MiCAR White Paper

Kii Global SAS is a blockchain company dedicated to delivering high-performance, interconnected, and secure blockchain solutions to serve as a driver for economic development in emerging markets. The company's core business activities include the development and operation of the KiiChain layer-1 blockchain and its hybrid centralized-decentralized exchange (KIIEX) dedicated for on-chain FX orchestration and last mile payments. Kii Global operates globally, with a strategic focus on addressing the economic and financial infrastructure needs of emerging markets, particularly in Latin America.

Funding and Capitalization:

The company's initial share capital is EUR 388,215.30.

The Foundation is sufficiently self-funded with internal investment. The KII token has a fully diluted value as of March 5th, 2026 of approximately 190,000,000.

Financial Statement Summary (by Year):

• For 2022 (unaudited):

  • Turnover (Revenue): EUR 0.00

  • Profit/Loss: EUR -102,366.94 – Loss

  • Total Assets: EUR 303,014.36

  • Liquid Assets: EUR 213,304.64

  • Total Liabilities: EUR 403,433.11

• For 2023 (unaudited):

  • Turnover (Revenue): EUR 536,489.67

  • Profit/Loss: EUR -265,234.31 – Loss

  • Total Assets: EUR 1,358,914.44

  • Liquid Assets: EUR 236,797.69

  • Total Liabilities: EUR 1,342,873.02

• For 2024 (unaudited):

  • Turnover (Revenue): EUR 121,068.17

  • Profit/Loss: EUR -407,536.20 – Loss

  • Total Assets: EUR 1,905,875.033

  • Liquid Assets: EUR 178,326.84

  • Total Liabilities: EUR 2,298,577.18

KiiChain is a onchain FX orchestration layer built for stablecoins and real-world assets. It seamlessly melds with prevailing payment infrastructures, aiming to eliminate traditional time barriers to FX and payments while reducing exorbitant costs. Unlike other monolithic blockchain layers, KiiChain is purpose-built for emerging markets and “last mile” integrations into local economies, breathing life into previously liquidity-constrained sectors that cannot financially communicate with the rest of the world.

KiiChain blends EVM compatibility with multi-chain connectivity to create a network that is highly interoperable, scalable and easy to use. The blockchain rides on the back of the CometBFT consensus mechanism built with the Cosmos SDK, a testament to its decentralization and commitment to achieve lightning-fast finality and minuscule network fees. In conjunctions with a suite of custom built modules, KiiChain provides FX prices, onchain routing and finality and provides a trustless trading payment environment for FX using stablecoins.

KiiChain powers its native app, Kii, a 24/7 onchain FX app designed for cross-border payments and trading, bringing institutional liquidity and immediate settlement to the most popular FX and RWA pairs using non-dollar stablecoins. At the core of Kii is a hybrid decentralized-centralized exchange that is able to source onchain liquidity across any blockchain ecosystem while using centralized pricing to hedge and rebalance onchain positions. The result is an ultra-liquid layer that can operate 24/7 on certain pairs that only have liquidity during traditional business hours. Kii takes advantage of a robust underlying banking infrastructure if all of its supported territories.

Given the technical nature of the KiiChain project, a glossary has been included in this section of the MiCAR whitepaper to clarify the key terms and concepts used throughout the MiCAR whitepaper.

Cosmos SDK

The modular open-source framework toolkit for building Layer 1 Blockchains, like KiiChain, structured as a collection of composable modules, staking, governance, IBC, and more, that share a common runtime and state store. KiiChain extends this foundation with custom modules (Oracle, PayFi, TokenFactory, Utility Rewards) purpose-built for financial services, without giving up native Cosmos interoperability.

CometBFT Consensus Mechanism

The Byzantine Fault Tolerant (BFT) engine that coordinates block production across KiiChain's validator set. Unlike proof-of-work chains where finality is probabilistic, CometBFT uses round-based validator voting to achieve deterministic finality, a block is permanently committed the moment a two-thirds supermajority of validators sign it, making transaction reversal cryptographically impossible.

ABCI (Application Blockchain Interface)

The interface that connects KiiChain's application logic to its CometBFT consensus engine. It defines a standard set of message types like DeliverTx and EndBlock so developers can build blockchain state machines in any programming language, decoupling what the chain decides from how the network reaches agreement.

CosmWasm (Wasm) Module

KiiChain's WebAssembly-based smart contract execution environment, where contracts are primarily written in Rust and compiled to sandboxed Wasm binaries that run deterministically on every node. Compared to the EVM, CosmWasm offers Rust's memory-safety guarantees, a reduced attack surface, and on-chain contract migration via governance, making it well-suited for regulated financial products.

