1. Introduction.

These Terms and Conditions (“Terms”) govern the purchase, ownership, redemption, and use of the GODL Token (“Token”). It outlines the terms, conditions, and obligations applicable to the initial acquisition of the Token, ensuring transparency and regulatory compliance. By purchasing or holding the Token, you agree to be bound by these Terms.

2. Purpose and Use of Tokens.

The Token represents ownership of physical gold held in secure storage facilities contracted. Each Token is backed by and corresponds to one (1) gram of gold in accordance with the London Bullion Market Association (LBMA) benchmark price. The Token is a commodity-backed asset and does not constitute an investment contract, security, or financial instrument under applicable laws. Tokens purchased during the presale are subject to a 90-day lock-in period. During the lock-in period, Tokens cannot be transferred, traded, or redeemed. The Token does not confer any rights of ownership, dividends, or interest to the company or its affiliates.

3. Eligibility

To participate in the GODL Token Sale, purchasers must provide all personal information required as part of the Know Your Customer (“KYC”) verification process. The Company may engage third-party service providers to collect and verify KYC information on its behalf, and purchasers may be required to accept the terms and conditions or privacy policies of such third-party providers. Information collected may include, but is not limited to, a passport, driver’s license, utility bill, government-issued identification card, photograph, or sworn statements. We may retain copies of such documentation as necessary for compliance purposes.

Purchasers must also have a compatible digital wallet or other storage mechanism that supports Polygon native tokens on the Polygon blockchain to receive any GODL Tokens purchased. If requested, purchasers must provide the address for their wallet (“Token Receipt Address”). The Company reserves the right to prescribe additional guidance regarding specific requirements for digital wallets used to store the Tokens. Purchasers must also have the ability to send GODL to the designated address provided by the Company (“Token Deposit Address”) for the completion of the token purchase transaction.

The Company shall not be responsible for any delays, losses, costs, non-delivery of refunds or Tokens, or any other issues arising from a purchaser’s failure to provide a valid Token Receipt Address or from providing an inaccurate or incomplete Token Receipt Address.

We reserves the right to prohibit the sale of Tokens to users domiciled or located in jurisdictions where token sale activities are subject to regulatory restrictions. The Company retains the sole discretion to cancel any token sale to users domiciled or located in such jurisdictions.

4. Cancellation; Refusal of Purchase Request

Your purchase of Tokens from the Company during the Sale Period shall be deemed final and irrevocable, and no refunds or cancellations shall be permitted except (i) as required by applicable law or regulation, or (ii) solely with respect to the Token Sale, if the aggregate amount of GODL received by the Company during the Sale Period is less than the minimum required threshold, as determined at the Company’s sole discretion 

In the event that either subsection (i) or (ii) occurs, the GODL or other cryptocurrency remitted by you for the purchase of Tokens may, at the Company’s discretion, be refunded, and the transaction for the purchase and sale of the Tokens shall be deemed null, void, and rescinded without any further liability or recourse against the Company. The Company reserves the right, at its sole and absolute discretion, to refuse, reject, or cancel any request to purchase Tokens at any time and for any reason, or no reason, and further reserves the right to terminate or suspend the Token Sale at any time.

In the event that the Company elects to refuse or reject a payment, it shall use commercially reasonable efforts to return the payment to the originating Wallet. However, the Company makes no representations, warranties, or guarantees as to the successful recovery or return of such funds, and you expressly acknowledge and accept that any such refund, if processed, shall be net of any fees, charges, or deductions imposed at the time of the initial transaction and any applicable fees incurred thereafter.

5. Sale Procedures and Specifications

  • Quantity of Tokens. A total supply of 6,000,000,0000 GODL tokens is issued but the only offering is up to 100,000 GODL Tokens for sale during the Sale Period, issued as Polygon-native tokens on the Polygon blockchain. Tokens purchased during the Sale Period will be subject to a 90-day lock-in period following the Token Generation Event (“TGE”), during which they cannot be transferred, traded, or redeemed.
  • Commencement and Duration of Token Sale. The commencement date of the GODL Token Sale Period is publicly announced on the Company’s official website. The Sale will continue until either (i) all 100,000 GODL Tokens available for sale have been sold, or (ii) the Company announces a completion date on its website with a minimum of 14 days’ prior notice.
  • GODL Token Price. During the Sale Period, 1 GODL Token may be purchased at a price of the LBMA benchmark price for one (1) gram of gold minus 10% discount. Payments shall be made in USDT, and the required amount of USDT for each transaction will be determined based on the prevailing exchange rate between GODL and USDT at the time of purchase, using reputable exchange rate sources.
  • Procedures for Purchasing GODL Tokens. To purchase GODL Tokens during the Sale Period and receive the Tokens upon distribution, purchasers must have a digital wallet that supports Polygon-native tokens on the Polygon blockchain. The Company reserves the right to impose additional wallet requirements for storage and security purposes.

