HomePrivacy and LegalTerms of Service

Terms of Service

Last revised: August 25, 2026  ·  Version 1.0

IMPORTANT LEGAL NOTICE: These Terms contain a binding arbitration agreement, a waiver of jury trial, and a class and representative action waiver in Section 28. You may opt out of arbitration within 30 days after first accepting these Terms. These Terms also include broad risk disclosures, warranty disclaimers, releases, indemnities, and limitations of liability. Read them carefully before using the Services.

1. Acceptance and Scope

These Terms of Service (the "Terms") are a binding agreement between you and LCX Liberty Labs Inc. ("LCX Liberty," "we," "us," or "our"). They govern your access to and use of the LCX Liberty websites, applications, software, interfaces, network infrastructure, developer tools, content, and related services that link to these Terms (collectively, the "Services").

The Services include, as made available from time to time, LCX Liberty Chain, hosted sequencer and rollup infrastructure, RPC and node endpoints, bridges and bridge interfaces, LCX Liberty Explorer, faucets, tokenization and compliance tools, documentation, APIs, SDKs, support channels, developer account features, and security communications. The Services are made available through https://defi.lcx.com, https://chain.lcx.com, and https://explorer.lcx.com, related developer interfaces, and any other LCX Liberty website, application, or service that links to these Terms. The canonical legal hub for the Services is https://defi.lcx.com/legal.

By clicking to accept, connecting a Wallet, creating an Account or API credential, accessing a hosted interface, using an API or RPC endpoint, downloading software, or otherwise using a Service, you agree to these Terms, the Privacy Policy at https://defi.lcx.com/legal/privacy-policy, and any product-specific or transaction-specific terms shown to you. The risk disclosures and text-messaging provisions applicable to the Services are contained in these Terms.

If you do not agree, do not use the Services. If you use the Services for a company or other organization, you represent that you have authority to bind that organization, and "you" includes that organization.

2. Important Product and Regulatory Separation

LCX Liberty Labs Inc. is a software and blockchain infrastructure company. Unless a specific feature expressly states otherwise in separate supplemental terms, LCX Liberty is not acting as a bank, broker-dealer, national securities exchange, alternative trading system, investment adviser, futures commission merchant, introducing broker, swap dealer, commodity pool operator, money transmitter, custodian, fiduciary, transfer agent, clearing agency, or lender.

The Services are separate from products and services offered by other LCX Group companies. Registrations, licenses, authorizations, customer protections, custody arrangements, and insurance that may apply to another LCX Group company do not apply to the Services merely because of common branding or affiliation. See Section 29.1 for the entities and products that these Terms do not govern.

A technology label, including "decentralized," "DeFi," "permissionless," "self-custody," "Layer 2," or "tokenized," does not determine the legal treatment of a product, asset, transaction, or participant. Applicable law and the actual operation of the relevant feature control.

No statement in these Terms is intended to avoid any law that applies to LCX Liberty. These Terms allocate contractual risk to the maximum extent permitted by law, but they do not exclude liability, duties, or rights that cannot lawfully be excluded.

3. Definitions

In these Terms:

• "Account" means an optional hosted account, profile, API credential, developer credential, support profile, or compliance profile associated with a Service. A Wallet address is not, by itself, an Account.

• "Chain" means LCX Liberty Chain, including its Layer 2 network, protocol components, system contracts, sequencer, batcher, proposer, fault-proof or dispute mechanisms, data-availability arrangements, and related infrastructure.

• "Hosted Services" means websites, applications, APIs, RPC endpoints, sequencer services, explorers, bridge interfaces, data services, accounts, support, communications, and other services operated or made available by or for LCX Liberty.

• "LCX Group" means LCX Liberty together with its parent companies, subsidiaries, and affiliates.

• "LCX Group Parties" means LCX Liberty, the LCX Group, and their respective directors, officers, employees, contractors, agents, licensors, service providers, successors, and assigns.

• "Protocol Components" means public blockchain software, open-source code, smart contracts, bridges, token contracts, and other decentralized or community-operated components that may be available independently of the Hosted Services.

• "Restricted Person" means a person who is sanctioned, blocked, prohibited, or otherwise ineligible under Section 4.

• "Third-Party Asset" means any token, stablecoin, NFT, tokenized real-world asset, tokenized security, structured product, synthetic asset, derivative, wrapped asset, bridged asset, or other digital asset not expressly issued by LCX Liberty under separate issuer terms.

• "Wallet" means any wallet, smart account, hardware wallet, browser wallet, mobile wallet, or other signing tool connected to a Service.

4. Eligibility, Restricted Persons, Jurisdictions, and Access

You may use the Services only if you are at least 18 years old, have legal capacity to enter into these Terms, and are not prohibited from using the Services under applicable law. If the age of legal majority where you live is higher than 18, you must meet that higher age.

You must not access or use any Service if you are a Restricted Person. You represent and warrant that you are not:

• located in, ordinarily resident in, organized under the laws of, or acting for a person in a country, region, or territory subject to comprehensive sanctions or embargoes administered by the United States, including Cuba, Iran, North Korea, Syria, and the Crimea, Donetsk, Luhansk, Kherson, and Zaporizhzhia regions of Ukraine, as those restrictions may change;

• identified on, owned or controlled by a person identified on, or acting for or for the benefit of a person identified on any sanctions, blocked-person, denied-person, entity, debarment, or similar restricted-party list maintained by the U.S. Department of the Treasury, U.S. Department of Commerce, United Nations, European Union, United Kingdom, or another authority with jurisdiction;

• subject to a prohibition that would make your use of a Service unlawful, including an applicable securities, commodities, derivatives, money-services, financial-sanctions, export-control, consumer-protection, or gaming prohibition; or

• using the Services for the benefit of a Restricted Person or to evade a geographic, eligibility, investor-status, know-your-customer, anti-money-laundering, transfer, resale, or other restriction.

Certain Services, features, routes, assets, or liquidity sources may be available only in selected jurisdictions or to users who complete verification, satisfy issuer requirements, qualify as an eligible investor, or agree to supplemental terms. Availability through a public blockchain does not mean that a Hosted Service is available to you.

You must not use a virtual private network, proxy, relay, location-masking technology, false information, another person, or any other method to circumvent a restriction. We may use IP geolocation, wallet screening, device signals, account information, and third-party risk tools to apply restrictions.

We may permit, condition, limit, suspend, or refuse access to any Hosted Service, user, wallet, asset, route, protocol, or jurisdiction at any time for legal, compliance, security, operational, reputational, or risk reasons. We do not guarantee that any Service available to you today will remain available.

5. Nature of the Services

5.1 Non-custodial functions

For Services identified as non-custodial, you retain control of your Wallet and authorize transactions by signing with credentials that you control. LCX Liberty does not take possession of your digital assets merely because you use an interface, view data, request a quote, or submit a transaction to a blockchain.

Except where a feature expressly states otherwise, LCX Liberty does not receive your private key or seed phrase, cannot sign for you, cannot recover your Wallet, and cannot reverse a confirmed blockchain transaction. You must review and approve each signature request.

5.2 Hosted infrastructure and operational control

Some Services are hosted or operated by LCX Liberty or its providers. LCX Liberty may operate or coordinate a sequencer, batcher, proposer, RPC endpoint, node, indexer, explorer, bridge interface, faucet, API, compliance registry, routing service, software upgrade, pause mechanism, administrative key, security council, or other infrastructure. These functions may give LCX Liberty or another operator technical discretion to order, delay, reject, relay, pause, upgrade, or discontinue certain Hosted Services or Protocol Components.

