This Crypto Risk Disclaimer ("Disclaimer") is provided by Virtual365, Inc. ("Virtual365," "we," "our," or "us") to all users ("Users," "you," or "your") of the Virtual365 platform who interact with digital assets, including but not limited to $VCON tokens and any other cryptocurrencies, digital tokens, or virtual assets (collectively, "Digital Assets") that may be supported on our platform. This Disclaimer supplements the Virtual365 Crypto User Policy, Terms of Service, and Privacy Policy.
PLEASE READ THIS DISCLAIMER CAREFULLY BEFORE ACQUIRING OR USING ANY DIGITAL ASSETS ON THE VIRTUAL365 PLATFORM.
By acquiring or using Digital Assets on our platform, you expressly acknowledge that you have read, understood, and agree to the risks outlined in this Disclaimer.
1. GENERAL DIGITAL ASSET RISKS
1.1 Inherent Volatility
Digital Assets are highly volatile by nature. Their value can fluctuate dramatically in short periods, potentially resulting in significant financial losses. Past performance is not indicative of future results.
1.2 Experimental Technology
Digital Assets rely on experimental technology that is still evolving. The underlying protocols, networks, and systems may be vulnerable to flaws, failures, or obsolescence that could negatively impact associated Digital Assets.
1.3 Limited History
Many Digital Assets have limited operating histories and track records. The long-term viability and adoption of any Digital Asset cannot be predicted with certainty.
1.4 Lack of Intrinsic Value
Digital Assets typically do not represent claims on tangible assets or guaranteed cash flows. Their value is primarily derived from user adoption, utility, and market forces.
2. NO INVESTMENT OFFERING
2.1 Utility Purpose
Digital Assets on the Virtual365 platform, including $VCON tokens, are designed primarily as utility tokens for use within our ecosystem. They are NOT:
Securities
Investment products
Financial instruments
Shares or equity in Virtual365
Debt instruments
Derivatives
2.2 No Investment Solicitation
Virtual365 does not promote or market Digital Assets as investment opportunities. Any statements regarding Digital Assets should not be construed as financial advice or investment recommendations.
2.3 No Expected Returns
Users should not acquire Digital Assets with an expectation of profit, financial return, or appreciation in value. The primary and intended purpose of Digital Assets on our platform is to facilitate platform functionality.
3. FINANCIAL RISKS
3.1 No Guaranteed Value
Digital Assets have no inherent or guaranteed monetary value. The value of Digital Assets may:
Fluctuate significantly
Decrease substantially or entirely
Be subject to extreme volatility
Have limited or no liquidity
3.2 Total Loss Risk
You may lose the entire value of your Digital Assets. You should not commit funds to Digital Assets that you cannot afford to lose completely.
3.3 No Redemption Rights
Virtual365 is under no obligation to repurchase or redeem Digital Assets from Users. There is no guarantee that you will be able to sell or transfer your Digital Assets.
3.4 Market Risks
The value and utility of Digital Assets may be affected by factors beyond Virtual365's control, including:
Market trends and sentiment
Regulatory developments
Technological advancements
User adoption rates
Platform popularity
General economic conditions
Actions of other market participants
Liquidity constraints
4. TECHNICAL RISKS
4.1 Software Vulnerabilities
The technology underlying Digital Assets may contain flaws, bugs, or vulnerabilities that could result in:
Loss of assets
Unauthorized access to assets
Disruption of functionality
System failures
Permanent loss of access
4.2 Cybersecurity Risks
Digital Assets and associated wallet functionality may be subject to:
Hacking attempts
Malware attacks
Phishing schemes
Social engineering
Other security breaches
4.3 Technological Obsolescence
The technology underlying Digital Assets may become obsolete or incompatible with new systems, potentially rendering certain Digital Assets unusable or worthless.
4.4 Smart Contract Limitations
Smart contracts governing Digital Assets may have limitations, including:
Execution errors
Programming flaws
Unintended consequences
Vulnerability to attacks
Governance issues
4.5 Network Risks
Blockchain networks supporting Digital Assets may experience:
Congestion
Forks
Consensus failures
51% attacks
Other network-level disruptions
5. REGULATORY RISKS
5.1 Regulatory Uncertainty
The regulatory status of Digital Assets is evolving and uncertain in many jurisdictions. Future regulatory changes may:
Restrict or prohibit the use of certain Digital Assets
Impose new requirements on platforms or users
Adversely affect the functionality or value of Digital Assets
Require modifications to Digital Assets or platforms
Impact the ability to convert Digital Assets to fiat currency
5.2 Compliance Obligations
You are solely responsible for determining and complying with all laws and regulations applicable to your acquisition and use of Digital Assets in your jurisdiction, including:
Tax laws
Securities regulations
Money transmission laws
Consumer protection laws
Anti-money laundering requirements
Foreign exchange controls
5.3 Regulatory Actions
Regulatory authorities may take actions that adversely affect Digital Assets or the Virtual365 platform, including:
Investigations
Cease and desist orders
Fines or penalties
Restrictions on operations
Classification determinations
6. OPERATIONAL RISKS
6.1 Platform Dependence
The utility and value of platform-specific Digital Assets (such as $VCON) are entirely dependent on the continued operation and success of the Virtual365 platform. If the platform:
Ceases operations
Experiences significant downtime
Fails to attract or retain users
Changes its business model
The utility and value of such Digital Assets may be severely impaired or eliminated.
