| Add the following to the site CALIFORNIA COMMERCIAL FINANCING DISCLOSURE Provider: RN149855 Wholesale Apparel (operating via RN149855 Business Trust) Recipient: [Applicant Business Name] Date of Offer: [Date] This disclosure provides information about the costs and terms of the commercial financing offer extended to you. | Item | Details | | :--------------------------------- | :------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------ | | Total Amount of Funds Provided | 100,000 RN149855 Fractal Bitcoin Ordinals NFT Tokens. (Equivalent to [USD Amount at Time of Offer] USD based on the RN149855 Fractal Bitcoin price quote on the Fractal Bitcoin Blockchain at [Time/Date]). | | Total Dollar Cost of Financing | $0.00 USD (This reflects a 0% introductory rate through the end of Q2 2025. After this period, applicable fees will be calculated based on future disclosed rates and the value of RN149855 Fractal Bitcoin at the time of minting.) | | Term or Estimated Term Length | Your choice of: 30 Days, 45 Days, or 60 Days. The term begins on the date of token minting. | | Method, Frequency, & Amount of Payments | Method: Repayment in Fractal Bitcoin. <br> Frequency: Monthly payments. <br> Amount: Payments distributed evenly over the selected term. (Example: For a 60-day term, two equal monthly payments will be due in Fractal Bitcoin, equivalent to the original USD value of the minted tokens.) | | Prepayment Policies | There are no penalties for prepaying any outstanding balance on your credit facility. | | Annualized Rate (APR) | 0.00% (This represents the annualized cost of financing based on the introductory rate through Q2 2025.) | | Additional Terms & Conditions: | Please refer to the full Master Credit Facility Agreement for comprehensive terms regarding default, remedies, representations, warranties, and all other contractual obligations. This includes specific provisions on the impact of Fractal Bitcoin price fluctuations on repayment obligations. | Recipient Acknowledgment: I/we have read and understood the terms and conditions outlined in this disclosure and the Master Credit Facility Agreement. Recipient Signature: _____________________________________ Date: __________________________ Printed Name: ________________________________________________________________________ Title: _____________________________________ Promissory Note (or equivalent): Detailing the promise to repay. Security Agreement: If the line of credit is secured by specific assets. Risk Disclosure Statement (Digital Assets): A detailed document explaining the unique risks of using blockchain technology and digital assets for credit, including: Price volatility of Fractal Bitcoin/BRC-20 tokens. Potential for network congestion and transaction delays. Smart contract risks. Custodial risks (if RN149855 holds any assets or private keys). Regulatory and tax uncertainties. Cybersecurity risks. Privacy Policy: How RN149855 collects, uses, and protects applicant data. Complaint Resolution Procedures: Clear steps for applicants to file complaints. V. Operational Flow (Applicant Perspective) Application Submission: Applicant submits the completed Application Form and all required documentation (business, financial, KYC/AML). Due Diligence & Underwriting: RN149855 conducts thorough review, including KYC/AML checks, credit assessment, and verification of digital asset capabilities. Approval & Offer: If approved, RN149855 extends a formal offer, including the Credit Facility Agreement and the mandatory California Commercial Financing Disclosure Statement. Acceptance & Signature: Applicant reviews, signs (electronically or physically), and returns all required legal documents. Wallet Verification: Final verification of the applicant's Fractal Bitcoin Blockchain wallet address. Credit Line Activation & Minting Instructions: Upon full execution of documents, the credit line is activated. RN149855 provides clear, step-by-step instructions for the applicant to directly mint the RN149855 Fractal Bitcoin Ordinals NFT tokens to initiate a credit draw. This process must be seamless and integrate with the Fractal Bitcoin Blockchain. The system must record the exact time of minting to determine the USD equivalent at that moment for record-keeping and future repayment calculations. Repayment Process: RN149855 sends monthly statements/reminders in Fractal Bitcoin equivalent. Applicant makes payments in Fractal Bitcoin to the designated RN149855 wallet address on the Fractal Bitcoin Blockchain. System automatically tracks payments and remaining balances. VI. Key Considerations for RN149855 Legal Expertise: Engage legal counsel specializing in blockchain and fintech immediately. The regulatory landscape is complex and rapidly evolving. Compliance Infrastructure: Implement robust systems