The existence of operational controls does not, by itself, mean that LCX Liberty is the owner, issuer, custodian, or counterparty of every asset or transaction that uses the Chain. It does mean that you must assess and accept the operational, governance, centralization, and technology risks described in Section 24 and Schedule 3.

5.3 Protocol Components

Protocol Components may be public, open source, permissionless, independently deployed, or accessible through third-party software. LCX Liberty may be unable to stop, modify, or reverse activity conducted directly through a public blockchain or a third-party interface. Restricting a Hosted Service does not necessarily restrict access to a Protocol Component through other means.

6. Accounts, Credentials, and Security

Some Services do not require an Account. Other Services may require an Account, verification, an API key, an access token, a telephone number, an email address, or other credentials. You must provide accurate and current information and promptly update it.

You are responsible for all activity associated with your Account, device, Wallet, private keys, seed phrase, passkeys, passwords, authentication codes, API keys, and other credentials. Do not share them. Maintain appropriate device security, backups, malware protection, and transaction controls.

LCX Liberty will never ask you to disclose a seed phrase or private key. Messages, websites, applications, social-media accounts, or support representatives that ask for them are fraudulent. You are responsible for verifying official domains and communications.

Notify us promptly at legal@lcx.com if you suspect unauthorized access to a Hosted Account or a security incident involving a Service. We may suspend an Account or credential to protect you, other users, or the Services, but we are not obligated or always able to prevent loss.

If you authorize another person, bot, agent, device, application, browser extension, smart account signer, session key, or automated tool to use your Account or Wallet, you are responsible for that authorization and its consequences.

7. Chain, Sequencer, RPC, Node, Explorer, and Faucet

7.1 Layer 2 network

The Chain is an OP Stack Layer 2 network that may settle transaction data or state commitments to an Ethereum network. Layer 2 transactions may receive soft or preliminary confirmation before final settlement. A transaction may be delayed, reorganized, disputed, invalidated, or unavailable because of sequencer, proposer, batcher, fault-proof, data-availability, Layer 1, bridge, governance, software, or infrastructure events.

7.2 Sequencer and transaction inclusion

A sequencer may order and provisionally confirm transactions. The sequencer may be unavailable, may reject or delay a transaction, may apply technical or compliance filters to a Hosted Service, and may not provide continuous or neutral inclusion. Transaction ordering may affect price, liquidation, arbitrage, MEV, and execution outcomes.

7.3 RPC, nodes, APIs, and data

RPC endpoints, nodes, APIs, indexers, and explorers may return delayed, incomplete, inconsistent, or incorrect data. They may rate-limit, cache, omit, reorganize, or fail to relay requests. You must independently verify material information and should not rely on a single endpoint for critical activity.

7.4 Upgrades, administrative controls, and forks

The Chain or related components may be upgraded, paused, migrated, reconfigured, forked, or discontinued. Administrative keys, multisignature signers, governance processes, security councils, upstream OP Stack changes, or emergency procedures may affect the network. LCX Liberty is not obligated to support a fork, duplicated asset, airdrop, or replacement network.

7.5 Explorer

LCX Liberty Explorer presents public blockchain data for informational purposes. Labels, token names, icons, verification badges, prices, analytics, and decoded transactions may be inaccurate or supplied by third parties. Explorer content is not a legal record, ownership registry, confirmation of finality, or investment recommendation.

7.6 Faucet and test assets

A faucet may distribute test assets for development. Test assets have no monetary value, are not redeemable, may be reset or removed, and must not be sold, marketed as valuable, or used to deceive others. We may apply limits and block abusive requests.

8. Bridges and Cross-Chain Features

Bridge interfaces help you interact with bridge contracts and cross-chain messaging systems. Assets may be locked, burned, minted, wrapped, represented, or released by smart contracts or third parties. A bridged asset may not have the same legal, technical, liquidity, or redemption characteristics as the original asset.

Deposits and withdrawals may require multiple transactions, proofs, relayers, messages, challenge periods, and Layer 1 fees. Finalization can take days. You are responsible for completing every required step and maintaining sufficient gas on each network.

Bridge contracts, relayers, oracles, sequencers, validators, fault proofs, messaging systems, and destination networks can fail or be exploited. A failure can cause permanent loss, duplication, delayed release, depegging, or inability to redeem. LCX Liberty does not insure bridged assets or guarantee recovery.

Only use official interfaces and verified contract addresses. Sending an unsupported token, using the wrong network, or transferring directly to a contract may cause permanent loss.

9. Third-Party Assets, Tokenized Assets, and Regulated Instruments

9.1 LCX Liberty is not the issuer

Unless separate issuer terms expressly state otherwise, LCX Liberty does not issue, offer, sell, underwrite, sponsor, promote, custody, administer, guarantee, or redeem any Third-Party Asset. The issuer, sponsor, custodian, broker, protocol, or other third party is solely responsible for the asset and its documentation.

9.2 No eligibility or legal-status determination

LCX Liberty does not determine for you whether an asset is a security, security-based swap, commodity, commodity interest, swap, derivative, note, fund interest, deposit, payment instrument, regulated financial instrument, or other legally restricted product in any jurisdiction. Inclusion, indexing, routing, display, simulation, or technical availability through a Service is not a representation that you may lawfully acquire, hold, transfer, trade, redeem, or dispose of the asset.

9.3 Your asset-specific obligations

Before interacting with a Third-Party Asset, you must review and comply with the issuer's terms, offering documents, transfer restrictions, eligibility criteria, KYC and AML requirements, accreditation or sophistication requirements, resale restrictions, tax treatment, redemption procedures, and governing law. By initiating a transaction, you represent that you are eligible and that the transaction is lawful for you.

You must not use a Service to circumvent geographic, investor-status, accreditation, KYC, AML, sanctions, transfer, holding-period, resale, or other restrictions imposed by an issuer, protocol, service provider, or law.

9.4 Tokenized stocks and other referenced assets

A token that references a stock, bond, fund, commodity, real estate asset, index, or other asset may be a note, receipt, contractual claim, synthetic exposure, derivative, security-based swap, or token issued by a special-purpose vehicle. It may not represent direct legal or beneficial ownership of the referenced asset and may not provide voting, dividend, inspection, information, priority, bankruptcy, or other rights of an owner of the referenced asset.

The token issuer may freeze, blacklist, seize, cancel, rebase, restrict, or refuse transfers or redemptions; require identity verification; modify terms; substitute collateral; suspend operations; or fail. Backing may be incomplete, unaudited, inaccessible, encumbered, or lost. You bear those risks.

9.5 United States and other restricted transactions

You must not use a Hosted Service to offer, sell, acquire, trade, route, or facilitate a security, security-based swap, commodity interest, swap, derivative, or other regulated financial instrument unless the specific asset and feature are expressly made available to you under separate supplemental terms and through an arrangement that LCX Liberty determines is permitted by applicable law.

9.6 Interface restrictions

We may suppress, disable, remove, block, or limit access through a Hosted Service to any asset, pool, route, protocol, contract, issuer, or feature at any time, including because of issuer terms, jurisdiction, wallet risk, sanctions, legal classification, licensing concerns, or regulatory requests. A restriction may be over-inclusive or under-inclusive and does not relieve you of your own obligations.

10. Tokenization, Issuer, and Business Features

Tokenization tools are software and infrastructure. They do not make an asset lawful, validate ownership, create enforceable rights, perfect a security interest, satisfy corporate or securities law, establish a transfer agent or registry, or replace legal, tax, accounting, custody, valuation, disclosure, AML, sanctions, consumer-protection, or licensing work.

