HNC Revolution - White Paper

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Hellenic Coin Revolution (HNC) Whitepaper
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Contents
Definition of White Paper ............................................................................................................................................................ 3
Executive Summary ...................................................................................................................................................................... 3
Blockchain Summary .................................................................................................................................................................... 4
X11: What is it exactly? ................................................................................................................................................................ 4
Dual Consensus: Proof of Work & Proof of Service ..................................................................................................................... 6
Proof of Work: What is it exactly? ............................................................................................................................................... 6
Proof of Service and Masternodes: What is it exactly? ............................................................................................................... 7
Mining .......................................................................................................................................................................................... 8
Current Landscape ....................................................................................................................................................................... 9
Advantages of Cryptocurrencies over Fiat ................................................................................................................................. 11
Disadvantages of Cryptocurrencies............................................................................................................................................ 12
Mission: to change the way everyone uses cryptocurrencies ................................................................................................... 13
Our Solution: HNC Revolution, a dual purpose cryptocurrency ................................................................................................ 13
HNC Association ......................................................................................................................................................................... 14
Usability of HNC in various sectors ............................................................................................................................................ 15
HNC Debit Card Usability Case Study ......................................................................................................................................... 15
Coinomics ................................................................................................................................................................................... 16
Roadmap 2021 ........................................................................................................................................................................... 17
A new ecosystem........................................................................................................................................................................ 19
Legal Opinion (Version 1.0) ........................................................................................................................................................ 20
Legal Disclaimer.......................................................................................................................................................................... 33

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Definition of White Paper
“A white paper (sometimes referred to as a white book) is a report or guide that informs readers concisely about a complex
issue and presents the issuing body's philosophy on the matter. It is meant to help readers either understand an issue or
solve a problem or make a decision” ( https://en.wikipedia.org/wiki/White_paper )

Executive Summary
Nowadays more and more people tend to enjoy the benefits of a cashless society. Furthermore - as security and safety
come first in terms of digital usability - the use of the Blockchain technology is inevitable. As we strongly believe in the
technological breakthrough of the cryptocurrency economy, we have created a cryptocurrency that is able to offer the
safety, the speed and the transparency of the blockchain technology as well as the usability of the conventional banking
currency.
At the moment these lines are being written more than a few thousand of cryptocurrencies already co-exist around the
global crypto-economy. We believe that a cryptocurrency should function as its name states, as a currency. We strongly
believe that it should have an even better usability than the fiat money.
HNC makes the difference in usability, in transaction speed and security. HNC has been built on state-of-the-art technology
in order to make a reality today, the future of digital means of payment.
HNC can be used as a means of payment in the global digital world. It can be the key for digital payments, including
merchant payments and cross-border currency exchanges/transfers. HNC aims to bridge the gap between traditional and
digital money. This goal will be achieved within the reward program and the earnings each customer will get back when
using the HNC Debit Card as a means of payment in the real economy. And what is the most important is that the HNC is
available to everyone – from everyday consumers to businesses of all sizes. All the above make HNC unique and
revolutionary.

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Blockchain Summary
HNC was developed in February 2015 and it is a fully decentralized peer-to-peer protocol with its own blockchain. Currently
and after its latest hardfork in 2021, its name has been changed into HNC Revolution and its blockchain has migrated to
“Proof of Service” X11 SHA3 Dash algorithm. The HNC Revolution aims to provide a fully transparent Dual Asset which
combines an extremely fast and secure alternative means of payment as well as an investment asset.
HNC Revolution open-source code will be available on “Github” within Q2 of 2021.

X11: What is it exactly?

X11 is a crypto algorithm designed in such a way that it uses a sequence of different hash functions and it aims to offer the
best possible security to cryptocurrency mining. At first, X11 was implemented into the Darkcoin protocol in 2014 (currently
known as DASH). X11 was selected and developed for DASH in order to offer better privacy, native anonymity and make the
cryptocurrency more resistant to specialized mining devices like ASICs (Application-Specific Integrated Circuits)
Unlike Bitcoin that uses the SHA-256 algorithm, X11 is not a single hash function mining algorithm. X11 combines 11
scientific hashing algorithms for the proof-of-work. This is why the processing distribution remains fair. The main idea
behind this is to make it more complex for ASICs to complete mining, thus giving the users using CPU’s and GPU’s the
chance to remain competitive. This aims to make it more resistant to centralized mining.

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How it works:
When a value is submitted, the first function produces a hash which is then submitted to the following function to produce
another hash. The X11 algorithm is comprised of the following hash functions:
1.
2.
3.
4.
5.
6.
7.
8.
9.
10.
11.

BLAKE
BLUE MIDNIGHT WISH (BMW)
Grøstl
JH
Keccak (An algorithm whose variant gave rise to SHA-3)
Skein
Luffa
CubeHash
SHAvite-3
SIMD
ECHO

All of the algorithms above were entered into the U.S National Institute of Standards and Technology (NIST) open
competition in order to develop a new hash function - SHA-3 - that was more secure than the previous generations: SHA-1
and SHA-2. Out of the 64 algorithms that were entered into the competition, all the X11 hash functions were accepted as
first-round candidates. Out of the 14 second-round candidates, all the X11 algorithms were once again accepted, with the
only following functions making it into the final 5: BLAKE, Grøstl, JH, Keccak and Skein. Keccak would then be the function
to win the competition.
In short, the involvement of these functions in what was a 5-year long competition, speaks to their security and credibility
(https://www.mycryptopedia.com/x11-algorithm-explained/ ).


Advantages of X11

A higher level of security compared to hash functions like SHA-256. This is because several hash functions are used and
not only one. This provides a higher degree of protection against attacks.
Environmentally friendlier. X11 is less demanding in terms of computing power. The mining process requires significally
less energy.
The algorithm is open to configuration to use more hash functions than the specified 11. Additional hash functions can be
added, like X13 or X17.

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Disadvantages of X11

No longer ASIC’s resistant. Although it was launched at first to be more resistant to ASIC’s mining systems, nowadays there
are several ASIC miners on the market that can offer high mining power for X11.

Dual Consensus: Proof of Work & Proof of Service
HNC - like most other cryptocurrencies - is based on a decentralized ledger for all transactions, known as a blockchain. A
blockchain is consisted by blocks. These blocks contain information about the transactions that have been verified by the
network. As in the case of Bitcoin, the network verifies the blocks through the mining process and the blockchain is secured
through a consensus mechanism known as Proof of Work. In HNC’s case, another system works simultaneously to secure
the blockchain: Proof of Service. The objective of this dual system is to capture the benefits of each different system and
combine them in order to balance the weaknesses they have.
Proof of Work: What is it exactly?
Proof of Work (PoW) is a system commonly used to prevent double-spends. It is widely used by several cryptocurrencies as
their consensus algorithm and it is a way of securing the cryptocurrency’s ledger. PoW is complex (time-consuming,
expensive) to produce and its purpose is to check if calculations were indeed conducted during creation of a new block of
cryptocurrency.
The widely known cryptocurrency Bitcoin uses the so-called "Hashcash" function as evidence of work carried out to solve
complex mathematics in order to create a new block. The difficulty for the PoW to be solved is varied in order to control
the discovery frequency of new blocks. The algorithm works in such a way that one new block is created every 10 minutes
on an average scale.
The blockchain consists of different blocks. Each block has its own hash address that derives from the information it
contains, including the hash address of the previous block (parent block). Due to the fact that the network verifies the
blocks, it is impossible to alter information in an already created block because this means that its hash would have to
change. But if its hash changes this means that also the hash of the following block in the chain has to change because it
must contain the new hash of its parent block and so on. As this is a very difficult task, this protects the blockchain from
unsanctioned access and double-spending attacks.

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Double-spending is used almost exclusively in a digital money system and it is a potential issue where the same digital
money or assets are spent to two different recipients at the same time. Basically it ensures that users aren’t spending
money that they don’t have the right to spend. If no countermeasures are taken to prevent double-spending, users have no
way to verify that the funds they have received, have not already been spent elsewhere. That would lead to the digital
currency’s collapse.

Advantages of PoW



Rewards for each valid block
It is not necessary for someone to have much computational power in order to verify that a block is valid.

Disadvantages of PoW



It is very expensive for the average user to mine in most cases
It has become a very unfriendly technique environmentally as it consumes a lot of electric power

Proof of Service and Masternodes: What is it exactly?
Certain accounts that fulfill the appropriate criteria - in terms of performance, functionality and coin ownership - can
become a masternode. In HNC’s case, every node that owns 1.000.000 HNC, has the option to become a masternode. A
masternode has a full copy of the HNC blockchain and performs tasks such as block validation, PrivateSend and InstantSend
(PrivateSend is a function that enhances user’s privacy by obscuring the origin of funds and with InstantSend the user is
able to instantly send to another wallet up to 2.000 HNCs). The masternodes will receive payments for the above
mentioned services. This whole procedure is called Proof of Service and it works simultaneously to the Proof of Work done
by miners to secure the blockchain.
Furthermore, the masternodes will have the option to vote on the governance and funding proposals of the whole project.
Due to the fact that certain business decisions have to be taken we believe that the most democratic way is to carry out a
voting process among those who have something to benefit from the project and also something to lose. As earlier said,
everyone can become a masternode as long as they fulfill the appropriate criteria. Each masternode can have one vote. If
the majority of the masternodes have a positive vote then the proposal is accepted and vice versa.

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There is a distinction between masternodes and miners. The masternodes do not mine and mining computers cannot serve
as masternodes. The miners’ power enables sending and receiving of funds as well as prevent the double - spending while
the masternodes provide the services for PrivateSend, InstantSend and the governance.
Initially 10 masternodes are going to be created on behalf of the HNC Project that will provide services for the PrivateSend,
InstantSend and governance services. The masternodes are going to be paid by the network for their services with 99% of
the block reward. The rest 1% will be paid out to the miners. With the earnings from the reward system the project will
have the option to fund certain acts such as advertising, blockchain developing, cooperation with third party companies in
order to satisfy the best interest of the project etc.

Mining
Proof of Work (PoW) & Proof of Service is the dual consensus algorithm that HNC uses. Mining is the process through which
transactions get verified and added to the public ledger - known as blockchain. Throughout the mining process miners
reward themselves with new HNCs.
When a transaction is about to be executed it gets listed among other ones that have already been submitted within a
cryptographically-protected block. So each block includes information regarding its transactions. Miners try to check the
validity of these transactions through Proof-of-Work. They solve rather complex mathematical problems passing the data
within a block through the algorithm until their collective power finds a solution. They also check incoming transactions
against previous transactions on the blockchain and - if no double-spending is detected - then the miners create and verify
the new block which contains all the new transactions and add it to HNC's existing blockchain. Each new block is then being
sent to the network’s nodes. The nodes use the miners' work in order to continue to verify and transmit transactions across
the network.
As stated earlier, 99% of the block reward from the mining process goes to the Masternodes and 1% goes to the miners.

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Current Landscape
Since its inception in 2009 the cryptocurrency market has marked a tremendous growth. Within the last 12 years the
market capitalization of all cryptocurrencies and coins has risen to $1 trillion (January 2021), easily dwarfing almost every
corporation in the “S&P 500” as well as the GDP of many countries. It is widely accepted that blockchain is world’s most
innovative technology as well as that cryptocurrencies will be defined as assets by the authorities.
Banks, corporations, funds and big investors have changed amazingly their point of view towards the cryptocurrencies and
they have become more crypto - friendly by investing huge amounts on cryptos. Governments are planning to digitalize
their fiat currencies too.
Top cryptocurrency exchanges - in terms of volume exchange - have already started to work on a regulated environment in
order to support legit services based on safety and security, providing trading pairs with fiat money as well as bank services,
like SEPA transfers and swift. Lots of such exchanges offer services such as cryptocurrency custody. Wall Street offers
futures of cryptocurrencies. Furthermore, many platforms also provide Crypto - CFDs services and many top regulated and
licensed exchanges offer the option to use margin for trading Cryptocurrencies.
Nevertheless the huge growth of bitcoin and altcoins have led to a new financial era. When Bitcoin appeared back in 2009
regulations did not exist at that time. Nowadays, governments and Central Banks have recognized the advantages of the
blockchain technology and have accepted the importance of cryptocurrencies. The global imprint of the crypto-economy is
so big that it needs to be regulated and controlled. The reason behind this is simple: everybody needs to act with safety and
if problems occur there have to be rules, so that solutions can be found.

Government regulation is inevitable
Government reactions to cryptocurrencies have ranged from aggressive to indifference with investors and speculators
cautiously monitoring international developments. Just recently Head of the International Monetary Fund (IMF) – mrs.
Christine Lagarde - stated that regulatory action upon cryptocurrencies is "inevitable“ on behalf of the international
community.

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There is an issue of inheritance
The unregulated nature of Bitcoin means that without the private keys - needed to view someone’s digital wallet - there is
no way of accessing his/her funds if they are about to pass away.

There is a Security Risk
Crypto - exchanges are digital and therefore vulnerable to hackers, operational glitches and malware.
By hacking a crypto – exchange, hackers can gain access to thousands of accounts and digital wallets where the
cryptocurrencies are stored into. One infamous example was the Mt. Gox’s hacking incident in 2014. After this hacking the
Japanese exchange stopped its operation and millions of dollars in Bitcoin were stolen.

Low Storage & Transfer Cost
Compared to the traditional banking services, cryptocurrencies have no storage cost. In the aspect of money transferring,
cryptocurrencies are safer, quicker and - most importantly - cheaper to transfer than fiat currencies.

Its division allows small transactions
You can execute the smallest portions of transactions very easily. In the case of fiat currency this is not possible.

Zero government interference
Cryptocurrencies take the form of coins and exist on distributed and decentralized ledgers. This means that
cryptocurrencies cannot be controlled by central authorities, governments or countries.

Impossible to falsify
Fraudsters cannot create fake cryptocurrencies. That is because it is a digital currency and not a paper currency, like fiat
money. Cryptocurrencies are based on blockchain technology and all the details of each and every transaction are recorded
inside the blocks of the chain.

