Disclaimers on Cryptocurrency & Fiat Currency
1. Cryptocurrency Disclaimer
Definition and Context
Cryptocurrencies are decentralized digital assets that operate on blockchain technology, often used for speculative purposes. While cryptocurrencies like Bitcoin or Ethereum are accepted as payment mechanisms for purchasing Central Ura, they differ fundamentally from credit-backed money such as Orbita Notes.
Key Disclaimers
- Not Equivalent to Money: Cryptocurrencies are not classified as money under the C2C Monetary System. They lack the inherent stability provided by credit-backed assets like Central Ura or Orbita Notes.
- Speculative Nature: Cryptocurrencies are highly volatile and subject to rapid price fluctuations. Participants should understand that cryptocurrency holdings carry significant risk and are unsuitable for stable, long-term financial planning.
- Limited Role in the Platform: While the platform may accept cryptocurrencies for deposits or purchases, these are immediately converted to Central Ura for trading Orbita Notes. The platform does not facilitate cryptocurrency speculation or trading.
- Regulatory Risks: Cryptocurrency regulations vary globally, and participants are responsible for ensuring that their use of cryptocurrencies complies with local laws. The platform is not liable for regulatory restrictions or penalties imposed on cryptocurrency transactions.
2. Fiat Currency Disclaimer
Definition and Context
Fiat currencies are government-issued legal tenders, such as USD, EUR, or GBP, that derive their value from the issuing authority rather than tangible economic credit. Under the C2C Monetary System, fiat currencies are used as transitional instruments and are considered debt-based currencies.
Key Disclaimers
- Inflation Risk: Fiat currencies are subject to inflation, reducing their purchasing power over time. In contrast, Orbita Notes and Central Ura maintain value through their credit-backed nature, offering more stability.
- Conversion to Central Ura: Fiat currencies deposited into the platform are converted into Central Ura for trading purposes. Once converted, transactions operate entirely within the credit-backed ecosystem.
- Dependence on Debt: Fiat currencies rely on government-backed debt issuance, which contrasts sharply with the credit-backed foundation of the C2C Monetary System. Participants should understand this distinction when engaging with Orbita Notes, which represent a stable alternative to fiat currency volatility.
- Cross-Border Limitations: Deposits or withdrawals in fiat currencies may be subject to delays, fees, or restrictions due to banking policies or cross-border regulatory requirements.
3. Integration of Fiat and Cryptocurrency with the Platform
Cryptocurrency Payments
- The platform accepts select cryptocurrencies as a convenient payment mechanism for purchasing Central Ura. These payments are converted immediately to credit-backed money to align with the principles of the C2C Monetary System.
- Cryptocurrencies are not held or stored on the platform for speculative purposes.
Fiat Currency Deposits and Withdrawals
- Fiat currency deposits are converted to Central Ura upon receipt, allowing participants to engage in trading within the credit-backed ecosystem.
- Withdrawals may be processed in fiat currencies, subject to the platform’s operational and regulatory policies.
Compliance Requirements
- All transactions involving fiat or cryptocurrencies are subject to rigorous AML (Anti-Money Laundering) and KYC (Know Your Customer) procedures to ensure compliance with international financial regulations.
- Participants are responsible for understanding and adhering to the tax and regulatory implications of their cryptocurrency or fiat currency transactions.
4. Risk Management and Participant Responsibilities
Cryptocurrency Risks
- Volatility: The value of cryptocurrencies may fluctuate significantly, affecting the amount of Central Ura credited during conversion.
- Regulatory Uncertainty: Cryptocurrencies may face bans, restrictions, or heavy regulation in certain jurisdictions, impacting their usability for platform transactions.
Fiat Currency Risks
- Delays and Fees: Fiat currency transactions may encounter delays due to banking procedures, currency conversion, or cross-border requirements.
- Depreciation: Participants should consider the inflationary impact on fiat currency holdings when planning long-term financial strategies.
Informed Decision-Making
Participants must ensure they fully understand the risks and limitations of using cryptocurrencies or fiat currencies on the platform. The platform provides resources to help participants make informed decisions, but ultimate responsibility lies with the individual.
5. Legal and Regulatory Disclaimers
Compliance with Local Laws
Participants are responsible for ensuring that their use of cryptocurrencies or fiat currencies complies with the laws of their jurisdiction. The platform does not assume liability for non-compliance or legal consequences arising from participants’ actions.
Platform Non-Liability
- The platform is not liable for losses incurred due to cryptocurrency or fiat currency volatility, regulatory changes, or external market conditions.
- Participants accept full responsibility for the risks associated with their chosen payment method.
Transparency Commitment
The platform commits to full transparency regarding the role of cryptocurrencies and fiat currencies in transactions. Participants are encouraged to review the Terms and Conditions for more detailed information on their obligations and rights.
- Conclusion