Risk Warning

[Risk Disclosure Statement Update] Last Updated: 2022-12-07 (UTC+8)

This risk disclosure statement provides information about some of the risks associated with using the “Oxichange” trading platform (referred to here as the “Trading Platform”) and the services (referred to here as the “Services”) provided by Oxichange. The information provided in this risk disclosure statement is not comprehensive and does not reflect all the risks (or other important factors) that you should consider before using the Services. You must decide for yourself whether you want to use or access the Services, and you should obtain any advice you deem necessary or desirable (including financial and/or legal advice) from independent advisors.
The use of any platform or services provided by Oxichange serves as conclusive evidence that you fully understand the risks mentioned below and accept that Oxichange bears no responsibility for any loss or damage incurred in any form (direct or indirect) while using or accessing the Trading Platform or Services.

1. Financial Risks

1.1 Trading Risks
You use the Services at your own risk, including but not limited to the spot and derivatives services provided by Oxichange. There are no guarantees that using the Services will lead to positive returns or profits, that significant losses will not be incurred, or that your objectives will be met. All contracts traded on the Trading Platform are settled using digital assets such as Bitcoin and stablecoins.
The contracts traded on the Trading Platform are high-risk derivative contracts that require sufficient and relevant experience. You should only fund your wallet and trade with digital assets that you own and are willing to lose. You may lose all or part of your capital. The use of some services also carries a high risk of loss, which is inherently linked to the contracts available for trading.
The Trading Platform is designed so that the maximum risk associated with any user, in relation to their positions on the platform, should not exceed the actual amount of digital assets allocated to those positions (via fees, investments, margins, and/or premiums). If a position is liquidated, the digital assets allocated to that position as margin will be lost, up to the user’s entire account balance. Please refer to the explanations regarding the forced liquidation process on our website and trading guide.

1.2 Price Volatility
The price of digital assets may be extremely volatile and unpredictable compared to other assets such as stocks, bonds, and other tradeable instruments. You should not trade derivatives of digital assets unless you fully understand their nature and the extent of the risk. Any spread or fee associated with contracts may make them unexpectedly and unpredictably volatile.

1.3 Liquidity Risk
Digital asset derivatives (including those traded on the Trading Platform) may carry higher risks, be less liquid, more volatile, and more exposed to changes in economic, political, market, industry, regulatory, and other conditions than other types of derivative contracts. Market liquidity for contracts depends on factors such as supply and demand on the Trading Platform and commercial and speculative interest in the market for those contracts.
Since contracts are traded in a closed trading system, there is a risk that trading volume and liquidity may be limited. Lack of liquidity in any market for contracts may result in order execution delays, and some orders may not be executed at all. These effects may be exacerbated for larger orders.

1.4 Risks of Depositing and Withdrawing Assets
You are responsible for ensuring that you use the correct address for any deposit, withdrawal, or transfer and that the address is valid for the digital asset you intend to transfer and accepted as a deposit by Oxichange. Any inaccuracy in the specified address or digital asset you intend to transfer between addresses may result in the complete loss of the associated digital assets.
Any digital asset transferred to your account(s) or between accounts will only be available for margin or withdrawal purposes once deposited into your account. Digital assets will be deposited into your account after the recommended block confirmations for the relevant blockchain, according to our policies and procedures. Oxichange reserves the right to determine at its discretion whether any digital asset transfer should be deposited into your account. The time between block confirmations and deposit into your account varies and depends on various factors, some of which are beyond our control. We do not guarantee or commit to any time frame for deposit or account transfer confirmation.
For example, deposits and/or withdrawals may not be deposited or delayed in the following cases:

  • Delays, high demand, or technical issues affecting the relevant network;
  • Insufficient network fees assigned to the transaction to ensure that your transaction is confirmed according to your expectations (any fees we may deduct or our recommended network fees for withdrawals are not suggestions on the processing time of transactions);
  • Variable processing time due to high demand, technical issues, or other conditions;
  • Suspected suspicious activities or violations of our terms of service.
    You may be at risk of loss if a deposit is not credited to your account and you cannot manage the risks related to a position or order. The protocol behind a digital asset may change due to technological infrastructure changes or changes from an attack, or it may cease for any reason. These changes may include, but are not limited to, a “fork,” “reversal,” or “airdrop.” Any change or failure in the relevant protocol may reduce the value of your digital assets and/or positions and may result in a total loss. Oxichange has no obligation to support these changes (unless the company, at its discretion, decides to do so), and any assets (or other digital tokens) you may expect to be transferred as part of your wallet balance may not be credited or transferred to your account, resulting in a total loss without any right to claim compensation.