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Utility of a coin
All cryptocurrencies face the challenge of usability in the real economy. Most of them want to be accepted as a means of
payment for goods and services. A cryptocurrency may become successful when it succeeds to be adopted by consumers
and businesses as a means of payment and exchange, thus replacing or acting parallelly to fiat money. Currently the
majority of cryptocurrencies is only traded speculatively - presenting high volatility instead of stability. Almost all of the
cryptocurrencies follow the same trend as they tend to have similar characteristics.

Advantages of Cryptocurrencies over Fiat
Transactions are irreversible
Due to the way the blockchain technology works, it is not possible to reverse a transaction or alter its characteristics. Since
there is no central authority, the transaction cannot be undone.

Payments are decentralized
No banks or central authorities take action during a transaction. This means that each individual using this decentralized
system of exchange has equal authority.

Security and anonymity
Cryptocurrencies use complex mathematics and computer engineering in order to mask the true identity and the sensitive
personal data of the user, so that the transaction may become as anonymous and secure as it can get. The users secure the
network with consensuses that also check the possibility of double-spending and prevent this incident from happening.

Low fees in transfers and transactions
If someone wants to transfer fiat money using the traditional banking system he/she has to pay the necessary fees that
each bank specifies. On the contrary, when using cryptocurrencies, the fees are very low (if not almost zero) even for very
large amounts of currencies.

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Disadvantages of Cryptocurrencies
Security issues
Cryptocurrencies are often set as the target of hackers. Several crypto - exchanges have already been the victims of such attacks
while crypto-assets worth of several millions in USD have already been stolen globally. Furthermore, multiple ICOs have gotten
breached. Nevertheless, new and enhanced cybersecurity measures are being used in order to offer protection against such
attacks.

Price Volatility
Cryptocurrencies have been widely connected and characterized as a bubble, mainly due to their price volatility. Price volatility
mainly depends on news’ events. Up until now and because of some infamous news the values of cryptocurrencies had been
driven down rapidly against the values of fiat currencies. Such events were the bankruptcy of
“Mt. Gox” in 2014 and the use of bitcoin in illegal transactions.
Other factors that affect the price volatility may be the taxation policy of a country, the high inflation of a nation and the
uncertainty about the future cryptocurrencies’ value. Furthermore, the fact that large proportions of the total outstanding float of
the currency may belong to a few holders - thus they can affect the market when they liquidate.
Of course, many investors believe that such occasions may be opportunities to invest in and earn back a profit that can be
multiplied.

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Mission: to change the way everyone uses cryptocurrencies
HNC’s unique mission is to enter into the real economy and become a well - trusted alternative means of payment for
goods and services on a global scale. HNC aims to provide a Dual purpose Asset, fully transparent, which combines an
extremely fast and secure alternative way of payment as well as an investment asset.
Additionally, HNC’s main goal is to become the catalyst of a new ecosystem bridging the digital and conventional world. By
using traditional banking methods (e.g using a Visa Debit Card) HNC aims to solve the issue of demand that all
cryptocurrencies face since their creation. HNC will create a perpetual demand day by day & year by year through its
unique business model – a challenge that no other cryptocurrency has never overcome so far.

Our Solution: HNC Revolution, a dual purpose cryptocurrency
HNC aims to exploit all the advantages that a cryptocurrency may offer while overcoming its disadvantages. The main goal
is to bridge the gap between crypto - economy and traditional fiat money, as HNC is going to serve two main purposes: To
be a globally accepted means of payment on the one hand as well as to be an investment asset on the other hand.
The following aspects will be highly taken into consideration in order for this goal to be fulfilled:


USABILITY: High usability of HNC. Simple and effective ways of using HNC with the help of latest technology
platforms



REGULATED: HNC aims to be operational in a fully regulated environment where KYC and compliance with the
upcoming laws and the general legislations are going to be of top priority. At present a legal entity is being
established, so that HNC will be able to enter into agreements with global market – leader companies in order to
succeed in its goals. The HNC Revolution Exchange Market that is going to be established and also the
Masternodes, are going to be under the new Legal Entity’s Supervision,



SECURED: Strong partnership is going to be initiated with global market – leader custodian company in order to
safely store the assets. There is a preliminary agreement with a top custody company at the moment and the
official announcements are going to take place when both sides shake hands. This agreement paves the way for
investments from institutional portfolios which are expected to be increased rapidly. We strongly believe that
without state-of-the-art security for the assets, everything may be compromised. Security comes first, not only for
every individual user but for the whole project too.



EVERYDAY USAGE: The use of a Visa Debit Card that is going to offer an everyday access and the option of paying
for goods and services with HNC. A partnership with “Excelon” (www.excelon.io ) has already been announced for
this purpose and the HNC debit card leads to a new era of crypto-payments, both for consumers and businesses at
the same time. The “Excelon” Visa Card will be available for pre-ordering on May 2021 and its shipping is going to
start on June 2021.

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REWARDS: Furthermore, reward programs are going to take place in the near future. As a big “thank you” for the
commitment every individual shows by using HNC as a means of payment, HNC will give a reward that is going to
act as an incentive for the next purchase. The HNC Visa Card loyalty policy will be funded by the HNC Revolution
Masternodes reward.



EXTRA SERVICES: Taking advantage of the benefits of X11 algorithm: PrivateSend and InstantSend services mean
that an individual will be able to transfer amounts up to 2.000 HNC instantly, enjoying the high privacy it offers.



TRADING: It is within the HNC project’s future plans to get listed in Tier 1 cryptocurrency exchanges.



ATM’S: Furthermore, it is within HNC project’s future plans to enter and be exchangeable into the Crypto - ATM
market.

Furthermore, HNC is already supported by “Coinomi” e-wallet as well as by a native e-wallet for Android & iOS which has
been developed for storing, sending & accepting HNCs.

HNC Association
Taking into consideration that more and more people tend to discover, not only the advantages of Blockchain technology,
but also the usability of cryptocurrencies, the HNC Association is going to be established in order to serve the following
needs:


To create an independent association with main goals to study, promote, expand the use of blockchain technology
in public and private sector of everyday life



To unite all those individuals who are affiliated with the blockchain technology



To expand the knowledge to newcomers who wish to get informed about blockchain technology, including
individuals and businesses from the private and the public sectors



To take initiative in social acts about using the blockchain, research and development of blockchain, using
blockchain in real economy and everyday society



To support innovations that promote the use of blockchain technology



To act in the best interest for HNC by taking critical decisions regarding its management (e.g to change the
percentage of the number of coins released each year regarding the wallets that will take part into the swap etc.)

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Usability of HNC in various sectors
One of our main concerns is to introduce HNC in various sectors, such as Tourism. Both Consumers and Merchants will be
incentivized to accept HNC as a means of payment, due to the reward program in the form of cashback. Currently
merchants who are affiliated with tourism, usually pay high fees (15-20%) to Globally well-known platforms, in order to get
listed so that they can approach more consumers. We intend to form partnerships with Market Leader Platforms, so that
they will accept HNC as a means of payment.
We propose to the merchants, to adopt HNC as an accepted means of payment and they will get a reward in the form of
cashback (thus reducing the fees they pay). The same goes for the consumers too. They will also get rewards in the form of
cashback for using HNC as a means of payment.

HNC Debit Card Usability Case Study
Perpetual demand
HNC plans to be accepted by millions of merchants on a worldwide scale. Undeniably, HNC entering into the real economy
will give a tremendous value to its investors as well as a perpetual demand will be created at the same time through its
partnerships with groups of large chain stores and Key – Accounts.
We estimate that for the year 2021 about 20.000 HNC Debit Cards are going to be issued as well as in 2022 another more
20.000 HNC Debit Cards and so on.
We assume that 30% of the total issued cards is going to be used as a means of payment in everyday life. This means that
for 2021 about 6.000 HNC Debit Cards are going to be used on a daily basis.
We also assume that each individual spends about $25 on a daily basis by using the HNC Debit Card - in today’s value about
54 HNCs where 1 HNC equals to $2,16.
According to the above assumptions a Debit Card owner spends $9.125 or 19.710 HNCs on an annual basis ($25 x 365 days
= $9.125). This means that 3.000 Debit Cards will create a total turnover of $27.375.000 or 59.130.000 HNCs.
Taking into consideration the above-mentioned numbers there is a huge potential for HNC. As individuals use their Debit
Cards they will gain more and more rewards from their purchases and so the demand for HNC will rise at the same time. In
the near future - where the loyalty program will take effect, both the consumers and the merchants will have high
incentives for using and accepting HNC as a means of payment.

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Coinomics



Total Supply: ≈ 100.000.000 HNCs



Circulating Supply: 93.000.000 HNCs



HNCs Allocation:
- 70.000.000 HNCs Revolution swapped with previous HNCs 2015 Version 1/1
- 10.000.000 HNCs collateral for 10 Masternodes (*Collateral / Masternode: 1.000.000 HNCs)
- 13.000.000 HNCs provided to the HNC Project Legal Entity. These Coins will ultimately fund all the purposes of the
project, for example the loyalty policy and the reward programs, the several deals with other Market – Leader
Companies, the developing of the blockchain, the funding of hardware - software requirements etc.
- 7.000.000 HNCs available for mining



In order to offer the highest possible stability to HNC’s price, a predesigned plan will take effect for every user who
has swapped HNC 2015 with HNC Revolution. A certain number of HNC from the total amount of the coins that are
going to be swapped, will be restricted from trading and only a predefined percentage will be available on a daily
basis for a time period of five years, according to the following pattern:

1. 1st year’s availability of HNCs for trading will be the 5% of the total swapped coins of an HNC wallet - starting on
May 17th 2021.
2. 2nd year’s availability of HNCs for trading will be the 10% of the total swapped coins of an HNC wallet - starting on
May 17th 2022.

3. 3rd year’s availability of HNCs for trading will be the 15% of the total swapped coins of an HNC wallet - starting on
May 17th 2023.

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4. 4th year’s availability of HNCs for trading will be the 25% of the total swapped coins of an HNC wallet - starting on
May 17th 2024.

5. 5th year’s availability of HNCs for trading will be the 45% of the total swapped coins of an HNC wallet - starting on
May 17th 2025.




The 5% / 365 will be automatically released on a daily basis from the HNC Revolution Exchange to each HNC wallet
and will be available to the users for the 1st year with a minimum number of 10 HNCs per day, the 10% / 365 for the
2nd year, the 15% /365 for the 3rd year, the 25% / 365 for the 4th year and the 45% / 365 for the 5th year.
Important Notice: In order to offer the highest possible security, the restricted coins will be secured to a Global
Market-Leader Custodian.

Roadmap 2021
Q1 2021






Creation of a Legal Entity for HNC’s multiple activities
Creation of HNC Revolution Exchange (HNC Markets)
Creation of HNC Association
Official release of the new HNC Website

Q2 2021







Official launching of HNC Revolution Era
Trial period of “Excelon” – HNC Debit Visa Card & its official launching
Official delivery of Legal Opinion (Version 2.0)
Co-operation with major Digital Asset Custodian
Listing on more crypto - exchanges

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Q3 2021






Cooperation with “Glafka Capital” & creation of a Crypto-fund
Completion of Security Audit
Aggressive promotion & marketing campaign in the Greek market
Focus on Tourism, Shipping sector & Retail Market
Use of HNC in more than 61.000.000 merchant locations globally

Q4 2021





EMI’s starting licensing procedure
HNC listing possibilities on major Tier - 1 Exchanges (for example “Kraken”, “Binance” etc)
Integration of HNC in the European Crypto – ATM industry
Release of Roadmap 2022

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A new ecosystem
A new ecosystem is going to be created around HNC. The fuel of this ecosystem will be HNC and it will link all intermediate
goals, in order to fulfill its ultimate goal. To create an ecosystem, where its dual nature as a means of payment and as an
investment asset will be in a balance with everyday life.

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Legal Opinion (Version 1.0)
I was asked by "Hellenic Coin" (HNC) to express an opinion on its legal standing and the current and future prospects of the
financial domain the company is participating in.

On that my opinion is the following:

Set-up and functioning of Hellenic Coin

HNC is a peer-to-peer digital currency ("crypto-currency") which enables cross-border on- line payment transactions on a
fully decentralized environment, non-subject to regulation or control. It operates as a private blockchain, using an advanced
blockchain hybrid technology protocol (Script Hybrid PoS/PoW).

HNC was established in 2015 and functions as an open-source global payment network supporting all sorts of payment
transactions executed by means of a cryptographic system that uses pairs of keys: a public key, which is publicly known and
essential for identification, and a private key, which is kept secret and is used for authentication and encryption. In order to
be used, it necessity at es the existence of a personal mobile electronic wallet, which is a mechanism to store public and
private keys and to allow users to send and receive crypto-assets and monitor their balances. Currently HNC trades - as
such or in exchange for fiat currencies or other crypto-assets - on various specialized digital platforms (crypto - exchanges),
like "p2pb2b.io", "Probit.com", "Altilly.com". More specialized digital platforms (crypto - exchanges) will support HNC
trading in the future.
The digital platforms (crypto - exchanges) are operated by a group of specialized professionals, who are not part of HNC's
team or the project from a business perspective.
HNC's public site is www.helleniccoin.com. The aims for the near future are to amplify payments via HNC, to connect with
retail firms and generally to expand its use as a digital currency.

