Why Monaco?
Beyond Tax Benefits: A Strategic Vision
As we contemplate the next phase of our journey, Monaco emerges as more than just a tax-friendly jurisdiction. It represents a unique confluence of opportunities that align perfectly with our vision for both personal growth and business innovation. The Principality offers a dynamic environment where entrepreneurship, art, and technology converge to create unparalleled possibilities.
Entrepreneurial Ecosystem
Monaco's reputation extends far beyond its status as a wealthy enclave. The Principality has evolved into a thriving hub for entrepreneurial activity, supported by initiatives like MonacoTech's startup program. The country hosts prestigious events such as the Monaco Private Label, attracting global investors and innovators. This ecosystem, combined with political stability and strategic location, creates an ideal environment for innovative ventures like our Bitcoin treasury initiative.
Cultural Excellence & Art Scene
Monaco's rich cultural landscape, anchored by institutions like the Nouveau Musée National and the Oceanographic Museum, offers a sophisticated environment that blends tradition with innovation. The Principality's vibrant art scene, featuring events like Art Monte-Carlo and Monaco Art Week, creates a unique atmosphere where business and culture intersect. This cultural richness adds an invaluable dimension to our business venture, positioning us within a community that values both heritage and forward-thinking initiatives.
Innovation in Finance
Monaco's progressive stance on cryptocurrency and blockchain technology aligns perfectly with our vision. The Principality's recent regulatory framework (Law No. 1.528) demonstrates its commitment to embracing financial innovation while maintaining robust compliance standards. This forward-thinking approach to digital assets creates an ideal foundation for establishing a Bitcoin-focused investment vehicle.
Quality of Life & Security
The Principality offers an unmatched quality of life, combining world-class healthcare, education, and infrastructure with exceptional security. Monaco's Mediterranean setting, pristine environment, and vibrant social scene through establishments like the Monte-Carlo Société des Bains de Mer create an attractive environment for both business operations and personal life. This stability and high standard of living are crucial factors in attracting and retaining top talent for our venture.
Strategic Network Hub
Monaco's unique position as a nexus of international business, finance, and culture provides invaluable networking opportunities. The presence of sophisticated investors, forward-thinking entrepreneurs, and a community that understands both traditional finance and digital assets makes it an ideal location for our Bitcoin treasury initiative. This environment facilitates meaningful connections and partnerships that can drive our venture's success.
Proposed Monaco Structure
Our analysis of Monaco's 2022 crypto asset framework (Law No. 1.528) reveals significant opportunities for a regulated Bitcoin treasury company. The Principality's attractive tax regime and high concentration of wealthy residents create a strong potential market for this venture.
Investment Strategy Research
Our proposed strategy involves strategic Bitcoin acquisition and management as the core corporate asset, with a disciplined approach to growing Bitcoin per share. Initial research suggests a target capitalization of $10M with potential AUM of $10M in BTC in Year 1, scaling to ~$50M within 3 years.
Governance Framework
The proposed governance structure would require a seasoned international team with backgrounds in crypto trading, institutional finance, and law. Our research outlines the necessary compliance, risk management, and custody solutions, including a Board of Directors structure and top-tier auditor.
Proposed Investment Strategy
Bitcoin Treasury Analysis
Our research suggests deploying up to 90% of capital into Bitcoin acquisition and custody, focusing on long-term appreciation. The proposed strategy includes strategic accumulation tactics through reputable OTC desks or exchanges, using dollar-cost averaging over 3-6 months to mitigate short-term price volatility risk.
Value per Share Growth
Aiming to increase the number of BTC backing each Ikigai share over time through strategic capital moves and careful treasury management. Performance metric is Bitcoin per share growth, achieved by using future profits or new capital to acquire additional BTC without proportionally diluting shares.
Risk Management
Maintaining a fiat reserve buffer (~10% of assets) to fund operations for 18-24 months, avoiding forced BTC sales in downturns. Implementing multi-signature custody solutions and ensuring robust compliance with Monaco's regulatory framework. No leverage on Bitcoin holdings to avoid margin call risk.
Financial Projections
Projected Growth Model
Based on our market research and financial modeling, we project an initial capitalization requirement of $10M targeting AUM of $10M in BTC in Year 1. The model suggests potential scaling to ~$50M within 3 years, with revenue based on a 2% annual management fee on AUM. Break-even analysis indicates sustainability by Year 3.
Growth Strategy
Clear 24-month execution plan from incorporation and licensing (Months 0-6), through capital raise and BTC deployment (Months 6-12), to scaling up investor outreach and potentially listing or expanding product offerings by Year 2. Secondary raise of $10M planned in Year 2 to accelerate growth.
