E Money Network and Scallop – Clarifying Structure, Roles, and Responsibilities

Introduction

The purpose of this document is to describe the corporate structure and operational framework under which E Money Network operates in relation to Scallop. It sets out the legal separation of entities, their respective roles, and the contractual basis for collaboration.

This explanation is intended to clarify ownership boundaries, regulatory responsibility, and functional scope, providing a clear reference for partners, users, and stakeholders.

Background and rationale for the structural realignment

E Money Network operates at the intersection of blockchain technology and regulated financial services. In such an environment, legal clarity and jurisdictional precision are essential. Different regions impose different regulatory requirements on e money products, payment services, digital assets, and financial infrastructure.

To ensure long term compliance, scalability, and regulatory resilience, a strategic corporate realignment was implemented. This restructuring was not driven by branding or internal hierarchy, but by the need to clearly separate regulated activities from blockchain native operations in line with international best practices.

Legal separation and independent entity status

The E Money product and its associated operational activities have been transferred to a distinct legal entity incorporated under the laws and jurisdiction of Panama. This entity operates independently and is not part of the consolidated corporate structure of the Scallop Group.

It is important to state this unambiguously. E Money Network is not a subsidiary of Scallop, nor is it an internal business unit or product line. It is a standalone organization with its own governance framework, strategic direction, and operational accountability.

The role of the Scallop Group as a regulated infrastructure partner

The Scallop Group remains focused on its core mandate as a provider of regulated financial services. This includes licensed payment processing, compliance and risk management frameworks, regulatory interfaces, and access to traditional financial rails.

Through a strategic operational partnership, E Money Network leverages this regulated infrastructure to enable compliant financial transactions for its users. In this context, Scallop does not act as an owner or controlling entity, but as an infrastructure and service provider. This distinction is deliberate and aligns with widely adopted models in the global fintech sector.

Operational collaboration without corporate consolidation

The relationship between E Money Network and Scallop is best described as a functional partnership rather than a group or holding structure. Each entity has a clearly defined scope of responsibility.

E Money Network focuses on blockchain based systems, tokenization logic, on chain execution, and user facing decentralized financial products. Scallop provides the regulated backbone that allows these products to interface with the traditional financial system in a compliant manner.

This model enables both organizations to operate independently while benefiting from tightly defined integration points, without creating regulatory overlap, ownership ambiguity, or shared liability.

Token utility and the EMYC incentive framework

The EMYC token serves as the primary utility asset within the Scallop application ecosystem. It does not represent equity, ownership, or voting rights in either Scallop or E Money Network.

Instead, EMYC is designed as a functional and incentive based asset. Token holders may access preferential benefits, enhanced service tiers, fee reductions, and other programmatic advantages linked to platform usage. The token’s role is therefore economic and operational in nature, rather than corporate or governance related.

Conclusion

E Money Network is an independent legal entity operating outside the Scallop Group. Scallop is a regulated infrastructure partner that enables compliant financial services through a clearly defined operational relationship.

This separation provides transparency, regulatory clarity, and international scalability, while allowing both organizations to focus on their respective strengths. The result is a structured and sustainable ecosystem that bridges blockchain innovation with regulated financial services, without compromising legal integrity or operational independence.