Risk Disclosure Statement

1. Purpose

This Risk Disclosure Statement (“Statement”) explains the principal risks associated with using Control Money’s products and services.

Control Money provides access to digital assets, tokenized financial products, stablecoins, and yield-bearing products. These products involve financial, technological, legal, and operational risks.

This Statement should be read together with:

• Terms of Use
• Privacy Policy
• AML/KYC Policy
• Product-Specific Terms
• Fees & Charges Policy

2. No Investment Advice

Control Money is a technology platform that facilitates access to eligible financial products.

Nothing on the Platform constitutes:

• investment advice;
• financial advice;
• tax advice;
• legal advice;
• portfolio management;
• a recommendation to buy, sell, or hold any asset.

You remain solely responsible for your investment decisions.

3. General Investment Risk

All investments involve risk.

The value of investments may increase or decrease, and you may lose part or all of your invested capital.

Past performance is not indicative of future performance.

No investment should be made without understanding the associated risks.

4. Digital Asset Risk

Digital Assets are highly volatile.

Risks include:

• significant price fluctuations;
• permanent loss of value;
• protocol failures;
• blockchain forks;
• validator failures;
• network congestion;
• software bugs;
• smart contract vulnerabilities;
• cyberattacks.

Digital Assets are not suitable for every investor.

5. Stablecoin Risk

Although stablecoins are designed to maintain a reference value, they may experience:

• de-pegging;
• liquidity shortages;
• issuer insolvency;
• redemption delays;
• regulatory restrictions;
• operational failures.

Stablecoins are not bank deposits and are generally not covered by deposit insurance.

6. Yield Product Risk

Yield-bearing products, including USDY or similar products, involve additional risks.

Yield:

• is variable;
• is not guaranteed;
• may change without notice;
• may stop accruing;
• depends on market conditions and third-party issuers.

You may earn less than expected or no yield at all.

7. Tokenized Asset Risk

Tokenized ETFs, tokenized stocks, and other tokenized financial products may differ from traditional securities.

Risks include:

• legal structure risk;
• issuer risk;
• custody risk;
• limited shareholder rights;
• reduced voting rights;
• corporate action delays;
• blockchain settlement risk.

Ownership of a tokenized asset may not confer all rights associated with direct ownership of the underlying security.

8. Market Risk

Financial markets may be affected by:

• inflation;
• interest rate changes;
• recessions;
• geopolitical events;
• regulatory changes;
• corporate performance;
• investor sentiment.

These factors may materially affect investment values.

9. Liquidity Risk

Certain products may become difficult or impossible to sell.

Liquidity may be affected by:

• market closures;
• low trading volumes;
• issuer actions;
• blockchain congestion;
• regulatory restrictions.

Execution of trades may be delayed or unavailable during periods of market stress.

10. Foreign Exchange Risk

Where investments are denominated in a currency different from your local currency, exchange rate movements may affect returns.

Currency losses may occur even where the underlying investment performs positively.

11. Counterparty Risk

Control Money relies on regulated and reputable third parties, including:

• custodians;
• wallet providers;
• payment processors;
• liquidity providers;
• token issuers;
• blockchain infrastructure providers.

Failure of any such third party may affect the availability or value of your assets.

12. Technology Risk

The Platform depends on technology infrastructure that may experience interruptions.

Risks include:

• cloud outages;
• internet failures;
• API failures;
• cybersecurity incidents;
• software defects;
• data corruption.

Temporary interruptions may affect trading, deposits, withdrawals, or account access.

13. Smart Contract Risk

Certain transactions may rely on smart contracts.

Smart contracts may contain:

• coding errors;
• vulnerabilities;
• exploits;
• design flaws;
• unforeseen interactions.

These risks may result in financial loss or delayed transactions.

14. Blockchain Network Risk

Blockchain networks may experience:

• congestion;
• validator failures;
• forks;
• attacks;
• governance disputes;
• unexpected protocol changes.

Control Money does not control public blockchain networks.

15. Regulatory Risk

Laws governing digital assets continue to evolve globally.

Future legal or regulatory changes may:

• restrict products;
• prohibit certain activities;
• impose additional compliance requirements;
• affect taxation;
• suspend services.

Control Money may modify or discontinue services to comply with Applicable Law.

16. Tax Risk

Tax consequences depend on your jurisdiction and personal circumstances.

You are responsible for:

• reporting gains and losses;
• paying applicable taxes;
• maintaining tax records.

Control Money does not provide tax advice.

17. Operational Risk

Operational events may affect the Platform, including:

• human error;
• fraud;
• processing delays;
• payment failures;
• reconciliation errors.

Control Money implements controls to reduce these risks but cannot eliminate them entirely.

18. Cybersecurity Risk

Despite robust security controls, no platform is immune to cyber threats.

Risks include:

• phishing;
• malware;
• credential theft;
• account takeover;
• denial-of-service attacks;
• unauthorized access.

Users are responsible for maintaining the security of their own devices and credentials.

19. Account Security

You are responsible for:

• maintaining strong passwords;
• enabling multi-factor authentication where available;
• safeguarding login credentials;
• monitoring account activity;
• notifying Control Money immediately of unauthorized access.

Failure to secure your account may result in financial loss.

20. Force Majeure

Events beyond Control Money’s reasonable control may affect the availability of services, including:

• natural disasters;
• war;
• civil unrest;
• pandemics;
• government action;
• power failures;
• internet outages;
• blockchain failures.

Such events may delay or interrupt services.

21. Product-Specific Risks

Additional risks may apply to specific products.

Users should review all Product Terms before investing in:

• tokenized ETFs;
• tokenized stocks;
• yield-bearing products;
• treasury products;
• future investment products.

22. No Guarantee

Control Money does not guarantee:

• investment returns;
• preservation of capital;
• continuous liquidity;
• uninterrupted service;
• future product availability;
• stablecoin value;
• yield rates.

23. Suitability

You should only use the Platform if:

• you understand the associated risks;
• you can bear financial losses;
• you have assessed your own financial circumstances;
• the products are appropriate for your investment objectives.

If you do not understand these risks, you should seek independent professional advice before investing.

24. Acknowledgement

By using the Platform, you acknowledge that:

• you have read this Risk Disclosure Statement;
• you understand the risks described herein;
• you accept these risks voluntarily;
• you remain solely responsible for your investment decisions.

Your use of the Platform constitutes acceptance of this Statement.

Important Notice

This Statement identifies the principal risks associated with the Platform but does not describe every possible risk. New risks may arise due to changes in technology, markets, regulation, or the products offered by Control Money.

Users should periodically review this Statement and any product-specific disclosures before making investment decisions.