The value of crypto-assets is highly volatile. Clients can incur substantial or even total loss of funds when buying or swapping crypto-assets. The client must carefully consider whether exchanging crypto-assets for funds or other crypto-assets is suitable for client’s risk tolerance. The value of crypto-assets is not guaranteed by any institution, and it cannot be legally used for debt payment.
Note that this risk also exists in relation to so-called ‘stablecoins’, i.e. crypto-assets the purpose of which is that these hold a constant and generally 1:1 exchange rate or ‘peg’ with traditional fiat currency. This peg may be achieved by means of a counterparty committing to exchange the stablecoin for fiat currency or by an algorithm functioning on the DLT. There is no guarantee that stablecoins maintain this peg and multiple stablecoins have lost this peg in the past. This may in the future and has in the past led to a full or partial loss of funds by holders of stablecoins. The peg may be lost due to a wide range of reasons, including failure of an essential counterparty or failure of the functionality of an essential algorithm. Stablecoins are issued and their functionality is operated and maintained by third parties, over which Web3 Technology has no influence. There is generally very little or no recourse in case of a loss of a peg in relation to a stablecoin. Additionally, stablecoins like USDC are denominated in US Dollars, meaning that the client could be exposed to movements in the exchange rate between US Dollars and their local currency, e.g. USD:EUR for users in the EU using Euro currency.
Memecoins are a type of crypto-asset that typically originate from internet culture, humor, or viral trends. These assets often gain popularity quickly but usually lack underlying utility, a long-term development roadmap, or a known and regulated issuer.
Memecoins tend to be highly speculative and are subject to extreme and unpredictable price volatility. Their value may increase or decrease sharply within a short period, often influenced by social media activity, endorsements by influencers, or online communities.
Clients should be aware that memecoins:
Memecoins are made available on the platform of Ari10 based on client demand. However, these assets are not recommended for investment purposes. Clients should carefully assess their financial situation and risk tolerance before engaging in transactions involving such crypto-assets.
Memecoins are a type of crypto-asset that typically originate from internet culture, humor, or viral trends. These assets often gain popularity quickly but usually lack underlying utility, a long-term development roadmap, or a known and regulated issuer.
Memecoins tend to be highly speculative and are subject to extreme and unpredictable price volatility. Their value may increase or decrease sharply within a short period, often influenced by social media activity, endorsements by influencers, or online communities.
Clients should be aware that memecoins:
However, these assets are not recommended for investment purposes. Clients should carefully assess their financial situation and risk tolerance before engaging in transactions involving such crypto-assets.
Crypto-asset platforms and associated accounts are targeted frequently by hackers and individuals seeking unauthorized access to client’s funds. This may well lead to client’s funds being irretrievably lost. It is the client’s sole responsibility to safeguard their account. Aside from choosing a strong password, Web3 Technology highly recommends that each client activates two factor authentication (“2FA”).
Unlike most currencies or assets that are backed by governments or other legal entities or by other commodities such as gold or silver, crypto-assets are a unique type of asset, based on technology and rule-based cooperation. There is no central bank or other third party that can take corrective measures to protect the value of a crypto-asset.
Web3 Technology does not have control over, or liability for, the delivery, quality, safety, legality or any other aspect of the crypto-assets that you may purchase, hold or sell using their services. Web3 Technology does not own or control any of the underlying software protocols which govern the operation of the crypto-assets supported by them. These underlying protocols may change or cease functioning without advance notice, which may lead to a full loss of crypto-assets or the value thereof.
Due to the nature of distributed ledger technology and the underlying protocols thereof, any crypto-assets stored or traded on the platform may be irretrievably lost, corrupted, or erased—either temporarily or permanently.
Please be advised that crypto-asset transactions are final and cannot be reversed once confirmed. Web3 Technology prominently displays clear warnings before each transaction to ensure that every client is fully informed before proceeding. We strongly recommend that you review all transaction details carefully, as once confirmed, they cannot be undone.
Web3 Technology’s primary objective is to fully comply with EU regulations where the classification of crypto-assets is clear and well-defined. However, it is important to recognize that the legal classification of certain crypto-assets may not be clear and may vary under the laws of different jurisdictions throughout the world. How a crypto-asset qualifies legally and what consequences this has to a client’s rights to the funds may vary per jurisdiction.
Tax treatment of crypto-assets may vary by jurisdiction and is subject to change. Clients should seek professional advice to understand their tax obligations related to their use of the services provided by Web3 Technology.