Risk Disclosures

Learn about risks involved

Offer-Related Risks

  • Market Volatility: The value of crypto assets may be highly volatile and subject to unpredictable fluctuations due to speculative activity, general market trends, regulatory developments, or macroeconomic factors.
  • Liquidity Risk: The absence of an active secondary market or the inability to access trading platforms may render it difficult or impossible for holders to sell or otherwise dispose of their crypto assets at prevailing market prices or at all.
  • Regulatory Risk: Changes in applicable laws, regulations, or enforcement policies in the European Union or other jurisdictions may adversely affect the legality, viability, or value of the crypto assets or limit the ability of the issuer to conduct the offering or continue operations.
  • Offering Failure: There is a risk that the offer may not reach its funding objectives or attract sufficient interest, thus affecting the implementation or continuity of the project.

Issuer-Related Risks

  • Operational Risk: The issuer may face operational challenges, including management inefficiencies, inadequate internal controls, or dependence on key personnel, which may affect its ability to meet its obligations.
  • Financial Risk: The issuer may be subject to financial distress, including insolvency or lack of sufficient working capital, which may impair the value or functionality of the crypto assets.
  • Jurisdictional Risk: The issuer may be located in or subject to laws of a jurisdiction that provides limited recourse or legal protection for holders of the crypto assets.

Crypto Assets-Related Risks

  • Functional Risk: The crypto assets may not perform as intended or may be susceptible to software bugs, unintended code behavior, or protocol design flaws.
  • Cybersecurity Risk: The crypto assets may be vulnerable to cyberattacks, including unauthorized access, theft, loss of private keys, or other forms of digital compromise.
  • Lack of Intrinsic Value: The crypto assets may not be backed by tangible assets or cash flows and may derive their value solely from supply and demand dynamics or network usage.

Project Implementation-Related Risks

  • Development Risk: The project may face delays, technical difficulties, or changes in strategic direction that could adversely affect its timeline, functionality, or scope.
  • Third-Party Dependency: The project may rely on external service providers, partners, or infrastructure whose performance or failure may impact the success of the project.
  • Resource Risk: The project may lack sufficient human, technical, or financial resources to complete its development or operate sustainably.

The issuer has implemented various technical and organizational safeguards, including code audits, network monitoring, and multi-signature wallets, aimed at reducing exposure to technological and operational risks. However, such measures cannot eliminate all the risks inherent in the use of blockchain or distributed ledger technology.