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HNC plans to execute payments using mainly the following means:

POS Terminal Gateway: customers will send payments in HNC either from their exchange accounts or from their computer
(HNC native wallet) or from their mobile device (mobile wallet like "Coinomi") directly to a payment HNC address. POS
Terminal Gateway will display the invoice on the POS device. The customer will pay the invoice at a locked-in exchange
rate. Customer 's payment will be converted into local currency. POS Terminal Gateway will initiate bank settlement transfer into bank account in local currency - which takes place within 24 - 72 hours- or store the amount in HNC wall et.
Only blockchain (for nodes) transaction fees are to be requested.
Crypto - ATMs: Procedures have also begun for the integration of HNC in the Crypto -ATMs' field - both in the Greek and
European market - which will facilitate users to buy and sell HNC coins with ease and security. Customers will insert fiat
currencies in the slot of Crypto - ATMs, a real - time price of HNC will appear on the screen - along with the corresponding
amount of HNC coins - and then the customer will receive a receipt with the HNC address and the amount of HNC coins
printed on it.
Visa/ Mastercard: Potential integration of HNC in a Prepaid MasterCard and/or Visa, which will allow the exchange of HNC
coins into fiat currencies and vice versa within a certain Mobile application and/or its desktop edition. After the exchange,
the consumers will be able to add funds (fiat currencies) to their prepaid Mastercard / Visa and use such funds and/or
withdraw money from Banks' ATMs worldwide.

The existing institutional framework:

Crypto-assets are a type of digital assets that depend primarily on cryptology and distributed ledger technology (DLT). In
the European Union, even though there is no official or legally binding definition or classification of crypto-assets, a threetype distinction can be made: a) payment/exchange type tokens, the so-called "virtual currencies", such as Bitcoin, but also
HNC, b) investment-type tokens, which provide ownership rights and/or entitlements similar to dividends, and may or may
not qualify as "financial instruments" under the relevant EU legislation, c) "utility-type" tokens that enable access to a
specific product or service
From a legal viewpoint the crucial distinction is between crypto-assets that qualify as either "financial instruments" or as
"electronic money" and are regulated respectively by MIFID II (2014/ 65 EU) and the Electronic Money Directive (EMO 2,
2009/110 EU), and crypto-assets, considered as constituting the vast majority, falling outside above regulatory scope.
Wallet- providers, crypto-exchanges and crypto-exchange trading platforms unambiguously belong to the non-regulated
entities.

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"Financial instruments”

The crucial notion of "financial instruments" is defined in Article 4 (1) (15) of MIFID II as those "instruments specified in
section C of Annex I" therein, i.e "transferable securities", " money-market instruments", " units in collective investment
undertakings" and various derivative instrument s. Concerning crypto-assets the only relevant category would be that of
"transferable securities".

"Transferable securities" are defined, under Article 4 (1) (44) of MIFID II, as those "classes of securities which are negotiable
on the capital market" (said provision goes on by giving the examples of "shares or other securities equivalent to shares",
"bonds or other forms of securitized debt", "any other securities giving the right to acquire or sell any such transferable
securities or giving rise to cash set tlement determined by reference to transferable securities" ), with one important
exception: "instruments of payment".

Based on above definition, in order for crypto-assets to be possibly, according to MIFID and its nation •al implementation,
considered as " financial instruments", they need to be hybrid "investment-type" instrument s and not constitute pure
payment-type crypto assets. HNC, based on its characteristics described in A above, and taking into consideration that the
Greek implementation of MIFID is identical to the MIFID definition of "financial instruments", unambiguously falls in the
pure payment-type crypto-asset category.

Where crypto-assets qualify as "financial instrument s", other than MIFID II, the Prospectus Regulation (2017/1129), the
Transparency Directive (2013/50 EU), the Central Security Depository Regulation (909/2014), the Settlement Finality
Directive (98/26 EC), as well as the Market Abuse Regulation (596/2014) and the Short Selling Regulation n (236/2012)
would apply. Those rules do not, however, apply to crypto-assets falling outside such regulatory scope In the Greek legal
remit, following the introduction of the latest AML law (4734/ 20), the notions of "crypto-currencies" and "crypto-wallet
custodian" have been introduced and the supervisory authority, exclusively regarding anti-money-laundering purposes, has
been attributed to the Hellenic Capital Markets Commission (HCMC). Said Commission, by virtue of the same law, will in the
near future set into place a Register for all crypto-service providers performing in Greece.

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"£-money"

EMD 2 defines, in Article 2, "electronic money" as follows: "electronically, including magnetically, stored monetary value ...
which is accepted by a natural or legal person other than the electronic money issuer", said issuer being subsequently
defined as "entities referred to in Article 1 (1)", i.e. credit institutions, e-money institutions, post office giro institutions, the
European Central Bank and national central banks when not acting in their capacity as monetary authority and memberstates or their regional or local authorities when acting in their capacity as public authorities. From above provisions it
unambiguously emerges that the defining characteristic for entry in the electronic money remit is provision of services by
either a public authority or an authorized electronic money institution, characteristic which is clearly lacking in the case of
private crypto-assets like HNC.

For "electronic money institutions ", EMD 2 puts into place specific prudential rules, including authorization. Because they
operate as " quasi-banks", they may (by virtue of Article 6 of the

EMO 2), in addition to issuing electronic money, provide payment serv ices, grant credit related to payment services, assure
closely related ancillary activities in respect of the issuing of electronic money or the provision of payment services and
execute other related business activities -all of which do not apply and are not allowed for pure-payment crypto- assets.

"Unregulated" Crypto -Assets

Crypt o-assets outside the scope of above EU rules, operate legally under the proportionality principle governing the
financial sector: what is not forbidden is allowed under the general rules of competition, level-playing field, respect of the
rule-of law. Regulatory authorities may decide to ban or restrict use of " national “crypto-currencies, but only when a
breach of law has taken place (regarding, for example, anti-money-laundering obligations) or a systemic risk is being
considered as having taken place or as imminent. Otherwise, national regulators allow such activities, possibly providing
instructions or clarifications on how they may take place within a particular jurisdiction.

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"Unregulated" Crypto -Assets

Crypt o-assets outside the scope of above EU rules, operate legally under the proportionality principle governing the
financial sector: what is not forbidden is allowed under the general rules of competition, level-playing field, respect of the
rule-of law. Regulatory authorities may decide to ban or restrict use of " national “crypto-currencies, but only when a
breach of law has taken place (regarding, for example, anti-money-laundering obligations) or a systemic risk is being
considered as having taken place or as imminent. Otherwise, national regulators allow such activities, possibly providing
instructions or clarifications on how they may take place within a particular jurisdiction.

Another important tool used by national regulators are the so-called "sandboxes", whereby innovative financial technology,
including crypto-asset technology, may be tested in a protected, but not regulated, environment under the auspices of
public authorities. In the Greek financial environment such a "sandbox" exists within the Bank of Greece.
Currently there is no EU definition of what constitutes a crypto-asset, nor is it clear how the existing financial services
regulatory framework applies: the only existing " rule" is a case-by-case examination based on above unofficial types of
crypto-assets, the characteristics of each one of the assets used and possibly national laws and implementations of relevant
EU directives. Bespoke national regimes to regulate crypto-assets are permitted and have in some cases been put into place
(f. ex. Malt a) or are being considered. Greece has no bespoke legislation or known plans to impose one.

All in all, the crypto-asset field is not only known and tolerated in the EU, but also monitored for the sake of financial
freedom and customer protection. As of 2018, with the FinTech Action Plan, the European Commission admitted the
existence and the importance of innovative business models, including crypto-assets and plat forms, and paved the way for
a common typology and a common regulatory approach. ESMA, the EU financial markets regular or, has issued, as already
mentioned, advice on "Initial Coin Offerings and Crypto- assets", recognizing the validity and the importance of cryptoassets, highlighting the challenges market participants and regulators face in determining if, and how, existing regulatory
frameworks apply to crypto-assets and concluding that the great majority of operating crypto-asset s currently fall outside
the regulatory remit.

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On the global scene, the Financial Stability Forum (FSB) has issued a "Final report and High- Level Recommendations on
Regulation, Supervision and Oversight of Global Stablecoin Arrangements, setting out the main rules of their operation and
supervision-“functional basis” and “proportionality to their risks” -, reiterating the most jurisdictions do not currently
possess specific regulatory regimes and strongly advocating a regulated approach.

Because of lack of clear rules and also because of the risks (use for fraudulent reasons, market integrity and financial
stability, consumer lack of understanding, operational deviations, secondary market trading, safekeeping, risks stemming
from the underlying technology) that may be encountered by the use of crypto-assets under the existing regime, currently
the discussion in the EU is whether for reasons of legal certainty, facilitation of crypto-asset transactions and harmonization
of their operating mode a regulatory approach at EU lev el is required (see under C below).

AML Rules

Considering the very important aspect of money-laundering, since October 2019 the Financial Action Task Force (FATF),
which is the global standard-setter in that field, has made it clear that both global "stablecoins", including crypto-assets,
and their service providers,would be subject to FATF standards and fall within the scope of anti-money laundering controls.
This principle has been included on FATF's Report to the G-20 and enshrined in the existing anti-money -laundering
Directive (2018/843 EU), t hu s making abidance to anti - laundering rules a prerequisite for the legal operation of c1yptoassets and crypto-asset platforms. In most EU and international jurisdictions, including Greece (via law 4734/2020, as
already mentioned), national anti-AML legislat ion covers crypto-assets and crypto-platforms.

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.
The US Market

Crypto-currency does not constitute a legal tender in the US but its sale is legal in most of the States and the price is
determined by the supply and demand in the crypto-currency market. The sale of crypto-currencies, similarly to the EU
model, is only regulated if it either constitutes sale of a security under State or Federal law (such determination being
affected on a case-by-case basis), or is considered money transmission under State law or money- service business und er
Federal law.

There is no formal rule-making or uniform definition of crypto-currency at Federal level, though both the Securities and
Exchange Commission (SEC) and the Commodities and Futures Trading Commission (CFTC) have some statutory authority to
oversee crypto- currencies, if they fall under the categories of "securities" and "commodities" respectively. The Internal
Revenue Service (IRS), on behalf of the Department of Treasury, and the Financial Crime Enforcement Network (FinCEN)
also act as supervisors for taxation and anti - money laundering purposes, respectively.

At St at e level there is a variety of approaches. There are States favorable to crypto- currencies, like Wyoming, which is
considered the most crypt o-friendly in the US; Colorado, which passed a bill exempting crypto-currencies from State
.
securities regulations; Ohio, which accepts taxes being paid in crypto-currencies; Oklahoma, which passed a bill authorizing
the use of crypto-currencies. On the opposite side one may find States like Iowa, which has prohibited the use of cryptocurrencies; or Maryland and Hawaii, which have emitted warnings regarding the use of crypto- currencies. New York stands
at the middle having eased restrictions on the use of crypto-currencies and particularly facilitating firms obtaining a Bitcoin
license.
,

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The (Planned) Road Ahead

On the 24th of September 2020, the European Commission unveiled an official proposal fora
Regulation of the European Parliament and the Council on "Markets in Crypto-Assets"
(MICA). Above proposal benefited from extensive studies and consultation with market
participants and has been based, other than the already mentioned FSB, OSCO and ESMA
advise, on work carried out by the "EU Blockchain Observatory and Forum" as well as a
quantity of reports, surveys, position papers and other relevant documents drawn up by
private and public stakeholders.

MICA

Taking the initiative to provide for a specific framework to regulate currently out-of-scope
crypto-assets as well as crypto-asset service providers (CASPs), the EU has moved to
introduce new rules, within four years (2024), for the use of blockchain and crypto-assets.
The importance of the initiative is important and threefold:

The crypto-asset environment and use of its tools is hitherto not only tolerated, but
encouraged: in the Explanatory Memorandum to the Proposal, the Commission makes
explicit references to the EU " enabling the uptake of the distributed ledger technology (DLT)
and crypto-assets in the financial sector" and to crypto-assets' "fully reaping the benefits of
the internal market",
The approach is comprehensive: MICA is part of a broader Digital Finance Package; the legal
instrument of a Regulation is chosen in order to promote the highest degree of
harmonization and to make it possible to provide services under identical conditions across
the EU; the four general objectives (legal certainty, support of innovation, consumer and
investor protection , financial stability) are broad and all- encompassing; association and
consistency is sought with existing policy provisions in the financial services area and with
other Union policies; the scope of the proposal is wide,
The move is not theoretical but closely linked to the new economic and financial realities:
"new customers should be allowed to start using the new financial services quickly", "the
principle of passporting and one-stop shop licensing should apply to all areas which hold a
strong potential for digital finance, "instant payments should become the new normal by the
end of 2021".

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MICA, which may be thought of as "a MIFID of the crypto-world", will provide definitions on
what constitutes a crypto-asset as well as various sub-categories. It will lay down rules for a
single licensing regime, crypto-asset services (custody and administration of crypto -assets,
operation of trading platforms for crypto-assets, exchange of crypto-asset s for fiat currency,
exchange of crypto-assets for other crypto-assets, execution of orders for crypto-assets,
placing of crypto-assets, providing advice on crypto-assets), operating conditions, digital
asset custody, capital requirements, the relationship between token issuers and token
holders and the supervisory regime.
In the proposal, crypto-assets are defined as "a digital representation of value or rights which
may be transferred and stored electronically, using distributed ledger technology or similar
technology". Three crypto-asset types are acknowledged: " utility tokens", issued with nonfinancial purposes to digitally provide access to an application, service or resource available
on DLT networks; "asset-referenced tokens", referencing several currencies that are legal
tender, or commodities, or crypto-assets, or a basket of such assets, and subsequently acting
as a means of payment or buy goods and services and act as store of value; and "e-money
tokens", crypto-assets with a stable value based on only one fiat currency and aiming to
function similarly to electronic money.
In order to provide crypto-asset services, companies shall need to receive prior authorization
from competent member-state bodies, which shall be valid across the EU. Depending on
their size and associated risk, service providers (CASPs), having a registered office in a
member-state of the EU, will have to fulfill additional requirements pertaining to capital,
governance model, staff training, insurance coverage, adequate asset separation,
safekeeping of funds, business structure, management qualifications and more. Just as
traditional financial instruments need to issue a Prospectus in order to sell securities to the
public, issuers of crypto-assets will be required to publish a "white paper" containing the core
information, although a "light-touch regime", with less bureaucracy and obligations, will be
provided for small issuers.

