The following list of risks associated with FDD and the FDD Services are not exhaustive.
FD121 does not guarantee that the value of one will always equal one dollar (or its equivalent) of the fiat currency which the FDD is denominated in (Dollar) across all platforms. Due to a variety of factors outside of FD121’s control, the value of FDD can fluctuate above or below one Dollar.
FD121 cannot control how third parties value FDD, and FD121 is not responsible for any losses or other issues that may result from fluctuations in the value of FDD. The risk of loss in holding or trading FDD may be substantial and losses may occur over a short period of time.
The value of FDD may be derived from or influenced by the continued willingness of market participants to subscribe for FDD in exchange of fiat currencies, which may result in the potential for permanent and total loss of value of FDD should the market for FDD disappear.
You should also take into account the potential risk of loss in respect of buying and selling FDD for the fiat currency which the FDD is denominated in, arising from fluctuations in currency exchange rates. Currency exchange rates can be very volatile and can change quickly and unpredictably.
FDD is based on open source software and blockchain. This means that third parties can elect to support FDD on their platforms without any authorization or approval by FD121 or anyone else. As a result, FDD support on any third-party platform (including digital assets exchange platforms) does not imply any endorsement by FD121 that such third-party services are valid, legal, stable, or otherwise appropriate. We do not own or control the blockchain that FDD runs on and are not responsible for the operation of the blockchain network and make no guarantees regarding the network’s security, functionality, or availability. FD121 is not responsible for any losses or other issues you might encounter using FDD on non-FD121 platforms. Users accept all consequences from the holding and transfer of FDD. FDD transactions are not reversible. Once you send FDD to an address, you accept the risk that you may lose access to, and any claim on, that FDD indefinitely or permanently. For example, (i) an address may have been entered incorrectly and the true owner of the address may never be discovered, (ii) you may not have (or subsequently lose) the private key associated with such address, (iii) an address may belong to an entity that will not return the FDD, (iv) an address belongs to an entity that may return the FDD but first requires action on your part, such as verification of your identity.
You are aware of and accept the risk of operational challenges. FD121 may experience sophisticated cyber-attacks, unexpected surges in activity, or other operational or technical difficulties that may cause interruptions to the FDD Services. You understand that the FDD Services may experience operational issues that lead to delays, including delays in redeeming FDD. You agree to accept the risk of transaction failure resulting from unanticipated or heightened technical difficulties, including those resulting from sophisticated attacks. You agree not to hold FD121 accountable for any related losses.
You are responsible for complying with applicable law. You agree that FD121 is not responsible for determining whether or which laws may apply to your transactions, including tax laws. You are solely responsible for reporting and paying any taxes arising from your use of the FDD Services, including any accurate reporting of the tax or legal status of FDD in your jurisdiction.
Legislative and regulatory changes or actions in the jurisdictions where we conduct business may adversely affect the tokenization of fiat currency into FDD, and the use, transfer, redemption, and/or value of FDD.
The regulatory status of FDD and blockchain technology is unclear or unsettled in many jurisdictions. It is difficult to predict how or whether regulatory agencies may apply existing regulation with respect to FDD, blockchain technology, and its applications. Accordingly, it is not possible to determine whether an FDD transfer would be recognized under applicable law by a court or regulator.
When FDD is sent out of your FDD Account to a third-party FDD address, such transaction is completed on the blockchain. This means that such transaction is irreversible and FD121 does not have the ability to reverse or recall any transaction once initiated. You bear all responsibility for any losses that might be incurred as a result of sending FDD to an incorrect or unintended FDD address.