Price Fluctuation Risk

The price of crypto assets fluctuates depending on the supply and demand of crypto assets, the supply and demand of the entire crypto asset market, the market trends of legal tenders and financial instruments, etc. In addition, laws and regulations regarding crypto assets have not been set, and regulatory agencies and regulatory trends can also cause price fluctuations. As a result of these price fluctuations, the price of crypto assets may fall and you may experience losses. In the worst case, the value of crypto assets can be zero.

Risk of Broken Crypto Asset Transfer Mechanisms

The transfer of crypto assets may become impossible due to the collapse of the community that supports the transfer of crypto assets. In the worst case, the value of the crypto asset may be zero due to other reasons.

Risk Due To Shortage Of Supply And Demand

Cryptocurrencies are generally less liquid than fiat currencies. Because of this, smooth trade may not be realized due to insufficient trading volume depending on the balance between supply and demand regarding trading at the time and quantity desired by customers.

Risk Limitation In Country / Region

In certain countries and regions, the sale and ownership of cryptocurrency assets may be prohibited by law. This can make it very difficult or impossible to buy, sell or hold crypto assets in that country or region. demand for crypto assets may decrease and prices may fall.

Our Bankruptcy Risk

The money and crypto assets entrusted to us by our customers are managed separately from the money and crypto assets owned by our company. However, if the Company goes bankrupt, if the Company's debts cannot be repaid with the Company's own property, the money and cryptographic assets entrusted to the customer will be used to pay off the debt, and the customer will receive the money and money. It may not be possible to recover all or part of the crypto assets.

Risk Of Crypto Asset Leakage In Hold

If a third party knows the pass seed or private key of the wallet that records the crypto assets that have been entrusted to us through a cyber attack such as hacking, the crypto assets recorded in the wallet will be fraudulent, possibly leaked. Depending on our financial position, we may not be able to cover losses due to such outflows.

Risks Associated With System Failure

We are not responsible for lost profits from customers caused by disasters, public line communication failures, delays in the recording process in the recording mechanism of the transfer of cryptographic asset value, or other circumstances beyond our control. Therefore, there is a risk of lost profits.

Risk of Difficulty Trading Certain Crypto Assets

Trading certain crypto assets may be difficult or impossible in special circumstances such as natural disasters such as earthquakes and floods, war, terrorism, political changes/law revisions, tightening of regulations, and sudden changes in crypto asset conditions.

Risk of Incomplete Settlement

Among the cryptocurrency assets that we deal with, there are cryptocurrency assets that have the risk of illegitimacy receding because there is no mechanism that can be called a definitive transaction.

Hard Fork Branch Risk

Among the cryptographic assets we deal with, there are cryptographic assets that are at risk of becoming incompatible with each other due to a hard fork (an irreversible specification change) that splits the cryptographic asset into two. In these cases, there is a risk of significant depreciation or retroactive invalidation of the transaction. In addition, we may not be able to provide customers with new coins generated as a result of hard forks due to various reasons.

51% Attack Risk

Of the crypto assets handled, if a malicious person has 51% or more of the total hash rate (small computing power), there is a crypto asset at risk of intentionally sending fraudulent transactions.

Validator Risk

Of the cryptocurrency assets handled, XP may be destroyed in the ledger and data if a trusted validator accidentally colludes.

Risk of Software Malfunction

Of the cryptocurrency assets handled, XP is thoroughly verified before new versions of the software are updated to minimize the possibility of defects. However, there is no denying that software flaws can cause problems.

Risk of Price Fluctuations Outside of Business Hours

Transactions cannot be made outside business hours. Therefore, if the price of a cryptocurrency asset fluctuates significantly during non-business hours, you may experience losses. The company is not responsible for any losses incurred by the customer as a result.

Risks Related to Losing Private Keys, Etc.

Cryptocurrency assets entrusted to us by our customers are recorded in a wallet where we manage their private keys. If we lose that private key, we will not be able to send the cryptographic assets recorded in the wallet to the outside, and as a result, there is a risk that the value of the cryptographic assets we store will be lost.

Other Risks

Cryptocurrency assets are being developed, and the technology that forms the basis of cryptocurrency assets is being developed and improved every day. In the process, at this time, it is undeniable that unpredictable vulnerabilities can be discovered and seen as risks that threaten the asset value of cryptocurrency assets. Therefore, please note that risks other than those mentioned above may occur in the future.