If you create, deploy, issue, mint, market, list, distribute, administer, or support a token, smart contract, asset, pool, dApp, or project through a Service, Schedule 1 applies. You are the responsible issuer, promoter, administrator, or business user unless a written agreement expressly provides otherwise.

You must not describe a project as "approved," "licensed," "regulated," "compliant," "verified," "backed," "insured," or "endorsed" by LCX Liberty solely because it uses the Chain or a tool. Optional compliance features do not guarantee compliance.

11. Fees and Gas

You may pay network gas, bridge fees, protocol fees, liquidity-provider fees, token taxes, third-party fees, partner fees, subscription fees, API fees, or LCX Liberty fees. Fees may be denominated in digital assets, fiat currency, or credits and may change. Fees charged by LCX Liberty will be displayed or described before you authorize the relevant paid transaction or service.

Network fees are determined by blockchain conditions and are generally nonrefundable, including when a transaction fails or reverts. Third-party fees are governed by the applicable third party.

Displayed estimates may exclude changing gas, price impact, token transfer taxes, third-party charges, or other costs. You must review the final Wallet request and transaction data before signing.

Except where required by law or expressly stated, fees and payments are final and nonrefundable. You are responsible for any taxes, duties, withholding, or reporting arising from your use of the Services.

12. No Advice; No Fiduciary

The Services and all content, quotes, rankings, simulations, labels, alerts, analytics, token information, documentation, and communications are provided for general informational and technical purposes. They are not investment, financial, legal, tax, accounting, valuation, custody, or other professional advice and are not an offer, solicitation, recommendation, endorsement, or invitation to buy or sell any asset or service.

LCX Liberty does not evaluate suitability, appropriateness, financial condition, objectives, or risk tolerance and does not undertake fiduciary, agency, advisory, brokerage, or best-execution duties. You must make your own independent decisions and obtain professional advice where appropriate.

13. Compliance, Screening, and Verification

We may, but are not obligated to, use public data and third-party services to screen Wallet addresses, transactions, smart contracts, domains, devices, IP addresses, users, issuers, counterparties, and content for sanctions, illicit finance, fraud, phishing, malware, market abuse, geographic restrictions, and other risks.

We may require identity, business, source-of-funds, beneficial-ownership, investor-eligibility, or other due diligence for selected features. Verification may be performed by a third party. You must provide accurate, complete, and current information. Refusal or an unfavorable result may cause a restriction without entitling you to access.

Screening and verification tools can be inaccurate, delayed, or incomplete. A wallet may be blocked or warned because of indirect exposure, clustering, false positives, or changing data. We may act on a risk result without disclosing confidential criteria. We are not liable for good-faith restrictions or for a provider's error to the maximum extent permitted by law.

We may preserve and disclose information, cooperate with authorities, block access, or take other action as required or permitted by law. We are not obligated to challenge a legal demand on your behalf.

14. Acceptable Use

You must not use the Services, directly or indirectly, to:

• violate law, regulation, court order, sanctions, export controls, intellectual-property rights, privacy rights, contractual restrictions, or these Terms;

• engage in money laundering, terrorist financing, sanctions evasion, fraud, theft, extortion, ransomware, market manipulation, wash trading, spoofing, insider trading, front-running for an unlawful purpose, deceptive token promotion, or other illicit conduct;

• offer, sell, distribute, trade, or facilitate an unregistered or unlawful security, derivative, commodity interest, payment service, gambling product, loan, deposit, money-transmission service, or other regulated product;

• circumvent geofencing, wallet screening, verification, rate limits, access controls, transfer restrictions, token lists, security controls, or issuer requirements;

• introduce malware, exploit vulnerabilities, interfere with infrastructure, overload or disrupt a Service, conduct denial-of-service activity, access nonpublic systems, or extract data through abusive scraping;

• reverse engineer, decompile, copy, resell, sublicense, or create a competing hosted service from proprietary components except to the extent an open-source license or applicable law expressly permits;

• use bots, automation, or AI in a manner that is abusive, deceptive, unlawful, or disproportionate, or that imposes unreasonable load;

• impersonate another person, misrepresent affiliation, submit false information, use another person's Wallet or telephone number without authorization, or interfere with another user's activity;

• create or distribute a token or asset that is counterfeit, misleading, malicious, infringing, unbacked contrary to its disclosures, or designed to evade law; or

• assist, encourage, or enable another person to do any of the foregoing.

Authorized security research is permitted only under a published LCX Liberty vulnerability-disclosure or bug-bounty policy and within its scope. We may investigate suspected violations and preserve evidence.

15. Third-Party Services and Content

The Services may link to, display, integrate, route to, or depend on third-party blockchains, protocols, smart contracts, wallets, hardware devices, app stores, websites, data providers, market makers, resolvers, RPC providers, bridges, on-ramps, off-ramps, identity providers, analytics tools, communication providers, and other services.

Third-party services are governed by their own terms and privacy policies. LCX Liberty does not control them and is not responsible for their security, availability, accuracy, legality, fees, eligibility decisions, data handling, performance, or losses. A link or integration is not an endorsement.

Third-party terms may change and may allow the provider to block, freeze, reverse, delay, cancel, or refuse service. You are responsible for reviewing and complying with them.

16. Beta, Testnet, and Experimental Features

A Service labeled beta, testnet, preview, pilot, early access, experimental, developer, or similar is provided for evaluation and may not have completed production testing, audits, security review, or legal review. It may contain defects, vulnerabilities, incomplete features, or inaccurate data.

Experimental features may be changed, reset, degraded, suspended, or discontinued at any time without notice or support. Testnet state and assets may be deleted. Do not use testnet assets as money or rely on experimental features for production, safety-critical, or legally regulated activity.

17. Information, Analytics, Simulations, and Alerts

Content may be generated, decoded, summarized, translated, simulated, ranked, or analyzed automatically, including by AI or third-party systems. Outputs may be wrong, incomplete, stale, biased, or inconsistent with your intent. You must review every output and transaction independently.

Security, phishing, sanctions, token, contract, and transaction alerts are informational and may fail to identify a risk or may identify a legitimate item as risky. We do not guarantee alert accuracy and have no duty to provide an alert.

Historical performance, APY, yield, reward, price, volume, market capitalization, backing, reserve, or valuation data does not guarantee future results. Any displayed reward is an estimate and may be modified, canceled, withheld, or subject to separate terms.

18. Intellectual Property, Open Source, User Content, and Feedback

LCX Liberty and its licensors own the Hosted Services, proprietary software, documentation, content, databases, designs, brands, domains, and other intellectual property, including the LCX and LCX Liberty names and marks. Subject to these Terms, we grant you a limited, personal, revocable, nonexclusive, nontransferable, nonsublicensable license to use the Hosted Services for their intended purpose.

Open-source components are governed by their applicable licenses. If an open-source license conflicts with these Terms for that component, the open-source license controls. These Terms do not grant rights to LCX trademarks or to operate a confusingly similar service.

You retain ownership of content you submit. You grant LCX Liberty a worldwide, nonexclusive, royalty-free, sublicensable license to host, reproduce, adapt, display, transmit, and use that content as reasonably necessary to provide, secure, improve, and promote the Services, subject to the Privacy Policy. You represent that you have all required rights and that the content is lawful and accurate.

We may remove or restrict content, token metadata, logos, links, or listings. Copyright or intellectual-property complaints may be sent to legal@lcx.com with identification of the work, the challenged material, contact information, a good-faith statement, and a statement under penalty of perjury that the notice is accurate and authorized.

