Wave Digital Assets LLC

ITEM 5 – FEES AND COMPENSATION

The Adviser generally receives Management Fees, Performance Fees and Carried Interest
Distributions (each as defined below) and other similar performance-based remuneration from its
Clients. Additionally, consistent with the relevant Organizational Documents, Clients typically
reimburse the Adviser and its affiliates for certain out-of-pocket expenses incurred by the Adviser
in connection with the services provided. Further details about certain common fees and expenses
are set forth below.
Advisory Fees
For its discretionary management services, each Client that is subject to a management fee pays to
the Adviser an annual management fee (the “Management Fee”), generally ranging from 0.1% to
2.0%, payable monthly or quarterly in arrears. Such Management Fees are determined based on the
value of a Client’s assets under management as of the end of such month or quarter. One Client
paid a 5.0% upfront management fee, collected at time of Investor contribution, related to a long-
term buy and hold strategy.
The Adviser and Clients may also agree to a compensation schedule related to specific investment
strategies within a Fund or Account, or a combination of such fees. Client fees are negotiated and
agreed to in the respective Organizational Documents prior to the Client and the Adviser entering
into an investment advisory relationship and may vary depending on account size, management
style, investment restrictions and other criteria.
Clients may elect to amend the amount of fees to be paid to the Adviser pursuant to an amendment
to the Organizational Documents, or by way of establishing certain “side pockets.” Such “side
pockets” may set forth unique treatment of a specific set of assets held by a Client that is different
from the treatment of other assets held by that Client.
Such fees are deducted directly from accounts for certain Clients, and paid pursuant to an invoice
for other Clients. Where an advisory relationship exists for only a portion of a month or quarter,
Management Fees are prorated accordingly.
Clients are hereby advised that lower fees for comparable services may be available from other
sources.
Expenses
Adviser Expenses
To the extent provided in the Organizational Documents for its Clients, and except as described
herein as a Client Expense, the Adviser generally bears expenses it incurs with the provision of its
services, including expenses related to the Adviser’s office space and utilities and secretarial,
clerical and other personnel.
Client Expenses
Clients bear all investment expenses relating to their investment programs, including, but not
limited to: (i) Management fees; (ii) investment expenses, whether or not such investments are
consummated; (iii) costs related to the acquisition, disposition, lending and custody of assets
(including, but not limited to, third-party wallet providers); (iv) brokerage commissions; (v)

professional fees (including, without limitation, expenses of consultants, investment bankers,
attorneys, accountants and other experts) relating to investments and operations of a Client’s
portfolio; (vi) fees and expenses relating to software tools, programs or other technology utilized in
managing the Client portfolio (including, without limitation, third-party software licensing,
implementation, data management and recovery services and custom development costs); (vii)
administrative expenses (including, without limitation, fees and expenses of a fund administrator);
(viii) directors’ and officers’ fees and expenses; (ix) legal expenses; (x) external accounting and
valuation expenses (including, without limitation, the cost of accounting software packages); (xi)
audit and tax preparation expenses; (xii) costs related to insuring the Adviser and certain of its
affiliates against risks related to the management or operation of Clients and their portfolios; (xiii)
costs of printing and mailing reports and notices; (xiii) taxes; (xiv) corporate licensing; (xv)
regulatory expenses (including, without limitation, filing fees); (xvi) expenses incurred in
connection with the offering and sale of the fund interests; (xvii) indemnification expenses; and
(xviii) extraordinary expenses.
Allocation of Expenses
From time to time the Adviser will be required to decide whether certain fees, costs and expenses
should be borne by the Adviser, a Client and/or a third party (each, an “Allocable Party”) and if
so, how such fees costs and expenses should be allocated among the relevant Allocable Parties.
Certain fees, costs and expenses may be the obligation of one particular Allocable Party and may
be borne by such Allocable Party, or fees, costs and expenses may be allocated among multiple
Allocable Parties. The Adviser first seeks to allocate fees, costs and expenses in accordance with
Clients’ Organizational Documents. To the extent not addressed in such Organizational Documents,
the Adviser will make allocation determinations among Allocable Parties in a fair and reasonable
manner using its good faith judgment, notwithstanding its interest (if any) in the allocation (which
such methodologies may include pro rata allocation based on the respective assets under
management or net asset value of its Clients, relative benefit received by an Allocable Party, or such
other equitable method as determined by the Adviser in its sole discretion). The Adviser will make
any corrective allocations and take any mitigating steps if it determines in its sole discretion that
such corrections are necessary or advisable to ensure allocations are equitable on an overall basis
in its good faith judgment. Notwithstanding the foregoing, the portion of an expense allocated to a
Client for a particular service may not reflect the relative benefit derived by such Client from that
service in any particular instance and a Client will bear more or less of a particular expense based
on the methodology used.
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ITEM 7 – TYPES OF CLIENTS

The Adviser provides investment advisory services to Accounts for high net worth individuals, a
charitable organization, a corporation, a bankruptcy estate (entered into during 2024) as well as to
commingled funds and separately managed entities whose investors include institutional investors,
corporations, family offices and high net worth individuals.
Interests in commingled funds and separately managed entities are offered pursuant to applicable
exemptions from registration under the Securities Act and 1940 Act.