Risk Disclosure Statement

Before trading or investing in Virtual Assets through ARP’s products and services, please carefully review this Risk Disclosure Statement. It outlines the general and specific risks associated with Virtual Assets. By accessing or using ARP’s platform, you acknowledge and accept these risks.

General Risks of Virtual Asset Trading

Trading and investing in Virtual Assets is highly speculative and complex, involving significant financial risks, including but not limited to:

• Market Volatility: The value of Virtual Assets can fluctuate rapidly, potentially resulting in the loss of your entire investment.
• Cybersecurity Threats: Virtual Assets and their underlying networks are vulnerable to hacking, fraud, and market manipulation.
• Regulatory Uncertainty: Regulations governing Virtual Assets are evolving, and legal or regulatory changes may impact their use, transfer, exchange, or value.
• Lack of Consumer Protections: Virtual Assets are not legal tender and are not backed or insured by any government or financial institution.
• Personal Responsibility: You are solely responsible for understanding the risks associated with Virtual Assets and related technologies. Consult financial, legal, or tax professionals to determine whether trading or investing in Virtual Assets aligns with your financial condition and risk tolerance.

Key Risks Associated with Virtual Assets

1. Legal and Regulatory Risks
   • Virtual Assets are not considered legal tender and do not have the same protections as traditional financial instruments.
   • Regulatory actions, government restrictions, or policy changes may affect the value, liquidity, or legality of Virtual Assets.
2. Market and Liquidity Risks
   • Virtual Asset prices are highly volatile and can experience significant gains or losses within short periods.
   • There is no guarantee of liquidity; you may not be able to sell or exchange Virtual Assets when desired.
   • Digital Asset prices on the secondary market are driven by supply and demand and may be highly volatile. Limited liquidity may make it difficult or impossible to exit a position when desired.
3. Counterparty Risk
   • You may be exposed to counterparty risk when using ARP’s services, including market makers, liquidity providers, and payment processors.
   • Borrowers may default on repayment obligations, delaying the redemption of deposits in certain products.
4. Security and Fraud Risks
   • Virtual Assets are vulnerable to hacks, cyber-attacks, fraud, and security breaches.
   • Loss of private keys, phishing attacks, or other security failures can result in the permanent loss of Virtual Assets.
   • Transactions are irreversible, and losses due to fraud, errors, or unauthorized access may not be recoverable.
   • Digital Assets are inherently exposed to cybersecurity risks. While ARP takes reasonable measures to safeguard assets, no system can fully eliminate security risks.
5. Network and Operational Risks
   • Virtual Asset transactions occur on decentralized networks, which may experience congestion, delays, or failures.
   • ARP’s platform relies on technology that may be subject to outages, disruptions, or technical failures affecting access, trading, or transfers.
   • There is no guarantee that ARP’s services will always be available. Unplanned service outages, network congestion, or system failures may prevent you from buying, selling, or transferring Digital Assets when desired.
6. Third-Party Risks
   • Third parties such as payment providers, custodians, and banking partners may be involved in the provision of ARP’s services.
   • You may be subject to their terms and conditions, and ARP is not responsible for any loss arising from third-party service providers.
7. Transparency and Privacy Risks
   • Transactions may be recorded on a public ledger, affecting anonymity and privacy.
   • The future acceptance and adoption of Virtual Assets for transactions are not guaranteed, and different assets may have varying degrees of technological, governance, and market risks.

Independent Investment Decisions

• ARP does not provide investment advice, endorse specific Virtual Assets, or recommend trading strategies.
• You are solely responsible for making investment decisions based on your personal financial objectives and risk tolerance.

Risk Disclosures for Specific Virtual Assets

ARP conducts due diligence before listing any Virtual Asset; however, risks may evolve over time. It is essential to conduct your own research and understand the risks associated with any Virtual Asset before trading or investing. This disclosure is not exhaustive, and additional risks may exist beyond those outlined in this statement.

By proceeding with Virtual Asset transactions on ARP’s platform, you acknowledge and accept the risks described above.