Risk Disclosure Statement

This Risk Disclosure Statement (the “Statement”), as may be amended, restated, supplemented, or otherwise modified from time to time, is furnished by BitVault Europe S.A. LTD. (“BitVault”, “we”, “us”, or “our”) for the purpose of drawing your attention, in general terms, to certain material risks associated with the holding of, and the entering into of transactions in, crypto-assets through the websites, applications, and services made available by or on behalf of BitVault from time to time (the “Services”). The risks described herein are illustrative only, are not presented in any order of significance, and are not, and are not intended to be, exhaustive; additional risks and uncertainties, including risks not presently known or currently considered immaterial, may also adversely affect you. Nothing in this Statement constitutes, or should be construed as constituting, investment, financial, legal, tax, accounting, or other professional advice, nor a recommendation, solicitation, or offer in respect of any asset or course of action. This Statement should be read together with our Terms of Service.

1. Market Risk

The prices of crypto-assets are subject to a high degree of volatility and may fluctuate significantly, rapidly, and unpredictably over short periods, under the influence of factors including, without limitation, prevailing market sentiment, changes in liquidity conditions, macroeconomic and geopolitical developments, technological events, and speculative activity. Movements may be adverse, substantial, and sustained. Past performance is not a reliable indicator, and provides no assurance, of future results, and no representation is made that any asset will maintain, recover, or attain any particular value.

2. Liquidity Risk

Certain assets may, at any time and from time to time, be or become difficult to buy or sell at a desired price, in a desired quantity, or at all. Diminished liquidity may result in wider spreads, material slippage, delayed or partial execution, and, in adverse conditions, the practical impossibility of exiting a position on acceptable terms or within an acceptable timeframe.

3. Technology & Irreversibility Risk

Transactions recorded on distributed-ledger networks are, as a general matter, incapable of being reversed, cancelled, or amended once confirmed. The transmission of assets to an incorrect, malformed, or unintended address, interaction with defective or malicious smart contracts, or the loss, theft, or compromise of cryptographic keys or credentials may each result in the permanent and irrecoverable loss of the relevant assets. Distributed-ledger networks may further be subject to congestion, delay, reorganisation, forks, protocol changes, bugs, exploits, or partial or total outages, none of which is within the control of BitVault and any of which may adversely affect the execution, settlement, or value of transactions.

4. Security & Fraud Risk

The crypto-asset ecosystem is the persistent target of sophisticated and evolving criminal activity, including phishing, credential harvesting, wallet-draining software, impersonation of legitimate platforms and personnel, fraudulent investment schemes, and other deceptive practices. While BitVault implements and maintains such protective measures as it considers appropriate and makes available fraud-response and recovery assistance, no combination of measures can be warranted to afford absolute security, and no assurance can be given that any loss occasioned by the acts of third parties will be prevented, detected, or remedied.

5. Legal & Regulatory Risk

The legal, regulatory, and fiscal treatment of crypto-assets remains in a state of development and is subject to change, potentially with retroactive effect, in the jurisdictions relevant to you and to the Services. Legislative, regulatory, supervisory, or judicial developments, including under Regulation (EU) 2023/1114 on markets in crypto-assets (MiCA) and measures adopted thereunder or in connection therewith, may adversely affect the availability, transferability, value, or tax treatment of particular assets or of the Services generally, and may require the modification, restriction, or discontinuation of some or all of the Services in one or more jurisdictions.

6. Third-Party & Counterparty Risk

The provision of the Services depends upon systems, infrastructure, and services operated by third parties, including exchanges, custodians, liquidity providers, banking partners, and payment processors. The failure, insolvency, misconduct, or compromise of any such third party, or the suspension or termination of any relevant arrangement, may adversely affect the availability of the Services and your ability to access, transact in, or realise the value of your assets, and may give rise to losses for which BitVault accepts no responsibility.

For the avoidance of doubt, references on the Services or in related materials to any exchange, trading venue, liquidity source, or other third-party undertaking (howsoever described, including by use of the word “partner” or words of similar import) are informational and descriptive in nature, denote actual or potential sources of market infrastructure or liquidity only, and do not constitute, and should not be relied upon as, a representation of any partnership, agency, affiliation, endorsement, or other legal or commercial relationship between BitVault and any such third party, nor any representation as to the identity, solvency, regulatory status, or continuing availability of any venue or counterparty through which, directly or indirectly, the Services may from time to time be provided. The description of any security practice, standard, or regulatory framework is likewise not a representation of certification, approval, or endorsement by any authority or standards body.

7. Operational Risk

The Services may be affected by events of an operational character, including system maintenance, hardware or software failure, interruption of communications networks, personnel unavailability, and events of force majeure. Such events may result in delay, unavailability, or degraded performance of the Services, and, in certain circumstances, in the delayed processing or settlement of transactions.

8. No Guarantee of Recovery

BitVault’s fraud-response and asset-recovery assistance is provided strictly on a best-efforts basis. The outcome of any investigation or recovery effort is inherently uncertain and dependent upon circumstances and third parties outside the control of BitVault. Accordingly, BitVault makes no representation, warranty, or undertaking of any kind that any investigation will succeed, that any particular measure will be taken or will prove effective, or that any lost, stolen, or misdirected assets will be identified, traced, frozen, returned, or recovered, in whole or in part, within any particular timeframe or at all.

9. Suitability & Independent Advice

You are solely responsible for evaluating, in light of your own financial situation, objectives, experience, and risk tolerance, whether the holding of, or the entering into of transactions in, crypto-assets is appropriate for you. BitVault expresses no view as to such appropriateness. You are encouraged to obtain independent financial, legal, and tax advice before making use of the Services.

10. Custody, Deposits & Manual Settlement

The Services are operated on a custodial basis. Crypto-asset and fiat deposits, top-ups, withdrawals, purchases, and internal transfers are reviewed, processed, and settled manually by BitVault’s operations personnel, and are credited to or debited from your BitVault balance only following such verification, review, and operational procedures as BitVault may apply from time to time, rather than by way of automated on-chain detection. Crediting and settlement are accordingly not necessarily instantaneous, and no assurance is given as to the time within which any particular item will be reviewed, processed, or settled. The balances, valuations, prices, and transaction statuses displayed within the Services reflect BitVault’s internal books and records, which shall, absent manifest error, be determinative for all purposes connected with the Services. Deposit addresses displayed within the Services are provided for your use; you should in every case confirm the current details with our team prior to remitting any funds or assets. BitVault accepts no responsibility or liability for funds or assets transmitted to an incorrect, superseded, or otherwise inapplicable address or account.

11. Acknowledgement

By accessing or using the Services, you acknowledge and confirm that you have read, understood, and accepted this Statement in its entirety, that you appreciate the nature and extent of the risks described herein and of such further risks as may exist from time to time, and that you assume all such risks in full. Enquiries concerning this Statement may be directed to compliance@bitvaultapp.net.