Risk Disclosure
Buying, selling, holding, or transferring crypto-assets involves significant risk. The value of crypto-assets may fluctuate substantially and unpredictably. You may lose part or all of the funds you use to acquire crypto-assets.
This Risk Disclosure should not be regarded as an exhaustive disclosure of all risks associated with buying, selling, holding, or transferring crypto-assets.
Users should carefully assess whether investing in crypto-assets and using the services is appropriate in light of their individual risk tolerance, investment objectives, financial and tax circumstances, as well as their personal, legal, and other relevant conditions.
This Risk Disclosure outlines some of the principal risks associated with crypto-assets and is intended to assist users in making an informed assessment. However, it does not cover every possible risk.
This Risk Disclosure is made available in English and may also be provided in other language versions. In the event of any inconsistency or discrepancy, the English version shall prevail.
Market Risk
Every investment involves opportunities and risks. The value of crypto-assets may fluctuate significantly. Past performance of certain crypto-assets does not indicate future results.
Such investment is only suitable for users who can bear a loss of the entire invested capital and should not be considered as or entered into with the expectation of a stable source of income.
Users should assess, for each service they consider, whether the related risk is appropriate for their financial situation, risk appetite, and other personal circumstances.
Price Volatility
Crypto-assets are not legal tender and are not backed by any central bank or government authority.
Trading or holding crypto-assets such as Bitcoin or Ether carries a substantial possibility of financial loss. You should determine whether this activity aligns with your financial standing.
Stablecoins Considerations and MiCA Compliance
While stablecoins are designed to maintain a stable value, issuers offering them publicly or seeking their trading admission in Europe must obtain authorization under the Markets in Crypto-Assets (MiCA) regulation.
Not all stablecoins available via the IN1 platform have authorized issuers. IN1 encourages customers to use crypto-assets that are compliant with MiCA.
IN1 considers that the warnings issued by the European Securities and Markets Authority (ESMA) regarding risks associated with non-EU firms are equally relevant to:
- non-compliant electronic money tokens (EMTs);
- other non-MiCA crypto-assets.
Non-MiCA-Compliant Crypto-Assets
When purchasing crypto-assets, users should consider whether the asset is MiCA-compliant.
When purchasing non-compliant crypto-assets via IN1, users will be warned during the checkout process.
Crypto-assets that are not MiCA-compliant may present higher risks related to:
- redemption,
- transparency,
- disclosures.
Additionally, there may be limited options to sell non-compliant stablecoins.
IN1 therefore encourages customers to engage only with crypto-assets that meet applicable MiCA requirements.
To verify whether an issuer is authorised, users may consult the regularly updated ESMA registers, which are available here.
Asset Liquidity
The ease with which you can buy, sell, or exchange a crypto-asset depends on its market liquidity.
If a crypto-asset lacks sufficient liquidity, you may encounter difficulties in selling your holdings or obtaining a fair market price.
Network Congestion and Transaction Delays
Crypto-asset transactions are processed on blockchain networks that are not controlled by IN1.
Network congestion, technical limitations, or validator behaviour may result in:
- delayed transaction confirmations;
- increased transaction costs.
IN1 cannot guarantee transaction processing times.
Exposure to Fraud and Theft
Crypto-assets may be lost due to fraudulent activities or theft, including:
- phishing schemes;
- scams;
- attacks targeting underlying technologies.
Sending crypto-assets to an unfamiliar or incorrect digital wallet may result in irreversible loss.
Security Risk
When buying, selling, or transferring crypto-assets, users interact with digital systems that may be exposed to:
- security incidents;
- technical failures;
- system vulnerabilities;
- operational disruptions.
Such events may result in:
- loss of crypto-assets;
- delays in selling, transferring, or otherwise using crypto-assets.
Risk of Phishing and Social Engineering
SMS and email communication channels are vulnerable to spoofing, phishing, and other social engineering attacks.
Users should always log in directly to their IN1 account to verify any transactions or requested actions if there is doubt about the authenticity of a communication.
Phishing attempts may also occur via:
- search engines;
- online advertisements;
- fraudulent links.
While IN1 strongly encourages the use of two-factor authentication (2FA), 2FA cannot prevent losses if credentials — including 2FA details — are compromised.
Successful phishing or social engineering attacks may result in the theft or loss of crypto-assets.
No Advice
The availability of crypto-assets on the IN1 platform does not constitute:
- a recommendation to enter into any transaction;
- an assessment that a crypto-asset is suitable or appropriate for you.
All information provided by IN1 is for general informational purposes only and does not constitute:
- investment advice;
- financial advice;
- trading advice;
- legal, regulatory, tax, or accounting advice.
Information may include third-party content, is indicative in nature, and may be updated without notice.
While IN1 endeavours to keep information accurate and up to date, it may be incomplete, outdated, or inaccurate.
You remain solely responsible for your investment decisions and for assessing the relevance, accuracy, and reliability of any information provided.
Regulatory and Jurisdictional Risk
Statutory or regulatory developments may materially affect:
- the structure;
- the operation;
- the availability of the IN1 platform and its services.
Changes in laws, regulations, or supervisory expectations may significantly impact certain crypto-assets, including their:
- availability;
- regulatory treatment;
- functionality.
IN1 cannot guarantee that future regulatory or legal changes will not result in the modification, restriction, or termination of services or crypto-asset availability.