Prohibitions and requirements to prevent market-abuse are being put into place. While
MICA does not directly address Anti-Money Laundering (AML) and Combatting Financing of
Terrorism (CFT) risks, the link is rendered explicit by a provision referencing "contribution to
the objective of combating money-laundering and the financing of terrorism ". References to
the work and recommendations of FATF are added, as well as the obligation of any list of
crypto-asset serv ices to encompass virtual asset services likely to raise money-laundering
concerns as identified by FATF. Oversight will be carried out by national competent
authorities, unless it is of large scale, in which case the Commission proposes oversight by
the European Banking Authority (EBA). Thresholds for qualification of the scale are to be
determined by delegated legislat ion but, according to the proposal, must not be lower than
2 million customers, 1 bn euros value or market capitalization, 500.000 transactions/10 m
euros transactions per day, 1 bn euros in reserve assets and use in seven or more memberstates).

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"Digital Euro"

Almost in parallel with the MICA proposal, a second and complementary EU initiative of the
outmost importance has been launched: by its October 2020 " Report on a digital euro", the
European Central Bank {ECB) also took stock of the evolution of the crypto-asset world and
paved the way for the issuance of a central bank digital currency (CBDC). Although the
introduction of a " digit al euro" needs further examination and is not meant to predetermine
or change the course of the " private " crypto-assets regime, the ECB also participates in the
same conceptual evolution. Just like the advent of MICA, the " arrival of a central-bank issued
digital currency is a matter of when, not if and will undoubtedly further boost acceptance,
use and penetration of crypto-assets in the financial world.

As said in the Report, the ECB has "a legal duty to ensure that payments systems work
smoothly and to support the general economic policies of the Union". Moreover, the Report
makes explicit references to the "digital euro" offering the best available technology to meet
the "market's need for programmability". The digital euro will be designed to accompany and
facilitate digital transactions, digital contracts, digital money and in general a digital
economy, thus naturally enforcing the use of crypto-assets. The effort is both didactic and
path-breaking.
The ECB is not the sole central bank or the precursor of such initiatives. The Central Bank of
China has expanded a trial run of a "crypto-yuan" and uses it as a method of payment for
certain public employees. Thai central bank has recently (5 October 2020) issued a large
amount of government bonds on IBM blockchain. The Centra l Bank of Sweden is working
towards full digitalization. The Banque de France was ready, before covid-19 arrived, to test
securitized lines for digital payments. The Bank of International
Settlements has calculated that 80% of world central banks are engaged on research for
digital currencies and use of crypto-assets.

.

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The Global Trend

As the financial world is moving towards digitalization, the use of crypto-currencies is
spreading. There are over 60 crypto-exchange-platforms in Greece and crypto-currencies are
being accepted by over 100 firms at the present moment. The numbers are much higher all
over the EU. The US market, totally unregulated and with State divergences, is both booming
and in need of harmonization. The crypto-currency market has seen its fastest growth in Asia
in 2020, with more and more Asian countries opening the door for crypto-currencies: Japan is
already a crypto-currency heaven having legalized crypto-currencies in 2017; China passed
the first ever crypto-law effective from January 2020; Singapore has crafted a comprehensive
crypto-currency regulatory policy named "Payment Services Act"; the Indian Supreme Court
has, at the beginning of 2020, issued a rule lifting a two-year ban on banks facilitating cryptoexchange which has immediately led to a rise of 5% in the crypto industry.
The regulatory stance is keeping pace with the market evolution. Crypto-currencies are not
only accepted but encouraged world-wide, with a view to facilitating the use of cryptocurrencies, ensuring the most adequate level of customer and investor protection and
tackling the use for illegal purposes. The future is now.

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Conclusions and Way Forward

From above framework and analysis, it may be surmised that:

A) Hellenic Coin (HNC} may be considered as a crypto-asset ("asset-referenced token"
according to the proposed MICA typology) legally operating like similar assets in the EU and
internationally,

B) Because of the fact that HNC does not constitute either a "financial instrument" under
MIFID, or "e-money", under the EMD, nor is there a bespoke Greek regime governing its use,
it falls outside the existing regulatory remit,
C) The tendency towards not only accepting but comprehensively regulating crypto- assets in
the EU is unequivocal, as attested by reports from major supervisors (ECB, ESMA, EBA, OSCO)
and by the official proposal (MICA) being put forward to that effect,

D) This evolution entails a considerable "first-mover advantage": assets, firms and service
providers which will already be in place and operating when the new regulator; framework is
put into effect will be the beneficiaries of that evolution business-wise and supervision-wise,

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E) The Greek digital market is underdeveloped, Greece ranking third from the bottom in the
European Commission technological enhancement list. On the other hand, the need of
digitalization and use of crypto-assets is acute and rendered even more pressing by the
problems encountered by "traditional" finance and payments with the advent of covid-19.
Cryptocurrencies are seen as more modern, thus attractive to the younger and more dynamic
customers, they may provide alternatives to the current, and seemingly exhausted, financial
system and they also constitute a form of resistance or bypass of an economy generally seen
as mired in debt and corruption. For all those reasons, "crypto-players" well organized and
with structures already in place stand to greatly benefit from the evolving situation,

F) As a consequence of the above, and given that HNC has expressed the wish to expand and
deepen its ties with the "real economy" following the crypto-currency regulatory and
business evolutions at the international and domestic level, such expansion, at the current
phase, would benefit from participation in an already authorized entity, especially an emoney entity (according to MICA e-money tokens will be treated very similarly to e-money),
or generally from collaboration with already operating platforms and entities. It would thus
be in an ideal position to reap the benefits of the digital revolution, which has already
started.
Athens, 25 November 2020

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Legal Disclaimer
Please read carefully this section and the following sections entitled:

“DISCLAIMER OF LIABILITY”
“ΝΟ REPRESENTATIONS AND WARRANTIES BY HNC”
"REPRESENTATIONS AND WARRANTIES BY YOU”
“CAUTIONARY NOTE ON FORWARD - LOOKING STATEMENTS”
“NO ADVICE”
“RESTRICTIONS ON DISTRIBUTION AND DISSEMINATION”
“NO OFFER OF SECURITIES OR REGISTRATION”
“RISKS AND UNCERTAINTIES”

If you are in doubt as to the action you should take you should consult your legal, financial,
tax or other professional advisor(s).

The HNC coins (collectively the "Coins") - as defined in the White Paper - are not intended to
constitute securities in any jurisdiction. This White Paper does not constitute a prospectus or
offer document of any sort and it is not intended to constitute an offer of securities or a
solicitation for investment in securities in any jurisdiction.
This White Paper does not either constitute or form part of any opinion or any advice to sell
or any solicitation of any offer of HNC neither to purchase any coin or any part of it nor the
fact of its presentation forms the basis of - or be relied upon in connection with - any
contract or coin’s purchase decision.
No person is bound to enter into any contract or binding a legal commitment in relation to
the sale and purchase of the coins and no cryptocurrency or other form of payment is to be
accepted based on this White Paper.
Any agreement, as between the distributor and you as a purchaser, and in relation to any
sale and purchase of the coins - as referred to in this White Paper - is to be governed by only
a separate document setting out the terms and conditions ("T&Cs") of such agreement. In
the event of any inconsistencies between the T&Cs and this White Paper the former shall
prevail.

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No regulatory authority has examined or approved of any of the information set out in this
White Paper. No such action has been or will be taken under the laws, regulatory
requirements or rules of any jurisdiction. The publication, distribution or dissemination of
this White Paper does not imply that the applicable laws, regulatory requirements or rules
have been complied with.

DISCLAIMER OF LIABILITY

To the maximum extent permitted by the applicable laws, regulations and rules HNC and/or
its affiliates shall not be liable for any indirect, special, incidental, consequential or other
losses of any kind, in tort, contract or otherwise - including but not limited to loss of revenue,
income or profits, and loss of use or data - arising out of or in connection with any
acceptance of or reliance on this White Paper or any part thereof by you.

NO REPRESENTATIONS & WARRANTIES BY HNC

HNC does not make or purport to make - and hereby disclaims - any representation, warranty
or undertaking in any form whatsoever to any entity or person, including any representation,
warranty or undertaking in relation to the truth, accuracy and completeness of any of the
information set out in this White Paper.

REPRESENTATIONS & WARRANTIES BY YOU

By accessing and/or accepting possession of any information in this White Paper or such part
thereof - as the case may be - you represent and warrant to HNC and/or its affiliates as
follows:

A. You agree and acknowledge that the coins do not constitute securities in any form in any
jurisdiction;

B. You agree and acknowledge that this White Paper does not constitute a prospectus or
offer document of any sort and it is not intended to constitute an offer of securities in any
jurisdiction or a solicitation for investment in securities and you are not bound to enter into
any contract or binding legal commitment and no cryptocurrency or other form of payment is
to be accepted on the basis of this White Paper;

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C. You agree and acknowledge that no regulatory authority has examined or approved of the
information set out in this White Paper, no action has been or will be taken under the laws,
regulatory requirements or rules of any jurisdiction and the publication, distribution or
dissemination of this White Paper to you does not imply that the applicable laws, regulatory
requirements or rules have been complied with.

D. You agree and acknowledge that this White Paper, the undertaking and/ or the completion
of the coin sale or future trading of the coins on any cryptocurrency exchange shall not be
construed, interpreted or deemed by you as an indication of the merits of HNC, its affiliates,
the coins and the coin sale.

E. The distribution or dissemination of this White Paper or any copy thereof or acceptance of
the same by you is not prohibited or restricted by the applicable laws, regulations or rules in
your jurisdiction and where any restrictions in relation to possession are applicable you have
observed and complied with all such restrictions at your own expense and without liability to
HNC and/or its affiliates.

F. You agree and acknowledge that in the case you wish to purchase the coins these are NOT
to be construed, interpreted, classified or treated as: (I) any kind of currency other than
cryptocurrency (II) debentures, stocks or shares issued by any person or entity (whether HNC
and/or its affiliates), rights, options or derivatives in respect of such debentures, stocks or
shares (III) units in a collective investment scheme (IV) units in a business trust (V) derivatives
of units in a business trust or (VI) any other security or class of securities.

G. You have a basic degree of understanding of cryptocurrencies, blockchain based software
systems, cryptocurrency wallets or other related coin - storage mechanisms, blockchain
technology and smart contract technology.

H. Υou are fully aware and understand that in the case you wish to purchase the Coins there
are risks associated with HNC and its affiliates, their respective business and operations, the
coins and the coin sale.

I. You agree and acknowledge that neither HNC nor its affiliates are liable for any indirect,
special, incidental, consequential or other losses of any kind, in tort, contract or otherwise
(including but not limited to loss of revenue, income or profits, and loss of use or data),
arising out of or in connection with any acceptance of or reliance on this White Paper or any
part thereof by you and all of the above representations and warranties are true, complete,
accurate and non - misleading from the time of your access to and/or acceptance of
possession this White Paper or any part thereof - as the case may be.
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CAUTIONARY NOTE ON FORWARD LOOKING STATEMENTS

This White Paper may contain certain forward-looking statements including - but not limited
to - statements as to future operating results and plans that involve risks and uncertainties.
We use words such as "expects”, "anticipates“, "believes“, "estimates" - the negative of
these terms and similar expressions in order to identify forward looking statements. Such
forward-looking statements involve known and unknown risks, uncertainties and other
factors which may cause the actual results, performance or achievements of the HNC, its
affiliates and/or the HNC Association to differ materially from any future results,
performance or achievements expressed or implied by those projected in the forwardlooking statements for any reason

NO ADVICE

No information in this White Paper should be business, legal, financial or tax advice regarding
HNC, its affiliates, the HNC Association, the coins and the coin sale. You should consult your
own legal, financial, tax or other professional adviser regarding HNC, its affiliates and/or the
HNC Association and their respective businesses and operations, the coins and the coin sale.
You should be aware that you may be required to bear the financial risk of any purchase of
the coins for an indefinite period.

RESTRICTIONS ON DISTRIBUTION AND DISSEMINATION

The distribution or dissemination of this White Paper or any part thereof may be prohibited
or restricted by the laws, regulatory requirements and rules of any jurisdiction. In the case
where any restriction applies you are to inform yourself about and to observe any restrictions
which are applicable to your possession of this White Paper or such part thereof - as the case
may be - at your own expense and without liability to HNC, its affiliates and/or the HNC
Association. Persons to whom a copy of this White Paper has been distributed or
disseminated, provided access to or who otherwise have the White Paper in their possession
shall not circulate it to any other persons, reproduce it or otherwise distribute this White
Paper or any information contained herein for any purpose whatsoever nor permit or cause
the same to occur.

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NO OFFER OF SECURITIES OR REGISTRATION

This White Paper does not constitute a prospectus or offer document of any sort and is not
intended to constitute an offer of securities or a solicitation for investment in securities in
any jurisdiction. No person is bound to enter into any contract or binding legal commitment
and no cryptocurrency or other form of payment is to be accepted on the basis of this White
Paper. Any agreement in relation to any sale and purchase of the coins is to be governed by
only the T&Cs of such agreement and no other document. In the event of any inconsistencies
between the T&Cs and this White Paper, the former shall prevail.
No regulatory authority has examined or approved of any of the information set out in this
White Paper. No such action has been or will be taken under the laws, regulatory
requirements or rules of any jurisdiction. The publication, distribution or dissemination of
this White Paper does not imply that the applicable laws, regulatory requirements or rules
have been complied with.

RISKS AND UNCERTAINTIES

Prospective purchasers of the coins should carefully consider and evaluate all risks and
uncertainties associated with HNC, its affiliates, the HNC Association and their respective
businesses and operations, the coin and the coin Sale, all information set out in this White
Paper and the T&Cs prior to any purchase of the coins. If any of such risks and uncertainties
develops into actual events, the business, financial condition, results of operations and
prospects of HNC, its affiliates and/or the HNC team could be materially and adversely
affected. In such cases you may lose all or part of the value of the coins.

