Docs / Funding Systems
Funding Architecture
Complete 11-layer funding route, capital release waterfall, and banking rails documentation for the DIGag institutional offering.
Overview
11-Layer Route Summary
Each layer represents a required operational component before or after the offering closes.
The foundation of DIGag is 30,000,000 oz of pledged in-ground silver. Before any offering can proceed, the asset layer must be documented, verified, and board-approved.
A reserve foundation entity holds and governs the silver pledge, providing the collateral basis for the token economics and SBLC pathway.
A standby letter of credit provides institutional credit support for the offering structure. No bank has been confirmed. All references are placeholders subject to banking confirmation.
Investor capital flows through a compliant escrow structure before any tokens are issued. Minimum close mechanics protect all parties.
The offering relies on two exemptions: Reg D 506(c) for U.S. accredited investors, and Reg S for international investors outside the U.S.
Distribution through registered broker-dealers and qualified intermediaries. FINRA-reviewed materials and suitability routing required.
DIGag is issued as a restricted digital security only after full investor qualification, escrow funding, and minimum close confirmation.
After minimum close, escrowed capital is released through a board-approved waterfall to reserve allocation, operations, and infrastructure.
Idle capital is governed by a board-approved treasury policy targeting capital preservation with government instrument yield.
Ongoing reserve, financial, and compliance reporting to investors and board after close.
Post-issuance pathway for compliant secondary transfers, ATS evaluation, and broker-dealer secondary workflow.
Use of Funds
Capital Release Waterfall
Proposed allocation of escrowed capital after minimum close. Subject to board approval.
Half of all escrowed capital is allocated directly to silver vault acquisition and reserve backing, reinforcing the 1/100 oz per DIGag token pledge.
- Physical silver vault acquisition
- Reserve backing for issued tokens
- Reserve foundation allocation
- Additional ounce acquisition for downside protection
- Vault storage and insurance costs
Proposed allocation. Subject to board approval.
A liquidity reserve is maintained for operational continuity, redemption support, and unforeseen regulatory or operational requirements.
- Operating liquidity buffer
- Regulatory capital reserve
- Redemption support fund
- Treasury / government money market (board policy)
- Emergency operational reserve
Proposed allocation. Subject to board approval and treasury policy.
Ongoing legal, compliance, audit, and investor reporting costs required for a compliant registered securities offering.
- Securities counsel (ongoing)
- Compliance officer / program
- KYC / AML / OFAC provider
- Annual audit and attestation
- Investor reporting and statements
- Regulatory filing costs
Proposed allocation. Subject to board approval.
Platform infrastructure, smart contract development, custody integration, investor portal, and ongoing security operations.
- Token issuance platform
- Smart contract development and audit
- Custody / wallet integration
- Investor portal development
- Cybersecurity operations
- Data infrastructure
Proposed allocation. Subject to board approval.
Distribution costs, broker-dealer compensation, investor relations, and marketing to accredited and institutional investors.
- Broker-dealer compensation
- Placement agent fees
- Investor relations program
- Data room and due diligence infrastructure
- Board and issuer communications
- FINRA-reviewed marketing materials
Proposed allocation. Subject to board approval and broker-dealer agreements.
All percentages are proposed and subject to board approval before the offering launches. Actual allocations may differ based on counsel guidance, escrow conditions, and board decisions. No distribution to investors is implied or guaranteed.
Banking Rails
Banking Infrastructure (Placeholders)
All banking references are proposed placeholders. No bank has been confirmed. See full details in Banking Rails docs.
U.S. Escrow Bank
PlaceholderA U.S. bank or qualified escrow agent holds investor funds pending minimum close. Escrow is released only upon board authorization and satisfaction of escrow agreement conditions.
International / AU Banking Route
Under EvaluationBanking rails for non-U.S. investors subscribing under Reg S exemption, including Australian banking pathway for regional capital.
SBLC Issuing Bank
Pending Banking ConfirmationEvaluating whether a standby letter of credit (SBLC) can provide institutional credit enhancement for the offering structure. SWIFT MT-760 format under review.
Advising Bank
PlaceholderAn advising bank would confirm and relay SBLC documentation to the beneficiary in a standard SWIFT MT-760 workflow.
Custodian Bank / Digital Asset Custodian
Under EvaluationA qualified custodian will hold digital securities and potentially silver vault assets on behalf of investors.
Treasury / Operating Account
Not Yet EngagedOperating capital managed in compliance with board-approved treasury policy targeting capital preservation.
SWIFT MT-760 / SBLC Documentation
Pending Banking ConfirmationStandard bank instrument documentation for standby letter of credit transmission. Under review by counsel.
All banking references on this platform are proposed placeholders. No bank has been confirmed as escrow provider, SBLC issuing bank, advising bank, custodian, or treasury account provider. Wire instructions will only be provided through secure, verified documentation after escrow confirmation. Never wire funds based on unverified instructions.
Securities Disclaimer
Nothing on this page or website constitutes an offer to sell or a solicitation to buy any security. Any securities offering described herein will be made only by means of a formal Private Placement Memorandum (PPM), subscription agreement, and related offering documents, to accredited investors as defined under Rule 501 of Regulation D or qualified purchasers under Regulation S. All purchasers must complete KYC/AML verification and accredited investor verification before participation. DIGag tokens are restricted securities subject to transfer restrictions under applicable law. This content is for informational purposes only and is subject to change without notice. All legal, tax, and compliance matters are subject to review by qualified securities counsel. Past performance is not indicative of future results. Forward-looking statements are subject to material risks and uncertainties.