Devnet / Testnet / Mainnet

The three deployment environments marking KiiChain's development lifecycle. Devnet is a private, permissioned network for internal protocol testing and breaking changes. Testnet (Kii Testnet Oro) is a public staging environment with valueless faucet tokens, open to validators, developers, and community members for realistic integration testing. Mainnet is the live production network where KII holds real economic value, validators earn real rewards, and all transactions are permanently recorded on-chain.

EVM (Ethereum Virtual Machine) Compatibility

KiiChain's embedded EVM layer executes Solidity and Vyper smart contracts natively, exposing standard Ethereum JSON-RPC endpoints so developers can use familiar tooling like Hardhat, Foundry, and MetaMask without modification. Crucially, EVM contracts on KiiChain can access native Cosmos features — including IBC transfers and the Oracle price feeds, that are unavailable on Ethereum itself.

EVM Gas Fee Abstraction

A mechanism that decouples transaction fee payment from the native KII token, allowing users to pay gas in stablecoins or other whitelisted assets instead. For consumer-facing applications like merchant checkout or cross-border payments, this removes a critical onboarding barrier, users holding only dollar-pegged stablecoins can transact on-chain without ever acquiring KII.

Finality

The point at which a transaction is cryptographically irreversible and fully settled. KiiChain's CometBFT consensus delivers single-slot deterministic finality in seconds, unlike proof-of-work chains where "finality" is a probabilistic estimate that can take minutes. For payment and FX settlement use cases, this means funds are provably received with no risk of reorganization.

IBC (Inter-Blockchain Communication) Protocol

An open standard for trustless, permissionless message passing between independent blockchains. IBC allows KiiChain to transfer tokens and data packets to any IBC-enabled chain without a centralized bridge, the receiving chain independently verifies the sender's state transition using light-client proofs before accepting any packet, eliminating counterparty risk.

KIIEX

KiiChain's native flagship exchange, architected as a hybrid CEX-DEX. It uses an off-chain order book for sub-millisecond trade matching, matching the latency of centralized exchanges, while settling all trades on-chain for non-custodial, transparent finality. KIIEX is the commercial evolution of Kii's earlier OTC FX operations, now fully integrated with the network's Oracle and PayFi infrastructure.

Kii Oracle Module

A native Cosmos SDK module that aggregates and publishes tamper-resistant price feeds on-chain each block. Validators submit price quotes for designated asset pairs; the module applies an outlier-resistant algorithm to produce a single authoritative price, which feeds directly into the PayFi Module, KIIEX, and CosmWasm contracts, eliminating reliance on any single external data provider.

Kii PayFi Module

A Cosmos SDK module that abstracts the complexity of on-chain payments for merchants and consumers. It handles real-time currency conversion at oracle-verified rates and implements a Paymaster System, a smart-contract mechanism that sponsors user gas fees, so the end-user experience is as frictionless as a card payment, with no blockchain knowledge required.

Liquidity

A measure of market depth, how much of an asset can be bought or sold without meaningfully moving its price. KiiChain targets deep liquidity by aggregating KIIEX's order book, on-chain AMM pools, IBC-connected chains, and institutional market makers. For FX settlement and cross-border payments, high liquidity is essential to executing large stablecoin volumes at tight spreads.

Onchain FX Orchestration

The automated execution of foreign exchange swaps, converting one fiat-pegged or native asset into another, directly within KiiChain's smart contract layer. It queries the Oracle Module for live rates, sources liquidity from KIIEX or on-chain pools, and settles the swap atomically within a single block, replacing correspondent bank delays with real-time, 24/7 transparent settlement.

OTC (Over-The-Counter) Trading

Bilateral trades negotiated directly between two counterparties, outside a public exchange's order book. OTC is typically used for large-volume transactions where public order placement would reveal trading intent and move the market. Kii was founded on OTC FX operations across Latin America and Southeast Asia, and that institutional-grade model is now reflected in KiiChain's on-chain settlement infrastructure.

RWA (Real-World Assets) & Kii RWA Protocol

Real-World Asset tokenization converts ownership of physical or traditional financial assets, commodities, trade receivables, securities, into blockchain tokens. KiiChain's RWA Protocol implements the T-REX (Token for Regulated EXchanges) standard, embedding KYC/AML checks, jurisdiction-based transfer restrictions, and investor accreditation rules directly into the token contract so compliance is enforced automatically on-chain.

Stablecoins

Cryptographic tokens engineered to maintain price parity with a reference asset, most commonly a fiat currency like the U.S. Dollar. On KiiChain, fiat-backed stablecoins (e.g., USDC, USDT) serve as the primary medium for payments, FX settlement, and gas fee abstraction, their price predictability making them practical for merchant pricing, payroll, and treasury operations.

