Risk Disclaimer
PLEASE READ CAREFULLY BEFORE PARTICIPATING
Important Notice
8-Bit Arcade involves cryptocurrency, which carries significant risks. This disclaimer outlines those risks. By using the Platform, you acknowledge and accept these risks.
General Disclaimer
8-Bit Arcade:
Is NOT an investment
Does NOT guarantee profits
Provides NO financial advice
Makes NO promises about token value
You participate entirely at your own risk.
Cryptocurrency Risks
1. Extreme Volatility
Token price can:
Fluctuate wildly (50%+ in a day)
Drop to zero
Never recover from losses
Historical Example:
Many tokens lose 90%+ of value
"Bull markets" can quickly reverse
Past performance ≠ future results
What this means:
12,500 8BIT earned today ≠ fixed USD value
Could be worth $400 or $4 or $0 tomorrow
No price floor or stability
2. Total Loss Risk
You could lose:
All tournament entry fees
All time invested
Value of earned tokens
Everything
Scenarios:
Token price drops to $0
Smart contract exploit
Regulatory shutdown
Platform discontinuation
Market collapse
Never invest more than you can afford to lose entirely.
3. No Guaranteed Returns
Unlike traditional investments:
No interest rate
No dividend
No guaranteed ROI
No capital protection
Earning depends on:
Your gaming skill
Competition level
Token price
Platform success
Market conditions
Even top players may earn very little if token becomes worthless.
4. Regulatory Uncertainty
Cryptocurrency regulations:
Vary by jurisdiction
Change frequently
May ban or restrict platforms
Could affect 8-Bit Arcade
Potential impacts:
Platform forced to shut down
Tokens become untradeable
Users in certain countries blocked
Tax implications change
We cannot predict regulatory future.
5. Smart Contract Risk
Despite audits:
Bugs may exist
Exploits may be discovered
Funds could be at risk
No insurance exists
Smart contracts are:
Immutable (can't fix bugs easily)
Complex (hard to audit 100%)
Experimental technology
Unregulated
Audit does NOT guarantee safety.
Platform-Specific Risks
6. Platform Sustainability
8-Bit Arcade may fail if:
Insufficient user adoption
Unsustainable tokenomics (despite planning)
Team discontinues project
Technical failures
Competitor emerges
Result:
Rewards stop
Token value crashes
Platform shuts down
Funds may be irrecoverable
7. Competition & Skill
Earning depends on skill:
Top 10 requirement
Competition increases over time
Better players may dominate
You may rarely/never rank
Not guaranteed income:
Unlike a job
No minimum wage
No guaranteed hours
Pure meritocracy
8. Technical Risks
Possible technical issues:
Website downtime
Blockchain congestion
Smart contract failures
Wallet compatibility issues
Data loss
We strive for reliability but cannot guarantee 100% uptime.
9. Third-Party Risks
We depend on:
Arbitrum network
Uniswap protocol
Wallet providers
Hosting services
If they fail:
Platform may be inaccessible
Tokens may be untradeable
Rewards may be delayed
Not our responsibility
10. Market Manipulation
Crypto markets can be:
Manipulated by whales
Subject to pump-and-dump schemes
Affected by coordinated attacks
Illiquid and vulnerable
8BIT token may be:
Vulnerable to manipulation (especially early)
Affected by large holders
Subject to artificial price movements
Financial Disclaimers
Not Financial Advice
We are NOT:
Financial advisors
Investment advisors
Brokers
Tax advisors
Legal advisors
We provide:
Entertainment platform
Technical infrastructure
Information only
Do your own research (DYOR):
Consult professionals
Understand risks
Make informed decisions
Don't rely solely on our materials
Not Securities
8BIT tokens are:
Utility tokens (for platform use)
Not securities (in our opinion)
Not investment contracts
However:
Regulations vary by jurisdiction
Your local laws may differ
We make no guarantees
Consult local legal advisor
Tax Obligations
You are responsible for:
Calculating taxes owed
Reporting crypto income
Paying taxes on time
Complying with local laws
Tax treatment varies:
Income tax on rewards
Capital gains on sales
Different rules per country
Rules may change
We do NOT:
Provide tax advice
Withhold taxes
File tax forms (unless legally required)
Consult tax professional.
Liquidity Risk
8BIT tokens may:
Have low trading volume
Be hard to sell quickly
Experience high slippage
Not find buyers
Especially:
In early days
During bear markets
For large amounts
You may not be able to cash out when you want.
