🖥️Computational Control Model

ComBoox adopts the "state machine model" to simulate and control the share transactions and corporate governance activities, specifically:

(1) States

Information contents of the book-entry registers at each moment are deemed as different states, which will be stored in the smart contracts of Registers (such as Register of Shares, Register of Members and Meeting Minutes etc.).

(2) Transition Process

Share transactions, corporate governance behaviors and other relevant legal actions are considered as the transition process between different states of the book-entry Registers, and which will be defined and controlled by the smart contracts of Bookkeepers with respect to the subject’s identity, action process, terms and conditions, and legal consequences thereof.

(3) Conditions and Process

The corporate governance rules (such as voting rules, nomination rules and other rules stipulated in the bylaws or other similar company constitutional documents), as well as the shareholders' special rights (such as First Refusal, Tag-Along and Drag Along, Anti-Dilution, Put Option and Call Option etc.) are deemed as the rules, conditions and procedures to be followed in the transition process between the different states, and which will be defined by the smart contract of Shareholders Agreement with respect to the values of attributes, duration or determination thresholds for the said rules or rights. In runtime, Shareholders Agreement will timely answer the queries sent from Bookkeepers so as to provide parameters to automatically control the execution process of the legal behaviors concerned.

(4) Write Operation Scripts

Investment Agreement can be deemed as a special script or batch file consisting of a series of write operation commands to cause the states transition of Register of Shares. And, the transaction factors defined in Investment Agreement as attributes of object Deal (such as subject equity, parties concerned, quantities and price etc.) can be deemed as input parameters (or specific trigger events) of the said write operations concerned, which will be executed by the relevant Bookkeepers automatically.