TGE (Token Generation Event)

The on-chain event at which KII tokens are formally minted, allocated per the tokenomics schedule, and made transferable to public participants. Unlike a traditional IPO, token creation, vesting schedules, and distribution rules are encoded in smart contracts and executed transparently, marking KiiChain's transition from a privately funded development phase to a fully live, publicly accessible network economy.

TokenFactory Module

A Cosmos SDK module that allows any account to permissionlessly create, mint, burn, and administer new fungible token denominations on KiiChain. Tokens created this way are first-class bank module assets, natively transferable via IBC, usable as gas under fee abstraction, and composable with CosmWasm contracts, making it practical for stablecoin issuers, protocol teams, and merchants building within the ecosystem.

Utility Rewards Module

A KiiChain-native module that distributes real protocol revenue, transaction fees, exchange income, to validators and delegators who secure the network, rather than minting new tokens as incentives. This non-inflationary model aligns staking rewards with actual on-chain economic activity, creating a sustainable incentive structure that grows with network usage rather than diluting existing token holders.

KiiChain offers a robust user-centric product designed for users, businesses or builders.

• Users can purchase and stake (delegate) the token to the network to receive staking rewards.

• Users can use the token to pay for gas fees when transacting on the KiiChain Network.

• Users can use the KII token to vote in governance proposals.

• Users can pay fees for Onchain FX trading and Payments with the token.
  
  Note that availability of the services tied to the Kii token and, by extension, utilities of the Kii token are not available in all of the jurisdictions where the Kii token is available for purchase. As such, some or all of the utilities may be limited if you reside in any jurisdiction, where provision of the services is restricted for any reason. Please review the availability of the services and suitability of the token for your purposes before purchase.

KiiChain has secured USD $26 million led by Nimbus Capital and other investors, which allowed for an economic design prioritizing long-term community interests and minimal presale allocation.

These resources are allocated to key areas, including:

• Product Development & Art: 45%

• Marketing & Community Growth::40%

• Consultancy and Legal/Compliance: 15%

The project is supported by a collective of founders and developers with extensive, multi-year experience across the blockchain sector as users, investors, stakers, and builders with specialists in blockchain architecture using the Cosmos SDK and EVM, on-chain foreign exchange (FX), real-world asset (RWA) tokenization, and decentralized finance protocols. Operational support is bolstered by dedicated personnel focused on protocol and infrastructure development, building and operating the KIIEX hybrid exchange, managing on-chain liquidity, and ensuring regulatory compliance.

All resource allocation percentages are estimates based on data available at the time of disclosure.

This is not applicable because there will be no raising of funds. This is not an offer of the KII token but rather an admission of the KII token to trading, as it is already in circulation.

The admission to trading of KiiChain (KII) is intended to:

• Increase Accessibility and Liquidity: To make the KII token more accessible to European users and improve its liquidity on secondary markets. This can result in more efficient price discovery and reliable trade execution.
• Enhance Transparency and Compliance: This MiCA-compliant disclosure is filed voluntarily to enhance transparency, regulatory clarity, and investor confidence. It signals the project's readiness to align with the high disclosure standards of Regulation (EU) 2023/1114.
• Support Ecosystem Growth: By increasing access, Kii Global SAS aims to encourage wider participation and contribution to the KiiChain ecosystem, allowing a broader user base to pay transaction fees, stake KII for network security, participate in on-chain governance, benefit from reduced trading fees and incentives on the KIIEX platform, and engage with the KiiChain RWA and PayFi protocols.

This initiative is an admission to trading and not a fundraising event or public offer.

The project is targeted at all types of investors. No restrictions are being applied other than those required by relevant laws, regulations, or the internal policies of the trading platforms.

Access to the KII token may be restricted by the individual trading platforms where it is made available. These restrictions may include, but are not limited to, geo-fencing for users in OFAC-sanctioned jurisdictions or other individuals prohibited under the platform's terms and conditions and applicable laws.

Purchases of KII on the trading platforms mentioned in E.33 may be made using supported crypto-assets USDT, USDC or fiat currencies as per the available trading pairs on the platform. The information on the specific payment methods and providers of payment services is available at trading platforms' their website and their use is subject to the applicable terms and conditions of the specific service provider.

If applicable, any valid reimbursements shall be made to the account or wallet originally used to participate in the offer.

The KII acquired as a result of trades shall be transferred through means designated by the trading platform to the compatible wallet or account as designated by the selected Trading Platforms.

Purchasers must have an account on a trading platform where KII is listed and abide by that platform's terms. Technically, holders must have a digital wallet compatible with KiiChain’s EVM (Ethereum Virtual Machine) layer. This can be a self-custodial wallet (such as MetaMask) or an account managed by a third party. Basic requirements include internet access and a compatible device.

