Key Takeaways from Webinar with DigiU CEO: Reorganization

On April 10, DigiU's CEO hosted a webinar, discussing reorganization, preferred shares, and new opportunities.

Alexey started the webinar by getting straight to the point: «We have announced that 2025 will be the year for the legal structuring of our group of companies. The venture capital fund, tech lab, and everything we’ve built over five years of dedicated work need a clear and transparent legal framework.

This is our chance to take the ecosystem’s development to the next level, because in today’s world, the legal weight of actions – especially in venture capital and crypto – is becoming increasingly crucial,» the CEO noted.

This process will enable us to:

• build a transparent ownership model,
• protect investor interests,
• prepare for scaling, tokenization, or an IPO,
• create a clear structure understandable to institutional partners.

The jurisdiction is 90% finalized – it’s the BVI (British Virgin Islands).

«In 2023, the BlackRock USD Institutional Digital Liquidity Fund (BUIDL) was registered in this jurisdiction. That move put the region in the spotlight and enhanced its reputation within the global investment community.

They saw accessibility, favorable conditions, and the ability to grow a business with minimal regulatory constraints. The BVI is a stable and flexible jurisdiction where major global funds operate. This is the standard we’re aiming for.»

Alexey went on to explain that, under BVI law, a select group of company participants can be granted special rights, earning the status of privileged investors.

«Here’s the key takeaway for now: everyone who’s been with us since 2019 will receive privileged investor status. This comes with special rights, enhanced protection, priority dividend terms, and more,» the CEO stressed.

What rights might privileged investors receive?

1. Dividend rights

Preferred shares may take priority over common shares in dividend payouts and can be cumulative – unpaid dividends accumulate and must be paid out later. These terms are tailored during the share issuance.

2. Liquidation preferences

Upon a liquidation event, including sale, merger, or reorganization, privileged shareholders get priority payouts. These terms ensure predictability and capital protection for investors.

3. Voting rights

Preferred shares can carry full or limited voting rights. In some cases, they may only vote on major company decisions.

4. Pre-emptive rights

The right to buy new shares in future issuances proportional to current ownership, protecting investors from share dilution and loss of influence.

5. Buyback rights

The company may be required to buy back preferred shares after a set period or at the investor request. Buyback terms (price, timeline, mechanism) are set in the charter or shareholder agreement.

«We’re currently discussing which specific rights we’ll grant investors. This isn’t the final list, but it’s the framework we’re working with and sharing so everyone understands the prospects».

For more details, check out our post: «Join Ranks of Privileged Investors».

DigiU’s ecosystem is leveling up: a legal structure, an international model, and clear rules. Privileged investor status means protection, participation, and trust.

Watch the webinar to hear it all directly from DigiU’s CEO.

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