If you provide ideas, suggestions, or feedback, you grant us a perpetual, irrevocable, worldwide, royalty-free right to use them without restriction or compensation.

19. Taxes

You are solely responsible for determining, reporting, withholding, and paying all taxes arising from the Services, digital assets, rewards, fees, transactions, token issuance, or other activity. LCX Liberty does not provide tax advice. We may report information or withhold amounts where required by law.

20. Service Changes, Suspension, and Termination

We may add, modify, limit, suspend, discontinue, replace, or terminate any Hosted Service, feature, route, asset display, endpoint, network component, documentation, fee, or eligibility condition at any time. We may do so without prior notice where reasonably necessary for security, legal, technical, or operational reasons.

You may stop using the Services at any time. We may suspend or terminate your access or Account for any reason permitted by law, including suspected violation, risk, inactivity, nonpayment, security concerns, or product discontinuation.

Because non-custodial assets remain in your Wallet, termination of a Hosted Service does not transfer ownership of your assets to LCX Liberty. You remain responsible for using independent tools to access assets and for revoking approvals or migrating integrations.

Sections that by their nature should survive will survive, including Sections 2, 3, 6, 11 through 17, 19, 20, 22, and 26 through 33, and Schedules 1, 2, and 3.

21. Electronic Communications

You consent to receive agreements, notices, disclosures, records, security messages, and other communications electronically, including by posting in a Service, email, in-app notice, push notification, or SMS where you opt in. Electronic communications satisfy any legal requirement that a communication be in writing to the extent permitted by law.

You need internet access, a compatible device and browser or application, and software capable of displaying and retaining electronic records. You may retain a copy by printing or saving it. You may withdraw consent to electronic communications by contacting legal@lcx.com, but we may be unable to provide some Services afterward.

22. Privacy

Our Privacy Policy at https://defi.lcx.com/legal/privacy-policy explains how we collect, use, disclose, retain, and protect personal information, including information associated with cookies, local storage, analytics, Wallet connections, public blockchain activity, security screening, and SMS communications. By using the Services, you acknowledge the Privacy Policy.

23. Disclaimer of Warranties

TO THE MAXIMUM EXTENT PERMITTED BY LAW, THE SERVICES, PROTOCOL COMPONENTS, CONTENT, DATA, ALERTS, QUOTES, ROUTES, SOFTWARE, SMART CONTRACTS, NETWORKS, AND THIRD-PARTY SERVICES ARE PROVIDED "AS IS," "AS AVAILABLE," AND "WITH ALL FAULTS." LCX LIBERTY AND THE LCX GROUP PARTIES DISCLAIM ALL EXPRESS, IMPLIED, AND STATUTORY WARRANTIES, INCLUDING MERCHANTABILITY, FITNESS FOR A PARTICULAR PURPOSE, TITLE, QUIET ENJOYMENT, NON-INFRINGEMENT, ACCURACY, COMPLETENESS, SECURITY, AVAILABILITY, AND ANY WARRANTY ARISING FROM COURSE OF DEALING OR USAGE OF TRADE.

WE DO NOT WARRANT THAT A SERVICE WILL BE CONTINUOUS, TIMELY, SECURE, ERROR-FREE, COMPATIBLE, LEGAL IN YOUR JURISDICTION, OR FREE OF MALWARE; THAT A TRANSACTION WILL BE INCLUDED, EXECUTED, SETTLED, FINAL, REVERSIBLE, OR PROFITABLE; THAT AN ASSET IS AUTHENTIC, BACKED, SOLVENT, REDEEMABLE, TRANSFERABLE, OR LAWFUL; OR THAT DATA, SIMULATIONS, ALERTS, OR THIRD-PARTY CONTENT ARE ACCURATE.

SOME JURISDICTIONS DO NOT ALLOW CERTAIN DISCLAIMERS. IN THAT CASE, THE DISCLAIMERS APPLY ONLY TO THE MAXIMUM EXTENT PERMITTED BY LAW.

23.1 Hacks, Malicious Activity, Software Vulnerabilities, Security Incidents, and No Refunds

The Services and Protocol Components, including Wallet software, interfaces, smart contracts, bridges, sequencers, batchers, RPC endpoints, APIs, SDKs, nodes, open-source components, software libraries, dependencies, security certificates, and third-party integrations, are evolving technologies and may contain known or unknown defects, vulnerabilities, bugs, design flaws, malicious code, configuration errors, cryptographic weaknesses, or other weaknesses. They may be targeted or affected by hacking, malware, ransomware, denial-of-service attacks, supply-chain attacks, phishing, spoofing, SIM swapping, key or credential compromise, governance attacks, oracle manipulation, transaction-ordering attacks, social engineering, or other malicious, accidental, or unauthorized activity.

Audits, testing, monitoring, transaction simulations, risk alerts, access controls, two-factor authentication, security certificates, code review, and other controls may reduce, but cannot eliminate, these risks. No audit, certificate, warning, security feature, or third-party certification is a warranty or guarantee that any Service, Protocol Component, Wallet, smart contract, transaction, asset, communication, or software dependency is secure, authentic, error-free, uninterrupted, or immune from attack.

A security incident or software weakness may cause unauthorized signatures or approvals; failed, delayed, censored, duplicated, replayed, misrouted, or irreversible transactions; loss of access; disclosure, corruption, or destruction of data; theft, freezing, devaluation, or permanent loss of digital assets; or other harm. You voluntarily assume these risks. You are responsible for keeping your LCX Liberty application, browser, operating system, device software, and security tools current; using strong and unique passwords and authentication methods; protecting recovery information and backups; enabling two-factor authentication where offered; and verifying domains, links, messages, transaction details, and support contacts before acting. SMS and email may be spoofed, intercepted, redirected, delayed, or used for phishing. Two-factor authentication does not prevent loss if both factors or an authentication code are compromised or disclosed.

Because the applicable non-custodial Services do not give LCX Liberty possession or control of your digital assets or private keys, LCX Liberty generally cannot cancel or reverse a transaction, freeze or recover assets, restore a Wallet, compensate you from assets held for you, or obtain a refund from a blockchain, protocol, validator, sequencer, bridge, market participant, or other third party. Except to the extent expressly required by applicable law or stated in separate written terms, LCX Liberty has no obligation to replace, restore, reimburse, compensate, or provide a refund for digital assets, fees, data, or value lost because of a hack, exploit, malicious act, software defect, vulnerability, bug, smart-contract failure, protocol failure, credential compromise, phishing event, or other security incident, including where a weakness in a Service or Protocol Component, including software or infrastructure developed, operated, hosted, or made available by LCX Liberty, caused or contributed to the loss.

Network, protocol, bridge, blockchain, gas, validator, sequencer, liquidity-provider, and third-party fees are final and nonrefundable, even if a transaction fails, reverts, is delayed, or results in a loss, except where applicable law or separate written terms expressly require a refund.

To the maximum extent permitted by applicable law, the exclusions, release, and limitations in Sections 23 through 26 apply to the events described in this Section 23.1. Nothing in this Section limits any duty of LCX Liberty to maintain legally required security for personal information, provide a legally required security-breach notice, cooperate with an authority, or provide a remedy where applicable law does not permit the duty, liability, or remedy to be disclaimed or limited.

