Buffer Overview
| Parameter | Value |
|---|---|
| Target Buffer | 32% of NAV |
| Hard Floor | 10% of NAV |
| Custodian | Archax Ltd (FCA-regulated) |
| Rebalancing | Monthly, aligned with SSBAF dealing windows |
- Instant liquidity for redemptions
- Subscription absorption for instant minting
- Operational flexibility for fee payments
Why 32%?
The buffer exists so investors can exit without waiting for monthly fund redemptions. 32% is high enough to handle normal redemption patterns and moderate stress, while leaving 68% deployed for yield. We accept the yield drag as the cost of providing genuine liquidity.Buffer Status Thresholds
Operations reference graduated buffer levels relative to NAV:| Buffer % of NAV | Status | Typical response |
|---|---|---|
| Greater than or equal to 32% | Normal | Full instant redemptions within limits |
| 20% to 32% | Elevated | Enhanced monitoring |
| 15% to 20% | Strained | May reduce per-wallet limits |
| 10% to 15% | Critical band | Further restrictions; possible gating |
| At or below 10% (hard floor) | Hard floor | Instant redemptions paused; queue-only |
Why 10% Hard Floor?
The 10% floor ensures some instant capacity always exists. We will not completely exhaust the buffer serving early redeemers at the expense of later ones.Stress Response
During periods of elevated redemptions, the system implements protective measures:- Per-wallet and aggregate limits to ensure fair access
- Instant operations may be paused while primary redemptions remain open
- Buffer is restored through SSBAF redemptions at monthly windows
Investor notices (indicative)
When the buffer enters a strained band or the issuer imposes material limits on instant access, affected investors are ordinarily notified as soon as practicable, typically within 24 hours of the decision. If redemptions are suspended (other than immediate sanctions or compliance actions requiring urgent response), the issuer ordinarily aims to give at least 5 business days’ notice where practicable under the Subscription Agreement.Notice timelines are indicative. The Subscription Agreement and Transaction Documents govern in any conflict.
Under normal operations, BTCY transfers are permissionless. An emergency pause exists for critical security events only; see Governance. The design intent is to keep transfers permissionless except in those events.
SSBAF Fund-Level Gate
The underlying fund imposes an 80% fund-level gate per dealing window. If total SSBAF redemption requests exceed 80% of fund NAV in a window, the gate triggers:- All investors receive pro-rata allocations
- Unfilled portions roll to next monthly window
- Extends worst-case exit time
Liquidity Paths
Multiple paths to liquidity operate in parallel:| Path | Timeline | Notes |
|---|---|---|
| Instant Buffer | T+0 to T+2 | Primary liquidity source |
| Monthly Redemption | 30-45 days | Via SSBAF dealing window |
| Secondary Market | Instant | DEX trading (planned) |
Suspension of Redemptions
The issuer may suspend redemptions in certain circumstances:- Market disruption events
- SSBAF suspending redemptions
- Blockchain disruption
- Regulatory order
- Protection of noteholders as a whole
- No redemptions processed
- No limit on duration
- Investors unable to exit
Redemption Details
Detailed redemption mechanics
Available only to eligible professional/qualified investors on an invite-only basis, subject to onboarding and compliance approval. For informational purposes only and not investment advice. Not an offer to the public or a solicitation where unlawful. No retail distribution. Not available to US Persons.Disclaimers · Platform and issuer