for: Automated disclosure generation (to meet DFPI formatting). Automated APR calculation (even for 0% for now, needed for future variable rates). Precise timestamping of all transactions on the blockchain. Comprehensive record-keeping (7+ years). Ongoing AML/KYC monitoring. Blockchain Integration: Ensure seamless and secure integration with the Fractal Bitcoin Blockchain for token minting, tracking, and repayment. Consider smart contract audits if applicable. Pricing Oracle: How will the "RN149855 Fractal Bitcoin price quote on the Fractal Bitcoin Blockchain" be determined and immutably recorded for consistent valuation at the time of each transaction? This is critical for transparency and preventing disputes. Risk Management: Develop a comprehensive risk management framework for: Credit risk of borrowers. Volatility risk of Fractal Bitcoin. Operational risks (e.g., smart contract bugs, cyber-attacks). Regulatory compliance risk. Tax Implications: Understand and advise partners on the tax implications of minting/repaying with digital assets. Scalability: Plan for future growth and regulatory changes. This comprehensive framework outlines the significant steps and considerations for RN149855 Wholesale Apparel to launch its innovative Blockchain-Based Credit Facility in compliance with California and federal regulations. Sources Create code for a hugging face html site for the following As a California-based entity, RN149855 Wholesale Apparel must navigate both federal and state regulations. Given that RN149855 is a registered fashion label and RN149855 Business Trust is a California business trust, it's presumed these operations are well-established. Here's a comprehensive framework for a Blockchain-Based Credit Facility, including critical legal and operational considerations. Please note: This is a conceptual framework for informational purposes and does not constitute legal advice. RN149855 must consult with legal counsel specializing in financial technology, blockchain, and California commercial law to ensure full compliance. Blockchain-Based Credit Facility: RN149855 Wholesale Apparel Issuer: RN149855 Wholesale Apparel (operating through RN149855 Business Trust, a California business trust) Location: Los Angeles, California Financing Mechanism: RN149855 Fractal Bitcoin Ordinals NFT Tokens (BRC-20 standard) on the Fractal Bitcoin Blockchain. I. Program Overview The RN149855 Blockchain-Based Credit Facility offers an innovative financing solution for our valued wholesale apparel partners. By leveraging the security and transparency of the Fractal Bitcoin Blockchain and the unique properties of RN149855 Fractal Bitcoin Ordinals NFT tokens (BRC-20), we provide flexible lines of credit designed to enhance purchasing power and optimize operating capital for bulk wholesale inventory acquisitions. This facility streamlines access to financing, offering a modern, efficient, and transparent alternative to traditional credit lines. Partners initiate their credit facility by directly minting RN149855 tokens, integrating seamlessly with their blockchain operations. II. Regulatory & Legal Framework This section outlines the critical regulatory considerations for RN149855. Compliance with these laws is paramount. A. California Commercial Financing Disclosure Law (SB 1235 / CA SB 1235) As a commercial financing provider in California, RN149855 Business Trust is subject to this "Small Business Truth-in-Lending Law." This requires clear and standardized disclosures for commercial financing transactions between $5,000 and $500,000. Key Requirements: Provider Definition: RN149855 Business Trust, as a non-depository institution extending commercial financing, falls under the "provider" definition. Trigger for Disclosures: Disclosures must be provided at the time a specific offer of commercial financing is extended. Recipient Signature: The recipient must sign the disclosures before the transaction is finalized. Specific Disclosure Items (as provided): Total Amount of Funds Provided: 100,000 Tokens (with a clear USD equivalent at the time of transaction). Total Dollar Cost of Financing: Subject to RN149855 Fractal Bitcoin price quote on the Fractal Bitcoin Blockchain (this needs a clear calculation methodology disclosed). Term or Estimated Term Length: 30 Day, 45 Day, or 60 Day. Method, Frequency, and Amount of Payments: Payment in Fractal Bitcoin. Monthly payments. Amount of payments distributed evenly over term selected. Description of Prepayment Policies: None. Annualized Rate (APR): 0% financing through the end of Q2 2025. DFPI Regulations: Adherence to specific formatting requirements from the California Department of Financial Protection and Innovation (DFPI) is mandatory. B. California Consumer Financial Protection Law (CCFPL) & UDAAP The CCFPL