KII is available on several centralized and decentralized trading platforms. Investors can access these platforms by creating an account on their respective websites (i.e., www.kraken.com, https://www.okx.com/, https://www.bitpanda.com/, https://bitvavo.com, https://www.coinbase.com, https://www.kucoin.com, https://www.gate.com, https://www.bybit.eu) and complying with the platform's requirements, including KYC/AML verification.

Access to the trading platforms is typically free, but users will incur costs related to trading and transactions. These may include transaction fees (maker/taker fees), withdrawal fees, and network fees. These costs are set by the individual exchanges and are not controlled by Kii Global SAS. Users are advised to review the fee schedule on the respective platform's websites (i.e., www.kraken.com, https://www.okx.com/, https://www.bitpanda.com/, https://bitvavo.com, https://www.coinbase.com, https://www.kucoin.com, https://www.gate.com, https://www.bybit.eu)

To the best knowledge of Kii Global SAS and its parent company EMF Group SA CV, no conflicts of interest have been identified in relation to the offer to the public.

Subject to mandatory applicable law, any dispute arising out of or in connection with this white paper shall be governed by and construed in accordance with the laws of Colombia.

Subject to mandatory applicable law, any dispute arising out of or in connection with this white paper shall be exclusively subject to the jurisdiction of the courts in Colombia.

KII is classified as an "Other Crypto-Asset" (specifically a utility token) under Regulation (EU) 2023/1114, as it is not an Asset-Referenced Token (ART) or E-Money Token (EMT). It is a native fungible token of the KiiChain Layer 1 blockchain, featuring built-in ERC-20 compatibility for use within EVM-equivalent environments.

Token Utility

1. Kii Benefits: KII holders will pay maker/taker fees on kiiex.io in native token as opposed to nominal fees and will have reduced trading fees and cash-in/cash-out rates within the ecosystem. Users who remit funds in KII will have priority to liquidity and rates, especially within our ecosystem of partners. They will be required to purchase KII tokens to fund wallets. 

2. KIIEX will drive 5% - 10% of cash flow for KII token buybacks to fund KiiChain’s Staking and Rewards pool.

3. Gas fees: KII is used for transaction fees. All transactions such as deployment of new smart contracts, creation of user accounts, or token transfer, require the payer to pay transaction fees in KII.

4. Governance: KII will be used for voting on future protocol and ecosystem development once the blockchain migrates to open governance.

5. Kii Incentives: KII will be used to create incentives for on-chain PayFi liquidity pools, designed specially to incentivize stablecoin liquidity when creating pools on the less demanded side of the trade. (ie: USDT / COP – higher need for COP liquidity than USDT liquidity, therefore those that create COP liquidity pools will receive KII incentives and greater spreads).

6. Payment for the use of the KiiChain RWA protocol:
   Payment for the use of the RWA (Real World Asset) protocol and “unified liquidity” swaps across more than 100 blockchain networks will be made in KII tokens. The payment is calculated in basis points (bps) on the total AUM (Assets Under Management) of permissioned tokens.
   
   Example: A fee of 10 bps (0.10%) of the nominal asset value may be paid in KII tokens when liquidity is sourced through an RWA purchase.

7. Staking: KII is required for validators and delegators to participate in the network. KII is the only token eligible for validating and delegating in KiiChain.

8. Rewards: KII is rewarded to validators and delegators for their service to the network. It is also used as payment for the RWA protocol, as collateral in DeFi applications, and for pricing tokenized assets.
   
   Note that availability of the services tied to the Kii token and, by extension, utilities of the Kii token are not available in all of the jurisdictions where the Kii token is available for purchase. As such, some or all of the utilities may be limited if you reside in any jurisdiction, where provision of the services is restricted for any reason. Please review the availability of the services and suitability of the token for your purposes before purchase.

The functionalities described in F.2 are partially live, with utility 1 & 2 becoming fully live after TGE. Utilities 3 to 8 are live in testnet, and will become live in mainnet after TGE.

Note that availability of the services tied to the Kii token and, by extension, utilities of the Kii token are not available in all of the jurisdictions where the Kii token is available for purchase. As such, some or all of the utilities may be limited if you reside in any jurisdiction, where provision of the services is restricted for any reason. Please review the availability of the services and suitability of the token for your purposes before purchase.

KII is a fungible and transferable utility crypto-asset classified as an "Other Crypto-Asset" under MiCA. It operates on the KiiChain blockchain as an Cosmos SDK native token. The underlying network, KiiChain, uses a CometBFT consensus mechanism designed for high transaction throughput of up to 12,000 transactions per second, rapid deterministic finality with 2.5 second block times. KII does not represent ownership, profit rights, or legal claims, and functions solely to support the protocol's technical and economic operations.

