About this Summary

Ndax Canada Inc. (“Ndax”, “we” and “our”) believes that our users should understand the crypto assets that they are able to trade and stake using our crypto trading platform (the “Platform”). One of the crypto assets we offer on the Platform is TIA. We created this summary to help you understand the basics of TIA as well as some of the risks involved in trading in TIA. While we tried to describe the key features of TIA, this summary isn’t meant to tell you everything you’d want to know before investing in TIA. You should also do your own research on TIA to make sure you are comfortable investing in it.

Description of TIA

History of TIA 

Celestia began as a concept to create a modular, scalable blockchain network. It was developed to address the limitations of existing blockchain architectures by separating consensus and data availability from execution. This approach aims to enhance scalability and flexibility in blockchain systems.

What is TIA used for 

TIA is the native token of the Celestia network. It is utilized primarily for participating in the network's consensus mechanism and for paying transaction fees. The Celestia network positions itself as a foundational layer for new blockchain ecosystems, providing a decentralized and secure framework for building various decentralized applications.

How TIA works 

Celestia’s architecture is based on a modular approach. It separates the consensus and data availability layers from execution, allowing for greater scalability and flexibility. This design enables Celestia to function as a decentralized “blockchain of blockchains”, where multiple execution environments can be built atop its base layer.

Risks

Before entering into an agreement (a “Crypto Contract”) with Ndax to buy or sell any crypto assets through the Platform, it is important to understand the risks. This overview is a starting point for you to perform your own research prior to investing in a crypto asset.

Like other crypto assets, there are some general risks associated with investing in TIA. Each of these risks is described in more detail in the Risk Statement provided to you at the time that you open your account with us and is also available online on the Ndax website and app. You should review the Risk Statement.

While we have tried to describe the key risks associated with TIA here and in our Risk Statement, we emphasize that this Crypto Asset Statement is not exhaustive of all of the risks associated with trading in TIA. You should also do your own research on TIA to make sure you are comfortable investing in such a crypto asset.

Regulatory Information  

Ndax is offering Crypto Contracts in accordance with the terms of a pre-registration undertaking dated March 23, 2023, that we entered into with the Canadian securities regulators, while our application for registration in certain Canadian jurisdictions is reviewed. Please note that Ndax is not currently registered under securities or derivatives legislation of Canada and there is no guarantee that registration will be granted.

The statutory rights of action for damages and the right of rescission in the securities legislation of each province and territory of Canada would not apply in respect of a misrepresentation in this Crypto Asset Statement.

Prior to offering a Crypto Contract on TIA, Ndax assesses whether TIA is a security and/or a derivative under the securities and derivatives laws of Canada. Ndax’s assessment includes a review of the history of the TIA (such as how it was created and its governance structure), its characteristics, its market capitalization, and any regulatory concerns regarding TIA. Based on its assessment, Ndax concluded that TIA is not a security or a derivative. However, there is a risk that this conclusion could change in the future. In that case, Ndax may be required to halt or withdraw TIA from trading on the Platform and stop any future trading of Crypto Contracts based on TIA, and users holding TIA may be required to liquidate their positions, potentially at a significant loss. In this event, users holding positions in TIA will be notified via the Platform or other electronic means and advised of the options available to them and any applicable period to sell or withdraw their positions in TIA.

No Canadian securities regulatory authority has expressed an opinion about TIA, including an opinion that TIA is not itself a security and/or derivative.