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Contents
Definition of White Paper ............................................................................................................................................................ 3
Executive Summary ...................................................................................................................................................................... 3
Blockchain Summary .................................................................................................................................................................... 4
X11: What is it exactly? ................................................................................................................................................................ 4
Dual Consensus: Proof of Work & Proof of Service ..................................................................................................................... 6
Proof of Work: What is it exactly? ............................................................................................................................................... 6
Proof of Service and Masternodes: What is it exactly? ............................................................................................................... 7
Mining .......................................................................................................................................................................................... 8
Current Landscape ....................................................................................................................................................................... 9
Advantages of Cryptocurrencies over Fiat ................................................................................................................................. 11
Disadvantages of Cryptocurrencies............................................................................................................................................ 12
Mission: to change the way everyone uses cryptocurrencies ................................................................................................... 13
Our Solution: HNC Revolution, a dual purpose cryptocurrency ................................................................................................ 13
HNC Association ......................................................................................................................................................................... 14
Usability of HNC in various sectors ............................................................................................................................................ 15
HNC Debit Card Usability Case Study ......................................................................................................................................... 15
Coinomics ................................................................................................................................................................................... 16
Roadmap 2021 ........................................................................................................................................................................... 17
A new ecosystem........................................................................................................................................................................ 19
Legal Opinion (Version 1.0) ........................................................................................................................................................ 20
Legal Disclaimer.......................................................................................................................................................................... 33

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Definition of White Paper
“A white paper (sometimes referred to as a white book) is a report or guide that informs readers concisely about a complex
issue and presents the issuing body's philosophy on the matter. It is meant to help readers either understand an issue or
solve a problem or make a decision” ( https://en.wikipedia.org/wiki/White_paper )

Executive Summary
Nowadays more and more people tend to enjoy the benefits of a cashless society. Furthermore - as security and safety
come first in terms of digital usability - the use of the Blockchain technology is inevitable. As we strongly believe in the
technological breakthrough of the cryptocurrency economy, we have created a cryptocurrency that is able to offer the
safety, the speed and the transparency of the blockchain technology as well as the usability of the conventional banking
currency.
At the moment these lines are being written more than a few thousand of cryptocurrencies already co-exist around the
global crypto-economy. We believe that a cryptocurrency should function as its name states, as a currency. We strongly
believe that it should have an even better usability than the fiat money.
HNC makes the difference in usability, in transaction speed and security. HNC has been built on state-of-the-art technology
in order to make a reality today, the future of digital means of payment.
HNC can be used as a means of payment in the global digital world. It can be the key for digital payments, including
merchant payments and cross-border currency exchanges/transfers. HNC aims to bridge the gap between traditional and
digital money. This goal will be achieved within the reward program and the earnings each customer will get back when
using the HNC Debit Card as a means of payment in the real economy. And what is the most important is that the HNC is
available to everyone – from everyday consumers to businesses of all sizes. All the above make HNC unique and
revolutionary.

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Blockchain Summary
HNC was developed in February 2015 and it is a fully decentralized peer-to-peer protocol with its own blockchain. Currently
and after its latest hardfork in 2021, its name has been changed into HNC Revolution and its blockchain has migrated to
“Proof of Service” X11 SHA3 Dash algorithm. The HNC Revolution aims to provide a fully transparent Dual Asset which
combines an extremely fast and secure alternative means of payment as well as an investment asset.
HNC Revolution open-source code will be available on “Github” within Q2 of 2021.

X11: What is it exactly?

X11 is a crypto algorithm designed in such a way that it uses a sequence of different hash functions and it aims to offer the
best possible security to cryptocurrency mining. At first, X11 was implemented into the Darkcoin protocol in 2014 (currently
known as DASH). X11 was selected and developed for DASH in order to offer better privacy, native anonymity and make the
cryptocurrency more resistant to specialized mining devices like ASICs (Application-Specific Integrated Circuits)
Unlike Bitcoin that uses the SHA-256 algorithm, X11 is not a single hash function mining algorithm. X11 combines 11
scientific hashing algorithms for the proof-of-work. This is why the processing distribution remains fair. The main idea
behind this is to make it more complex for ASICs to complete mining, thus giving the users using CPU’s and GPU’s the
chance to remain competitive. This aims to make it more resistant to centralized mining.

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How it works:
When a value is submitted, the first function produces a hash which is then submitted to the following function to produce
another hash. The X11 algorithm is comprised of the following hash functions:
1.
2.
3.
4.
5.
6.
7.
8.
9.
10.
11.

BLAKE
BLUE MIDNIGHT WISH (BMW)
Grøstl
JH
Keccak (An algorithm whose variant gave rise to SHA-3)
Skein
Luffa
CubeHash
SHAvite-3
SIMD
ECHO

All of the algorithms above were entered into the U.S National Institute of Standards and Technology (NIST) open
competition in order to develop a new hash function - SHA-3 - that was more secure than the previous generations: SHA-1
and SHA-2. Out of the 64 algorithms that were entered into the competition, all the X11 hash functions were accepted as
first-round candidates. Out of the 14 second-round candidates, all the X11 algorithms were once again accepted, with the
only following functions making it into the final 5: BLAKE, Grøstl, JH, Keccak and Skein. Keccak would then be the function
to win the competition.
In short, the involvement of these functions in what was a 5-year long competition, speaks to their security and credibility
(https://www.mycryptopedia.com/x11-algorithm-explained/ ).


Advantages of X11

A higher level of security compared to hash functions like SHA-256. This is because several hash functions are used and
not only one. This provides a higher degree of protection against attacks.
Environmentally friendlier. X11 is less demanding in terms of computing power. The mining process requires significally
less energy.
The algorithm is open to configuration to use more hash functions than the specified 11. Additional hash functions can be
added, like X13 or X17.

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Disadvantages of X11

No longer ASIC’s resistant. Although it was launched at first to be more resistant to ASIC’s mining systems, nowadays there
are several ASIC miners on the market that can offer high mining power for X11.

Dual Consensus: Proof of Work & Proof of Service
HNC - like most other cryptocurrencies - is based on a decentralized ledger for all transactions, known as a blockchain. A
blockchain is consisted by blocks. These blocks contain information about the transactions that have been verified by the
network. As in the case of Bitcoin, the network verifies the blocks through the mining process and the blockchain is secured
through a consensus mechanism known as Proof of Work. In HNC’s case, another system works simultaneously to secure
the blockchain: Proof of Service. The objective of this dual system is to capture the benefits of each different system and
combine them in order to balance the weaknesses they have.
Proof of Work: What is it exactly?
Proof of Work (PoW) is a system commonly used to prevent double-spends. It is widely used by several cryptocurrencies as
their consensus algorithm and it is a way of securing the cryptocurrency’s ledger. PoW is complex (time-consuming,
expensive) to produce and its purpose is to check if calculations were indeed conducted during creation of a new block of
cryptocurrency.
The widely known cryptocurrency Bitcoin uses the so-called "Hashcash" function as evidence of work carried out to solve
complex mathematics in order to create a new block. The difficulty for the PoW to be solved is varied in order to control
the discovery frequency of new blocks. The algorithm works in such a way that one new block is created every 10 minutes
on an average scale.
The blockchain consists of different blocks. Each block has its own hash address that derives from the information it
contains, including the hash address of the previous block (parent block). Due to the fact that the network verifies the
blocks, it is impossible to alter information in an already created block because this means that its hash would have to
change. But if its hash changes this means that also the hash of the following block in the chain has to change because it
must contain the new hash of its parent block and so on. As this is a very difficult task, this protects the blockchain from
unsanctioned access and double-spending attacks.

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Double-spending is used almost exclusively in a digital money system and it is a potential issue where the same digital
money or assets are spent to two different recipients at the same time. Basically it ensures that users aren’t spending
money that they don’t have the right to spend. If no countermeasures are taken to prevent double-spending, users have no
way to verify that the funds they have received, have not already been spent elsewhere. That would lead to the digital
currency’s collapse.

Advantages of PoW



Rewards for each valid block
It is not necessary for someone to have much computational power in order to verify that a block is valid.

Disadvantages of PoW



It is very expensive for the average user to mine in most cases
It has become a very unfriendly technique environmentally as it consumes a lot of electric power

Proof of Service and Masternodes: What is it exactly?
Certain accounts that fulfill the appropriate criteria - in terms of performance, functionality and coin ownership - can
become a masternode. In HNC’s case, every node that owns 1.000.000 HNC, has the option to become a masternode. A
masternode has a full copy of the HNC blockchain and performs tasks such as block validation, PrivateSend and InstantSend
(PrivateSend is a function that enhances user’s privacy by obscuring the origin of funds and with InstantSend the user is
able to instantly send to another wallet up to 2.000 HNCs). The masternodes will receive payments for the above
mentioned services. This whole procedure is called Proof of Service and it works simultaneously to the Proof of Work done
by miners to secure the blockchain.
Furthermore, the masternodes will have the option to vote on the governance and funding proposals of the whole project.
Due to the fact that certain business decisions have to be taken we believe that the most democratic way is to carry out a
voting process among those who have something to benefit from the project and also something to lose. As earlier said,
everyone can become a masternode as long as they fulfill the appropriate criteria. Each masternode can have one vote. If
the majority of the masternodes have a positive vote then the proposal is accepted and vice versa.

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There is a distinction between masternodes and miners. The masternodes do not mine and mining computers cannot serve
as masternodes. The miners’ power enables sending and receiving of funds as well as prevent the double - spending while
the masternodes provide the services for PrivateSend, InstantSend and the governance.
Initially 10 masternodes are going to be created on behalf of the HNC Project that will provide services for the PrivateSend,
InstantSend and governance services. The masternodes are going to be paid by the network for their services with 99% of
the block reward. The rest 1% will be paid out to the miners. With the earnings from the reward system the project will
have the option to fund certain acts such as advertising, blockchain developing, cooperation with third party companies in
order to satisfy the best interest of the project etc.

Mining
Proof of Work (PoW) & Proof of Service is the dual consensus algorithm that HNC uses. Mining is the process through which
transactions get verified and added to the public ledger - known as blockchain. Throughout the mining process miners
reward themselves with new HNCs.
When a transaction is about to be executed it gets listed among other ones that have already been submitted within a
cryptographically-protected block. So each block includes information regarding its transactions. Miners try to check the
validity of these transactions through Proof-of-Work. They solve rather complex mathematical problems passing the data
within a block through the algorithm until their collective power finds a solution. They also check incoming transactions
against previous transactions on the blockchain and - if no double-spending is detected - then the miners create and verify
the new block which contains all the new transactions and add it to HNC's existing blockchain. Each new block is then being
sent to the network’s nodes. The nodes use the miners' work in order to continue to verify and transmit transactions across
the network.
As stated earlier, 99% of the block reward from the mining process goes to the Masternodes and 1% goes to the miners.

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Current Landscape
Since its inception in 2009 the cryptocurrency market has marked a tremendous growth. Within the last 12 years the
market capitalization of all cryptocurrencies and coins has risen to $1 trillion (January 2021), easily dwarfing almost every
corporation in the “S&P 500” as well as the GDP of many countries. It is widely accepted that blockchain is world’s most
innovative technology as well as that cryptocurrencies will be defined as assets by the authorities.
Banks, corporations, funds and big investors have changed amazingly their point of view towards the cryptocurrencies and
they have become more crypto - friendly by investing huge amounts on cryptos. Governments are planning to digitalize
their fiat currencies too.
Top cryptocurrency exchanges - in terms of volume exchange - have already started to work on a regulated environment in
order to support legit services based on safety and security, providing trading pairs with fiat money as well as bank services,
like SEPA transfers and swift. Lots of such exchanges offer services such as cryptocurrency custody. Wall Street offers
futures of cryptocurrencies. Furthermore, many platforms also provide Crypto - CFDs services and many top regulated and
licensed exchanges offer the option to use margin for trading Cryptocurrencies.
Nevertheless the huge growth of bitcoin and altcoins have led to a new financial era. When Bitcoin appeared back in 2009
regulations did not exist at that time. Nowadays, governments and Central Banks have recognized the advantages of the
blockchain technology and have accepted the importance of cryptocurrencies. The global imprint of the crypto-economy is
so big that it needs to be regulated and controlled. The reason behind this is simple: everybody needs to act with safety and
if problems occur there have to be rules, so that solutions can be found.

Government regulation is inevitable
Government reactions to cryptocurrencies have ranged from aggressive to indifference with investors and speculators
cautiously monitoring international developments. Just recently Head of the International Monetary Fund (IMF) – mrs.
Christine Lagarde - stated that regulatory action upon cryptocurrencies is "inevitable“ on behalf of the international
community.

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There is an issue of inheritance
The unregulated nature of Bitcoin means that without the private keys - needed to view someone’s digital wallet - there is
no way of accessing his/her funds if they are about to pass away.

There is a Security Risk
Crypto - exchanges are digital and therefore vulnerable to hackers, operational glitches and malware.
By hacking a crypto – exchange, hackers can gain access to thousands of accounts and digital wallets where the
cryptocurrencies are stored into. One infamous example was the Mt. Gox’s hacking incident in 2014. After this hacking the
Japanese exchange stopped its operation and millions of dollars in Bitcoin were stolen.

Low Storage & Transfer Cost
Compared to the traditional banking services, cryptocurrencies have no storage cost. In the aspect of money transferring,
cryptocurrencies are safer, quicker and - most importantly - cheaper to transfer than fiat currencies.

Its division allows small transactions
You can execute the smallest portions of transactions very easily. In the case of fiat currency this is not possible.

Zero government interference
Cryptocurrencies take the form of coins and exist on distributed and decentralized ledgers. This means that
cryptocurrencies cannot be controlled by central authorities, governments or countries.

Impossible to falsify
Fraudsters cannot create fake cryptocurrencies. That is because it is a digital currency and not a paper currency, like fiat
money. Cryptocurrencies are based on blockchain technology and all the details of each and every transaction are recorded
inside the blocks of the chain.