24. Assumption of Risk

You acknowledge that blockchain, self-custody, Layer 2 networks, bridges, smart contracts, digital assets, tokenized assets, DEXs, aggregators, APIs, and experimental technology involve substantial risk, including total and permanent loss. You have reviewed Schedule 3 and voluntarily assume all risks described in these Terms, Schedule 3, all transaction-specific disclosures, and all other risks reasonably connected with the Services. The hack, malicious-activity, software-vulnerability, and no-refund risks described in Section 23.1 are material risks of using the Services.

You are solely responsible for evaluating whether you have sufficient knowledge, experience, financial capacity, security practices, and legal eligibility. You should not use assets you cannot afford to lose.

25. Release

To the maximum extent permitted by law, you release the LCX Group Parties from claims and liabilities arising from or relating to third-party services, Protocol Components not controlled by LCX Liberty, other users, issuers, market participants, lost credentials, unauthorized signatures, blockchain events, or risks that you assume under these Terms, except to the extent caused by a liability that cannot lawfully be released.

If California Civil Code Section 1542 applies, you waive it and any similar law to the extent permitted. Section 1542 generally limits a release of claims that a releasing party does not know or suspect to exist and that would materially affect the settlement with the released party.

26. Limitation of Liability

TO THE MAXIMUM EXTENT PERMITTED BY LAW, THE LCX GROUP PARTIES WILL NOT BE LIABLE FOR INDIRECT, INCIDENTAL, SPECIAL, EXEMPLARY, CONSEQUENTIAL, ENHANCED, OR PUNITIVE DAMAGES; LOSS OF PROFITS, REVENUE, BUSINESS, OPPORTUNITY, GOODWILL, DATA, PRIVACY, OR DIGITAL ASSETS; COST OF SUBSTITUTE SERVICES; OR DAMAGES ARISING FROM LOST KEYS, UNAUTHORIZED SIGNATURES, FAILED OR MISROUTED TRANSACTIONS, PRICE MOVEMENT, SLIPPAGE, MEV, SOFTWARE DEFECT OR VULNERABILITY, HACK, EXPLOIT, MALICIOUS CODE, CYBERATTACK, UNAUTHORIZED ACCESS, DATA CORRUPTION, SMART-CONTRACT FAILURE, BRIDGE FAILURE, NETWORK INTERRUPTION, FORK, DEPEG, ISSUER DEFAULT, REGULATORY ACTION, OR THIRD-PARTY CONDUCT, EVEN IF ADVISED OF THE POSSIBILITY.

TO THE MAXIMUM EXTENT PERMITTED BY LAW, THE TOTAL AGGREGATE LIABILITY OF ALL LCX GROUP PARTIES FOR ALL CLAIMS ARISING OUT OF OR RELATING TO THE SERVICES OR THESE TERMS WILL NOT EXCEED THE GREATER OF (A) USD 100 OR (B) THE FEES YOU PAID DIRECTLY TO LCX LIBERTY FOR THE SPECIFIC SERVICE GIVING RISE TO THE CLAIM DURING THE 12 MONTHS BEFORE THE EVENT FIRST GIVING RISE TO LIABILITY.

THE LIMITATIONS APPLY REGARDLESS OF THE THEORY OF LIABILITY AND EVEN IF A REMEDY FAILS OF ITS ESSENTIAL PURPOSE. THEY DO NOT LIMIT LIABILITY FOR FRAUD, WILLFUL MISCONDUCT, DEATH OR PERSONAL INJURY CAUSED BY NEGLIGENCE, OR ANY OTHER LIABILITY THAT CANNOT BE LIMITED UNDER APPLICABLE LAW. YOUR JURISDICTION MAY PROVIDE ADDITIONAL RIGHTS.

27. Indemnification

To the maximum extent permitted by law, you will indemnify, defend, and hold harmless the LCX Group Parties from claims, investigations, demands, proceedings, losses, liabilities, penalties, judgments, damages, and reasonable attorneys' fees arising from or relating to your unlawful or unauthorized use of the Services, your breach of these Terms, your content, your violation of another person's rights, or your tokens, assets, projects, contracts, applications, or business activities.

For an individual consumer, this indemnity applies only to the extent permitted by applicable law and only to conduct attributable to you. We may control the defense with counsel of our choice, and you must reasonably cooperate. You may not settle a claim imposing liability or obligations on an LCX Group Party without our written consent.

28. Governing Law, Arbitration, Class Waiver, and Jury Waiver

PLEASE READ THIS SECTION CAREFULLY: This Section requires most disputes to be resolved by individual binding arbitration and limits the manner in which you may seek relief. You may opt out within 30 days.

28.1 Governing law

These Terms and any dispute arising out of or relating to them or the Services are governed by the Federal Arbitration Act, applicable United States federal law, and the laws of the State of Delaware, without regard to conflict-of-law rules. If you are a consumer, this choice does not remove nonwaivable protections of the law that applies to you.

28.2 Informal dispute resolution

Before filing arbitration or litigation, the claimant must send an individualized written Notice of Dispute either by email to legal@lcx.com or by mail to LCX Liberty Labs Inc., 111 NE 1st St, 8th Floor, Suite 89334, Miami, FL 33132, United States. The notice must include the claimant's name, contact information, relevant Account or Wallet address, facts, legal basis, requested relief, and a good-faith calculation of the amount claimed. The parties will confer individually and attempt to resolve the dispute for 60 days. Limitations periods are tolled during that period.

28.3 Binding individual arbitration

If a dispute is not resolved, you and LCX Liberty agree that any claim arising out of or relating to these Terms, the Services, or the relationship between the parties will be resolved by binding individual arbitration administered by the American Arbitration Association ("AAA") under its Consumer Arbitration Rules or, for a business dispute, its Commercial Arbitration Rules, as modified by these Terms. The arbitrator has exclusive authority to resolve disputes about scope, arbitrability, and enforceability, except that a court has authority over the class-action waiver and requests for public injunctive relief.

The arbitration may be conducted by video, telephone, written submissions, or in person in the county where you live or another mutually agreed location. The arbitrator may award any individual remedy available in court. The award will be reasoned and may be entered in any court with jurisdiction.

28.4 Fees

AAA fees will be allocated under the applicable rules. LCX Liberty will pay amounts it is required to pay for a consumer arbitration and will not seek its attorneys' fees unless the arbitrator finds that a claim was frivolous or brought for an improper purpose under applicable law.

28.5 Exceptions

Either party may bring an individual claim in small-claims court if it qualifies. Either party may seek temporary or preliminary injunctive relief in court to protect intellectual property, confidential information, security, or unauthorized access while arbitration is pending. A request for public injunctive relief that cannot lawfully be waived may be decided by a court after individual claims are arbitrated.

28.6 No jury and no class or representative proceedings

YOU AND LCX LIBERTY WAIVE THE RIGHT TO A JURY TRIAL. CLAIMS MAY BE BROUGHT ONLY IN AN INDIVIDUAL CAPACITY, NOT AS A PLAINTIFF OR CLASS MEMBER IN A CLASS, COLLECTIVE, CONSOLIDATED, MASS, PRIVATE-ATTORNEY-GENERAL, OR REPRESENTATIVE ACTION. THE ARBITRATOR MAY NOT CONSOLIDATE CLAIMS OR AWARD RELIEF FOR ANYONE OTHER THAN THE INDIVIDUAL CLAIMANT, EXCEPT BY WRITTEN AGREEMENT OF ALL PARTIES.

28.7 Coordinated and mass filings

If 25 or more substantially similar demands are submitted against the same party by or with the assistance of the same or coordinated counsel, the AAA Mass Arbitration Supplementary Rules apply. Either party may request a Process Arbitrator. Unless the Process Arbitrator directs otherwise, demands will proceed in staged batches of up to 10 individual cases per side, with one arbitrator for each case. Remaining cases are stayed, applicable limitations periods are tolled, and the parties will confer after each batch. The Process Arbitrator may modify the sequence or batch size to promote fair, efficient, and timely individual adjudication. Each claimant retains the right to an individual determination. This procedure does not authorize class arbitration.