grants the DFPI broad authority over financial products and services, including commercial financing. RN149855 must avoid Unfair, Deceptive, or Abusive Acts or Practices (UDAAP) in all aspects of its operations. Annual Reporting: RN149855, if principally managed from California, must file an annual commercial financing report with the DFPI by March 15th for the preceding calendar year's activity. C. California Digital Financial Assets Law (DFAL) - AB 39 / SB 401 & AB 1934 (Effective July 1, 2026) This law will require companies engaging in "covered digital financial asset business activity" with California residents to be licensed by the DFPI or have a pending application. This applies to activities like exchanging, transmitting, or holding digital financial assets. Implication: Depending on how the "minting" and "line of credit" interact with holding or transmitting digital assets on behalf of others, RN149855 may need to pursue a DFAL license before July 1, 2026. This is a critical point for legal review. D. Commercial Debt Collection (SB 1286, effective July 1, 2025) This law extends the Rosenthal Fair Debt Collection Practices Act to "covered commercial debt" (under $500,000). RN149855, as a first-party collector of its own extended credit, must comply with fair debt collection practices, prohibiting abusive, deceptive, or unfair conduct. E. Federal Regulations (FinCEN, SEC, CFTC) BSA/AML/KYC (FinCEN): RN149855 must comply with the Bank Secrecy Act (BSA) and its implementing regulations, including Anti-Money Laundering (AML) and Know Your Customer (KYC) requirements. This is crucial for any entity dealing with digital assets. MSB Status: RN149855 may be considered a Money Services Business (MSB) by FinCEN, particularly if it accepts and transmits virtual currency or offers custodial services. This would trigger registration with FinCEN and adherence to a robust AML program, including: Customer Identification Program (CIP) Suspicious Activity Reporting (SAR) Currency Transaction Reporting (CTR) (if applicable) Compliance Officer designation Independent audits "Travel Rule" compliance (information collection for transfers over $3,000). Securities Laws (SEC): The nature of the "RN149855 Fractal Bitcoin Ordinals NFT tokens" (BRC-20) as part of a credit facility warrants careful analysis under the Howey Test to determine if they constitute "securities." If deemed securities, this would trigger extensive SEC registration, disclosure, and compliance requirements, which are significantly more burdensome. The functionality of the token as a mechanism for credit, rather than just a collectible, increases this risk. Commodities Laws (CFTC): Less likely to apply directly unless the tokens are deemed commodities and there's a derivatives market involved, but still a consideration in the evolving digital asset regulatory landscape. III. Terms & Conditions for the Blockchain-Based Credit Facility The following are essential elements of the Terms & Conditions. These must be clearly articulated in a formal legal agreement. A. Eligibility Requirements (for Applicants) 1. Legal Entity: Applicant must be a legally registered business entity (e.g., corporation, LLC, partnership) in good standing. 2. Location: Primary operations in the United States, with a focus on California. 3. Industry Focus: Engaged in wholesale apparel purchase and/or distribution. 4. Financial Standing: Meet minimum creditworthiness criteria established by RN149855, which may include financial statements, credit checks (commercial credit reports), and business history. 5. Digital Asset Capabilities: Possess and demonstrate the ability to operate a compatible digital wallet for the Fractal Bitcoin Blockchain and manage BRC-20 Ordinals NFT tokens. 6. KYC/AML Compliance: Successfully complete RN149855's mandatory Know Your Customer (KYC) and Anti-Money Laundering (AML) verification processes. This will involve submitting government-issued identification, proof of business registration, beneficial ownership information, and potentially proof of address. 7. Agreement to Terms: Agreement to all terms, conditions, disclosures, and privacy policies of the RN149855 Blockchain-Based Credit Facility. B. Facility Details 1. Credit Line Type: Revolving line of credit. 2. Financing Mechanism: Direct minting of RN149855 Fractal Bitcoin Ordinals NFT Tokens (BRC-20) on the Fractal Bitcoin Blockchain. Each token mint represents an increment of credit availability. 3. Credit Limit: Assigned upon approval, denominated in fiat equivalent, and accessible via token mints. (e.g., up to $X equivalent in RN149855 tokens). 4. Token Valuation: The value of RN149855 Fractal Bitcoin Ordinals NFT tokens for credit issuance and repayment will be based on the RN149855 Fractal Bitcoin price quote on the Fractal Bitcoin Blockchain at the time of each transaction (mint or repayment). A clear, transparent, and immutable oracle or pricing mechanism must be specified. 