The issuer operates in the field of crypto-asset services and provides the following services as part of its everyday business activity: the development and operation of KiiChain, a Layer 1 blockchain with EVM and CosmWasm compatibility, supporting Real World Asset (RWA) tokenization, payment finance settlement, and credit finance; the provision of KIIEX, a hybrid centralized-decentralized exchange for international trade, payments, and FX operations designed to unify liquidity across multiple chains; and the ongoing development of decentralized finance (DeFi) solutions, including lending, borrowing, and specialized payment finance protocols to address economic challenges in emerging markets.

Purchasers or holders of KII do not acquire any contractual rights, equity interests, profit-sharing rights, dividends, or other legal claims against EMF Group SA CV and Kii Global SAS or any affiliated entity by virtue of holding the token.

The KII token is a decentralized digital asset designed for functional use within the KiiChain ecosystem. Any "rights" are limited to the token's protocol-level utility, such as:

• Network Security and Staking: The ability to stake tokens to participate in the network as a validator or delegator, securing the blockchain through the CometBFT consensus mechanism and earning rewards for providing this service.

• Transaction Fees: The ability to pay for gas fees required for all on-chain transactions, including the deployment of smart contracts, token transfers, and creation of user accounts.

• Governance: The ability to vote on protocol and ecosystem development proposals, such as system parameter changes and software upgrades, once open governance is implemented.

• Kii Benefits: KII holders will pay maker/taker fees on kiiex.io in native token as opposed to nominal fees and will have reduced trading fees and cash-in/cash-out rates within the ecosystem. Users who remit funds in KII will have priority to liquidity and rates, especially within our ecosystem of partners. They will be required to purchase KII tokens to fund wallets. 

• Kii Incentives: KII will be used to create incentives for on-chain PayFi liquidity pools, designed specially to incentivize stablecoin liquidity when creating pools on the less demanded side of the trade. (ie: USDT / COP – higher need for COP liquidity than USDT liquidity, therefore those that create COP liquidity pools will receive KII incentives and greater spreads).

• Payment for the use of the KiiChain RWA protocol: “unified liquidity” swaps across more than 100 blockchain networks will be made in KII tokens. The payment is calculated in basis points (bps) on the total AUM (Assets Under Management) of permissioned tokens.
  
  Example: A fee of 10 bps (0.10%) of the nominal asset value may be paid in KII tokens when liquidity is sourced through an RWA purchase.

  Holding KII does not represent ownership in any legal entity and does not confer any right to financial returns.

There are no formal contractual rights to "exercise." Any functionality associated with KII is exercised technically by interacting with the KiiChain protocol's smart contracts.

For example:

• Governance: Rights are exercised by validators and delegators voting on on-chain proposals to modify system parameters, implement software upgrades, or amend the blockchain's human-readable constitution.

• Utility: Rights are exercised by using KII tokens to pay for transaction fees (gas), staking or delegating to secure the network, providing collateral in DeFi applications, accessing reduced fees on the KIIEX platform, and paying for the use of the KiiChain RWA protocol.

These actions are carried out on-chain and are validated by the decentralized network, not by Kii Global SAS. Procedures are defined in the project's public documentation (e.g., https://github.com/KiiChain).

Note that availability of the services tied to the Kii token and, by extension, utilities of the Kii token are not available in all of the jurisdictions where the Kii token is available for purchase. As such, some or all of the utilities may be limited if you reside in any jurisdiction, where provision of the services is restricted for any reason. Please review the availability of the services and suitability of the token for your purposes before purchase.

Kii Global SAS cannot unilaterally modify the token's core functionalities once deployed on the mainnet. As KiiChain is a decentralized protocol, any changes to the token's utility or the network's rules are managed via the project's established on-chain governance process. Modifications occur through proposals designed to update system parameters, facilitate software upgrades, or amend protocol rules. These proposals must be voted on by validators and delegators; passing requires a majority of 'Yes' votes (exceeding 50%) and is subject to a veto if more than one-third (33.4%) of the voting power selects the 'NoWithVeto' option.

Kii Global SAS intends to conduct a future public offering of the KII token in 2026 under substantially the same conditions, as provided in this whitepaper. However, Kii Global SAS retains the right to make any changes to the offer that it deems necessary to fulfill the objectives of KiiChain. These changes may include, without limitation, differences in the subscription price and targets.

KII functions as a utility token within the KiiChain ecosystem, providing access to its core goods and services. These include:

• KIIEX Trading & Payment Discounts: KII holders benefit from reduced trading fees and cash-in/cash-out rates on the KIIEX hybrid exchange, alongside priority access to liquidity and advantageous rates for cross-border remittances within the Kii Global ecosystem and its partner network.

