Digital-Asset Disclosure

This disclosure applies to digital assets, tokens and tokenized assets that may be held, transferred, traded, staked or issued using ORBITRA ONE™ products, including assets on Orbitra L1, assets within the EVM Capsule and assets moved through GateMesh. It supplements the general risk disclosure.

Which assets are supported, and for whom, depends on listing decisions, eligibility and the law of your jurisdiction.

Digital-asset prices can rise or fall sharply within minutes and can fall to zero. They respond to supply and demand, sentiment, liquidity, network activity, regulatory news and events on other venues, often without any link to underlying cash flows.

Digital-asset markets trade around the clock, so large moves can happen while you are not watching. Liquidity for smaller or newer assets can be thin and fragmented, and you may be unable to sell at a quoted price, or at all.

Finalized blockchain transactions generally cannot be reversed. On Orbitra L1, a transition certified by a QSE quorum is final, which also means that a mistaken transfer cannot be undone by the network.

Assets sent to a wrong address, on the wrong network or to a contract that cannot return them may be lost permanently. Check the address, network and amount before you sign, and watch for phishing, address poisoning and impersonation. We will never ask you to send assets in order to verify, unlock or upgrade an account.

Whoever controls the private keys, seed phrase or signing device for an address controls the assets it holds.

If you choose self-custody, you alone are responsible for generating, storing and backing up your keys. If they are lost, destroyed or stolen, your assets may be permanently inaccessible, and neither we nor anyone else can recover them.

Delegated custody and qualified-custodian connections remove some key-management burdens but add others, including the operational, security and insolvency risk of the custodian. The terms of each custody mode set out who holds keys and how withdrawals are governed.

Q-Switch supports versioned signature suites, key rotation and address migration so that credentials can move to stronger cryptography as standards evolve. Migration may require action from you, and keys that are not migrated when required may remain exposed to weaknesses in older schemes.

Smart contracts and protocol modules are software, and software can contain defects, behave unexpectedly when combined with other contracts, or be exploited. NexusWASM limits contracts through sandboxing, capability scoping and resource metering, and the EVM Capsule isolates compatibility workloads from the core runtime. These measures reduce the impact of a defect; they cannot eliminate software risk.

Contracts may be upgradeable or governed by parameters that can change, and an upgrade can alter how a contract treats your assets. Applications built by third parties in Orbitra Realm are not our products unless we say so, and their presence in the ecosystem is not an endorsement of their code, economics or operators.

Transactions depend on validators, client software and network infrastructure operating correctly. Congestion can delay inclusion or raise resource costs, and defects, outages or attacks affecting validators can slow or halt block production.

QSE provides deterministic finality under a stated fault model that assumes faulty or malicious validators remain below a tolerated threshold. If more fail or misbehave than the model tolerates, finality can stall and recovery may require coordinated intervention.

Staking carries slashing risk: misbehavior or failure by a validator can reduce the stake delegated to it. Staked assets may be subject to lock-up or unbonding periods during which they cannot be sold or transferred.

A blockchain can split into competing versions, adopt upgrades that are not backward-compatible, pause, or change its rules through governance. Networks connected through GateMesh are exposed to the same events.

After a fork or chain event, we decide whether and how to support any resulting network or asset, and we may suspend deposits, withdrawals or trading while we assess it. Assets created by a fork, or distributed in connection with one, may not be supported or credited.

Moving assets between networks through GateMesh depends on independent chain clients, the proof and finality rules of both networks, and the escrow, mint and release process between them. A failure, attack or reorganization on an external network can affect assets in transit or assets represented on Orbitra L1.

GateMesh applies asset and route caps, pause controls and a dispute path to limit how much value is exposed at any time. These controls reduce, but do not remove, the risk of loss. A transfer can be delayed or paused while a route is investigated, and a represented asset can lose value if its backing on the source network is compromised. Transfers between the EVM Capsule and core assets pass through rate-limited gateways and circuit breakers, which can also delay them.

Prices used for margin, liquidation, settlement and smart contracts come from Prism, which normalizes and aggregates multiple sources and publishes each price with a confidence score based on freshness and dispersion.

Source data can be wrong, late or manipulated, and aggregation cannot catch every error. When confidence falls below a threshold, markets may pause or apply protective rules, which can prevent you from trading. A position may be liquidated or settled at a price affected by a data error before the error is detected.

A tokenized asset represents rights in, or exposure to, something else — a fund, credit instrument, property, invoice, commodity inventory or equity. Its value depends on the issuer, the legal structure that links the token to the underlying asset, and the custodians and service providers involved.

If an issuer or custodian fails, acts fraudulently or becomes insolvent, you may be unable to redeem the token or enforce rights over the underlying asset. Tokens can carry transfer restrictions, eligibility requirements and lock-ups, and issuers control lifecycle events such as distributions, redemptions and corporate actions. Read each issuer’s documentation before acquiring its tokens.

Synthetic exposure tracks a price without conferring ownership, voting or other rights in the reference asset. Tokenized and synthetic equities are offered only where legally available.

Digital-asset regulation is still developing in many jurisdictions. The same asset may be treated as a commodity, a security, a payment or e-money instrument or something else depending on where you are, and that treatment can change.

A change in classification or law may restrict who can hold or trade an asset, require us to suspend or delist it, or affect its value and liquidity. If an asset is delisted, you may need to sell or withdraw it within a set period.

Acquiring, holding, trading, staking, lending or disposing of digital assets can have tax consequences, including for transactions that never convert into fiat currency. Tax treatment differs between jurisdictions and can change.

You are responsible for determining and paying the taxes that apply to you and for keeping adequate records. We do not provide tax advice, and any statements or reports made available to you may not meet the requirements of your tax authority. Where the law requires us to report information to tax authorities or to withhold tax, we will do so.

Leverage and automation can compound the risks above; see the trading and leverage risk disclosure and the automated and AI-assisted trading disclosure. Address any questions about this disclosure to hello@orbitraone.com.