This Risk Disclosure Statement provides you with information about some of the risks associated with use of the 'COINZIX' Trading Platform. The information presented in this Risk Disclosure Statement is not comprehensive and does not reflect all of the risks (or other important factors) you should consider before using the Services. You must make your own independent decision to access or use the Services and should seek any advice that you consider necessary or desirable (including financial and/or legal advice) from independent advisers. Your capital is at risk. Terms not otherwise defined in this Risk Disclosure Statement shall bear the same meanings attributed to them in the Terms of Service.
You use the Services at your own risk. There can be no assurance that use of the Services will provide a positive return or profit, that significant losses will not be incurred, or that your objectives will be achieved.
Crypto currencies are digital representations of value that function as a medium of exchange, but do not have legal tender status. They are occasionally exchanged for US Dollars or other currencies around the world, but they are not typically backed or supported by any government and central bank.
Attempts to improve the clarity: It's important for you to be aware that cryptocurrencies are volatile digital assets. This means that prices continue to fluctuate over time and these fluctuations can occur rapidly. In addition, cryptocurrencies are not backed by any physical assets due to their digital nature.
Cryptocurrencies have a number of risks associated with them. These include volatile market swings or flash crashes, fraud, market manipulation, and cybersecurity risks. There is also the risk that someone who accepts cryptocurrency as payment today may not do so tomorrow; this means it is harder to establish credibility when accepting payments in cryptocurrencies. In addition to these issues, there are no regulatory controls on markets or exchanges for cryptocurrencies because they are different from equity trading and other securities such as options or futures where legal protections exist for investors through regulation.
Before investing in any cryptocurrency, be sure to research the legitimacy of each individual currency and its corresponding platform. The functionality and characteristics of cryptocurrency may be complex, technical, or difficult to understand or evaluate.
The cryptocurrency exchange may be susceptible to attacks on security, integrity or operation. In the unfortunate event that this occurs, there is a significant likelihood of uncontrollable volatility and/or inadequate decentralization. Some transactions will be deemed complete when they are recorded on an unalterable public ledger, which can lead to discrepancies in time.
The price of cryptocurrencies are both highly unpredictable and volatile when compared to other assets such as stocks, bonds and tradable instruments. You should not deal in cryptocurrency derivatives unless you understand their nature; any spreads or fees associated with contracts traded on the Trading Platform may make them more unstable for investment purposes.
Risks include, but are not limited to, the following:
- Market Risk: It's a new and uncertain market, so anyone with funds invested in digital tokens or speculating on them should be prepared to lose everything. It could go up now down at any time for one token or another - but it is unknown which will happen as the unpredictability of this market makes anything possible. The best thing you can do before putting your money into something like this is research thoroughly!
- Liquidity and Listing Risk: There are various markets for digital tokens and their liquidity varies. Some of these can be very liquid while others may not be so fluid, which could lead to some volatility in the market. There is never a guarantee that there will always be an active marketplace available or where you might trade your Digital Tokens as well as any other products derived from them or adjacent industries.
- Legal Risk: The legal status of certain Digital Tokens may be uncertain. This can mean that the legality of holding or trading them is not always clear. Whether and how one or more Digital Tokens constitute property, or assets, or rights of any kind may also seem unclear. Participants are responsible for knowing and understanding how Digital Tokens will be addressed, regulated, and taxed under applicable law.
- Trading Risk: In addition to liquidity risks, values in any digital token marketplace are volatile and can shift quickly. Participants in any Digital Tokens market are warned that they should pay close attention to their position and holdings, and how they may be impacted by sudden and adverse shifts in trading and other market activities.