Eligibility
You may not use the Services if you:- A) are below the legal age in your jurisdiction, or if it is otherwise illegal in your jurisdiction for you to access, view and/or use the Services;
- B) do not have the technical knowledge necessary or advisable to understand and evaluate the risks of using the Services, engaging with applicable protocols, the Third-Party Technologies, and Third-Party Services;
- C) are currently located in or, a resident, citizen, national or agent of, or an entity organized, incorporated or doing business in, Belarus, Burundi, Crimea and Sevastopol, Cuba, Democratic Republic of Congo, Iran, Iraq, Libya, North Korea, Russia, Somalia, Sudan, Syria, the United States of America, Venezuela, or Zimbabwe;
- D) are a person or entity that is (i) on any list of prohibited or restricted parties maintained by the government of the United Kingdom, the European Union, or the United States, including without limitation the U.S. Treasury Department’s list of Specially Designated Nationals or the U.S. Department of Commerce Denied Person’s List or Entity List, (ii) located or organized in any country or region any country or region that has been designated by the government of the United Kingdom, the European Union, or the United States, as “terrorist supporting” or is otherwise subject to embargo by any of the foregoing, or (iii) owned or controlled by, or intend to transact with, such persons or entities listed in (i)-(ii).
Points and Rewards
In addition to rewards directly issued by the relevant vault or smart-contract, in your use of the Services, we may attribute to you certain reputation indicators, points, or other intangible rewards (collectively “Rewards”). Rewards are not, and may never convert to, accrue to, be used as basis to calculate, or become any other tokens or virtual assets or distribution thereof. Rewards are virtual items with no monetary value. Rewards do not constitute any currency or property of any type and are not redeemable, refundable, or eligible for any fiat or virtual currency or anything else of value. Rewards are not transferable between users, and you may not attempt to sell, trade, or transfer any Rewards, or obtain any manner of credit using any Rewards. Any attempt to sell, trade, or transfer any Rewards or tokens redeemable for or representing any Rewards will be null and void. While using the Services, and at all times applicable, you agree not to engage in any manipulative, fraudulent, dishonest, or abusive activities in connection with points or any distribution of digital assets by us or our affiliates. This includes, but is not limited to, creating multiple accounts to claim additional points or digital assets, using bots or scripts to automate claiming, or participating in any schemes that artificially inflate the number or perceived value of points or digital assets, including but not limited to wash trading. We or our affiliates may terminate any or all of your points due to such activities, or for breaching any license granted by us, and may disclose privately and publicly why such action was taken. Staking of points is strictly prohibited. Points may not be available to persons who are citizens of, residents (tax or otherwise) of, green card holders of, incorporated in, owned or controlled by a person or entity in, located in, or has a registered office or principal place of business in the United States (defined as a “U.S. person”); persons who are acting for the account or benefit of any U.S. person; persons in any jurisdiction in which the offer, sale, holding, and/or purchase of digital assets or cryptocurrencies is unlawful, prohibited, or unauthorized (together with U.S. persons, a “Restricted Person”); or persons subject to sanctions or who are resident or nationals of a sanctioned jurisdiction.DeFi Risks
By participating in the Services you accept several layers of smart contract risks based on the position entered, including:- Smart contract risk
- Bridge risk
- Oracle risk
- Price and funding rate fluctuations
- Exchange risk (Relevant only for maxBTC positions)
- Liquidation risk
- Impermanent loss
- Liquidation events
- Protocol instabilities
Leveraged Looping Risks
Leveraged looping in DeFi generally significantly amplifies risks, including:- Impermanent Loss Exposure Applying leverage to yield farming can multiply the impact of impermanent loss, especially in volatile market conditions. Losses may far exceed the original stakes.
- Liquidation Events Leveraged positions are susceptible to liquidations if backing ratios are not maintained, often resulting in significant losses due to rapid market downturns.
- Price Impact and Slippage High leverage can exaggerate the market impact of large trades, leading to increased slippage and destabilizing price spirals during rapid position unwinding.
- Protocol Instabilities Leveraged strategies depend heavily on the underlying protocols’ stability. Bugs or systemic failures can lead to cascading liquidations across multiple platforms.
- Smart Contract Vulnerabilities Complex leveraged strategies heighten exposure to smart contract risks, where exploits or failures can lead to substantial financial loss.
Re-staked Asset De-peg Risk
- In rare cases when a re-staked asset de-pegs from an underlying asset, the vault collateral may become liquidatable since the strategy will be short the native asset perp but collateralized with the restaked asset.
- Liquidity Risks: When the funding rate turns negative, the vault aims to automatically exit short perp and spot positions. However, if there is not enough liquidity in the perp or spot markets exiting a negative funding environment may take longer than optimal.
- Oracle Risks