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Utility of a coin
All cryptocurrencies face the challenge of usability in the real economy. Most of them want to be accepted as a means of
payment for goods and services. A cryptocurrency may become successful when it succeeds to be adopted by consumers
and businesses as a means of payment and exchange, thus replacing or acting parallelly to fiat money. Currently the
majority of cryptocurrencies is only traded speculatively - presenting high volatility instead of stability. Almost all of the
cryptocurrencies follow the same trend as they tend to have similar characteristics.

Advantages of Cryptocurrencies over Fiat
Transactions are irreversible
Due to the way the blockchain technology works, it is not possible to reverse a transaction or alter its characteristics. Since
there is no central authority, the transaction cannot be undone.

Payments are decentralized
No banks or central authorities take action during a transaction. This means that each individual using this decentralized
system of exchange has equal authority.

Security and anonymity
Cryptocurrencies use complex mathematics and computer engineering in order to mask the true identity and the sensitive
personal data of the user, so that the transaction may become as anonymous and secure as it can get. The users secure the
network with consensuses that also check the possibility of double-spending and prevent this incident from happening.

Low fees in transfers and transactions
If someone wants to transfer fiat money using the traditional banking system he/she has to pay the necessary fees that
each bank specifies. On the contrary, when using cryptocurrencies, the fees are very low (if not almost zero) even for very
large amounts of currencies.

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Disadvantages of Cryptocurrencies
Security issues
Cryptocurrencies are often set as the target of hackers. Several crypto - exchanges have already been the victims of such attacks
while crypto-assets worth of several millions in USD have already been stolen globally. Furthermore, multiple ICOs have gotten
breached. Nevertheless, new and enhanced cybersecurity measures are being used in order to offer protection against such
attacks.

Price Volatility
Cryptocurrencies have been widely connected and characterized as a bubble, mainly due to their price volatility. Price volatility
mainly depends on news’ events. Up until now and because of some infamous news the values of cryptocurrencies had been
driven down rapidly against the values of fiat currencies. Such events were the bankruptcy of
“Mt. Gox” in 2014 and the use of bitcoin in illegal transactions.
Other factors that affect the price volatility may be the taxation policy of a country, the high inflation of a nation and the
uncertainty about the future cryptocurrencies’ value. Furthermore, the fact that large proportions of the total outstanding float of
the currency may belong to a few holders - thus they can affect the market when they liquidate.
Of course, many investors believe that such occasions may be opportunities to invest in and earn back a profit that can be
multiplied.

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Mission: to change the way everyone uses cryptocurrencies
HNC’s unique mission is to enter into the real economy and become a well - trusted alternative means of payment for
goods and services on a global scale. HNC aims to provide a Dual purpose Asset, fully transparent, which combines an
extremely fast and secure alternative way of payment as well as an investment asset.
Additionally, HNC’s main goal is to become the catalyst of a new ecosystem bridging the digital and conventional world. By
using traditional banking methods (e.g using a Visa Debit Card) HNC aims to solve the issue of demand that all
cryptocurrencies face since their creation. HNC will create a perpetual demand day by day & year by year through its
unique business model – a challenge that no other cryptocurrency has never overcome so far.

Our Solution: HNC Revolution, a dual purpose cryptocurrency
HNC aims to exploit all the advantages that a cryptocurrency may offer while overcoming its disadvantages. The main goal
is to bridge the gap between crypto - economy and traditional fiat money, as HNC is going to serve two main purposes: To
be a globally accepted means of payment on the one hand as well as to be an investment asset on the other hand.
The following aspects will be highly taken into consideration in order for this goal to be fulfilled:


USABILITY: High usability of HNC. Simple and effective ways of using HNC with the help of latest technology
platforms



REGULATED: HNC aims to be operational in a fully regulated environment where KYC and compliance with the
upcoming laws and the general legislations are going to be of top priority. At present a legal entity is being
established, so that HNC will be able to enter into agreements with global market – leader companies in order to
succeed in its goals. The HNC Revolution Exchange Market that is going to be established and also the
Masternodes, are going to be under the new Legal Entity’s Supervision,



SECURED: Strong partnership is going to be initiated with global market – leader custodian company in order to
safely store the assets. There is a preliminary agreement with a top custody company at the moment and the
official announcements are going to take place when both sides shake hands. This agreement paves the way for
investments from institutional portfolios which are expected to be increased rapidly. We strongly believe that
without state-of-the-art security for the assets, everything may be compromised. Security comes first, not only for
every individual user but for the whole project too.



EVERYDAY USAGE: The use of a Visa Debit Card that is going to offer an everyday access and the option of paying
for goods and services with HNC. A partnership with “Excelon” (www.excelon.io ) has already been announced for
this purpose and the HNC debit card leads to a new era of crypto-payments, both for consumers and businesses at
the same time. The “Excelon” Visa Card will be available for pre-ordering on May 2021 and its shipping is going to
start on June 2021.

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REWARDS: Furthermore, reward programs are going to take place in the near future. As a big “thank you” for the
commitment every individual shows by using HNC as a means of payment, HNC will give a reward that is going to
act as an incentive for the next purchase. The HNC Visa Card loyalty policy will be funded by the HNC Revolution
Masternodes reward.



EXTRA SERVICES: Taking advantage of the benefits of X11 algorithm: PrivateSend and InstantSend services mean
that an individual will be able to transfer amounts up to 2.000 HNC instantly, enjoying the high privacy it offers.



TRADING: It is within the HNC project’s future plans to get listed in Tier 1 cryptocurrency exchanges.



ATM’S: Furthermore, it is within HNC project’s future plans to enter and be exchangeable into the Crypto - ATM
market.

Furthermore, HNC is already supported by “Coinomi” e-wallet as well as by a native e-wallet for Android & iOS which has
been developed for storing, sending & accepting HNCs.

HNC Association
Taking into consideration that more and more people tend to discover, not only the advantages of Blockchain technology,
but also the usability of cryptocurrencies, the HNC Association is going to be established in order to serve the following
needs:


To create an independent association with main goals to study, promote, expand the use of blockchain technology
in public and private sector of everyday life



To unite all those individuals who are affiliated with the blockchain technology



To expand the knowledge to newcomers who wish to get informed about blockchain technology, including
individuals and businesses from the private and the public sectors



To take initiative in social acts about using the blockchain, research and development of blockchain, using
blockchain in real economy and everyday society



To support innovations that promote the use of blockchain technology



To act in the best interest for HNC by taking critical decisions regarding its management (e.g to change the
percentage of the number of coins released each year regarding the wallets that will take part into the swap etc.)

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Usability of HNC in various sectors
One of our main concerns is to introduce HNC in various sectors, such as Tourism. Both Consumers and Merchants will be
incentivized to accept HNC as a means of payment, due to the reward program in the form of cashback. Currently
merchants who are affiliated with tourism, usually pay high fees (15-20%) to Globally well-known platforms, in order to get
listed so that they can approach more consumers. We intend to form partnerships with Market Leader Platforms, so that
they will accept HNC as a means of payment.
We propose to the merchants, to adopt HNC as an accepted means of payment and they will get a reward in the form of
cashback (thus reducing the fees they pay). The same goes for the consumers too. They will also get rewards in the form of
cashback for using HNC as a means of payment.

HNC Debit Card Usability Case Study
Perpetual demand
HNC plans to be accepted by millions of merchants on a worldwide scale. Undeniably, HNC entering into the real economy
will give a tremendous value to its investors as well as a perpetual demand will be created at the same time through its
partnerships with groups of large chain stores and Key – Accounts.
We estimate that for the year 2021 about 20.000 HNC Debit Cards are going to be issued as well as in 2022 another more
20.000 HNC Debit Cards and so on.
We assume that 30% of the total issued cards is going to be used as a means of payment in everyday life. This means that
for 2021 about 6.000 HNC Debit Cards are going to be used on a daily basis.
We also assume that each individual spends about $25 on a daily basis by using the HNC Debit Card - in today’s value about
54 HNCs where 1 HNC equals to $2,16.
According to the above assumptions a Debit Card owner spends $9.125 or 19.710 HNCs on an annual basis ($25 x 365 days
= $9.125). This means that 3.000 Debit Cards will create a total turnover of $27.375.000 or 59.130.000 HNCs.
Taking into consideration the above-mentioned numbers there is a huge potential for HNC. As individuals use their Debit
Cards they will gain more and more rewards from their purchases and so the demand for HNC will rise at the same time. In
the near future - where the loyalty program will take effect, both the consumers and the merchants will have high
incentives for using and accepting HNC as a means of payment.

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Coinomics



Total Supply: ≈ 100.000.000 HNCs



Circulating Supply: 93.000.000 HNCs



HNCs Allocation:
- 70.000.000 HNCs Revolution swapped with previous HNCs 2015 Version 1/1
- 10.000.000 HNCs collateral for 10 Masternodes (*Collateral / Masternode: 1.000.000 HNCs)
- 13.000.000 HNCs provided to the HNC Project Legal Entity. These Coins will ultimately fund all the purposes of the
project, for example the loyalty policy and the reward programs, the several deals with other Market – Leader
Companies, the developing of the blockchain, the funding of hardware - software requirements etc.
- 7.000.000 HNCs available for mining



In order to offer the highest possible stability to HNC’s price, a predesigned plan will take effect for every user who
has swapped HNC 2015 with HNC Revolution. A certain number of HNC from the total amount of the coins that are
going to be swapped, will be restricted from trading and only a predefined percentage will be available on a daily
basis for a time period of five years, according to the following pattern:

1. 1st year’s availability of HNCs for trading will be the 5% of the total swapped coins of an HNC wallet - starting on
May 17th 2021.
2. 2nd year’s availability of HNCs for trading will be the 10% of the total swapped coins of an HNC wallet - starting on
May 17th 2022.

3. 3rd year’s availability of HNCs for trading will be the 15% of the total swapped coins of an HNC wallet - starting on
May 17th 2023.

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4. 4th year’s availability of HNCs for trading will be the 25% of the total swapped coins of an HNC wallet - starting on
May 17th 2024.

5. 5th year’s availability of HNCs for trading will be the 45% of the total swapped coins of an HNC wallet - starting on
May 17th 2025.




The 5% / 365 will be automatically released on a daily basis from the HNC Revolution Exchange to each HNC wallet
and will be available to the users for the 1st year with a minimum number of 10 HNCs per day, the 10% / 365 for the
2nd year, the 15% /365 for the 3rd year, the 25% / 365 for the 4th year and the 45% / 365 for the 5th year.
Important Notice: In order to offer the highest possible security, the restricted coins will be secured to a Global
Market-Leader Custodian.

Roadmap 2021
Q1 2021






Creation of a Legal Entity for HNC’s multiple activities
Creation of HNC Revolution Exchange (HNC Markets)
Creation of HNC Association
Official release of the new HNC Website

Q2 2021







Official launching of HNC Revolution Era
Trial period of “Excelon” – HNC Debit Visa Card & its official launching
Official delivery of Legal Opinion (Version 2.0)
Co-operation with major Digital Asset Custodian
Listing on more crypto - exchanges

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Q3 2021






Cooperation with “Glafka Capital” & creation of a Crypto-fund
Completion of Security Audit
Aggressive promotion & marketing campaign in the Greek market
Focus on Tourism, Shipping sector & Retail Market
Use of HNC in more than 61.000.000 merchant locations globally

Q4 2021





EMI’s starting licensing procedure
HNC listing possibilities on major Tier - 1 Exchanges (for example “Kraken”, “Binance” etc)
Integration of HNC in the European Crypto – ATM industry
Release of Roadmap 2022

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A new ecosystem
A new ecosystem is going to be created around HNC. The fuel of this ecosystem will be HNC and it will link all intermediate
goals, in order to fulfill its ultimate goal. To create an ecosystem, where its dual nature as a means of payment and as an
investment asset will be in a balance with everyday life.

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Legal Opinion (Version 1.0)
I was asked by "Hellenic Coin" (HNC) to express an opinion on its legal standing and the current and future prospects of the
financial domain the company is participating in.

On that my opinion is the following:

Set-up and functioning of Hellenic Coin

HNC is a peer-to-peer digital currency ("crypto-currency") which enables cross-border on- line payment transactions on a
fully decentralized environment, non-subject to regulation or control. It operates as a private blockchain, using an advanced
blockchain hybrid technology protocol (Script Hybrid PoS/PoW).

HNC was established in 2015 and functions as an open-source global payment network supporting all sorts of payment
transactions executed by means of a cryptographic system that uses pairs of keys: a public key, which is publicly known and
essential for identification, and a private key, which is kept secret and is used for authentication and encryption. In order to
be used, it necessity at es the existence of a personal mobile electronic wallet, which is a mechanism to store public and
private keys and to allow users to send and receive crypto-assets and monitor their balances. Currently HNC trades - as
such or in exchange for fiat currencies or other crypto-assets - on various specialized digital platforms (crypto - exchanges),
like "p2pb2b.io", "Probit.com", "Altilly.com". More specialized digital platforms (crypto - exchanges) will support HNC
trading in the future.
The digital platforms (crypto - exchanges) are operated by a group of specialized professionals, who are not part of HNC's
team or the project from a business perspective.
HNC's public site is www.helleniccoin.com. The aims for the near future are to amplify payments via HNC, to connect with
retail firms and generally to expand its use as a digital currency.