6.2 Business Risks
Virtual365 faces various business risks that could impact the utility and value of Digital Assets on our platform, including:
Competition
Financial difficulties
Management changes
Strategic shifts
Technical challenges
Market conditions
Resource constraints
6.3 Third-Party Risks
The functionality of Digital Assets may depend on third-party services or technologies that are beyond Virtual365's control, including:
Blockchain networks
Wallet providers
Exchange platforms
Internet service providers
Data centers
7. WALLET AND CUSTODY RISKS
7.1 Private Key Security
Loss, theft, or compromise of private keys or wallet credentials will likely result in permanent and irreversible loss of Digital Assets. Virtual365 cannot:
Recover lost private keys
Restore access to compromised wallets
Reverse unauthorized transactions
Compensate for lost Digital Assets
7.2 User Error
User errors, such as sending Digital Assets to incorrect addresses, using incompatible wallets, or mishandling wallet credentials, may result in permanent loss of Digital Assets.
7.3 Wallet Vulnerabilities
Digital wallets may contain security vulnerabilities that could result in the loss of Digital Assets.
7.4 Custodial Risks
If you use custodial services to store your Digital Assets, you face additional risks including:
Counterparty risk
Insolvency risk
Operational failures
Security breaches
8. SPECIFIC $VCON TOKEN RISKS
In addition to the general risks outlined above, $VCON tokens may be subject to specific risks, including:
8.1 Platform-Specific Utility
$VCON tokens are designed specifically for use within the Virtual365 ecosystem. Their utility and value are directly tied to the adoption and success of the Virtual365 platform.
8.2 Token Economy Risks
The $VCON token economy is subject to risks related to:
Token distribution
Token supply mechanisms
Governance structures
Utility implementation
User adoption
8.3 Limited Use Cases
$VCON tokens have specific use cases within the Virtual365 platform. Changes to these use cases or the introduction of alternative mechanisms could impact the utility and value of $VCON tokens.
9. NO REPRESENTATIONS OR WARRANTIES
9.1 "As Is" Basis
All Digital Assets, including $VCON tokens, are provided on an "as is" and "as available" basis without warranties of any kind, either express or implied.
9.2 No Guarantees
Virtual365 makes no representations or warranties regarding:
The value of any Digital Assets
The functionality or availability of Digital Assets
The security of Digital Assets
The future development of Digital Assets
The continued operation of the Virtual365 platform
The performance or security of blockchain networks
10. LIMITATION OF LIABILITY
TO THE MAXIMUM EXTENT PERMITTED BY APPLICABLE LAW, VIRTUAL365 AND ITS OFFICERS, DIRECTORS, EMPLOYEES, AGENTS, AND AFFILIATES SHALL NOT BE LIABLE FOR ANY DIRECT, INDIRECT, INCIDENTAL, SPECIAL, CONSEQUENTIAL, OR EXEMPLARY DAMAGES ARISING FROM OR RELATED TO YOUR ACQUISITION OR USE OF DIGITAL ASSETS, REGARDLESS OF THE CAUSE OF ACTION AND EVEN IF VIRTUAL365 HAS BEEN ADVISED OF THE POSSIBILITY OF SUCH DAMAGES.
11. RISK ASSESSMENT AND DUE DILIGENCE
You are solely responsible for:
Conducting your own due diligence regarding Digital Assets
Assessing the risks associated with Digital Assets
Determining whether acquisition or use of Digital Assets is appropriate for your circumstances
Consulting with legal, financial, tax, or other professional advisors as necessary
Staying informed about changes to Digital Assets and associated risks
12. ACKNOWLEDGMENT
BY ACQUIRING OR USING DIGITAL ASSETS ON THE VIRTUAL365 PLATFORM, YOU EXPRESSLY ACKNOWLEDGE THAT YOU HAVE READ THIS DISCLAIMER, UNDERSTAND THE RISKS DESCRIBED HEREIN, AND AGREE TO ASSUME SUCH RISKS.
IF YOU DO NOT UNDERSTAND OR ACCEPT THESE RISKS, YOU SHOULD NOT ACQUIRE OR USE DIGITAL ASSETS ON OUR PLATFORM.
13. MODIFICATIONS TO THIS DISCLAIMER
Virtual365 reserves the right to modify this Disclaimer at any time at our sole discretion. We will provide notice of any material changes by posting the updated Disclaimer on the platform and updating the "Last Updated" date. Your continued use of Digital Assets on our platform after such changes constitutes your acceptance of the updated Disclaimer.
14. CONTACT INFORMATION
If you have any questions about this Disclaimer, please contact us at:
Email: crypto@virtual365.com Address: Virtual365, Inc., 123 Tech Street, San Francisco, CA 94105, USA Phone: (800) 555-0123