Implementation Roadmap
Phase 1: Establishment (Months 0-5)
Our research outlines a clear path to establishing operations in Monaco. Initial steps include incorporating as a Société Anonyme Monégasque (SAM), securing necessary licenses under Law No. 1.528, and building our core team. We will engage with local regulators, establish banking relationships, and prepare our operational infrastructure for Bitcoin custody and management.
Phase 2: Capital Formation (Months 6-8)
Following regulatory approval, we will execute our initial capital raise targeting $10M from qualified investors. This phase includes implementing our Bitcoin acquisition strategy, establishing secure custody solutions, and beginning strategic BTC accumulation. Our research indicates a methodical approach to building our Bitcoin treasury position while maintaining necessary operational reserves.
Phase 3: Operational Excellence (Months 9-12)
This phase focuses on stabilizing operations, implementing robust reporting systems, and conducting our first security audits. We will establish relationships with Monaco's financial community, begin regular investor communications, and potentially explore yield strategies for our treasury. The goal is to demonstrate professional management and governance while building trust with stakeholders.
Phase 4: Growth & Expansion (Year 2)
Our research projects scaling to approximately $50M in assets under management within three years. Year 2 initiatives include a second capital raise, expanding our team with key hires in risk management and investor relations, and potentially exploring additional services or products. We will maintain our core focus on Bitcoin while building towards our vision of becoming a leading digital asset institution in Europe.
Risk Management & Compliance
Our research details comprehensive risk management protocols, including maintaining significant cash reserves, implementing multi-signature custody solutions, and ensuring strict compliance with Monaco's regulatory framework. We will adhere to all AML/KYC requirements under Law No. 1.528 and maintain robust security measures to protect our Bitcoin treasury.
Long-Term Vision
Beyond initial operations, our research outlines potential paths for evolution, including possible public listing, geographic expansion, and development of additional digital asset services. We aim to become a cornerstone of Monaco's crypto finance ecosystem while maintaining our core mission of providing secure, regulated Bitcoin exposure through professional treasury management.
The Bitcoin Standard Playbook
The Four-Pillar Treasury Approach
Our research has identified a comprehensive four-pillar approach to running a company on a Bitcoin standard. This framework solves the core operational challenges of protecting coins, moving value instantly, unlocking fiat liquidity, and satisfying auditors—all while maintaining sovereignty. We've identified key specialist providers that will enable this stack: Theya for custody, Sovreign for governance, River for payments, and Ledn for liquidity.
Secure Custody: Theya and Sovreign
We will implement Theya's enterprise vault solution that enables CFOs to create 2-of-3 multisig setups with SaaS-grade usability. This removes the last excuse for storing company bitcoin on exchanges while maintaining security. Paired with Sovreign's consultancy services, we'll create bespoke treasury playbooks and governance workshops to ensure our board understands multisig quorum rules, signature rotation, and proper accounting under IFRS.
Payment Rails: River Lightning Services
Our operational infrastructure will utilize River's Lightning Network services, providing flat-fee, unlimited-volume payments without requiring node operations. River's transparent financial disclosures ($60.9M corporate treasury at year-end 2024) enable us to treat them as a trusted banking partner. Our working capital strategy will maintain minimal hot wallet balances while enabling instant Lightning payments for operational needs.
Liquidity Without Sales: Ledn
To maintain our Bitcoin treasury while meeting fiat obligations, we'll leverage Ledn's Bitcoin-backed loans which provide USD liquidity without triggering taxable events. With 50% LTV and approximately 10% APR, we can access operational cash flow for payroll and expenses while preserving our Bitcoin position. Ledn's bi-annual proof-of-reserves and segregated retail loan structure provide necessary transparency and security.
Implementation Stack
Our strategy segments treasury management into distinct layers: Cold Treasury (≥80% via Theya Vaults), Operating Wallet (River Lightning for daily operations), Short-Term Liquidity (10% via Ledn), and Advisory & Governance (Sovreign). Each layer has defined policy guard-rails, including quarterly key-rotation, daily sweeps to cold storage, auto-liquidation alerts at specific LTV thresholds, and annual governance re-certification.
Risk Mitigation Framework
Our comprehensive risk management approach addresses custody concentration (offline nuclear backup), liquidity shocks (automatic top-ups at 55% LTV), regulatory flux (geofencing API layer), and vendor failure (quarterly provider risk reviews). These protocols ensure business continuity even in challenging market conditions or operational disruptions.
Playbook Rollout Timeline
Our implementation timeline includes: Q2 2025 (Theya enterprise vault pilot with 50 BTC migration), Q3 2025 (River Lightning API integration for billing and supplier payouts), Q4 2025 (first Ledn loan for payroll with IFRS compliance), and 2026 (voluntary proof-of-reserves publication). Success metrics include zero custodial exchange balances, 90% of invoices settled under 5 seconds, less than 1% treasury sold for fiat, and achieving an unqualified external audit opinion.