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HNC plans to execute payments using mainly the following means:

POS Terminal Gateway: customers will send payments in HNC either from their exchange accounts or from their computer
(HNC native wallet) or from their mobile device (mobile wallet like "Coinomi") directly to a payment HNC address. POS
Terminal Gateway will display the invoice on the POS device. The customer will pay the invoice at a locked-in exchange
rate. Customer 's payment will be converted into local currency. POS Terminal Gateway will initiate bank settlement transfer into bank account in local currency - which takes place within 24 - 72 hours- or store the amount in HNC wall et.
Only blockchain (for nodes) transaction fees are to be requested.
Crypto - ATMs: Procedures have also begun for the integration of HNC in the Crypto -ATMs' field - both in the Greek and
European market - which will facilitate users to buy and sell HNC coins with ease and security. Customers will insert fiat
currencies in the slot of Crypto - ATMs, a real - time price of HNC will appear on the screen - along with the corresponding
amount of HNC coins - and then the customer will receive a receipt with the HNC address and the amount of HNC coins
printed on it.
Visa/ Mastercard: Potential integration of HNC in a Prepaid MasterCard and/or Visa, which will allow the exchange of HNC
coins into fiat currencies and vice versa within a certain Mobile application and/or its desktop edition. After the exchange,
the consumers will be able to add funds (fiat currencies) to their prepaid Mastercard / Visa and use such funds and/or
withdraw money from Banks' ATMs worldwide.

The existing institutional framework:

Crypto-assets are a type of digital assets that depend primarily on cryptology and distributed ledger technology (DLT). In
the European Union, even though there is no official or legally binding definition or classification of crypto-assets, a threetype distinction can be made: a) payment/exchange type tokens, the so-called "virtual currencies", such as Bitcoin, but also
HNC, b) investment-type tokens, which provide ownership rights and/or entitlements similar to dividends, and may or may
not qualify as "financial instruments" under the relevant EU legislation, c) "utility-type" tokens that enable access to a
specific product or service
From a legal viewpoint the crucial distinction is between crypto-assets that qualify as either "financial instruments" or as
"electronic money" and are regulated respectively by MIFID II (2014/ 65 EU) and the Electronic Money Directive (EMO 2,
2009/110 EU), and crypto-assets, considered as constituting the vast majority, falling outside above regulatory scope.
Wallet- providers, crypto-exchanges and crypto-exchange trading platforms unambiguously belong to the non-regulated
entities.

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"Financial instruments”

The crucial notion of "financial instruments" is defined in Article 4 (1) (15) of MIFID II as those "instruments specified in
section C of Annex I" therein, i.e "transferable securities", " money-market instruments", " units in collective investment
undertakings" and various derivative instrument s. Concerning crypto-assets the only relevant category would be that of
"transferable securities".

"Transferable securities" are defined, under Article 4 (1) (44) of MIFID II, as those "classes of securities which are negotiable
on the capital market" (said provision goes on by giving the examples of "shares or other securities equivalent to shares",
"bonds or other forms of securitized debt", "any other securities giving the right to acquire or sell any such transferable
securities or giving rise to cash set tlement determined by reference to transferable securities" ), with one important
exception: "instruments of payment".

Based on above definition, in order for crypto-assets to be possibly, according to MIFID and its nation •al implementation,
considered as " financial instruments", they need to be hybrid "investment-type" instrument s and not constitute pure
payment-type crypto assets. HNC, based on its characteristics described in A above, and taking into consideration that the
Greek implementation of MIFID is identical to the MIFID definition of "financial instruments", unambiguously falls in the
pure payment-type crypto-asset category.

Where crypto-assets qualify as "financial instrument s", other than MIFID II, the Prospectus Regulation (2017/1129), the
Transparency Directive (2013/50 EU), the Central Security Depository Regulation (909/2014), the Settlement Finality
Directive (98/26 EC), as well as the Market Abuse Regulation (596/2014) and the Short Selling Regulation n (236/2012)
would apply. Those rules do not, however, apply to crypto-assets falling outside such regulatory scope In the Greek legal
remit, following the introduction of the latest AML law (4734/ 20), the notions of "crypto-currencies" and "crypto-wallet
custodian" have been introduced and the supervisory authority, exclusively regarding anti-money-laundering purposes, has
been attributed to the Hellenic Capital Markets Commission (HCMC). Said Commission, by virtue of the same law, will in the
near future set into place a Register for all crypto-service providers performing in Greece.

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"£-money"

EMD 2 defines, in Article 2, "electronic money" as follows: "electronically, including magnetically, stored monetary value ...
which is accepted by a natural or legal person other than the electronic money issuer", said issuer being subsequently
defined as "entities referred to in Article 1 (1)", i.e. credit institutions, e-money institutions, post office giro institutions, the
European Central Bank and national central banks when not acting in their capacity as monetary authority and memberstates or their regional or local authorities when acting in their capacity as public authorities. From above provisions it
unambiguously emerges that the defining characteristic for entry in the electronic money remit is provision of services by
either a public authority or an authorized electronic money institution, characteristic which is clearly lacking in the case of
private crypto-assets like HNC.

For "electronic money institutions ", EMD 2 puts into place specific prudential rules, including authorization. Because they
operate as " quasi-banks", they may (by virtue of Article 6 of the

EMO 2), in addition to issuing electronic money, provide payment serv ices, grant credit related to payment services, assure
closely related ancillary activities in respect of the issuing of electronic money or the provision of payment services and
execute other related business activities -all of which do not apply and are not allowed for pure-payment crypto- assets.

"Unregulated" Crypto -Assets

Crypt o-assets outside the scope of above EU rules, operate legally under the proportionality principle governing the
financial sector: what is not forbidden is allowed under the general rules of competition, level-playing field, respect of the
rule-of law. Regulatory authorities may decide to ban or restrict use of " national “crypto-currencies, but only when a
breach of law has taken place (regarding, for example, anti-money-laundering obligations) or a systemic risk is being
considered as having taken place or as imminent. Otherwise, national regulators allow such activities, possibly providing
instructions or clarifications on how they may take place within a particular jurisdiction.

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"Unregulated" Crypto -Assets

Crypt o-assets outside the scope of above EU rules, operate legally under the proportionality principle governing the
financial sector: what is not forbidden is allowed under the general rules of competition, level-playing field, respect of the
rule-of law. Regulatory authorities may decide to ban or restrict use of " national “crypto-currencies, but only when a
breach of law has taken place (regarding, for example, anti-money-laundering obligations) or a systemic risk is being
considered as having taken place or as imminent. Otherwise, national regulators allow such activities, possibly providing
instructions or clarifications on how they may take place within a particular jurisdiction.

Another important tool used by national regulators are the so-called "sandboxes", whereby innovative financial technology,
including crypto-asset technology, may be tested in a protected, but not regulated, environment under the auspices of
public authorities. In the Greek financial environment such a "sandbox" exists within the Bank of Greece.
Currently there is no EU definition of what constitutes a crypto-asset, nor is it clear how the existing financial services
regulatory framework applies: the only existing " rule" is a case-by-case examination based on above unofficial types of
crypto-assets, the characteristics of each one of the assets used and possibly national laws and implementations of relevant
EU directives. Bespoke national regimes to regulate crypto-assets are permitted and have in some cases been put into place
(f. ex. Malt a) or are being considered. Greece has no bespoke legislation or known plans to impose one.

All in all, the crypto-asset field is not only known and tolerated in the EU, but also monitored for the sake of financial
freedom and customer protection. As of 2018, with the FinTech Action Plan, the European Commission admitted the
existence and the importance of innovative business models, including crypto-assets and plat forms, and paved the way for
a common typology and a common regulatory approach. ESMA, the EU financial markets regular or, has issued, as already
mentioned, advice on "Initial Coin Offerings and Crypto- assets", recognizing the validity and the importance of cryptoassets, highlighting the challenges market participants and regulators face in determining if, and how, existing regulatory
frameworks apply to crypto-assets and concluding that the great majority of operating crypto-asset s currently fall outside
the regulatory remit.

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On the global scene, the Financial Stability Forum (FSB) has issued a "Final report and High- Level Recommendations on
Regulation, Supervision and Oversight of Global Stablecoin Arrangements, setting out the main rules of their operation and
supervision-“functional basis” and “proportionality to their risks” -, reiterating the most jurisdictions do not currently
possess specific regulatory regimes and strongly advocating a regulated approach.

Because of lack of clear rules and also because of the risks (use for fraudulent reasons, market integrity and financial
stability, consumer lack of understanding, operational deviations, secondary market trading, safekeeping, risks stemming
from the underlying technology) that may be encountered by the use of crypto-assets under the existing regime, currently
the discussion in the EU is whether for reasons of legal certainty, facilitation of crypto-asset transactions and harmonization
of their operating mode a regulatory approach at EU lev el is required (see under C below).

AML Rules

Considering the very important aspect of money-laundering, since October 2019 the Financial Action Task Force (FATF),
which is the global standard-setter in that field, has made it clear that both global "stablecoins", including crypto-assets,
and their service providers,would be subject to FATF standards and fall within the scope of anti-money laundering controls.
This principle has been included on FATF's Report to the G-20 and enshrined in the existing anti-money -laundering
Directive (2018/843 EU), t hu s making abidance to anti - laundering rules a prerequisite for the legal operation of c1yptoassets and crypto-asset platforms. In most EU and international jurisdictions, including Greece (via law 4734/2020, as
already mentioned), national anti-AML legislat ion covers crypto-assets and crypto-platforms.

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.
The US Market

Crypto-currency does not constitute a legal tender in the US but its sale is legal in most of the States and the price is
determined by the supply and demand in the crypto-currency market. The sale of crypto-currencies, similarly to the EU
model, is only regulated if it either constitutes sale of a security under State or Federal law (such determination being
affected on a case-by-case basis), or is considered money transmission under State law or money- service business und er
Federal law.

There is no formal rule-making or uniform definition of crypto-currency at Federal level, though both the Securities and
Exchange Commission (SEC) and the Commodities and Futures Trading Commission (CFTC) have some statutory authority to
oversee crypto- currencies, if they fall under the categories of "securities" and "commodities" respectively. The Internal
Revenue Service (IRS), on behalf of the Department of Treasury, and the Financial Crime Enforcement Network (FinCEN)
also act as supervisors for taxation and anti - money laundering purposes, respectively.

At St at e level there is a variety of approaches. There are States favorable to crypto- currencies, like Wyoming, which is
considered the most crypt o-friendly in the US; Colorado, which passed a bill exempting crypto-currencies from State
.
securities regulations; Ohio, which accepts taxes being paid in crypto-currencies; Oklahoma, which passed a bill authorizing
the use of crypto-currencies. On the opposite side one may find States like Iowa, which has prohibited the use of cryptocurrencies; or Maryland and Hawaii, which have emitted warnings regarding the use of crypto- currencies. New York stands
at the middle having eased restrictions on the use of crypto-currencies and particularly facilitating firms obtaining a Bitcoin
license.
,

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The (Planned) Road Ahead

On the 24th of September 2020, the European Commission unveiled an official proposal fora
Regulation of the European Parliament and the Council on "Markets in Crypto-Assets"
(MICA). Above proposal benefited from extensive studies and consultation with market
participants and has been based, other than the already mentioned FSB, OSCO and ESMA
advise, on work carried out by the "EU Blockchain Observatory and Forum" as well as a
quantity of reports, surveys, position papers and other relevant documents drawn up by
private and public stakeholders.

MICA

Taking the initiative to provide for a specific framework to regulate currently out-of-scope
crypto-assets as well as crypto-asset service providers (CASPs), the EU has moved to
introduce new rules, within four years (2024), for the use of blockchain and crypto-assets.
The importance of the initiative is important and threefold:

The crypto-asset environment and use of its tools is hitherto not only tolerated, but
encouraged: in the Explanatory Memorandum to the Proposal, the Commission makes
explicit references to the EU " enabling the uptake of the distributed ledger technology (DLT)
and crypto-assets in the financial sector" and to crypto-assets' "fully reaping the benefits of
the internal market",
The approach is comprehensive: MICA is part of a broader Digital Finance Package; the legal
instrument of a Regulation is chosen in order to promote the highest degree of
harmonization and to make it possible to provide services under identical conditions across
the EU; the four general objectives (legal certainty, support of innovation, consumer and
investor protection , financial stability) are broad and all- encompassing; association and
consistency is sought with existing policy provisions in the financial services area and with
other Union policies; the scope of the proposal is wide,
The move is not theoretical but closely linked to the new economic and financial realities:
"new customers should be allowed to start using the new financial services quickly", "the
principle of passporting and one-stop shop licensing should apply to all areas which hold a
strong potential for digital finance, "instant payments should become the new normal by the
end of 2021".

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MICA, which may be thought of as "a MIFID of the crypto-world", will provide definitions on
what constitutes a crypto-asset as well as various sub-categories. It will lay down rules for a
single licensing regime, crypto-asset services (custody and administration of crypto -assets,
operation of trading platforms for crypto-assets, exchange of crypto-asset s for fiat currency,
exchange of crypto-assets for other crypto-assets, execution of orders for crypto-assets,
placing of crypto-assets, providing advice on crypto-assets), operating conditions, digital
asset custody, capital requirements, the relationship between token issuers and token
holders and the supervisory regime.
In the proposal, crypto-assets are defined as "a digital representation of value or rights which
may be transferred and stored electronically, using distributed ledger technology or similar
technology". Three crypto-asset types are acknowledged: " utility tokens", issued with nonfinancial purposes to digitally provide access to an application, service or resource available
on DLT networks; "asset-referenced tokens", referencing several currencies that are legal
tender, or commodities, or crypto-assets, or a basket of such assets, and subsequently acting
as a means of payment or buy goods and services and act as store of value; and "e-money
tokens", crypto-assets with a stable value based on only one fiat currency and aiming to
function similarly to electronic money.
In order to provide crypto-asset services, companies shall need to receive prior authorization
from competent member-state bodies, which shall be valid across the EU. Depending on
their size and associated risk, service providers (CASPs), having a registered office in a
member-state of the EU, will have to fulfill additional requirements pertaining to capital,
governance model, staff training, insurance coverage, adequate asset separation,
safekeeping of funds, business structure, management qualifications and more. Just as
traditional financial instruments need to issue a Prospectus in order to sell securities to the
public, issuers of crypto-assets will be required to publish a "white paper" containing the core
information, although a "light-touch regime", with less bureaucracy and obligations, will be
provided for small issuers.