• Real World Asset (RWA) Protocol Usage: Facilitating payment for the utilization of the KiiChain RWA protocol, which standardizes asset tokenization and enables "unified liquidity" swaps across over 100 networks, with service fees calculated in KII based on the nominal asset value.

• Network Gas Fees & Transactions: KII is exclusively used to cover all transaction fees on the KiiChain network, encompassing costs for smart contract deployment, user account creation, and token transfers, which are crucial for maintaining the network's operational integrity and security.
  
  Note that availability of the services tied to the Kii token and, by extension, utilities of the Kii token are not available in all of the jurisdictions where the Kii token is available for purchase. As such, some or all of the utilities may be limited if you reside in any jurisdiction, where provision of the services is restricted for any reason. Please review the availability of the services and suitability of the token for your purposes before purchase.

The KII token is "redeemed" or used within the ecosystem to access the goods and services listed in G7. This occurs when users pay for the use of the KiiChain Real World Asset (RWA) protocol to access unified liquidity swaps across numerous networks, or when tokenized commodities and products are priced in KII on the KIIEX hybrid CEX/DEX for instant liquidity. The type of goods or services that can be redeemed may evolve over time based on ecosystem development and governance.

Note that availability of the services tied to the Kii token and, by extension, utilities of the Kii token are not available in all of the jurisdictions where the Kii token is available for purchase. As such, some or all of the utilities may be limited if you reside in any jurisdiction, where provision of the services is restricted for any reason. Please review the availability of the services and suitability of the token for your purposes before purchase.

There are no restrictions on the transferability of KII at the protocol level; it may be freely transferred between users.

However, a portion of the token supply allocated to founders, developers, and team members is subject to contractual lock-up and/or vesting schedules (ranging from 12 to 24 months). Furthermore, individual trading platforms may impose their own transfer restrictions in accordance with applicable laws and internal policies.

Typical lock up schedules are 12 month cliff and a 24 month daily vesting.

There is no written legal agreement between the person seeking admission to trading and the crypto asset-holder that sets out the laws that govern the legal relationship between those two parties. In the absence of such an agreement, the law and competent court applicable to the KII shall be the law of Colombia, unless prescribed otherwise by applicable legislation (incl. consumer law).

There is no written legal agreement between the person seeking admission to trading and the crypto asset-holder that sets out the laws that govern the legal relationship between those two parties. In the absence of such an agreement, the law and competent court applicable to the KII shall be the law of Colombia, unless prescribed otherwise by applicable legislation (incl. consumer law).

The KiiChain (KII) token is a crypto-asset issued on the KiiChain blockchain, which serves as the underlying distributed ledger technology (DLT). This is a public and permissionless Layer 1 AppChain built with the Cosmos SDK and powered by the CometBFT Proof-of-Stake consensus algorithm system that enables participants to manage a shared database without a central authority.

KII is a native Cosmos SDK token. This standard ensures industry compatibility with wallets, exchanges, and smart contracts. The KiiChain network itself is a highly interoperable Layer 1 AppChain built with the Cosmos SDK, designed as a unified liquidity network for international trade, finance, and payments with a focus on emerging markets that utilizes the CometBFT Byzantine Fault Tolerant (BFT) consensus algorithm for rapid finality and security, alongside the Inter-Blockchain Communication (IBC) protocol to connect with over 100 other blockchain ecosystems for its operations.

As a native Layer 1 token, KII is deployed directly on the KiiChain blockchain rather than as a standalone smart contract. However, KiiChain features native ERC-20 interoperability, allowing KII to be used within its EVM-compatible environment. Users can hold, store, and transfer the token using any wallet software, including self-custody wallets like MetaMask, that is compatible with the KiiChain network. Users may also manage the token through accounts provided by third-party custodians or centralized exchanges.

The KiiChain network, which KII relies on, operates using a CometBFT Proof-of-Stake consensus mechanism.

In this system, validators are chosen to propose and vote on new blocks of transactions in sequential rounds to reach consensus based on their voting power, which is determined by the amount of KII tokens they have bonded as collateral.

The validators and the delegators who stake KII tokens with them who secure the network are rewarded with economic incentives for their work. These incentives consist of a proportional share of transaction fees collected on the network and supplemental, non-inflationary rewards distributed through the native Utility Rewards Module. This module is periodically funded with a portion of Kii Global's operational cash flow, providing an additional layer of incentives to network participants.

The KiiChain DLT is a decentralized, permissionless network. It is not operated or controlled by Kii Global SAS (the issuer) or any other single, central entity. It is maintained by a distributed, global network of participants (e.g., validators and delegators).

The audit was successfully completed. The audit reviewed the smart contract for its core code and smart contracts related to KiiChain, token issuance, and protocol modules to ensure security prior to production deployment. The outcome was that the first independent security audit conducted by Webisoft identified findings, which are currently undergoing remediation and implementation of recommended fixes as outlined in the project roadmap.

