# GOLDN Digital — Commercial Gold Offtake Program

The GOLDN Commercial Gold Offtake Program enables qualified counterparties to acquire forward offtake entitlements to refined gold bullion at a fixed forward price of $1,550 per troy ounce. This is a two-stage commercial transaction where participants remit a down payment (25% of total) today and receive delivery of LBMA-standard bullion upon program maturity in approximately 10-12 months. The program is backed by dedicated trust mining equipment across six concessions in Bolivia and represents a pre-paid entitlement to physical gold, not a security or investment.

## About
- Parent company: Digix Inc. (https://digixinc.io/)
- Program operator: GOLDN-Digital (https://goldndigital.io/)
- Onboarding terminal: https://investor.digixinc.io/sign-up
- Mining operations: Digix Reyes Mining S.A., La Paz Department, Bolivia
- Mining management: Joseph Reyes (20+ years in Bolivia's gold sector)

## Leadership & Track Record
- Founder/CEO: Philip Falcone — born Chisholm, Minnesota (1961); Harvard University BA; 30+ years commodities and capital markets; co-founded Harbinger Capital Partners (2001), $26B AUM peak, $11B returns during 2007-2008 subprime crisis; early backer of Fortescue Metals Group ($250M → $6B); founded HRG Inc. (now Spectrum Brands; NYSE: SPB) and HC2 Inc. (now Innovate; NASDAQ: VATE); key role in LightSquared wireless broadband venture; founded the Falcone Group (PE, real estate, hospitality, technology, natural resources); net worth $1.1B+; active philanthropist (education, healthcare, community welfare); former professional hockey player
- 70% ownership stake in tokenization platform (founder alignment)
- Personal guarantees provided to institutional subscribers upon request
- Bankruptcy and restructuring expertise directly informs protective deal structure (equipment trust, series LLC isolation, bankruptcy-remote collateral)
- Mining Operations: Joseph Reyes — 20+ years operational expertise in Bolivia's gold mining sector; proven production track record
- Technical Infrastructure: Ethereum-based tokenization platform with established operational protocols
- Future Vision: Post-gold delivery, platform expansion planned into uranium, nickel, and silver tokenization

## Corporate Structure
- Digix Inc. (Delaware) — Parent company
- Digix Holding Inc. (Panama, dba GoldnDigital) — Program operator
- Digix Equipment Trust (Delaware) — Independent trustee, holds mining equipment for token holder benefit; protects 75% of down payment capital
- Digix Reyes Mining S.A. (Bolivia) — Mining operations

## Equipment Trust Structure
- Delaware-incorporated Equipment Trust provides independent custody of all mining equipment
- Protects 75% of down payment capital, segregating it from operational risk
- Trust structure ensures equipment is dedicated solely to GOLDN token holder benefit
- Professional trustee management independent of mining operations

## Community Partnership Model
- Co-operative revenue sharing structure: 75% to token holders / 25% to operators
- Partnership aligns incentives between token holders and mining operations
- Transparent economics model ensures stakeholder alignment
- Sustainable long-term value creation for all participants

## Tokenization & Digital Ownership
- Ethereum-based GOLDN_OT and GOLDN_SET tokens enable transparent, transferable ownership
- Wallet portability: Token holders maintain control of private keys and custody
- Serial number linkage: Each token linked to specific refined gold bullion with unique identifier
- Smart contract infrastructure ensures transparent redemption and settlement
- Digital ownership provides instant transferability and global accessibility