28.8 Opt out

You may opt out of this arbitration agreement by sending an email to legal@lcx.com with the subject "Arbitration Opt-Out" or mailing a written notice to the address above within 30 days after you first accept these Terms. The notice must include your full name, address, email or telephone number associated with your use, relevant Account or Wallet address if applicable, and a clear statement that you opt out. Opting out does not affect the rest of these Terms.

28.9 Changes to arbitration terms

If we make a material change to this Section after you first accept it, you may reject that change by sending notice within 30 days after the change becomes effective. The prior arbitration terms will then govern disputes between you and LCX Liberty.

28.10 Time limit to bring claims

Except where applicable law requires a longer period, any claim arising out of or relating to these Terms, the Services, or the relationship between the parties must be filed within one year after the claim accrued, or it is permanently barred. This provision does not shorten a nonwaivable limitations period and does not apply to a claim that applicable law prohibits the parties from shortening.

28.11 Arbitration severability

Except for the prohibition on class or representative arbitration, if any part of this Section 28 is found unenforceable, that part will be severed and the remainder will be enforced. If a court finally determines that the class or representative waiver is unenforceable as to a particular claim or requested relief, only that claim or relief will proceed in court, and any arbitrable individual claims will be arbitrated first to the extent permitted by law. If the entire arbitration agreement is found unenforceable, Section 28.12 applies.

28.12 Court venue where arbitration does not apply

For a dispute not subject to arbitration, the parties consent to exclusive jurisdiction and venue in the state and federal courts located in Delaware, except where mandatory consumer law permits you to sue in another court.

29. Miscellaneous

29.1 Products and entities not governed by these Terms

These Terms govern only the Services provided by LCX Liberty Labs Inc. that link to or expressly incorporate them. These Terms do not govern:

• the centralized LCX exchange;

• LCX AG;

• LCX Exchange USA Inc.; or

• any other LCX Group company or product, unless these Terms are expressly incorporated into the applicable product terms.

Each excluded entity or product is governed by its own terms, privacy notices, disclosures, registrations, licenses, and operational arrangements. Common ownership, branding, links, integrations, or referrals do not make an excluded entity a party to these Terms or extend its customer protections, custody arrangements, insurance, or regulatory status to the Services.

These Terms, the Privacy Policy at https://defi.lcx.com/legal/privacy-policy, applicable supplemental terms, and transaction-specific disclosures are the entire agreement regarding the Services and supersede prior agreements on the same subject. Product-specific supplemental terms control over these Terms for that product. A transaction-specific disclosure controls only for that transaction.

We may update these Terms by posting a revised version with a new effective date. We will provide reasonable notice of material changes when required by law. Changes are prospective unless law requires otherwise. Your continued use after the effective date constitutes acceptance.

If a provision is invalid or unenforceable, it will be enforced to the maximum extent permitted and the remainder will remain in effect. Our failure to enforce a provision is not a waiver. Waivers must be in writing.

You may not assign these Terms without our consent. We may assign them in connection with an affiliate reorganization, financing, merger, acquisition, sale of assets, or by operation of law.

Nothing in these Terms creates a partnership, joint venture, employment, franchise, agency, fiduciary, or other special relationship between you and LCX Liberty.

We are not liable for delay or failure caused by events beyond reasonable control, including natural disaster, war, terrorism, civil disorder, labor dispute, epidemic, government action, legal change, sanctions, cyberattack, internet failure, power failure, blockchain congestion, fork, protocol failure, sequencer failure, Layer 1 failure, or third-party outage.

There are no third-party beneficiaries except the LCX Group Parties under Sections 23 through 28. Headings and summaries are for convenience and do not limit the operative text. The English version controls.

30. Contact

Legal notices and questions may be sent to legal@lcx.com or by mail to LCX Liberty Labs Inc., 111 NE 1st St, 8th Floor, Suite 89334, Miami, FL 33132, United States. Privacy questions should be sent to privacy@lcx.com. General support is available at hello@lcx.com.

Schedule 1: Additional Terms for Issuers, Tokenization Projects, and Business Users

This Schedule applies if you use a Service in a trade, business, profession, development project, token issuance, tokenization project, asset administration, liquidity program, market-making arrangement, compliance workflow, or other commercial capacity (a "Business User"). It supplements the Terms and controls if there is a conflict.

1. Authority and independent responsibility

You represent that you are lawfully organized, have authority to bind the relevant organization, and have obtained all approvals required for the project. You act as an independent principal, not as LCX Liberty's agent, partner, joint venturer, fiduciary, franchisee, or representative.

You are solely responsible for determining and satisfying every law, registration, exemption, license, filing, disclosure, offering restriction, investor qualification, transfer restriction, tax, accounting, custody, valuation, audit, consumer-protection, privacy, sanctions, AML, export-control, and recordkeeping requirement applicable to your project and target markets.

2. Asset and issuer representations

For each asset or token, you represent and warrant that:

• you have valid, documented authority to tokenize, issue, transfer, encumber, administer, or reference the asset and all intellectual property used;

• all statements concerning ownership, backing, reserves, valuation, insurance, custody, legal rights, redemption, yield, return, liquidity, regulatory status, and risks are accurate, complete, current, and not misleading;

• the token and its distribution, marketing, sale, transfer, and secondary activity comply with applicable securities, commodities, derivatives, money-transmission, banking, consumer, and other laws;

• the project has enforceable governing documents and operational arrangements for corporate actions, distributions, redemptions, substitutions, defaults, disputes, complaints, and insolvency;

• you will not target an ineligible person or jurisdiction or use the Chain to evade registration, offering, resale, transfer, or investor-protection requirements; and

• you will promptly correct or remove inaccurate metadata, disclosures, and claims and notify LCX Liberty of any investigation, default, loss of backing, custody issue, security incident, or material legal change.

3. Compliance controls

You must implement and maintain risk-based identity, KYC, beneficial-ownership, sanctions, AML, market-abuse, wallet-screening, transfer-control, and recordkeeping measures appropriate to the project. Optional LCX Liberty tools are configurable software and do not replace your program or guarantee compliance.

You must configure token contracts, allowlists, blocklists, transfer restrictions, administrative keys, pause rights, recovery rights, corporate-action logic, and permissions consistently with your governing documents and disclosures. You are responsible for every administrator, signer, oracle, custodian, validator, and provider you select.

4. Offering and user materials

Before a user participates, you must provide clear and legally sufficient terms, privacy notices, risk disclosures, offering documents, issuer identity, asset description, investor eligibility, fees, conflicts, transfer restrictions, redemption terms, custody and reserve information, complaint channels, and jurisdictional restrictions.

You must not use LCX Liberty branding in a manner that implies LCX Liberty has approved, guaranteed, underwritten, distributed, or endorsed your project. Any approved use of marks must follow written brand guidelines.

5. Technical and security obligations

You are responsible for code, smart contracts, audits, testing, key management, access controls, upgrades, incident response, monitoring, oracles, data feeds, front ends, and integrations. An audit does not guarantee security. You must promptly remediate vulnerabilities and cooperate with emergency measures.