Audit reports or summaries will be made publicly available at KiiChain’s GitHub repository: https://github.com/KiiChain

Kii Global SAS, as the entity related to the KiiChain ecosystem, is subject to several risks that could impact the project and, consequently, the token:

• Regulatory Compliance Risk: Kii Global SAS operates in a highly uncertain regulatory environment. Evolving laws or enforcement actions in various jurisdictions could lead to fines, sanctions, or the inability to continue operations, which could negatively affect the project.
• Operational & Financial Risk: The issuer faces internal risks, including failures in processes, personnel, or technology. It is also exposed to financial risks (e.g., liquidity, market) that could affect its ability to fund operations and support the ecosystem.
• Legal & Reputational Risk: The project could face litigation or adverse publicity. Negative sentiment, whether due to operational failures, security breaches, or other events, could damage the project's reputation and the token's perceived value.
• Dependency on Key Individuals: The project's success may be highly dependent on a small group of key individuals. The loss or departure of these members could disrupt development and strategic direction.

N/A

Holding KII involves risks inherent to most crypto-assets:

• Market Volatility: Crypto-asset prices are extremely volatile and subject to significant, rapid fluctuations. The value of KII can be influenced by market speculation, shifts in sentiment, and macroeconomic factors, and may not reflect the project's fundamentals. There is no guaranteed price floor, buyback or redeemability mechanism, which means that acquiring the KII may result in total loss of the invested amounts.
• Liquidity Risk: The market for KII may lack depth and liquidity. It may be difficult to buy or sell large quantities at a desired price, or at all, leading to significant financial losses.
• Custody & Private Key Risk: Holders are responsible for securing the private keys to their wallets. The loss, theft, or compromise of these keys will result in the irreversible loss of all associated KII tokens, with no recourse.
• Regulatory Risk: The legal and regulatory treatment of crypto-assets is uncertain and evolving. Future regulations could impose restrictions on the holding, use, or trading of KII, or it could be classified in a way that adversely affects its value or legality.
• Utility Risk: The expected utility of the KII token within the KiiChain ecosystem may fail to materialize due to low user adoption, technical failures, or superior competing projects, undermining its fundamental value proposition.

The future success of the KiiChain ecosystem is subject to significant implementation risks:

• Adoption & Competition Risk: The project may fail to attract a sufficient number of users, developers, and participants to create a viable ecosystem. It faces competition from other projects that may have substantially greater financial, technical, and marketing resources.
• Roadmap & Development Risk: The project may experience delays, fail to deliver on its published roadmap, or encounter unforeseen technical complexities. Strategic shifts or "pivots" may result in features that do not align with community expectations.
• Funding & Treasury Risk: Continued development depends on the effective management of the project's treasury. A shortfall in funding or misallocation of resources could slow or halt ecosystem development.
• Governance Risk: For decentralized projects, governance "deadlock" or misalignment of incentives among participants can impede critical network upgrades and strategic decisions.

The KII token and KiiChain platform rely on complex, emerging technology, which introduces specific risks:

• Smart Contract Risk: The smart contracts for KII and the ecosystem's applications, despite audits, may contain hidden bugs, flaws, or vulnerabilities. Such flaws could be exploited by malicious actors, potentially resulting in the theft or irreversible loss of funds.

• Underlying DLT Risk: The project is solely responsible for the security and performance of the network used by KII. The network is subject to inherent risks, such as network congestion, high transaction fees, consensus failures (e.g., 51% attacks), forks, or operational halts. Execution of transactions requires fees, which are subject to market conditions and may fluctuate during periods of high activity. Users who interact with KII via decentralized exchanges (DEXs) may face exposure to front-running or Maximal Extractable Value (MEV), where third parties reorder or insert transactions for their advantage.

• Cybersecurity Risk: The ecosystem, including its protocols, bridges, and front-end applications, is a target for cyber-attacks (e.g., DDoS attacks, hacks). A successful attack could disrupt services or lead to a loss of user assets.

• Bridge Risk (if applicable): If KII exists on multiple blockchains, the bridges connecting them are a critical vulnerability. An exploit of a bridge protocol could lead to de-pegging or unrecoverable losses.

• Scalability Risk: The underlying technology may not scale effectively to handle a high volume of users or transactions, leading to slow performance and high fees, which would deter adoption.

Kii Global SAS has implemented several measures to mitigate the identified risks:

• Security Audits: Commissioning comprehensive security audits of all smart contract code from reputable, independent third-party security firms before deployment.

• Bug Bounty Program: Operating an active bug bounty program to incentivize ethical hackers and security researchers to discover and responsibly report vulnerabilities.

