# Term of Use

Last Updated: 22/10/2025\
Effective for: Mooncake(a market for tokenized leverage)

1\. Acceptance & Modifications

1.1 By accessing or using Mooncake Protocol ("Protocol"), you acknowledge that:

* You have read, understood, and agreed to these Terms;
* Token trading involves high price risk and potential total loss of funds;
* You are solely responsible for complying with local laws (including crypto/financial regulations).

1.2 We may amend these Terms at any time. Your continued use constitutes acceptance.

2\. Eligibility & Access

2.1 You must:

* Be at least 18 years old;
* Not be a resident of *the United States, China, Canada, North Korea, Iran, Cuba, Syria, and any other region where our services are restricted by local laws.*;
* Not be on any sanctions list (OFAC, UN, etc.).

2.2 Prohibited Access:

* Use VPNs to circumvent geo-blocks;
* Share API keys or account credentials.

3\. Trading Risks

3.1 You expressly acknowledge:

* Leverage magnifies both gains and losses;
* Automated liquidations may occur without prior notice;
* Oracle price feeds and market volatility may trigger unintended liquidations;
* You are solely responsible for monitoring positions and collateral ratios.

3.2 No Risk Mitigation Claims:

* We do not guarantee stop-loss orders or liquidation protection;
* Historical performance is not indicative of future results.

3.3 Leveraged Token Trading & FT/LP Risks

You acknowledge and understand that this includes, but is not limited to

* *LT Holders are exposed to:*
  * *Price Risk*
  * *Volatility Drag Risk*
  * *Insufficient leveraged position in Leveragd Token Vault*
  * *Liquidity Risk*
  * *Oracle Risk*
  * *Smart Contract Risk*
* *PT holders* are exposed to:
  * Yield Risk
  * Principal Loss Risk
  * Liquidity Risk
  * Oracle Risk
  * Smart Contract Risk
* *LP positions* may suffer:
  * Impermanent loss
  * Oracle Risk
  * Smart Contract Risk

3.4 Underlying Token Disclaimer

* *Underlying Tokens are sourced from external protocols* (e.g., \[List Solana, Pump.fun, Bonk.fun, Meteora, etc]). Mooncake does not:
  * Audit or guarantee the solvency of these providers;
  * Insure against losses caused by their smart contract failures, governance attacks, or bankruptcy.
  * *You bear all risks* of Marker Manipulation of the underlying tokens.

3.5 SMART CONTRACT RISKS

3.5.1 Inherent Protocol Risks

You expressly acknowledge that Mooncake’s smart contracts:

* Are experimental and may contain undiscovered bugs or vulnerabilities;
* Could be exploited by malicious actors, resulting in loss of funds;
* May require emergency pauses or upgrades due to critical risks, potentially freezing withdrawals or trading.

3.5.2 No Code Guarantees

* Audits do not eliminate risk: Even if Mooncake's contracts are audited by third parties, audits cannot guarantee absolute security.
* Open-source liability waiver: While Mooncake's code may be open-source, you assume all risks of using it (including forked or modified versions).

3.5.3 User Responsibility

* You must:
  * Verify all transaction details (e.g., token addresses, slippage tolerance) before signing;
  * Monitor for protocol announcements regarding security incidents;
  *  deposit funds you cannot afford to lose.

4\. Intellectual Property

4.1 All trademarks and logos remain our exclusive property.

4.2 User-Generated Content:

* You grant us a royalty-free license to use your public contributions (e.g., forum posts);
* Do not submit sensitive data (private keys, personal info).

5\. Liability & Indemnification

5.1 No Warranty:

* The Protocol is provided "AS IS" with no warranties of merchantability, fitness for purpose, or security.
* The Protocol provides *no warranties* regarding:
  * Accuracy of projected APYs;
  * Accuracy of projected Prices;
  * Tax treatment of yield earnings.

5.2 Limitation of Liability:

* We are not liable for:
  * Losses due to smart contract bugs, hacks, exploits, or design flaws;
  * Oracle failures or price manipulation;
  * Losses due to margin trading or liquidation.
  * *Losses due to third-party yield provider insolvency*;
  * *LT/FT/LP token devaluation caused by external market conditions*;
  * *Regulatory actions against yield sources* (e.g., bans on staking derivatives).
  * User funds trapped in contracts due to technical failures (e.g., blockchain reorgs, gas wars).

5.3 Indemnification:\
You agree to indemnify us against any claims arising from:

* Your use of trading features;
* Your violation of laws (e.g., unlicensed trading);
* Your misuse of the Protocol.

6\. Governing Law & Dispute Resolution

6.1 These Terms shall be governed by Singapore.

6.2 Arbitration:

* Disputes shall be resolved via binding arbitration in Singapore under the Arbitration Rules of the Singapore International Arbitration Centre (SIAC);
* Class action waiver applies.

7\. Additional Risk Disclosures

7.1 Key Risks:

* *Smart Contract Reliance*: Yields depend on external protocols’ uninterrupted operation.
* *Governance Risks*: Third-party providers may change yield terms via governance votes.
* *Tax Implications*: Yield earnings may be taxable as income (consult a professional).
* Impermanent loss in LP positions;
* Protocol insolvency risk due to extreme market conditions;
* Manipulating the spot market price to profit from changes in the leveraged position’s price.

7.2 No Tax Advice:

* You are responsible for reporting margin trading gains/losses to tax authorities.

8\. Contact

For legal notices: <legal@rate-x.io>