Prohibitions and requirements to prevent market-abuse are being put into place. While
MICA does not directly address Anti-Money Laundering (AML) and Combatting Financing of
Terrorism (CFT) risks, the link is rendered explicit by a provision referencing "contribution to
the objective of combating money-laundering and the financing of terrorism ". References to
the work and recommendations of FATF are added, as well as the obligation of any list of
crypto-asset serv ices to encompass virtual asset services likely to raise money-laundering
concerns as identified by FATF. Oversight will be carried out by national competent
authorities, unless it is of large scale, in which case the Commission proposes oversight by
the European Banking Authority (EBA). Thresholds for qualification of the scale are to be
determined by delegated legislat ion but, according to the proposal, must not be lower than
2 million customers, 1 bn euros value or market capitalization, 500.000 transactions/10 m
euros transactions per day, 1 bn euros in reserve assets and use in seven or more memberstates).

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"Digital Euro"

Almost in parallel with the MICA proposal, a second and complementary EU initiative of the
outmost importance has been launched: by its October 2020 " Report on a digital euro", the
European Central Bank {ECB) also took stock of the evolution of the crypto-asset world and
paved the way for the issuance of a central bank digital currency (CBDC). Although the
introduction of a " digit al euro" needs further examination and is not meant to predetermine
or change the course of the " private " crypto-assets regime, the ECB also participates in the
same conceptual evolution. Just like the advent of MICA, the " arrival of a central-bank issued
digital currency is a matter of when, not if and will undoubtedly further boost acceptance,
use and penetration of crypto-assets in the financial world.

As said in the Report, the ECB has "a legal duty to ensure that payments systems work
smoothly and to support the general economic policies of the Union". Moreover, the Report
makes explicit references to the "digital euro" offering the best available technology to meet
the "market's need for programmability". The digital euro will be designed to accompany and
facilitate digital transactions, digital contracts, digital money and in general a digital
economy, thus naturally enforcing the use of crypto-assets. The effort is both didactic and
path-breaking.
The ECB is not the sole central bank or the precursor of such initiatives. The Central Bank of
China has expanded a trial run of a "crypto-yuan" and uses it as a method of payment for
certain public employees. Thai central bank has recently (5 October 2020) issued a large
amount of government bonds on IBM blockchain. The Centra l Bank of Sweden is working
towards full digitalization. The Banque de France was ready, before covid-19 arrived, to test
securitized lines for digital payments. The Bank of International
Settlements has calculated that 80% of world central banks are engaged on research for
digital currencies and use of crypto-assets.

.

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The Global Trend

As the financial world is moving towards digitalization, the use of crypto-currencies is
spreading. There are over 60 crypto-exchange-platforms in Greece and crypto-currencies are
being accepted by over 100 firms at the present moment. The numbers are much higher all
over the EU. The US market, totally unregulated and with State divergences, is both booming
and in need of harmonization. The crypto-currency market has seen its fastest growth in Asia
in 2020, with more and more Asian countries opening the door for crypto-currencies: Japan is
already a crypto-currency heaven having legalized crypto-currencies in 2017; China passed
the first ever crypto-law effective from January 2020; Singapore has crafted a comprehensive
crypto-currency regulatory policy named "Payment Services Act"; the Indian Supreme Court
has, at the beginning of 2020, issued a rule lifting a two-year ban on banks facilitating cryptoexchange which has immediately led to a rise of 5% in the crypto industry.
The regulatory stance is keeping pace with the market evolution. Crypto-currencies are not
only accepted but encouraged world-wide, with a view to facilitating the use of cryptocurrencies, ensuring the most adequate level of customer and investor protection and
tackling the use for illegal purposes. The future is now.

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Conclusions and Way Forward

From above framework and analysis, it may be surmised that:

A) Hellenic Coin (HNC} may be considered as a crypto-asset ("asset-referenced token"
according to the proposed MICA typology) legally operating like similar assets in the EU and
internationally,

B) Because of the fact that HNC does not constitute either a "financial instrument" under
MIFID, or "e-money", under the EMD, nor is there a bespoke Greek regime governing its use,
it falls outside the existing regulatory remit,
C) The tendency towards not only accepting but comprehensively regulating crypto- assets in
the EU is unequivocal, as attested by reports from major supervisors (ECB, ESMA, EBA, OSCO)
and by the official proposal (MICA) being put forward to that effect,

D) This evolution entails a considerable "first-mover advantage": assets, firms and service
providers which will already be in place and operating when the new regulator; framework is
put into effect will be the beneficiaries of that evolution business-wise and supervision-wise,

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E) The Greek digital market is underdeveloped, Greece ranking third from the bottom in the
European Commission technological enhancement list. On the other hand, the need of
digitalization and use of crypto-assets is acute and rendered even more pressing by the
problems encountered by "traditional" finance and payments with the advent of covid-19.
Cryptocurrencies are seen as more modern, thus attractive to the younger and more dynamic
customers, they may provide alternatives to the current, and seemingly exhausted, financial
system and they also constitute a form of resistance or bypass of an economy generally seen
as mired in debt and corruption. For all those reasons, "crypto-players" well organized and
with structures already in place stand to greatly benefit from the evolving situation,

F) As a consequence of the above, and given that HNC has expressed the wish to expand and
deepen its ties with the "real economy" following the crypto-currency regulatory and
business evolutions at the international and domestic level, such expansion, at the current
phase, would benefit from participation in an already authorized entity, especially an emoney entity (according to MICA e-money tokens will be treated very similarly to e-money),
or generally from collaboration with already operating platforms and entities. It would thus
be in an ideal position to reap the benefits of the digital revolution, which has already
started.
Athens, 25 November 2020

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Legal Disclaimer
Please read carefully this section and the following sections entitled:

“DISCLAIMER OF LIABILITY”
“ΝΟ REPRESENTATIONS AND WARRANTIES BY HNC”
"REPRESENTATIONS AND WARRANTIES BY YOU”
“CAUTIONARY NOTE ON FORWARD - LOOKING STATEMENTS”
“NO ADVICE”
“RESTRICTIONS ON DISTRIBUTION AND DISSEMINATION”
“NO OFFER OF SECURITIES OR REGISTRATION”
“RISKS AND UNCERTAINTIES”

If you are in doubt as to the action you should take you should consult your legal, financial,
tax or other professional advisor(s).

The HNC coins (collectively the "Coins") - as defined in the White Paper - are not intended to
constitute securities in any jurisdiction. This White Paper does not constitute a prospectus or
offer document of any sort and it is not intended to constitute an offer of securities or a
solicitation for investment in securities in any jurisdiction.
This White Paper does not either constitute or form part of any opinion or any advice to sell
or any solicitation of any offer of HNC neither to purchase any coin or any part of it nor the
fact of its presentation forms the basis of - or be relied upon in connection with - any
contract or coin’s purchase decision.
No person is bound to enter into any contract or binding a legal commitment in relation to
the sale and purchase of the coins and no cryptocurrency or other form of payment is to be
accepted based on this White Paper.
Any agreement, as between the distributor and you as a purchaser, and in relation to any
sale and purchase of the coins - as referred to in this White Paper - is to be governed by only
a separate document setting out the terms and conditions ("T&Cs") of such agreement. In
the event of any inconsistencies between the T&Cs and this White Paper the former shall
prevail.

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No regulatory authority has examined or approved of any of the information set out in this
White Paper. No such action has been or will be taken under the laws, regulatory
requirements or rules of any jurisdiction. The publication, distribution or dissemination of
this White Paper does not imply that the applicable laws, regulatory requirements or rules
have been complied with.

DISCLAIMER OF LIABILITY

To the maximum extent permitted by the applicable laws, regulations and rules HNC and/or
its affiliates shall not be liable for any indirect, special, incidental, consequential or other
losses of any kind, in tort, contract or otherwise - including but not limited to loss of revenue,
income or profits, and loss of use or data - arising out of or in connection with any
acceptance of or reliance on this White Paper or any part thereof by you.

NO REPRESENTATIONS & WARRANTIES BY HNC

HNC does not make or purport to make - and hereby disclaims - any representation, warranty
or undertaking in any form whatsoever to any entity or person, including any representation,
warranty or undertaking in relation to the truth, accuracy and completeness of any of the
information set out in this White Paper.

REPRESENTATIONS & WARRANTIES BY YOU

By accessing and/or accepting possession of any information in this White Paper or such part
thereof - as the case may be - you represent and warrant to HNC and/or its affiliates as
follows:

A. You agree and acknowledge that the coins do not constitute securities in any form in any
jurisdiction;

B. You agree and acknowledge that this White Paper does not constitute a prospectus or
offer document of any sort and it is not intended to constitute an offer of securities in any
jurisdiction or a solicitation for investment in securities and you are not bound to enter into
any contract or binding legal commitment and no cryptocurrency or other form of payment is
to be accepted on the basis of this White Paper;

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C. You agree and acknowledge that no regulatory authority has examined or approved of the
information set out in this White Paper, no action has been or will be taken under the laws,
regulatory requirements or rules of any jurisdiction and the publication, distribution or
dissemination of this White Paper to you does not imply that the applicable laws, regulatory
requirements or rules have been complied with.

D. You agree and acknowledge that this White Paper, the undertaking and/ or the completion
of the coin sale or future trading of the coins on any cryptocurrency exchange shall not be
construed, interpreted or deemed by you as an indication of the merits of HNC, its affiliates,
the coins and the coin sale.

E. The distribution or dissemination of this White Paper or any copy thereof or acceptance of
the same by you is not prohibited or restricted by the applicable laws, regulations or rules in
your jurisdiction and where any restrictions in relation to possession are applicable you have
observed and complied with all such restrictions at your own expense and without liability to
HNC and/or its affiliates.

F. You agree and acknowledge that in the case you wish to purchase the coins these are NOT
to be construed, interpreted, classified or treated as: (I) any kind of currency other than
cryptocurrency (II) debentures, stocks or shares issued by any person or entity (whether HNC
and/or its affiliates), rights, options or derivatives in respect of such debentures, stocks or
shares (III) units in a collective investment scheme (IV) units in a business trust (V) derivatives
of units in a business trust or (VI) any other security or class of securities.

G. You have a basic degree of understanding of cryptocurrencies, blockchain based software
systems, cryptocurrency wallets or other related coin - storage mechanisms, blockchain
technology and smart contract technology.

H. Υou are fully aware and understand that in the case you wish to purchase the Coins there
are risks associated with HNC and its affiliates, their respective business and operations, the
coins and the coin sale.

I. You agree and acknowledge that neither HNC nor its affiliates are liable for any indirect,
special, incidental, consequential or other losses of any kind, in tort, contract or otherwise
(including but not limited to loss of revenue, income or profits, and loss of use or data),
arising out of or in connection with any acceptance of or reliance on this White Paper or any
part thereof by you and all of the above representations and warranties are true, complete,
accurate and non - misleading from the time of your access to and/or acceptance of
possession this White Paper or any part thereof - as the case may be.
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CAUTIONARY NOTE ON FORWARD LOOKING STATEMENTS

This White Paper may contain certain forward-looking statements including - but not limited
to - statements as to future operating results and plans that involve risks and uncertainties.
We use words such as "expects”, "anticipates“, "believes“, "estimates" - the negative of
these terms and similar expressions in order to identify forward looking statements. Such
forward-looking statements involve known and unknown risks, uncertainties and other
factors which may cause the actual results, performance or achievements of the HNC, its
affiliates and/or the HNC Association to differ materially from any future results,
performance or achievements expressed or implied by those projected in the forwardlooking statements for any reason

NO ADVICE

No information in this White Paper should be business, legal, financial or tax advice regarding
HNC, its affiliates, the HNC Association, the coins and the coin sale. You should consult your
own legal, financial, tax or other professional adviser regarding HNC, its affiliates and/or the
HNC Association and their respective businesses and operations, the coins and the coin sale.
You should be aware that you may be required to bear the financial risk of any purchase of
the coins for an indefinite period.

RESTRICTIONS ON DISTRIBUTION AND DISSEMINATION

The distribution or dissemination of this White Paper or any part thereof may be prohibited
or restricted by the laws, regulatory requirements and rules of any jurisdiction. In the case
where any restriction applies you are to inform yourself about and to observe any restrictions
which are applicable to your possession of this White Paper or such part thereof - as the case
may be - at your own expense and without liability to HNC, its affiliates and/or the HNC
Association. Persons to whom a copy of this White Paper has been distributed or
disseminated, provided access to or who otherwise have the White Paper in their possession
shall not circulate it to any other persons, reproduce it or otherwise distribute this White
Paper or any information contained herein for any purpose whatsoever nor permit or cause
the same to occur.

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NO OFFER OF SECURITIES OR REGISTRATION

This White Paper does not constitute a prospectus or offer document of any sort and is not
intended to constitute an offer of securities or a solicitation for investment in securities in
any jurisdiction. No person is bound to enter into any contract or binding legal commitment
and no cryptocurrency or other form of payment is to be accepted on the basis of this White
Paper. Any agreement in relation to any sale and purchase of the coins is to be governed by
only the T&Cs of such agreement and no other document. In the event of any inconsistencies
between the T&Cs and this White Paper, the former shall prevail.
No regulatory authority has examined or approved of any of the information set out in this
White Paper. No such action has been or will be taken under the laws, regulatory
requirements or rules of any jurisdiction. The publication, distribution or dissemination of
this White Paper does not imply that the applicable laws, regulatory requirements or rules
have been complied with.

RISKS AND UNCERTAINTIES

Prospective purchasers of the coins should carefully consider and evaluate all risks and
uncertainties associated with HNC, its affiliates, the HNC Association and their respective
businesses and operations, the coin and the coin Sale, all information set out in this White
Paper and the T&Cs prior to any purchase of the coins. If any of such risks and uncertainties
develops into actual events, the business, financial condition, results of operations and
prospects of HNC, its affiliates and/or the HNC team could be materially and adversely
affected. In such cases you may lose all or part of the value of the coins.

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