During the Sale Period, the Company will provide a Buy GODL link on its website, allowing purchasers to buy where Purchasers can complete their Know Your Customer (KYC) process. Purchasers may be required to supply their Token Receipt Address as part of this process. Once the Sale Period begins, the Company will provide a Token Deposit Address to which payments must be sent. The Token Deposit Address may be a common-use address, or a unique address assigned to each participant.

To initiate a GODL Token purchase during the Sale Period, purchasers must send the required amount of USDT or USD on Polygon network to the Token Deposit Address provided and in doing so accepts these Terms. Transactions must be executed during the designated Sale Period, and tokens will be immediately distributed after payment has been received.

Token Distribution and Claim Process. GODL Tokens will be distributed during the Sale Period. Any Tokens subject to the 90-day lock-in period will be accessible following the lock in period, using a claim process to be described by the Company and published on its official website. After the lock-in period, the Purchaser will have three options:

  • Sell the gold back to the company at the prevailing LBMA rate on the day of the transaction.
  • Request that their GODL value (in whole or part) be transferred to their Black prepaid card.
  • Retain their GODL until they choose to exercise either option 1 or option 2.

Transaction Responsibility. Purchasers must send GODL to the correct Token Deposit Address designated by the Company during the Sale Period. Sending GODL to any other address may result in the loss of funds. Transactions attempting to purchase GODL Tokens before or after the Sale Period may be rejected, and the Company assumes no liability for lost or improperly transferred funds.

6. Acknowledgment and Assumption of Risks

You acknowledge and agree that purchasing, holding, and using GODL Tokens for transactions or services involves inherent risks. These risks are disclosed and further explained in the Risk Disclosures set forth in Schedule 1 of this Agreement. By proceeding with the purchase, you confirm that you have reviewed, understood, and accepted these risks. If you have any questions regarding the associated risks, you may contact us at info@godlmarket.com  for further clarification.

7. Security

You acknowledge and agree that purchasing, holding, and using GODL Tokens for transactions involves inherent risks. These risks are disclosed and further explained in the Risk Disclosures set forth in Schedule 1 of this Agreement. By proceeding with the purchase, you confirm that you have reviewed, understood, and accepted these risks. If you have any questions regarding the associated risks, you may contact us at info@godlmarket.com  for further clarification.

  • Responsibility for Security and Access Control. You are solely responsible for implementing and maintaining appropriate security measures to protect the wallet, vault, or other storage mechanism used to receive and store GODL Tokens purchased. This includes safeguarding any private keys, passwords, or other credentials necessary to access such storage mechanisms. The loss, compromise, or mismanagement of private keys, passwords, or access credentials may result in the permanent loss of your Tokens, and the Company assumes no responsibility or liability for any such losses. You agree to implement reasonable and appropriate security measures to protect (i) any device associated with the email address linked to your account, (ii) private keys required to access any relevant Polygon address or your GODL Tokens.
  • Collection and Use of User Information. The Company may collect and utilize aggregate statistical data regarding your activity, including but not limited to interactions on the Company’s website and login activity across various platforms, for marketing, analytics, or other purposes at its sole discretion. The Company may also use your internet protocol (IP) address to verify your purchase of Tokens. However, the Company will not disclose your personally identifiable information (“PII”) to any third party without your explicit consent, except as permitted by applicable law or as set forth in these Terms, the Company’s Privacy Policy, or any other applicable Platform Terms and Policies, all of which you acknowledge and accept by participating in the Token Sale.

8. Personal Information

The Company may, at its sole discretion, determine that it is necessary to obtain certain information from you to ensure compliance with any applicable federal, state, local, domestic, or foreign laws, regulations, or policies, including but not limited to Know Your Customer (KYC) and Anti-Money Laundering (AML) requirements. You agree to provide the Company, or its designated nominee, with such information promptly upon request and acknowledge that the Company may refuse to sell Tokens to you until the requested information has been provided and verified. Furthermore, the Company reserves the right to withhold, delay, or deny any Token sale if it determines, in its sole discretion, that such a sale would be impermissible under applicable law or regulation.