6. Records, cooperation, and suspension

You will maintain complete records for at least the period required by law, respond promptly to LCX Liberty's reasonable due-diligence requests, and provide evidence of authority, ownership, backing, compliance, audits, and disclosures. We may suspend or remove a project, token, route, contract, metadata item, or integration without liability while reviewing risk or compliance.

7. Business-user warranties and indemnity

The Services are provided to Business Users as is, without any service level or warranty unless a signed order form states otherwise. The liability limitations in Section 26 apply to the fullest extent permitted by law.

In addition to Section 27, you will indemnify the LCX Group Parties from claims, investigations, losses, penalties, and costs arising from your project, asset, token, offering, marketing, users, counterparties, code, contracts, backing, custody, compliance program, taxes, or breach of this Schedule.

Schedule 2: Developer, API, RPC, and Data Terms

This Schedule applies to the RPC endpoints, nodes, explorer interfaces, documentation, and data feeds we operate and make available for programmatic access (the "Developer Services"). It governs the use of surfaces we run. It does not describe a paid developer platform, and nothing in it obliges us to offer one.

1. License

Subject to these Terms, we grant you a limited, revocable, nonexclusive, nontransferable, nonsublicensable license to access and use the Developer Services solely to develop and operate an integration. If we later issue access credentials, those credentials are confidential to you and may not be shared, published, embedded insecurely, or transferred.

2. Technical limits and no service level

We may apply rate limits, quotas, caching, authentication, request-size limits, geographic restrictions, monitoring, or other technical controls, whether or not any such control applies today.

The Developer Services carry no uptime, latency, support, capacity, archival, data-completeness, or continuity commitment. We may modify methods, schemas, endpoints, parameters, response formats, and supported networks, and may deprecate or discontinue a Developer Service. You must design for failure, validate responses, maintain backups, and monitor changes.

3. Prohibited developer conduct

You must not:

• resell, sublicense, or make the Developer Services available as a standalone service without written permission;

• bypass rate limits, access controls, attribution, security controls, or restrictions;

• use the Developer Services to build an unlawful, deceptive, infringing, abusive, sanctioned, or malicious product;

• scrape or harvest data disproportionately, or interfere with other users;

• reverse engineer proprietary components or use nonpublic information to build or train a competing service, except as law or an open-source license permits; or

• represent that LCX Liberty sponsors, licenses, approves, guarantees, or operates your application.

4. End-user and regulatory obligations

You must provide legally sufficient end-user terms, privacy notices, consent mechanisms, disclosures, security controls, support, and eligibility restrictions. You are responsible for your users, transactions, fees, marketing, and legal compliance, including securities, commodities, derivatives, money-services, sanctions, privacy, consumer, and tax laws.

You must clearly disclose all fees and third-party terms that affect users. You must not hide or mischaracterize LCX Liberty, protocol, network, partner, or integrator fees.

5. Data and monitoring

You may use returned data only for your integration and subject to any data license or attribution requirement. You must not sell personal data, deanonymize users, combine wallet and off-chain identity data unlawfully, or use data for surveillance or targeted advertising without a lawful basis and required notice.

We may monitor use for security, capacity, compliance, abuse prevention, and product improvement. We may create and use aggregated or de-identified statistics. Personal information is handled under the Privacy Policy.

6. Suspension and termination

We may suspend or withdraw access to the Developer Services immediately for security, abuse, legal risk, or breach. On termination, you must stop use, remove any credentials, and delete nonpublic materials as requested.

7. Developer indemnity

In addition to Section 27, you will indemnify the LCX Group Parties from claims and costs arising from your application, integration, end users, data practices, fees, marketing, regulatory status, security incidents, or breach of this Schedule.

Schedule 3: Risk Disclosures

This Schedule forms part of the Terms. The risks described below are nonexclusive, may arise separately or together, may develop quickly, and may be outside the control of LCX Liberty. The absence of a listed risk does not mean that the risk does not exist. You may lose all assets involved in a transaction.

1. TOTAL LOSS, VOLATILITY, AND MARKET RISK

Digital assets can be highly volatile, illiquid, difficult to value, or worthless. Prices may change sharply because of market conditions, leverage, liquidations, token emissions, unlocks, governance decisions, protocol incidents, issuer events, regulation, fraud, manipulation, rumors, technical failures, or loss of confidence. You may lose the entire value of an asset, including in a short period.

Historical performance, displayed prices, market capitalization, volume, yield, annual percentage rate, rewards, simulations, and projections do not predict future results. A price shown by an interface may be stale, manipulated, thinly supported, or unavailable when you try to transact.

2. SELF-CUSTODY, PRIVATE KEYS, DEVICES, AND SIGNATURES

Self-custody means that you control the private keys or signing authority for your Wallet. LCX Liberty generally cannot access, recover, reset, freeze, or restore a non-custodial Wallet. Loss, theft, compromise, destruction, or disclosure of a private key, seed phrase, password, device, passkey, hardware wallet, or signer may cause permanent loss.

A valid cryptographic signature can authorize transfers, approvals, permit messages, delegations, smart-account actions, contract upgrades, or other consequences that are not obvious from a user interface. Malicious dApps, phishing sites, compromised devices, clipboard malware, blind signing, unlimited token approvals, or deceptive transaction simulations may cause loss.

Keep recovery information offline, verify domains and contract addresses, use device and account security controls, review token approvals, use hardware or multisignature controls where appropriate, and never disclose a seed phrase or private key to anyone claiming to represent LCX Liberty.

3. IRREVERSIBILITY, ERRORS, AND TRANSACTION FAILURE

Blockchain transactions are generally irreversible after submission or confirmation. LCX Liberty cannot cancel, recall, reverse, refund, or modify a transaction merely because it was sent to the wrong address, used the wrong network, used an unsupported token, included incorrect data, paid an unexpected fee, or produced an unintended result.

A transaction may fail, revert, remain pending, be replaced, be censored, be dropped, or execute more than once because of nonce errors, fee settings, network congestion, software bugs, wallet behavior, reorganization, sequencer behavior, bridge messages, relayers, or third-party systems. A failed transaction may still consume fees.

4. SMART CONTRACT, PROTOCOL, AND ADMINISTRATIVE RISK

Smart contracts and protocols may contain coding errors, design flaws, economic vulnerabilities, oracle manipulation, access-control failures, governance attacks, upgrade risks, malicious code, or undiscovered exploits. Audits, formal verification, bug bounties, monitoring, and open-source review reduce but do not eliminate risk.

Some contracts may be upgradeable, pausable, centrally administered, or subject to privileged keys, multisignatures, councils, validators, sequencers, emergency controls, governance voting, or third-party administrators. Those actors may act incorrectly, maliciously, under legal compulsion, or not at all. Keys may be lost or compromised.

A protocol may change its fees, rules, collateral, reward design, governance, supported assets, or code. A fork or upgrade may create competing versions, duplicate assets, invalidate transactions, or make an asset unsupported.

5. LAYER 2, SEQUENCER, DATA AVAILABILITY, AND FINALITY RISK

LCX Liberty Chain is intended to operate as a Layer 2 network that relies on Layer 1 and other infrastructure. Layer 2 transactions may have different states of inclusion, soft confirmation, finality, withdrawal availability, and challenge or proof completion. A fast interface confirmation is not the same as irreversible Layer 1 finality.

A sequencer may delay, reorder, censor, reject, or temporarily stop accepting transactions. Forced-inclusion or escape mechanisms, if available, may be complex, delayed, costly, or unavailable during an incident. Sequencer downtime can prevent transactions or cause stale state and pricing.