Operational Risks
11. Team Risk
The team:
Is pseudonymous/semi-anonymous
Could discontinue project
Could make mistakes
Has limited resources
Unlike corporations:
No insurance
Limited liability protection
Small team
Decentralized but not fully
Platform depends on team commitment.
12. Cheating & Fraud
Despite anti-cheat:
Cheaters may slip through
Rewards may go to illegitimate players
You may be disadvantaged
Perfect enforcement impossible
We do our best but cannot guarantee 100% fair play.
13. Cybersecurity
Risks to you:
Phishing attacks
Wallet hacks
Scam tokens
Fake support
Protect yourself:
Guard seed phrase
Verify websites
Use hardware wallet
Stay vigilant
We cannot protect you from your own mistakes.
Legal Disclaimers
No Warranties
Platform provided "AS IS":
No warranty of any kind
No guarantee it will work
No guarantee it's error-free
No guarantee of profitability
Expressed or implied warranties disclaimed:
Merchantability
Fitness for purpose
Non-infringement
Accuracy
Reliability
Limitation of Liability
To maximum extent permitted by law:
We are NOT liable for:
Lost profits
Lost tokens
Lost data
Opportunity costs
Indirect damages
Consequential damages
Punitive damages
Even if:
We were advised of possibility
We were negligent
Damages were foreseeable
Maximum liability:
Amount you paid to Platform (often $0)
Tournament entry fees at most
Indemnification
You agree to indemnify us against:
Your violation of terms
Your violation of laws
Your negligence
Your use of Platform
Including legal fees and costs.
Specific Scenarios
Worst Case Scenarios
Be prepared for:
Scenario 1: Token Goes to $0
All earnings worthless
Time wasted
Entry fees lost
Possibility: Moderate to High
Scenario 2: Smart Contract Exploited
Funds stolen
Platform shuts down
Tokens frozen
Possibility: Low (but non-zero)
Scenario 3: Regulatory Ban
Platform becomes illegal in your country
Can't access
Tokens stuck
Possibility: Varies by country
Scenario 4: Platform Shuts Down
Team quits
No more updates
Tokens still exist but no utility
Possibility: Moderate (many projects fail)
Before You Participate
Ask Yourself:
Can I afford to lose this money?
If no → don't participate
Do I understand cryptocurrency?
If no → learn first
Do I understand the risks?
If no → re-read this disclaimer
Am I comfortable with volatility?
If no → this isn't for you
Do I have time to play games?
If no → unlikely to earn much
Is this legal in my jurisdiction?
If unsure → consult lawyer
Recommended Actions:
✅ Read all documentation ✅ Understand tokenomics ✅ Start small (test with minimum) ✅ Only use disposable income ✅ Diversify (don't put everything here) ✅ Consult professionals (financial, legal, tax) ✅ Monitor investments ✅ Stay informed ✅ Have exit strategy
Final Warning
CRYPTOCURRENCY IS HIGHLY SPECULATIVE AND RISKY
Possible outcomes:
🎯 Best case: Earn significant money
😐 Middle case: Small earnings, break even
💥 Worst case: Lose everything
The worst case is always possible.
By using 8-Bit Arcade, you acknowledge:
You understand these risks
You accept these risks voluntarily
You will not hold Platform liable
You are solely responsible for your decisions
You have sought professional advice (if needed)
You are participating at your own risk
Seeking Help
If you're unsure:
Consult financial advisor
Consult legal advisor
Consult tax advisor
Do more research
Start very small
Or don't participate
Gambling addiction:
If you can't stop playing despite losses
If it's affecting your life
Seek help: gamblingtherapy.org
Updates to Disclaimer
This disclaimer may be updated:
For legal compliance
To add new risks
To improve clarity
Check regularly for updates.
Agreement
By using 8-Bit Arcade, you confirm:
✅ I have read this entire disclaimer
✅ I understand the risks
✅ I accept the risks
✅ I will not hold Platform liable for losses
✅ I am participating voluntarily
✅ I have sought professional advice if needed
✅ I am using only money I can afford to lose
If you cannot confirm all the above, do not use the Platform.
This disclaimer is for informational purposes only and does not constitute legal, financial, or tax advice. Consult professionals for personalized guidance.
PARTICIPATE AT YOUR OWN RISK. YOU HAVE BEEN WARNED.
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