🌫️SmarttCollectors: official communication and current operating framework

31/12/2025 - official communication

After a prolonged period of limited communication, Smartt Collectors issues this official statement in order to set out its current situation, operating framework, and roadmap, as well as to realign the expectations of token holders in accordance with the model currently in force.

This document must be interpreted as a structural update of the project, reflecting its operational, legal, and economic status as of the date of issuance.

Project Development

The development of Smartt Collectors has involved, over several years, a significant financial, technical, and operational commitment. During this period, substantial capital has been allocated to the development, validation, and verification of satellite scanning methodologies applied to mineral exploration, with the objective of establishing a reasonable, verifiable technical basis capable of subsequent validation through standard geophysical surveys.

Within this process, Blue Hill Mining, Swiss Asian Resources, Mines & Brokers, and Blue Hill Foundation (hereinafter, the Blue Hill Group) carried out the initial operational development of the mining project, including preliminary technical validation of the resources, structuring of the corresponding mining licenses, and the identification of partners and investors with the capacity to finance the conversion of the exploration license into an exploitation license.

The activities undertaken included technical work, verifications, alignment with applicable regulatory requirements, and the legal structuring necessary to allow the project to progress within a legally viable framework.

Model Transition and Nature of the Project

Token holders approved, by vote, the adoption of a decentralized model. However, it was determined that the transition toward a DeFi-type model did not, by itself, guarantee that regulatory authorities would be able to interpret the legal nature of the token without the risk of it being classified as a regulated financial instrument (security).

Accordingly, the project managers determined that the only legally viable structure, compatible with the applicable regulatory framework and reasonably sustainable, was the transition toward a token-based private club community, with restricted access and scope limited to a single mining project.

As a result of this transition, and once the operational and structural commitments assumed had been fulfilled, the Blue Hill Group has ceased its active involvement in the project, leaving Smartt Collectors configured as a private, self-sufficient structure with a defined scope.

Communication Policy

Smartt Collectors does not have a central budget allocated to communication, management, or promotional activities. Consequently, communications will be limited to strictly informational content, of a punctual and factual nature.

The project is not conceived as a public ecosystem, nor as an open community or promotional vehicle, but rather as a private structure with a specific objective and a defined time horizon.

Token Supply and Asset Representation

The total issuance of Smartt Collectors tokens amounted to 140,000,000 units. Following the permanent burn of 10,382,668 tokens, the supply currently in circulation is:

129,617,332 Smartt Collectors tokens.

These tokens collectively represent proportional economic rights over two underlying NFTs:

One Gold NFT representing 9,245 kilograms of gold.

One Copper NFT representing 627,975 metric tons of copper.

Together, these NFTs correspond to a 10% participation in a mining license located in the Province of Gobisumber, Mongolia.

The stated quantities are based on satellite scanning studies and are subject to variation resulting from subsequent geophysical surveys, as well as technical, economic, and commercial considerations related to potential extraction.

Ownership Structure of the Mining License

The intended ownership structure of the mining license is as follows:

10% – Smartt Collectors

10% – Angel investors

80% – Investors responsible for financing the conversion of the exploration license into an exploitation license.

The participation attributable to Smartt Collectors will be protected through a two-phase structure:

Granting of an irrevocable power of attorney, in favor of two representatives of the largest token-holder groups:

• One representative of the Powermine group.

• One representative of private investors

Direct holding of the participation through a local holding company controlled by said representatives, which will retain ownership until the sale of the license.

Roadmap

• Granting of the irrevocable power of attorney.

• Transfer of ownership into a local holding company controlled by two representatives of the largest token-holder groups.

• Approval of the mining exploration license.

• Conversion into an exploitation mining license.

• Sale of the Smartt Collector mining exploitation license

Upon sale, the percentage of ownership attributable to Smart Collectors will be distributed equally among all Smart Collectors token holders, in proportion to their holdings. The sale will be audited and verified.

Surveys and Next Technical Steps

The volumes currently referenced originate from satellite scanning surveys. The next technical step is to conduct geophysical surveys to confirm the mineral resources via standard geophysical surveys in order to approve the exploration mining license into an exploitation mining license.

Project Scope and Decision to Sell

Smartt Collectors does not contemplate the direct exploitation of the mine. The objective of the project is to bring the mining asset to its maximum reasonable point of valuation, which is achieved upon obtaining the exploitation license, in order to subsequently proceed with its sale.

This decision is based on the inherent operational complexity of mining exploitation, the associated ongoing costs, and the need to concentrate available resources on the completion of the project and on the fulfillment of the commitments assumed during its development.

Absence of Secondary Market and Buybacks

Smartt Collectors tokens will not be listed or traded on secondary markets, nor will they be subject to buyback mechanisms.

This configuration results from the adoption of a private model and the need to avoid any assimilation of the token to a tradable security or regulated financial instrument.

The gold and copper NFTs will not be subject to partial buybacks or collectible use. The project is strictly limited to its mining and economic dimension.

Operation of the Private Club

• Tokens represent proportional economic rights over the underlying NFTs.

• Tokens confer voting rights.

• Ownership and voting power are verifiable on-chain via corresponding wallet balances.

• Access is decentralized, transparent, and non-custodial.

• No centralized intermediation exists.

Objective and Closure of the Model

The sale of the mining exploitation license will constitute the final event of the Smartt Collectors project.

Following such sale:

• Token holders will receive their proportional share of the proceeds obtained.

• The token model will be concluded.

Final Statement

This statement clearly defines the operational, legal, and economic framework under which Smartt Collectors currently operates.

Future communications will be limited exclusively to confirmations of milestones effectively completed in accordance with the roadmap.