Cryptocurrency Risks Clause Samples

Cryptocurrency Risks. 1.1 As cryptocurrencies are not legal tender and not backed by the government, they are subject to enhanced risks. These risks include (but are not limited to) the following: i. accounts and value balances of cryptocurrencies are not subject to Federal Deposit Insurance Corporation or Securities Investor Protection Corporation protections; ii. legislation and regulation (or lack thereof) of cryptocurrency or crypto exchanges can change at any time which may adversely affect the use, transfer, exchange, and/or value of cryptocurrencies; iii. once executed, a cryptocurrency transaction may be irreversible, and accordingly, losses due to fraudulent or accidental transactions may not be recoverable; iv. some cryptocurrency transactions shall be deemed to be made when recorded on a public ledger (e.g., a blockchain), which is not necessarily the date or time that the customer initiates the transaction; v. the value of cryptocurrency may be derived from the continued willingness of market participants to exchange fiat currency for cryptocurrency, which may result in the potential for permanent and total loss of value of a particular cryptocurrency should the market for cryptocurrencies collapse; vi. there is no assurance that a person who accepts a cryptocurrency as a payment today will continue to do so in the future; vii. the volatility and unpredictability of the price of cryptocurrency relative to fiat currency may result in significant loss over a short period of time; viii. the value of a particular cryptocurrency may fall at any time, if, for example a new, better cryptocurrency is created or software developers make unexpected changes to how the cryptocurrency works; ix. as cryptocurrency is digital currency and therefore intangible, this means that like any other digital system, cryptocurrencies are at risk of fraud, cyber attacks, and being affected by technical problems or difficulties which could result in you losing your crypto assets or delaying or preventing your ability to access or use them; and x. any bond or trust account maintained by Paxos for the benefit of its customers may not be sufficient to cover all losses incurred by its customers. For additional information regarding trading risks, please review the contents of Section III.3 below. 1.2 TO THE FULLEST EXTENT PERMITTED BY LAW, ▇▇▇▇▇ MAKES NO REPRESENTATION REGARDING THE LIKELIHOOD OR PROBABILITY THAT ANY ACTUAL OR PROPOSED TRADES ON THE EXCHANGE WILL IN FACT ACHIEVE A PARTICULAR OUTCO...