Version 1.0 — Last updated: 16 September 2025

Trading and holding crypto-assets involves significant risk and may not be suitable for all clients.

Financial Risks

• Market Risk — Crypto-asset prices are highly volatile. You may lose the full value of your holdings in a short time.
• Liquidity Risk — While some major cryptoassets like Bitcoin and Ethereum have high liquidity, others, particularly newer or smaller tokens, may have very low trading volumes. This can make it difficult to sell your assets at a desired price, especially during periods of market stress, and could result in significant losses.
• No Guarantee of Returns — Trading is speculative; past performance does not predict future results.
• Tax Risk — Tax treatment varies by jurisdiction and may change; you are responsible for your obligations.

Security and Operational Risks

• Cybersecurity Risk — Despite safeguards, hacking, phishing, malware, or device compromise can lead to loss or theft.
• Operational and Technology Risk — Software defects, outages, or connectivity failures may impact access, execution, or withdrawals.
• Fraud and Financial Crime Risk — Scams and manipulation occur despite controls and monitoring.

Crypto-Specific and Regulatory Risks

• Regulatory Risk — Laws and supervisory guidance evolve; availability, transferability, or legality of assets or features may change without prior notice.
• Non-notified Whitepaper Risk (very important) — If an asset does not have a MiCAR-notified crypto-asset whitepaper, issuer and disclosure risks are elevated. Rights, obligations, technical features, governance, and performance assumptions may be insufficiently described, outdated, or change without notice. Service availability (listing, deposits, withdrawals, exchange) may be restricted, suspended, or terminated at short notice to comply with law or supervisory expectations.
• Token Design and Technical Risk — Complex or experimental designs can behave unexpectedly; review available documentation before transacting.
• Blockchain and Consensus Risk — Forks, bugs, validator behaviour, or consensus failures can affect usability, value, or availability.
• Collateralization/Reserve Risk — For assets claiming backing or stabilization, reserves may be insufficient, encumbered, or opaque, compromising stability or redeemability.
• Jurisdictional Restrictions — Services may be unavailable or limited in certain countries; ensure compliance with your local laws.

Important Notices

• No Advice — Information from Knaken is not investment, legal, tax, or accounting advice; seek professional advice where appropriate.
• Understand the Asset — Review asset information and, where available, the whitepaper or issuer documentation before transacting.
• Updates — We may update this disclosure to reflect changes in law, guidance, market conditions, or our services. The most recent version applies.