Before you use any part of our platform/website/wallet and before buying and/or trading Litas or any other cryptographic tokens that we (or any third-party service provider accessed through our platform) may offer through our website/platform from time to time (“tokens”), please consider the following risk factors. The value of the tokens and your ability to access and transfer the tokens could be materially and adversely affected if any of these risk factors materialize. As a result, purchasing tokens exposes you to significant risk and potential financial losses.
Please note, this Risk Statement is not exhaustive. You should carry out further research (and seek professional advice) to carefully determine whether purchasing and/or trading tokens is suitable for your particular financial situation and risk tolerance.
SUBJECT TO ANY PROVISION TO THE CONTRARY SET OUT IN OUR TERMS OF SERVICE, WE SHALL NOT BE LIABLE FOR ANY LOSS INCURRED BY YOU RESULTING FROM YOUR ACCESS TO OUR PLATFORM OR FROM YOUR PURCHASE, TRANSFER OR USE OF TOKENS.
TOKENS ARE HIGH-RISK ASSETS AND YOU SHOULD NEVER USE FUNDS THAT YOU CANNOT AFFORD TO LOSE TO PURCHASE TOKENS.
1. PRICE VOLATILITY
The price of tokens can be subject to dramatic fluctuations and high volatility due to a variety of factors such as: changes in financial technology industry, technological advancements, market trends, general economic and/or political conditions, degree of adoption, degree of institutional support, regulatory measures, market dynamics, trading activities, hacking, events affecting large service providers, including exchanges.
AS A RESULT OF PRICE VOLATILITY, YOUR TOKENS MAY LOSE ALL VALUE AND BECOME WORTHLESS. WE SHALL NOT BE RESPONSIBLE FOR ANY LOSS INCURRED BY YOU AS A RESULT OF THE INHERENT PRICE-VOLATILITY OF TOKENS.
2. CRYPTOGRAPHIC WALLETS
Tokens are stored on cryptographic wallets (“Wallets”). Losing access to the private key(s) associated with your Wallet may result in the permanent loss of your ability to access and dispose of your tokens.
YOU ARE SOLELY RESPONSIBLE FOR IMPLEMENTING ALL REASONABLE AND APPROPRIATE MEASURES FOR SECURING ACCESS TO YOUR PRIVATE KEY(S) AND WALLET.
WE DO NOT HOLD COPIES OF YOUR PRIVATE KEY(S). WE SHALL NOT BE RESPONSIBLE FOR ANY LOSS RESULTING FROM YOUR INABILITY TO ACCESS YOUR WALLET AND/OR PRIVATE KEYS.
Tokens are recorded on distributed ledgers which are governed by certain sets of rules known as protocols.
3.1 Malfunction, breakdown and/or abandonment of protocols
Any malfunction, breakdown, or abandonment of the protocols on which the tokens are based could severely affect the price of the tokens as well as your ability to dispose of the tokens.
3.2 Hacking and security weaknesses
Tokens may be subject to expropriation and/or theft. Bad actors (including hackers, groups, and organizations) may attempt to interfere with the protocols or the tokens in a variety of ways, including, but not limited to, malware attacks, denial of service attacks, consensus-based attacks, sybil attacks, smurfing, and spoofing.
WE DO NOT HAVE CONTROL OVER THE PROTOCOLS. AS SUCH, WE SHALL NOT BE RESPONSIBLE FOR ANY LOSS ARISING OUT OF OR IN CONNECTION WITH THE PROTOCOLS.
4. LAWS AND REGULATIONS
The legal and/or regulatory framework surrounding tokens and distributed ledger technology is uncertain, not harmonized, and unsettled in many jurisdictions.
WE ARE NOT RESPONSIBLE FOR ANY LOSS WHICH YOU MAY SUFFER AS A RESULT OF ANY NEWLY INTRODUCED LEGAL AND/OR REGULATORY FRAMEWORK.
The tax characterization of tokens is complex and largely uncertain. You should seek tax advice to understand what tax obligations apply to you when purchasing, holding, transferring, and utilizing tokens.
WE ARE NOT RESPONSIBLE FOR ANY LOSS OR OTHER FORM OF LIABILITY ARISING OUT OF OR IN CONNECTION WITH YOUR FAILURE TO COMPLY WITH ANY TAX LIABILITY THAT IS OR WILL BE APPLICABLE TO YOU.
6. UNANTICIPATED RISKS
In addition to the risks included in this document, there are other risks associated with your purchase, holding, trading, and use of tokens, some of which we cannot anticipate. Such risks may further materialize as unanticipated variations or combinations of the risks discussed in this section.
THIS RISK STATEMENT IS NOT EXHAUSTIVE AND SHALL NOT BE TAKEN TO ENCOMPASS ALL RISKS INVOLVED IN THE PURCHASE, HOLDING, TRADING AND USE OF TOKENS. SUBJECT TO THE TERMS OF THE TERMS OF SERVICE, WE SHALL NOT BE RESPONSIBLE OR LIABLE FOR ANY LOSS SUFFERED BY YOU AS A RESULT OF UNANTICIPATED RISKS.