• Regulatory Monitoring: Actively monitoring the global regulatory landscape with the assistance of external legal counsel to ensure compliance with applicable laws.

• Foundation on Proven Infrastructure: Utilizing the Cosmos SDK to benefit from a mature, modular architecture. By decoupling the application logic from the consensus layer, we leverage a production-grade networking and security stack used by the world’s leading AppChains.

• Decentralized Governance: Implementing a decentralized governance framework to distribute decision-making and align stakeholder incentives for the long-term health of the protocol.

• Strategic Partnerships: Strategic partnerships and exchange listings are pursued to improve liquidity and operational resilience.

The KiiChain network, which KII relies on, operates using a CometBFT Proof-of-Stake consensus mechanism.

In this system, validators are chosen to propose and vote on new blocks of transactions in sequential rounds to reach consensus based on their voting power, which is determined by the amount of KII tokens they have bonded as collateral.

The validators and the delegators who stake KII tokens with them who secure the network are rewarded with economic incentives for their work. These incentives consist of a proportional share of transaction fees collected on the network and supplemental, non-inflationary rewards distributed through the native Utility Rewards Module. This module is periodically funded with a portion of Kii Global's operational cash flow, providing an additional layer of incentives to network participants.

Data provided by the MiCA Crypto Alliance as a third party, with no deviations from the calculation guidance of Commission Delegated Regulation (EU) 2025/422, Article 6(5). As the base layer is a decentralised network, estimates on individual node power draw are used. Full methodology available at: www.micacryptoalliance.com/methodologies

Data provided by the MiCA Crypto Alliance as a third party, with no deviations from the calculation guidance of Commission Delegated Regulation (EU) 2025/422, Article 6(5). As the asset studied does not have activity at the time of the study, its energy intensity is approximated through the calculation of a market cap-weighted average of the peer crypto asset activities, compared to the Kii Chain's market capitalisation estimated through the product of its issue price and total supply. The peer group is defined as other assets built using Cosmos SDK whose market capitalisation falls within ±25% of KiiChain's market cap at issue are included, to ensure only similar peers are used for estimations. Full methodology available at: www.micacryptoalliance.com/methodologies

Data provided by the MiCA Crypto Alliance as a third party, with no deviations from the calculation guidance of Commission Delegated Regulation (EU) 2025/422, Article 6(5). Full methodology available at: www.micacryptoalliance.com/methodologies

Data provided by the MiCA Crypto Alliance as a third party, with no deviations from the calculation guidance of Commission Delegated Regulation (EU) 2025/422, Article 6(5). Full methodology available at: www.micacryptoalliance.com/methodologies

Data provided by the MiCA Crypto Alliance as a third party, with no deviations from the calculation guidance of Commission Delegated Regulation (EU) 2025/422, Article 6(5). As the asset studied does not have activity at the time of the study, its carbon intensity per transaction is approximated through the calculation of a market cap-weighted average of the peer crypto asset activities, compared to the KiiChain's market capitalisation estimated through the product of its issue price and total supply. The peer group is defined as other assets built using Cosmos SDK whose market capitalisation falls within ±25% of KiiChain's market cap at issue are included, to ensure only similar peers are used for estimations. Full methodology available at: www.micacryptoalliance.com/methodologies

Data provided by the MiCA Crypto Alliance as a third party, with no deviations from the calculation guidance of Commission Delegated Regulation (EU) 2025/422, Article 6(5). As the base layer is a decentralised network, estimates on individual node weight, hazardous components and depreciation rate are used. As the asset studied does not have activity at the time of the study, its waste intensity is approximated through the calculation of a market cap-weighted average of the peer crypto asset activities, compared to the KiiChain's market capitalisation estimated through the product of its issue price and total supply. The peer group is defined as other assets built using Cosmos SDK whose market capitalisation falls within ±25% of KiiChain's market cap at issue are included, to ensure only similar peers are used for estimations. Full methodology available at: www.micacryptoalliance.com/methodologies

Data provided by the MiCA Crypto Alliance as a third party, with no deviations from the calculation guidance of Commission Delegated Regulation (EU) 2025/422, Article 6(5). Usage of natural resources is approximated through land use metrics. Land use, water use and water recycling are calculated based on energy mix-specific estimates of purchased electricity land intensity, purchased electricity water intensity, and water recycling rates. As the asset studied does not have activity at the time of the study, its land intensity and waste intensity are approximated through the calculation of a market cap-weighted average of the peer crypto asset activities, compared to the KiiChain's market capitalisation estimated through the product of its issue price and total supply. The peer group is defined as other assets built using Cosmos SDK whose market capitalisation falls within ±25% of Kii Chain's market cap at issue are included, to ensure only similar peers are used for estimations.

Full methodology available at: www.micacryptoalliance.com/methodologies