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Risk Disclaimer

BONDI TECHNOLOGY INC.
Effective Date: January 17, 2025

Table of Contents​

  1. Market Risk
  2. Credit Risk
  3. Operational Risk
  4. Economic & Political Risk
  5. Investment Risk
  6. General Acknowledgments

Bondi Technology Inc. ("Bondi," "we," "us," or "our") provides a platform for tokenizing existing, publicly traded bonds. All investments carry inherent uncertainties, and you should carefully review this Risk Disclaimer before using our services. By participating, you acknowledge and accept the following potential risks:

1. Market Risk​

Volatility​

The value of Bond Tokens may fluctuate due to changes in market sentiment, interest rates, inflation, or broad economic trends. Market conditions can shift rapidly, causing price swings that might affect trading or redemption values.

2. Credit Risk​

Issuer Default​

Bond Tokens represent fractional economic exposure to real-world bonds. If a bond issuer defaults or experiences credit downgrades, investors could lose principal and accrued interest. Bondi is not responsible for issuer solvency or performance.

3. Operational Risk​

Smart Contract Vulnerabilities​

While Bondi's smart contracts undergo thorough testing and audits, no codebase is entirely free of bugs or exploits. A security breach could disrupt Bond Token functionality or result in partial/total loss of assets.

Platform & Network Reliability​

Technical issues—whether on our platform or the underlying blockchain—may temporarily prevent you from minting, trading, or redeeming Bond Tokens. Network congestion, node failures, or other disruptions can impact transaction speed and availability.

Forced Transfers & Freezing​

In certain compliance or default scenarios, Bond Tokens may be frozen or forcibly transferred (for instance, if the tokens reside in a sanctioned wallet or if a lawful order requires removing them from a specific address). Users consent to these measures when engaging with Bond Tokens.

Bond Call Feature​

Some bonds have early call provisions. If the issuer "calls" (redeems) the bonds early, Bondi will mirror that action in the corresponding Bond Tokens by force-transferring and burning them. While token holders will receive the call proceeds, this process may differ from a typical open-market sale.

4. Economic & Political Risk​

Emerging Markets​

Bondi often focuses on emerging market bonds, which can experience higher price volatility and be subject to greater economic or political instability. These risks may include:

  • Currency fluctuations
  • Political upheaval
  • Changes in local regulations

5. Investment Risk​

No Guarantees​

Investing in Bond Tokens provides no assurance of capital preservation or returns. Principal can be lost in part or entirely. Investors should consider whether this product fits their risk tolerance and financial goals.

Diversification​

Concentrating a large proportion of one's portfolio in a single asset or market heightens risk. We strongly encourage users to diversify across multiple assets, issuers, and regions.

Due Diligence​

Users should conduct independent research and verify any information (including credit ratings or bond metrics). Evaluate carefully whether Bond Tokens align with your personal objectives and risk appetite.

Professional Advice​

Bondi does not offer financial advice. Consult qualified financial advisors, attorneys, or tax professionals to ensure you fully understand the risks and tax implications of purchasing, holding, or selling Bond Tokens.

6. General Acknowledgments​

Unregulated Environment​

In Panama, tokenization and crypto activities are currently not regulated by financial authorities, which may heighten certain risks (e.g., lack of government oversight or protection).

AML/CFT Policies​

Although Bondi follows voluntary KYC/AML best practices and can freeze or transfer tokens in compliance scenarios, it does not operate under a formal AML licensing regime.

Blockchain Irreversibility​

Blockchain transactions, once confirmed, are typically permanent. Mistaken transfers or lost private keys cannot be recovered by Bondi.

Final Note​

This Risk Disclaimer is intended to raise awareness of the complexities and uncertainties associated with Bond Tokens and bond investments in general. By using the Bondi platform, you accept full responsibility for your decisions and agree that Bondi shall not be liable for any losses stemming from:

  • Market volatility
  • Issuer defaults
  • Technology failures
  • Regulatory actions

Always perform due diligence and consult professionals to determine whether investing in Bond Tokens aligns with your financial strategy and risk tolerance.