEX Comprehensiveorder Analysis.matching 2026. Detailed technical analysis of Centralized-Decentralized Exchange infrastructure.

[33] Groovy Company, Inc. dba OTCM Protocol. OTCM Liquidity Pool Unified Architecture. 2026. Technical specification for four-mechanism capital accumulation system.

[34] Groovy Company, Inc. dba OTCM Protocol. SPL Token-2022and Transfer Hook Technical Specification.execution. 2026. Implementationhttps://docs.helius.dev

documentation

 for

42-controlDigitalSecuritiessecurity
architecture.

SECURITY AUDIT AND FORMAL VERIFICATION

 

[35]33]   Groovy Company, Inc. dba OTCM Protocol. Issuers Portal Compliance Gateway Specification. 2026. Technical and regulatory framework for issuer onboarding under SEC Category 1 Model B.

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

[37] Groovy Company, Inc. dba OTCM Protocol. OTCM Protocol Analysis — SEC Crypto Task Force. 2026. Regulatory compliance analysis prepared for SEC Crypto Task Force engagement.

[38] Groovy Company, Inc. dba OTCM Protocol. The Alesia Doctrine — OTCM Protocol Strategy. 2026. Strategic security framework documentation.

[39] Groovy Company, Inc. dba OTCM Protocol. Global Perpetual Market Infrastructure Specification. 2026. Long-term vision document for international Digital Securities market expansion.

[40] Groovy Company, Inc. dba OTCM Protocol. Share Custody Protocols. 2026. Empire Stock Transfer integration and custody verification procedures under SEC Category 1 Model B.

🛡️ Security Audit and Verification

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

[42]34]   Certora, Inc. Certora Prover Documentation. Symbolic execution and formal verification tools for smart contracts. Engaged for mathematical proof of CPMMsix xinvariants: ×no yunauthorized =minting, k1:1 invariant,backing ratio, no fund extraction from Global Pool, Transfer Hook atomicity,always andexecutes, LP5% lockfee permanence.collection accuracy, circuit breaker trigger correctness.  https://docs.certora.com

[43]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.

 

📋 Document Information

Field

Value

DocumentOTCM TitlePROTOCOL INTERNAL DOCUMENTS

 

[36]  Groovy Company, Inc. dba OTCM Protocol. OTCM Protocol WhitepaperComprehensive 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

V6.1

DateValue

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

issuers@otcm.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

 

This whitepaper is for informational purposes only and does not constitute an offer to sell or a solicitation of an offer to buy any securities. Securities offerings are made only pursuant to a valid offering memorandum and subscription agreement in compliance with applicable securities laws. ST22 Digital Securities are offered exclusively to verified accredited investors under SEC Regulation D Rule 506(c) (Release No. 33-11412). Past performance is not indicative of future results. Investment in Digital Securities involves significant risk, including the possible loss of the entire investment.

© 2026

Groovy Company, Inc. dba OTCM Protocol. All rights reserved. Wyoming Corporation.Protocol  invest@otcm.io| · otcm.ioCIK: 1499275  |  Version 7.0  |  March 2026  |  Confidential


 

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