1.5 Risks Related to the Accuracy of Information
While Oxichange strives to keep the information provided as accurate as possible, it is possible that the information may not be the latest, complete, up-to-date, or correctly translated.

2. Legal Risks

2.1 General Legal Risks
The legal environment surrounding cryptocurrencies and other digital assets is evolving. The application and interpretation of existing laws are largely untested, and there are ambiguities regarding how they may be applied. New laws and regulations will be enacted in the future that apply to blockchain technologies, digital assets, and related service providers; however, it cannot be assured that any such changes will not negatively affect digital assets or the Services.
It is impossible to predict the impact of these changes on the price and liquidity of digital asset derivatives, digital assets in general, or the Services. Legal actions may negatively impact cryptocurrencies and other digital assets in various ways, including, for example, through a decision that (with retroactive or forward-looking effect) treats digital assets or their derivatives as financial instruments subject to regulation, requiring registration or licensing in some jurisdictions.
In such cases, Oxichange may have to prevent users based on their nationality, residence, or location from participating in any transactions on the Trading Platform. These business actions may be unsustainable or legally prohibited, which could materially affect the price and liquidity of cryptocurrencies. You understand that it is ultimately your responsibility to ensure that you comply with all local regulations, guidelines, restrictions, and laws in your place of residence before using the Services.
We expressly state that the use of the Services is not permitted for users from any jurisdiction where such services are not authorized (including but not limited to any restricted jurisdictions periodically listed on U.S. or international sanctions lists like OFAC, FATF, and others as having an unacceptable risk of money laundering or terrorist financing). We do not offer or solicit the use of the Services to any person in any of the restricted jurisdictions mentioned or any jurisdiction where specific use of the Services is not authorized or is otherwise prohibited by local laws.
You are responsible for managing your financial and legal affairs, including submitting any legal documents and payments and complying with relevant laws and regulations. We do not provide any legal, tax, or financial advice.

3. Cybersecurity Risks

3.1 Risks Related to Cybersecurity
Malicious individuals, groups, or organizations may attempt to interfere with the operation of the Oxichange Trading Platform in various ways, including but not limited to malware attacks, denial-of-service (DoS) attacks, coordinated attacks, account takeovers, and the transmission of fake transactions (including spoofing), which could negatively impact the platform’s performance, access to the Services, and the value of contracts traded on the Trading Platform.
With the increasing use of technology and reliance on computer systems to perform essential business functions, digital assets and services are exposed to operational risks and information security risks. In general, cyber incidents may be caused by deliberate attacks or unintended events.
Cyberattacks include unauthorized access to digital systems aimed at exploiting assets or sensitive information, corrupting data, or disrupting operations. Additionally, cyberattacks may be carried out in ways that do not require unauthorized access, such as creating denial-of-service attacks on infrastructure.
Cybersecurity failures or security breaches of third-party service providers (including but not limited to software providers, cloud service providers, index providers, custodians, and transfer agents) may negatively impact digital assets and services.
It is your responsibility to ensure that (i) your access credentials, including email, username, and password, and access to any hardware or software two-factor authentication remain secure and confidential, and (ii) the security and integrity of any system (hardware and software) or services you use to access the Services are ensured.

3.2 Risks Related to Platform IT Maintenance
Oxichange may, at times, perform routine or other necessary maintenance on the Trading Platform. This may result in platform downtime and lack of access to the Trading Platform, causing delays or cancellations of ongoing orders and orders placed during maintenance or downtime and users’ inability to submit new orders or modify existing ones.

4. Access-Related Risks

The use of mobile and/or web-based trading technologies involves a set of inherent risks, such as delays in price updates due to the mobile or web platform’s performance and connectivity issues that may result in an inability to execute trades or orders at desired prices.
Oxichange makes no representation regarding the accuracy of price data or any delays in price updates during trading. You assume all the risks associated with relying on mobile or web-based platforms to access the Services.

This Risk Disclosure Statement is intended to highlight certain risks. By using the Services, you confirm that you understand the risks involved and that you accept all risks.

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