9. Taxes

The purchase price you pay for Tokens is exclusive of all applicable taxes. You are solely responsible for determining, assessing, and fulfilling any tax obligations arising from your purchase, ownership, use, or sale of Tokens, including but not limited to sales tax, use tax, value-added tax (VAT), or any other applicable taxes. It is your responsibility to withhold, collect, report, and remit the correct amount of taxes to the relevant tax authorities as required by law.

The Company assumes no responsibility or liability for withholding, collecting, reporting, or remitting any taxes arising from your purchase or use of Tokens. You expressly agree not to hold the Company or any affiliated parties (“Company Parties”) liable for any tax obligations or liabilities associated with the creation, ownership, use, or liquidation of Tokens, or for any other transaction related to the Platform.

10. Representations and Warranties

By purchasing GODL Tokens, you represent and warrant that: (i) You acknowledge and agree that participation in the Platform requires active engagement, and that the functionality and success of the Platform are not solely dependent on the efforts of the Company but on the collective participation of members interacting with the Company, the Platform, and its associated services. (ii) You possess sufficient understanding of cryptographic tokens, token storage mechanisms (such as digital wallets), and distributed ledger technology to comprehend these Terms and the risks and implications of purchasing GODL Tokens. (iii) You confirm that you have read and understood these Terms, including the entirety of the White Paper, and that you have obtained sufficient information regarding GODL Tokens to make an informed decision to purchase them. (iv) You acknowledge that GODL Tokens only confer the right to transfer value within the Platform and do not grant any additional rights with respect to the Platform or the Company, including but not limited to voting, distributions, redemption, liquidation, intellectual property, or any financial or legal entitlements. (v) You confirm that you are purchasing GODL Tokens solely for the purpose of transferring value within the Platform and not for investment, speculation, or any other financial purpose. (vi) Your purchase of GODL Tokens complies with all applicable laws and regulations in your jurisdiction, including but not limited to legal capacity requirements, foreign exchange regulations, and any necessary governmental or regulatory approvals. (vii) You represent that you are legally permitted to receive software and use the Platform, and that you will comply with any applicable tax obligations in your jurisdiction related to the purchase, ownership, sale, redemption, or transfer of GODL Tokens. (viii) You agree to provide the Company or its nominee, upon request, with any necessary documentation, including proof of identity, source of funds, or other information required to comply with applicable laws, including anti-money laundering (AML) and tax reporting regulations. (ix) You confirm that you are of legal age in your country of residence and are legally eligible to obtain and use GODL Tokens. (x) You acknowledge and accept that the Company makes no guarantees regarding the future value or liquidity of GODL Tokens, that there is no assurance of a secondary market for resale, and that the value of GODL Tokens may experience significant volatility or full depreciation. (xi) You acknowledge that it is solely your responsibility to assess and comply with any tax implications arising from your interactions with the Platform, including the potential appreciation or depreciation in value of GODL Tokens. (xii) By purchasing, holding, or using GODL Tokens, you waive any claim against third parties (including developers, auditors, contractors, and founders) for any tax liabilities arising from your ownership or use of GODL Tokens. (xiii) You expressly waive the right to participate in any class action lawsuit or class-wide arbitration against any entity or individual involved in the creation, issuance, or distribution of GODL Tokens. (xiv) You understand that purchasing GODL Tokens does not constitute an acquisition of shares, equity, or any equivalent interest in any public or private entity, company, or corporation. (xv) You acknowledge that the transfer of GODL Tokens and participation in the Platform carry financial, regulatory, and reputational risks, as outlined in these Terms. (xvi) If you are purchasing GODL Tokens on behalf of a legal entity, you represent and warrant that you are authorized to accept these Terms on behalf of such entity, and that such entity will be fully responsible for compliance with these Terms, including any breaches committed by you or other representatives of the entity. References to “you” in these Terms shall be deemed to apply jointly to you and the entity. (xvii) You further represent that you are not a citizen or resident of a jurisdiction where access to or use of the Platform is prohibited by applicable law, decree, regulation, or governmental order. (xviii) You confirm that you are not a citizen, resident, or person located in a jurisdiction that is subject to U.S. or other sovereign country sanctions or embargoes and that you are not listed on the Bureau of Industry and Security (BIS) Denied Persons, Unverified, or Entity Lists, the Office of Foreign Assets Control (OFAC) Specially Designated Nationals, Foreign Sanctions Evaders, or Consolidated Sanctions List, or the Directorate of Defense Trade Controls (DDTC) Debarred Parties List. (xix) You are solely responsible for any actions, transactions, or omissions occurring under your credentials during the GODL Token Sale. (xx) The Company reserves the right to suspend or block your access to the GODL Token Sale in the event of any suspected unauthorized access, fraudulent activity, or attempted security breach involving your credentials.

