General Risk Disclosure for Crypto Assets
Please read carefully before making any investment decision. Transactions in crypto assets may cause you to lose your entire investment.
Last updated: May 20, 2026
Crypto-asset investment is high-risk. Do not transact without reading this page.
1. General Risk Warning
Transactions you carry out in crypto assets can lead to significant financial losses. You may earn profit or you may suffer loss, including losing your entire investment. Before trading, you must understand all market risks and decide based on your financial situation and risk tolerance. This disclosure is general information and may not cover every type of risk.
2. Market and Volatility Risk
Crypto-asset prices can move unpredictably within very short periods. A single day may bring fluctuations between 20-50%. This volatility stems from: • Statements by regulatory authorities • Social media / influencer impact • Whale (large wallet) movements • Macroeconomic conditions • Token-specific events (hack, exploit, listing) Past performance is not a guarantee of future results.
3. Liquidity Risk
When you want to sell a crypto asset there may be no counterparty available. There is no liquidity guarantee. In low-volume pairs the following may occur: • Your order may not execute for hours • Market order may fill at a bad price (slippage) • Limit Orders or Stop Orders may not execute • You may suffer value loss without being able to exit
4. Cyber-Security and Technology Risks
The crypto ecosystem is exposed to the following risks: • Cyber attacks (exchange hacks, wallet breaches) • Phishing / social engineering (at the user level) • Smart contract vulnerabilities (in DeFi protocols) • Network attacks (51% attack, double-spend) • Developer abandonment (rug pull) • Network shutdown
5. Leveraged Trading (Futures) Risk
High-Risk Warning: In derivatives trading, leverage amplifies both profits and losses to the same extent. • At 10x leverage, a 10% adverse move means liquidation • At 100x leverage, 1% move = zero • At the moment of liquidation, you may lose your ENTIRE investment • Funding fees may erode long positions over time • Stop-loss is not guaranteed; it may not trigger in sudden volatility
6. Wallet and Custody Risks
QNC Exchange stores user assets mostly in cold storage and multi-sig structures. Even so: • Despite all security measures, the theft risk is not zero • Assets held on the exchange may be commingled with other users' assets (custodial model) • "Not your keys, not your coins" — we recommend withdrawing to your own wallet for long-term storage
7. Listing / Delisting Risk
QNC Exchange: • Does not guarantee that listed tokens will always continue trading • In cases such as low volume, security vulnerabilities, or developer abandonment, may delist with or without prior notice • Provides a reasonable withdrawal window to users upon delisting
8. Legal and Tax Risk
• The legal status of crypto assets varies from country to country • Tax obligations belong entirely to the user — QNC Exchange does not provide tax advisory services • Knowing and complying with your country's regulations is your responsibility • In some jurisdictions, crypto transactions may be banned or subject to restrictions
9. Stablecoin and Currency Risk
• Stablecoins may fail to maintain their "1 USD = 1 stablecoin" peg (e.g., UST 2022) • Foreign-currency-denominated trades carry FX risk • Stablecoin issuers (Tether, Circle) have the authority to freeze wallets (OFAC compliance) • Governments may restrict foreign-exchange/capital movements
10. Technical and Communication Risks
As an internet-based trading system, the following risks exist: • Software/hardware malfunction • Internet connection outages • Database or API latency • Maintenance windows • DDoS attacks QNC Exchange accepts no liability for communication failures, delays, missed orders, or losses arising from such causes.
11. Irreversible Transactions
• Crypto-asset transfers cannot be reversed or undone once executed • If sent to an incorrect address, recovery of your asset is not possible • If the network selection is wrong (e.g., BSC instead of ERC20), the asset may be lost • It is your responsibility to verify the wallet address before any transfer
12. Investor Acknowledgement
By reading this Risk Disclosure Form and using the QNC Exchange platform, you are deemed to have declared the following: ✓ I have read and understood all risk categories listed above ✓ I am aware that crypto-asset investment may result in losing my entire investment ✓ I make investment decisions based on my own financial situation, risk tolerance, and research ✓ I will not hold QNC Exchange liable for any losses that may arise ✓ I am aware that my tax and legal obligations are entirely my own responsibility This form is an integral part of the User Agreement.