Risk Disclosure

Last Updated: 2025-10-29

⚠️ Important Notice

TRADING CRYPTOCURRENCIES AND PERPETUAL FUTURES INVOLVES SUBSTANTIAL RISK OF LOSS. YOU COULD LOSE ALL INVESTED CAPITAL.

General Risks

Market Risk

  • Crypto markets are extremely volatile (20%+ moves common)

  • Market crashes occur without warning

  • Past performance does not predict future results

Leverage Risk

  • Perpetual futures allow leverage up to 50x

  • Magnifies both gains and losses

  • Small price moves = large PnL swings

  • Liquidation can occur rapidly

Example: With 10x leverage, a 10% adverse move = 100% loss (plus liquidation fee)

Liquidation Risk

  • Positions liquidated if margin insufficient

  • Automatic and cannot be appealed

  • Liquidation fee charged (~0.5%)

  • May lose entire position value

Platform-Specific Risks

Smart Contract Risk

  • Bugs may exist despite audits

  • Exploits could drain funds

  • Code is open-source but use at your own risk

Oracle Risk

  • Oracle updates vault balances every 60s

  • If oracle fails, trading blocked

  • Auto-pause may not trigger immediately

Hyperliquid Risk

  • Exchange could experience outages

  • Funds at risk if exchange fails

  • Regulatory risk

  • Smart contract vulnerabilities

Note: Hyperliquid is independent. Atract not responsible for Hyperliquid risks.

Trading Risks

For Investors

Traders may make poor decisions, take excessive risk, or abandon vaults.

Mitigation: Review history, set tight limits (15-20% drawdown), diversify, start small.

For Traders

Investors may set unrealistic limits or dispute profit share.

Mitigation: Negotiate fair terms, communicate regularly, document performance.

Execution Risk

Orders may not fill at desired price, experience slippage, or fail during volatility.

Funding Rate Risk

Perpetual positions pay/receive funding rates that accumulate over time.

Technology Risks

Wallet Risk

If you lose wallet access, funds remain but are inaccessible.

Mitigation: Backup seed phrase securely, use hardware wallet, never share private keys.

Agent Key Risk

If agent key compromised, unauthorized trades possible (but cannot withdraw).

Mitigation: Monitor activity, revoke if suspicious.

Network Risk

Blockchains can experience congestion, bugs, forks, or governance issues.

Regulatory Risk

Crypto regulations are evolving. Platform could be restricted, assets reclassified, or face enforcement actions.

Your responsibility: Understand local laws, consult professionals, comply with regulations.

Financial Advice Disclaimer

ATRACT DOES NOT PROVIDE FINANCIAL ADVICE.

We do not recommend specific trades, endorse traders, or guarantee returns.

You should: Consult financial advisor, understand products, only invest what you can afford to lose.

No Guarantees

Atract does not guarantee profitability, security, uptime, data accuracy, or any specific outcome.

Tax Obligations

You are responsible for reporting income, paying taxes, keeping records, and understanding tax implications.

Acknowledgment

By using Atract, you acknowledge you have read this disclosure, understand the risks, accept full responsibility, and will not hold Atract liable for losses.

Contact

[email protected] | https://docs.atract.app

Effective Date: 2025-10-29

Last updated