11. Indemnification

  • Indemnification Obligation. To the fullest extent permitted by applicable law, you agree to indemnify, defend, and hold us harmless and its respective past, present, and future employees, officers, directors, contractors, consultants, equity holders, suppliers, vendors, service providers, parent companies, subsidiaries, affiliates, agents, representatives, predecessors, successors, and assigns (collectively, the “Company Parties”) from and against any and all actual or threatened claims, lawsuits, demands, actions, investigations (whether formal or informal), liabilities, obligations, judgments, damages, penalties, interest, fees, losses, expenses (including attorneys’ fees and legal expenses), and costs (including, but not limited to, court costs, settlement costs, and costs of pursuing indemnification and insurance) of every kind and nature whatsoever, whether asserted by Company Parties or third parties, including governmental authorities, and whether known or unknown, foreseen or unforeseen, matured or unmatured, or suspected or unsuspected, in law or equity, in tort, contract, or otherwise (collectively, “Claims”), arising from or related to:
    • your acquisition, holding, or use of GODL Tokens;
    • the performance or non-performance of your responsibilities or obligations under these Terms;
    • your breach or violation of these Terms;
    • any inaccuracy in any representation or warranty made by you;
    • your violation of any rights (including, but not limited to, intellectual property rights) of any third party; or
    • any act or omission by you that is negligent, unlawful, fraudulent, or constitutes willful misconduct.
    • any claims, investigations, fines, or penalties arising from your failure to comply with any applicable anti-money laundering, securities, or financial regulations.

This indemnification obligation shall apply in addition to, and not in substitution for, any other rights or remedies that may be available to the Company Parties under applicable law.

  • Control of Defense. The Company reserves the sole and exclusive right to assume control over the defense and settlement of any Claim that is subject to indemnification under Section (a), and you agree to cooperate fully in the defense of such Claims. You further agree that any such defense shall be at your sole cost and expense, including but not limited to all attorneys’ fees and litigation expenses.

This indemnification obligation shall apply in addition to, and not in substitution for, any other indemnification obligations set forth in a separate written agreement between you and the Company.

12. Disclaimer of Warranties

To the fullest extent permitted by applicable law and except as otherwise expressly set forth in a written agreement:

  • The GODL tokens are sold on an “as is” and “as available” basis, without any warranties or representations of any kind. The company expressly disclaims all warranties and representations, whether express or implied, including, but not limited to, implied warranties of merchantability, fitness for a particular purpose, title, and non-infringement, whether arising under statute, common law, course of dealing, course of performance, usage of trade, or otherwise.
  • The company does not represent or warrant that the GODL tokens are reliable, current, error-free, or free from defects, that they will meet your requirements, or that any defects or errors will be corrected.
  • The company does not represent or warrant that the GODL tokens or their delivery mechanism are free of viruses, malware, or other harmful components that may affect your systems or software. You acknowledge that you purchase, receive, and use the GODL tokens at your own risk.
  • No regulatory authority has examined, approved, or endorsed any of the information contained in these terms, the white paper, or any other related documentation or communication issued by the company. No such action has been or will be taken under the laws, regulatory requirements, or rules of any jurisdiction.
  • Neither these terms nor any related documentation, communication, or statement from the company constitutes a prospectus or offering document, nor do they constitute an offer to sell or the solicitation of an offer to buy any security, investment contract, or financial instrument in any jurisdiction.
  • Some jurisdictions do not permit the disclaimer of implied warranties or limitation of consumer rights. To the extent that applicable law prohibits such disclaimers, some or all the foregoing disclaimers may not apply to you.

13. Limitation of Liability

To the fullest extent permitted by applicable law:

  • In no event shall we or any of our affiliates, subsidiaries, officers, directors, employees, contractors, consultants, equity holders, suppliers, vendors, service providers, parent companies, agents, representatives, successors, or assigns (collectively, the “company parties”) be liable for any indirect, special, incidental, consequential, punitive, or exemplary losses or damages of any kind arising out of or in any way related to the sale, purchase, or use of GODL tokens or otherwise related to these terms, including, but not limited to: (i) loss of revenue, income or profits; (ii) diminution of value; (iii) loss of use or data; (iv) loss or depletion of goodwill; (v) loss of business opportunity or contract; (vi) damages for business interruption; (vii) loss of anticipated savings.