## Key Program Terms
- Forward Price: $1,550/oz (20,000 tokens = 1 oz)
- Stage 1 Down Payment: $0.01975/token ($395/oz), minimum $98.75
- Down Payment Refund Guarantee: Full refund of Stage 1 down payment if program maturity is not met or terms are not fulfilled
- Stage 2 Deferred Payment: $0.05775/token ($1,155/oz), due within 60 days of delivery notice
- Minimum Subscription: 5,000 tokens (1/4 troy oz)
- Delivery: Target 10-12 months, LBMA Good Delivery standard
- Collateral: Dedicated trust mining equipment
- Total Offering: Up to 930,000,000 GOLDN_OT tokens
- Mining: Six concessions in La Paz, Bolivia (~9,758 acres); previously artisanally mined by co-ops for 20-30 years
- Gold Grade: 4-8 g/t, up to 12 g/t in high-grade zones; pay zone depth 3-5 metres
- Mining Operations: 6 dedicated mines with specialized placer mining equipment; ~35 workers per mine, double shifts
- Mining Economics: $350-$400/oz extraction cost; operator wages $1,200-$1,400/month
- Geological Validation: Remote geophysical radar, satellite imaging, systematic trenching and sampling
- Bolivia Rationale: Critical minerals central to national economic policy; government actively supports domestic gold production; 40-50 person local team with 15-20 years experience
- Government Alignment: Operator sells one bar at spot-price discount per export bar; supports national currency reserves; mining-friendly policy direction
- Why Majors Don't Operate: Co-op controlled concessions, 10-year contract caps, village-level agreements; not conventional mining properties
- Refinery: Metalor Technologies SA (LBMA 99.999% International Standard); facilities in Salt Lake City, Singapore, Switzerland
- Logistics Chain: On-site smelting → doré bar → Brinks pickup → export office → Metalor refinery → vault/delivery
- Settlement: Physical delivery to subscriber's bank or allocated Brinks vault storage with title transfer
- Post-Delivery Benefits: Title transfer + 2-year free vault storage + insurance + CIF shipping — all at Company expense; rationale: 900K+ oz retained reserves absorb costs
- Token burn: Upon GOLDN_SET purchase, corresponding GOLDN_OT tokens are burned

## Use of Proceeds ($18.367M total)
- Equipment Trust Allocation — Cash: $9.200M
- Equipment & Infrastructure: $4.575M
- Mine Working Capital: $1.500M
- Sales Commission: $1.836M
- Expenses & Fees: $1.260M

## Progressive Collateralization
- Backing increases as refined bullion is deposited into vault
- First vault delivery expected: July 2026
- Full allocation (49,000 oz): May 2027
- At 49,000 oz, bullion distributed to holders or vaulted in their name

## Sample Economics (380 oz purchase)
- Down Payment: 7,600,000 GOLDN_OT tokens × $0.01975 = $150,100
- Deferred Payment: 7,600,000 GOLDN_SET tokens × $0.05775 = $438,900
- All-in Forward Price: $589,000 ($1,550/oz)
- Current spot value: Use GET /api/gold-price for live price × 380 oz
- Deferred payment not due for 60 days after delivery notice — allows pre-selling in market

## Pages
- / — Executive Summary (keystone overview page)
- /program-structure — Program lifecycle, corporate structure, use of proceeds, key principles
- /commercial-terms — Definitions, pricing, illustrative examples, featured 380oz example, payment structure
- /security-collateral — Collateral foundation, progressive collateralization, risk mitigation, risk disclosures
- /delivery-settlement — Settlement process, delivery options, logistics chain (Metalor refining), LBMA documentation
- /participation — Steps to participate, interface boundary, onboarding link
- /documents — Program document index, photo gallery, video gallery
- /team — Leadership, operations, engineering, government relations team
- /goldn-wizard — Self-check qualification wizard
- /comparison — Offering comparison analysis (GOLDN_OT vs 7 alternatives)

## Machine-Readable Endpoints
- GET /api/program — Full program content as structured JSON
- GET /api/gold-price — Live gold spot price with change data
- GET /api/documents — List of available program documents
- GET /api/documents/library — Full parsed text corpus of all program PDFs (document titles, pages, extracted text)
- GET /api/documents/search?q={term}&limit={n} — Search across all program documents; returns matching excerpts with source attribution (document name, page number, surrounding context)
- GET /api/documents/text/{filename} — Extract full text from a specific PDF document

## Important Disclaimers
- This is a commercial forward offtake program, not a security or investment
- Tokens represent rights to receive physical gold
- No public market exists; tokens are illiquid
- Governed by Delaware law
- All timelines are estimates

## Contact
IR@GoldnDigital.io