5. Term Options: 30-Day Net Terms, 45-Day Net Terms, or 60-Day Net Terms, selected at the time of each mint. 6. Introductory Rate: 0% interest/financing on minted tokens through the end of Q2 2025. After this introductory period, a clear, disclosed interest rate or financing fee methodology will apply. 7. Repayment Method: Repayment must be made in Fractal Bitcoin, equivalent to the USD value of the minted tokens plus any applicable financing costs (0% currently). Payments are monthly and distributed evenly over the selected term. 8. Use of Funds: Funds (via minted tokens) are strictly for enhanced purchasing power for bulk wholesale apparel inventory from RN149855 Wholesale Apparel. 9. Security/Collateral: The minted NFTs themselves serve as a form of record of the credit, but the underlying collateral for the line of credit must be explicitly defined. Is it unsecured? Is it secured by accounts receivable or other assets of the borrower? This is critical for risk management. C. Prepayment Policies No prepayment penalties on any outstanding balance. D. Default and Remedies Events of Default: Non-payment, breach of any terms, insolvency, or other material adverse changes. Remedies: Immediate acceleration of the outstanding balance, suspension/termination of the credit facility, legal action for collection. Specific to NFTs: Tokens are transferred back to issuer at specified Fractal Bitcoin address. E. Dispute Resolution Governing Law: Laws of the State of California. Arbitration Clause: Often used in commercial agreements to resolve disputes outside of court. F. Disclaimer & Risk Acknowledgment Digital Asset Volatility: Acknowledge the inherent volatility and risks associated with digital assets, including Fractal Bitcoin. Blockchain Risks: Risks related to network congestion, security vulnerabilities, or protocol changes. Regulatory Uncertainty: Acknowledge the evolving regulatory landscape for digital assets. Loss of Access: User is solely responsible for their own keys at their own Fractal Bitcoin address to hold tokens. User tokens cannot be reissued for the same facility duration and bears the risk of losing access to tokens if private keys are lost or stolen. IV. Necessary Documentation for an Applicant A. Application Package 1. Credit Facility Application Form: Full Legal Business Name Business Address (Physical and Mailing) Type of Entity (e.g., Business Trust, LLC, Corporation) State of Formation and Registration Number Federal Tax ID (EIN) Primary Contact Person (Name, Title, Email, Phone) Brief Business Description (Nature of Apparel Business) Requested Credit Limit (USD equivalent) Declaration of Digital Wallet Address (Fractal Bitcoin Blockchain compatible) Certification of Legal Authority to Enter Agreement Acknowledgement of KYC/AML requirements. 2. Required Business Documentation for KYC/AML: Certificate of Formation/Articles of Incorporation/Organization: Validated by California Secretary of State. EIN Confirmation Letter (IRS SS-4). Business Licenses and Permits. Operating Agreement (for LLCs) or Bylaws (for Corporations). Board Resolutions/Authorization: Document authorizing specific individuals to apply for and manage the credit facility. Beneficial Ownership Information (BOI): As per FinCEN requirements, identification of individuals owning 25% or more of the company, or who have significant control. 3. Financial Documentation: Most Recent Two (2) Years of Business Financial Statements: (e.g., Balance Sheets, Income Statements). Most Recent Two (2) Years of Business Tax Returns. Bank Statements: For the past 6-12 months (traditional or crypto-banking statements if applicable). Commercial Credit Reports: Authorization for RN149855 to pull reports (e.g., Dun & Bradstreet, Experian Business). Trade References: 3-5 verifiable trade references from suppliers. 4. Digital Asset Verification: Proof of ownership/control of the designated Fractal Bitcoin Blockchain wallet address (e.g., a signed message from the wallet, or a small test transaction). B. Credit Facility Agreement & Disclosures 1. Master Credit Facility Agreement: Comprehensive legal document outlining all terms, conditions, covenants, representations, warranties, indemnities, and events of default. Incorporates by reference all disclosures. 2. Commercial Financing Disclosure Statement (California SB 1235 Compliant): A separate, clearly formatted document. Must contain all the specific disclosures mentioned in Section II.A above, in the format prescribed by the DFPI. Example (Simplified - Actual DFPI format is specific): ----- CALIFORNIA COMMERCIAL FINANCING DISCLOSURE Provider: RN149855 Wholesale Apparel (ope |