Batch submission, proposer, proof, dispute, data-availability, and Layer 1 failures may delay or invalidate state commitments. Congestion or high Layer 1 fees may make withdrawals or fault-proof participation expensive. Protocol upgrades and emergency actions may change the risk model.

LCX Liberty or service providers may operate or influence hosted sequencer, proposer, batcher, RPC, upgrade, or administrative components. This operational role creates availability, key-management, governance, legal, and centralization risks and means that not every component is decentralized or beyond operational control.

6. BRIDGE AND CROSS-CHAIN RISK

Bridges and cross-chain systems are frequent targets of exploits and may depend on contracts, validators, relayers, oracles, multisignatures, messaging protocols, custodians, and destination networks. A failure may cause permanent loss, duplication, delayed release, depegging, or inability to redeem a bridged asset.

A bridged or wrapped token may be only a representation of an original asset. It may have different issuer terms, legal rights, liquidity, technical behavior, or redemption conditions. Withdrawal periods may be lengthy, and you may need to complete multiple transactions and pay fees on more than one network.

7. DATA, ORACLE, EXPLORER, SIMULATION, AND ALERT RISK

Prices, token metadata, balances, names, logos, transaction labels, risk scores, simulations, routes, explorer data, confirmations, charts, and alerts may be inaccurate, incomplete, delayed, manipulated, or unavailable. A simulation may not reproduce actual on-chain execution.

Blockchain analytics, phishing detection, sanctions screening, wallet labels, and risk alerts may produce false positives, false negatives, stale results, or incomplete attribution. A warning does not guarantee that an address, contract, token, or transaction is unsafe, and the absence of a warning does not mean it is safe.

8. TOKEN, STABLECOIN, WRAPPED ASSET, AND ISSUER RISK

Anyone may create a token with a misleading name, symbol, logo, or metadata. Tokens may contain transfer taxes, blacklists, whitelists, pause functions, rebasing, minting, seizure, clawback, upgrade, or administrative powers. A token contract may be malicious or counterfeit.

Stablecoins may lose their peg and may not be redeemable at par or at all. Reserves may be inadequate, encumbered, unaudited, frozen, inaccessible, or subject to insolvency, banking, custody, legal, or operational risk. Redemption may require KYC, minimum amounts, fees, or use of a separate platform.

Wrapped and liquid-staking assets may depend on custodians, validators, staking providers, bridges, or protocols. Slashing, depegging, validator misconduct, lockups, smart-contract failures, and redemption queues may reduce value or prevent withdrawal.

9. TOKENIZED ASSETS, SECURITIES, AND REFERENCED-ASSET RISK

A token that references a stock, bond, fund, commodity, real estate asset, index, revenue stream, intellectual property, or other asset may not give direct ownership of the referenced asset. It may be a note, receipt, contractual claim, fund interest, synthetic exposure, derivative, security-based swap, or obligation of a special-purpose vehicle or issuer.

Token holders may not receive voting, dividend, information, inspection, priority, bankruptcy, corporate-action, or other rights of the owner of the referenced asset. Returns may depend on an issuer, custodian, broker, calculation agent, reserve manager, oracle, bank, transfer agent, trustee, or redemption agent.

The issuer may restrict jurisdictions, investor categories, transfers, holding periods, resale, or redemption; require KYC or accreditation; freeze or cancel tokens; substitute collateral; change terms; suspend service; or fail. Secondary transfers that are technically possible may be legally prohibited.

Digital assets that are securities, derivatives, commodity interests, payment instruments, or other regulated instruments may be subject to registration, licensing, venue, custody, transfer, disclosure, investor-protection, and other requirements. An interface disclaimer does not change the legal classification of an asset or activity.

10. BACKING, CUSTODY, REDEMPTION, AND INSOLVENCY RISK

Claims that an asset is backed, reserved, insured, audited, or redeemable depend on the accuracy of issuer disclosures and the performance of third parties. LCX Liberty does not verify or guarantee Third-Party Asset backing unless separate written terms expressly state otherwise.

Assets held in custody may be lost, stolen, rehypothecated, frozen, seized, commingled, encumbered, or treated as part of an insolvency estate. Insurance may be unavailable, exclude digital assets, contain limits, or fail to cover a particular loss. Redemption may be delayed, denied, or settled at a value different from market price.

11. COUNTERPARTY, THIRD-PARTY, AND DEPENDENCY RISK

The Services depend on third-party software, networks, wallets, devices, app stores, cloud providers, telecommunications, RPC services, data providers, identity services, exchanges, market makers, resolvers, bridge operators, banks, custodians, and other providers. Any provider may fail, change terms, impose fees, block access, suffer an incident, become insolvent, or stop operating.

LCX Liberty is not responsible for a third party merely because the third party is linked, integrated, displayed, or routed through a Service.

12. CYBERSECURITY, FRAUD, PHISHING, AND SOCIAL-ENGINEERING RISK

Digital-asset users are targets of phishing, impersonation, fake support, malicious browser extensions, SIM swapping, credential stuffing, malware, ransomware, domain hijacking, DNS attacks, counterfeit applications, and social engineering. Communications may be spoofed.

LCX Liberty will not ask for your seed phrase or private key. Verify official domains and contact channels. A security feature, including two-factor authentication or SMS, reduces but does not eliminate risk. SMS can be intercepted, delayed, redirected, or compromised through SIM-swap or carrier attacks.

13. BETA, TESTNET, AND EXPERIMENTAL RISK

Beta, testnet, preview, early-access, pilot, and experimental features may be incomplete, unaudited, unstable, or unsuitable for production. They may be reset, changed, restricted, or discontinued without notice. Test assets may have no value, and testnet state may be deleted.

14. REGULATORY, LEGAL, SANCTIONS, AND ENFORCEMENT RISK

Laws and regulatory interpretations concerning digital assets, DeFi, wallets, Layer 2 networks, tokenization, trading interfaces, stablecoins, securities, commodities, derivatives, money transmission, sanctions, privacy, and taxation are evolving and may change without notice.

A government, regulator, court, issuer, protocol, or service provider may restrict, investigate, block, seize, freeze, delist, reclassify, or prohibit an asset, transaction, user, interface, or network. Compliance actions may interrupt access or make a transaction uneconomic or impossible.

You are responsible for determining the law applicable to you. Geographic availability, an absence of geoblocking, or technical access through a public protocol is not a legal determination that your activity is permitted.

15. TAX, ACCOUNTING, AND REPORTING RISK

Transactions, rewards, airdrops, staking, liquidity provision, bridging, wrapping, tokenization, and transfers may create tax, withholding, reporting, accounting, valuation, or recordkeeping obligations. Tax treatment can be uncertain and may change. LCX Liberty does not provide tax or accounting advice and may not provide complete records for your obligations.

17. NO DEPOSIT INSURANCE OR SECURITIES-PROTECTION COVERAGE

Unless separate terms for a specific regulated product expressly state otherwise, assets used through the Services are not deposits or accounts of LCX Liberty and are not insured by the Federal Deposit Insurance Corporation, protected by the Securities Investor Protection Corporation, or covered by any comparable governmental or private compensation scheme.

17. PRACTICAL RISK CONTROLS

Risk cannot be eliminated, but you should consider using only assets you can afford to lose, testing with small amounts, verifying addresses and chain IDs, using hardware or multisignature security, limiting approvals, maintaining independent records, reviewing issuer and protocol documentation, confirming eligibility, monitoring upgrades, and obtaining legal, tax, security, and financial advice.

Report suspected vulnerabilities or security incidents to legal@lcx.com. For account or product support, contact hello@lcx.com. Never send a private key or seed phrase.

Questions? Email us at .