Risk Disclosures

1. Important Notice

This Risk Disclosure document ("Disclosure") is provided by Velotrade Re Limited ("Velotrade", "we", "us", or "our"), a company incorporated in Hong Kong. This Disclosure should be read together with our Terms and Conditions, Rules, and FAQs, all of which are published on the Velotrade website and form part of the contractual agreement between you and Velotrade.

By accessing or using the Services, you acknowledge that you have read, understood, and accept the risks described in this Disclosure.

2. General Risk Warning

Trading in digital assets (cryptocurrencies) is inherently speculative and involves a high degree of risk. You should carefully consider whether trading is appropriate for you in light of your financial situation, investment experience, and risk tolerance.

The cryptocurrency market is characterised by:

• Extreme volatility — Prices can fluctuate dramatically within short periods, including intraday movements of 10% or more.
• Unpredictability — Market movements may be influenced by factors beyond anyone's control, including regulatory developments, technological changes, macroeconomic events, and market sentiment.
• Liquidity risk — In certain conditions, it may be difficult or impossible to enter or exit positions at desired prices.

You should never trade with funds you cannot afford to lose.

3. Nature of Simulated Trading

All trading conducted through Velotrade occurs in a simulated environment using demo accounts with real market data. No live trading or real capital is involved.

You should be aware that:

• (a) Simulated trading results do not represent actual trading and may not reflect the performance you would achieve in a live market environment.
• (b) Simulated environments may differ from live markets in execution speed, slippage, liquidity, and order fills.
• (c) Past performance in a simulated environment is not indicative of future results in live trading.
• (d) The psychological and emotional aspects of trading may differ significantly between simulated and live environments.
• (e) Success in a Velotrade Challenge or Funded Account does not guarantee profitability in live trading.

4. No Investment or Financial Advice

Velotrade does not provide investment advice, financial advice, trading advice, or any other form of professional advice.

• (a) None of the information made available by Velotrade constitutes a recommendation, solicitation, or offer to buy or sell any financial product or service.
• (b) Velotrade does not act as a financial broker, advisor, or fiduciary.
• (c) All trading decisions are made independently by you, at your sole discretion and risk.
• (d) We do not provide trading signals, strategies, or recommendations.
• (e) You are solely responsible for conducting your own research and analysis before making any trading decisions.

We strongly recommend that you seek independent financial advice from a qualified professional before engaging in any trading activity.

5. Cryptocurrency-Specific Risks

Trading digital assets involves unique risks, including but not limited to:

• (a) Regulatory risk — The regulatory status of cryptocurrencies varies by jurisdiction and may change at any time. Regulatory actions could materially impact the value or tradability of digital assets.
• (b) Technology risk — Blockchain networks and digital asset protocols are subject to technical vulnerabilities, bugs, hacks, and failures that could result in loss of access to assets or loss of value.
• (c) Cybersecurity risk — Digital assets and trading platforms are targets for cyberattacks, which may result in theft, loss, or disruption.
• (d) Market manipulation — Cryptocurrency markets may be subject to manipulation, wash trading, and other practices that distort prices.
• (e) Irreversibility — Cryptocurrency transactions are generally irreversible. Errors in transactions cannot typically be corrected.
• (f) Operational risk — Exchanges, custodians, and service providers may experience outages, insolvency, or operational failures.

6. Leverage Risk

Trading on leverage (margin) amplifies both potential gains and potential losses.

• (a) A small market movement can result in proportionally larger gains or losses relative to your position size.
• (b) Leverage increases the risk of rapid and significant losses, including losses that may exceed your initial margin or challenge fee.
• (a) Leveraged positions may be liquidated automatically if the market moves against you, potentially resulting in total loss of the position.
• (d) Due to the leveraged nature of trading, even minimal price fluctuations can dramatically impact your account balance.

Leverage is not suitable for all traders. You should only use leverage if you fully understand the risks involved.

7. No Guarantee of Success or Profitability

Velotrade makes no promises or guarantees regarding success, profitability, or results.

• (a) The majority of traders do not achieve consistent profitability. Industry statistics suggest that a significant proportion of retail traders incur losses.
• (b) Passing a Challenge does not guarantee future success or payouts.
• (c) Your trading performance depends on your skills, discipline, market conditions, and numerous factors beyond anyone's control.
• (d) Any testimonials, performance data, or trader success stories displayed are individual results and are not typical. Your results may vary.
• (e) You should not rely on trading as your primary or sole source of income.

8. Platform and Technology Risks

You acknowledge that:

• (a) Trading platforms may experience technical failures, outages, or delays that could prevent you from executing trades or managing positions.
• (b) Price feeds may be delayed, inaccurate, or unavailable during periods of high volatility or technical issues.
• (c) Orders may experience slippage, partial fills, or rejections due to market conditions or platform limitations.
• (d) Velotrade does not operate or control the underlying Trading Platform and is not liable for disruptions, errors, or failures caused by third-party systems.
• (e) Internet connectivity issues, hardware failures, or software errors on your end may impact your ability to trade.

9. Third-Party Services

Velotrade relies on third-party service providers for various aspects of the Services, including trading platforms, data feeds, and payment processing. We are not responsible for:

• (a) The actions, omissions, or failures of third-party providers.
• (b) Losses arising from service disruptions, data inaccuracies, or technical issues caused by third parties.
• (c) Changes to third-party services that may affect your experience.

10. Your Responsibilities

By using the Services, you acknowledge and accept that:

• (a) You are solely responsible for all trading decisions and their consequences.
• (b) You have sufficient knowledge and experience to understand the risks of trading.
• (c) You have read and understood all applicable terms, rules, and disclosures.
• (d) You will not trade with funds you cannot afford to lose.
• (e) You will seek independent professional advice if you are uncertain about any aspect of trading or the Services.
• (f) You are responsible for complying with all applicable laws and regulations in your jurisdiction.

11. Limitation of Liability

To the fullest extent permitted by law, Velotrade shall not be liable for any losses, damages, or costs arising from:

• (a) Your trading decisions or activities.
• (b) Market movements, volatility, or conditions.
• (c) Technical failures, platform outages, or data inaccuracies.
• (d) Actions or failures of third-party service providers.
• (e) Any reliance on information provided through the Services.

For full details, please refer to our Terms and Conditions.

12. Contact Us

If you have any questions about this Risk Disclosure, please contact us at:

Velotrade Re Limited

Unit 702, 7/F, Yue Thai Commercial Building, 128 Connaught Road Central, Sheung Wan, Hong Kong

Email: legal@velotrade.com