Such limitations apply regardless of the form of action, whether arising in contract, tort (including negligence, whether active, passive, or imputed), strict liability, or any other legal or equitable theory, even if the company or company parties have been advised of the possibility of such damages and regardless of whether such damages were foreseeable.

  • In no event shall the aggregate liability of the company and the company parties (jointly), whether arising in contract, warranty, tort (including negligence, whether active, passive, or imputed), strict liability, or any other theory, arising out of or relating to these terms or the use or inability to use GODL tokens, exceed the amount paid by you to the company for the purchase of GODL tokens.

14. Release

TO THE FULLEST EXTENT PERMITTED BY APPLICABLE LAW, YOU HEREBY RELEASE, WAIVE, AND DISCHARGE US AND THE COMPANY PARTIES, INCLUDING BUT NOT LIMITED TO ITS AFFILIATES, SUBSIDIARIES, OFFICERS, DIRECTORS, EMPLOYEES, CONTRACTORS, CONSULTANTS, EQUITY HOLDERS, SUPPLIERS, VENDORS, SERVICE PROVIDERS, PARENT COMPANIES, AGENTS, REPRESENTATIVES, SUCCESSORS, AND ASSIGNS, FROM ANY AND ALL RESPONSIBILITY, LIABILITY, CLAIMS, LOSSES, DEMANDS, AND/OR DAMAGES (ACTUAL OR CONSEQUENTIAL) OF EVERY KIND AND NATURE, WHETHER KNOWN OR UNKNOWN, ARISING OUT OF OR RELATED TO DISPUTES BETWEEN YOU AND ANY THIRD PARTY, OR THE ACTS OR OMISSIONS OF ANY THIRD PARTY, INCLUDING BUT NOT LIMITED TO CLAIMS BASED ON NEGLIGENCE.

 YOU EXPRESSLY WAIVE ANY RIGHTS YOU MAY HAVE UNDER ANY STATUTE OR COMMON LAW PRINCIPLE THAT WOULD OTHERWISE LIMIT THE EFFECT OF THIS RELEASE TO CLAIMS KNOWN OR SUSPECTED TO EXIST AT THE TIME OF ENTERING INTO THIS AGREEMENT.

15. Dispute Resolution; Arbitration

The Parties agree to make good faith efforts to resolve any disputes initially through discussion between the Parties.  All disputes under this Agreement that are not resolved by mutual agreement may be decided by recourse to an action at law or in equity.  Any controversy, dispute, or claim arising out of or relating to this Agreement shall be settled by compulsory, binding arbitration administered by the American Arbitration Association in accordance with the American Arbitration Association’s Commercial Arbitration Rules in effect on the Effective Date.  If the Parties cannot agree upon an arbitrator within thirty (30) days after demand by either of them, either or both Parties may request the American Arbitration Association to appoint an arbitrator pursuant to Rule 13 of the Commercial Arbitration Rules effective on September 1, 2022.  The cost of arbitration, including the fees and expenses of the arbitrator, shall be shared equally by the Parties unless the award provides otherwise. Each Party shall bear the cost of its own attorneys’ fees and expert witnesses. The prevailing Party shall be entitled to receive from the losing Party reimbursement for all reasonable fees, costs, and expenses incurred in connection with the arbitration. The arbitral proceedings and any award issued shall be considered confidential. Any award issued may be vacated only on grounds available under the Maryland Uniform Arbitration Act.  Judgment on the award rendered by the arbitrator(s) may be entered in any court having jurisdiction thereof.

16. Waiver of Jury Trial

Each Party hereby irrevocably waives, to the fullest extent permitted by applicable law, any right it may have to a trial by jury in respect to any dispute directly or indirectly arising out of or in connection with this Agreement.

17. Governing Law

This Agreement shall be governed and construed in accordance with the laws of the State of Delaware without regard to any conflict of law principles.  The exclusive jurisdiction of and venue for any legal action arising out of or in relation to this Agreement shall be in the state of Delaware.

