Token Cat Limited said its board of directors has approved a Crypto Asset Investment Policy that allows the company to place part of its cash reserves into selected crypto assets under a defined risk-management structure. The board set an overall allocation ceiling of up to $1 billion, with deployment to be carried out in stages based on market conditions, risk assessments, and capital management needs.
Board sets phased allocation plan
The company said it moved ahead with the policy after what it described as a careful evaluation. Before that decision, Token Cat appointed Sav Persico as chief operating officer to lead implementation. The company said Persico brings 30 years of crypto and blockchain experience. Chief Executive Officer Guangsheng Liu said the policy strengthens the company’s asset strategy and that Persico’s background should support disciplined execution of the long-term plan.
Initial focus includes AI and hybrid token-equity models
Under the framework, the first round of allocations will concentrate on emerging crypto project tokens that the company believes have strong growth prospects. Token Cat specifically named assets tied to AI, RAW-to-chain initiatives, and token-equity hybrid models. Any move into additional categories later would require a fresh review and approval from the board’s Risk Committee.
No self-custody and CFO-led oversight
The company also said it will not self-custody the crypto assets it acquires. Instead, it plans to use what it called top-tier custody standards. On governance, Token Cat has formed a Crypto Asset Risk Committee led by its CFO. That committee will oversee allocation decisions, manage risk controls, and report to the board on a regular basis.
Persico said the company views crypto assets as long-term stores of value rather than speculative instruments, with the aim of improving resilience during periods of macroeconomic uncertainty. He also said he expects to advance the company’s crypto asset strategy and build industry collaboration in support of long-term growth. The release added that these statements are forward-looking and subject to risks described in the company’s SEC filings.