18. Severability

If any individual provisions of this Agreement should be legally ineffective or for legal reasons unfeasible, the validity of the remaining Agreement shall not be affected thereby. In such case the Parties shall by mutual agreement substitute the stipulation concerned by another stipulation considered to be largely equivalent in economic and contractual terms.

19. Miscellaneous

  • Entire Agreement. These Terms constitute the entire agreement between you and us regarding your purchase of GODL Tokens and supersede any prior agreements, understandings, or representations, whether written or oral. The Company may amend these Terms from time to time as reasonably necessary to comply with applicable laws or regulations. Any amendments will be posted at godlmarket.com, with the date of the update indicated. The Company may also attempt to notify you through other official websites or communication channels, but the amended Terms shall be effective immediately upon posting.
  • The Company reserves the right to assign its rights and obligations under these Terms at its sole discretion. You may not assign or transfer your rights or obligations under these Terms without the prior written consent of the Company.
  • Waiver and Force Majeure. Failure by the Company to exercise or enforce any right or provision of these Terms shall not constitute a waiver of such right or provision. The Company shall not be liable for any delay or failure to perform any obligation under these Terms due to causes beyond its reasonable control, including but not limited to acts of God, natural disasters, cyberattacks, government actions, labor disputes, or interruptions in telecommunications or blockchain networks.
  • No Partnership or Third-Party Beneficiaries. Purchasing GODL Tokens does not create any form of partnership, joint venture, agency, or fiduciary relationship between you and the Company. Except as expressly provided in these Terms, no third party shall have any rights or claims under these Terms.
  • Electronic Communications. You agree and acknowledge that all agreements, notices, disclosures, and other communications provided by the Company, including these Terms, shall be delivered electronically and shall have the same legal effect as if provided in a physical document.

SCHEDULE 1 – RISK DISCLOSURES

Risk of Wallet Incompatibility. The token may only be compatible with specific wallets and blockchain networks, and attempting to store or transfer it using an unsupported wallet could result in permanent loss. Additionally, software updates, network migrations, or changes in wallet provider support may impact accessibility and functionality.

Risks Associated with the Polygon Blockchain. The Polygon blockchain may experience network congestion, high transaction fees, and smart contract vulnerabilities, potentially leading to delays or fund losses. Additionally, cross-chain bridge risks, governance centralization concerns, and dependencies on Ethereum could impact network stability and token functionality 

Risk of Underlying Commodity Price Fluctuation. The value of the token may be directly impacted by price fluctuations in the underlying commodity, such as gold, due to market demand, macroeconomic conditions, geopolitical events, or regulatory changes. Significant volatility in commodity prices could affect the token’s purchasing power, liquidity, and overall market value, leading to potential financial losses for holders.

Risks Associated with Purchaser Credentials. Loss, theft, or compromise of private keys, passwords, or seed phrases may result in irreversible loss of tokens and inability to access funds. Additionally, phishing attacks, malware, or unauthorized access to wallets due to weak security practices can expose purchasers to fraud, theft, or account takeover.

Risk in Utility and Functionality. The token’s utility and functionality may be impacted by changes in the platform, smart contract modifications, or lack of adoption, potentially limiting its intended use. Additionally, technical issues, regulatory restrictions, or project discontinuation could render the token ineffective or significantly reduce its value.

Risk of Regulatory Action in One or More Jurisdictions. Regulatory frameworks for crypto tokens are evolving and uncertain, and future laws or regulations in one or more jurisdictions may restrict, ban, or impose additional compliance obligations on token ownership, trading, or usage. Such actions could negatively impact token value, liquidity, or usability, and may require purchasers to comply with unforeseen legal or tax obligations.

Risk of Theft. Tokens may be vulnerable to theft through hacking, phishing attacks, malware, or exploits in smart contracts, leading to irreversible loss of funds. Additionally, compromised private keys, exchange breaches, or fraudulent transactions can result in unauthorized access and token misappropriation.

Risk of Malfunction in the Network. The underlying blockchain network may experience technical malfunctions, bugs, or downtime, which could delay transactions, impact token transfers, or render the token temporarily inaccessible. Additionally, network upgrades, forks, or unforeseen vulnerabilities may disrupt normal operations and affect the token’s functionality. 

Risks Associated with Data Privacy Laws. Changes in data privacy laws and regulations may impose new compliance requirements on token holders, exchanges, or service providers, potentially affecting the collection, storage, and transfer of personal data. Additionally, unauthorized data breaches or government access requests could compromise user privacy and expose sensitive information related to token transactions.