Risk Disclosure Statement

Last Updated: March 6, 2025

1. Introduction

This Risk Disclosure Statement ("Statement") explains the potential risks of using DoronPay Inc.'s ("DoronPay," "we," "our," or "us") cryptocurrency payment services, including Bitcoin (BTC), USDT, and other digital assets supported on our platform.

Cryptocurrency transactions and holdings involve substantial risks that may not be suitable for all users. The value of cryptocurrencies can be extremely volatile, and you may lose some or all of your investment. Before using DoronPay's services, you should carefully consider whether cryptocurrency transactions are appropriate for you in light of your financial condition, investment objectives, and risk tolerance.

This Statement should be read in conjunction with our Terms and Conditions and Privacy Policy. If you do not understand or accept these risks, you should not use DoronPay's services.

2. Market Risk

Market risk refers to the risk that the value of your cryptocurrency holdings will decrease due to changes in market conditions. Cryptocurrency markets are known for extreme volatility and unpredictability.

Price Volatility

Cryptocurrency prices can be affected by numerous factors, including but not limited to:

• Market Sentiment: Public perception, media coverage, and social media trends can cause rapid price swings
• Supply and Demand: Changes in buying and selling pressure can create significant volatility
• Regulatory News: Announcements of new regulations or enforcement actions can impact prices
• Technological Developments: Network upgrades, security breaches, or technical issues can affect values
• Market Manipulation: Large holders ("whales") may influence prices through coordinated trading
• Economic Factors: Global economic conditions, inflation, and monetary policy can impact cryptocurrency values
• Competition: The emergence of new cryptocurrencies or technologies may affect existing assets

Stablecoin Risk

While stablecoins like USDT are designed to maintain a stable value relative to fiat currencies, they carry their own risks:

• Depeg Risk: Stablecoins may lose their peg to the underlying asset during market stress
• Reserve Risk: The adequacy and composition of reserves backing stablecoins may be uncertain
• Regulatory Risk: Stablecoins face increasing regulatory scrutiny that may affect their viability
• Counterparty Risk: You rely on the issuer to maintain reserves and honor redemptions

No Guarantee of Value

DoronPay does not guarantee the value of any cryptocurrency. Past performance is not indicative of future results. The value of your cryptocurrency holdings may decrease to zero, resulting in a total loss of your investment.

3. Transaction Risk

Cryptocurrency transactions carry unique risks that differ from traditional payment methods. Understanding these risks is critical to using DoronPay safely.

Irreversibility of Transactions

This means that:

• If you send cryptocurrency to the wrong address, the funds may be permanently lost
• If you enter an incorrect amount, you cannot reverse the transaction
• If you are the victim of fraud or a scam, you cannot force a refund
• If you regret a transaction, you cannot cancel it after confirmation

Address Accuracy

You are solely responsible for ensuring the accuracy of all transaction details before confirming any payment:

• Recipient Address: Verify that the destination wallet address is correct. A single character error can result in permanent loss of funds
• Blockchain Network: Ensure you are using the correct blockchain network (e.g., BEP20, ERC20, Solana). Sending to the wrong network may result in permanent loss
• Amount: Double-check the amount you are sending, including decimal places
• Transaction Fees: Understand the network fees that will be deducted from your transaction

Transaction Delays

Cryptocurrency transactions may experience delays due to:

• Network congestion requiring higher fees for priority processing
• Low transaction fees resulting in slower confirmation times
• Technical issues with blockchain networks
• Security holds or verification requirements imposed by DoronPay

Failed Transactions

Transactions may fail for various reasons, including:

• Insufficient balance to cover the transaction amount and fees
• Network errors or rejections
• Smart contract failures
• Compliance or security blocks

4. Regulatory Risk

The regulatory environment for cryptocurrencies is rapidly evolving and varies significantly by jurisdiction. Regulatory changes can have substantial impacts on your ability to use DoronPay's services.

Changing Legal Landscape

Laws and regulations for cryptocurrencies may change without notice. Such changes can affect DoronPay's services in several ways:

• Service Restrictions: New regulations may require us to limit or prohibit certain features or services
• Geographic Limitations: We may be required to restrict access to users in certain jurisdictions
• Transaction Limits: Regulatory requirements may impose caps on transaction amounts
• Enhanced Verification: Stricter Know Your Customer (KYC) and Anti-Money Laundering (AML) requirements may be imposed
• Service Suspension: Regulatory actions may force temporary or permanent suspension of services
• Operational Changes: We may need to modify how services operate to comply with new regulations

Compliance Requirements

You are responsible for understanding and complying with all applicable laws in your jurisdiction, including:

• Tax Obligations: Cryptocurrency transactions may have tax implications. You must report and pay taxes as required
• Reporting Requirements: You may be required to report cryptocurrency holdings or transactions to authorities
• Licensing: Certain business uses of cryptocurrency may require licenses or registrations
• Prohibited Uses: Some jurisdictions prohibit or restrict cryptocurrency transactions

Potential Regulatory Actions

Government agencies and regulatory bodies may take actions that affect cryptocurrencies or DoronPay, including:

• Banning or restricting cryptocurrency transactions
• Imposing significant taxes or fees
• Requiring additional licenses or permits
• Seizing or freezing cryptocurrency assets
• Prosecuting users for non-compliance

5. Security Risk

Cryptocurrency transactions and holdings face significant security risks. Loss of access to your wallet or compromise of your account can result in permanent loss of funds.

Loss of Access

You may lose access to your funds if:

• You forget your password or lose your private keys
• Your device is lost, stolen, damaged, or destroyed
• Your backup recovery phrase is lost or inaccessible
• You die without sharing access information with heirs
• Hardware wallets malfunction or are lost

Hacking and Cyberattacks

Your cryptocurrency assets may be vulnerable to various forms of cyberattacks:

• Account Takeover: Hackers may gain access to your DoronPay account through stolen credentials
• Phishing: Fraudulent websites or emails may trick you into revealing sensitive information
• Malware: Viruses, keyloggers, or other malicious software may compromise your devices
• SIM Swapping: Attackers may hijack your phone number to bypass two-factor authentication
• Social Engineering: Scammers may manipulate you into transferring funds or revealing information
• Man-in-the-Middle Attacks: Attackers may intercept your communications or transactions

Third-Party Security Breaches

Security breaches at exchanges, wallets, or other service providers may result in loss of funds. Even if DoronPay's systems remain secure, you may be affected by breaches at:

• Blockchain networks
• Other cryptocurrency platforms you use
• Email providers or communication services
• Mobile device operating systems

Protecting Yourself

To minimize security risks, you should:

• Use strong, unique passwords for your DoronPay account
• Enable two-factor authentication (2FA) on all accounts
• Securely store your private keys and recovery phrases offline
• Keep your devices and software updated with the latest security patches
• Be cautious of phishing attempts and verify website URLs
• Never share your passwords, private keys, or 2FA codes with anyone
• Use a hardware wallet for large amounts of cryptocurrency
• Regularly backup your wallet and recovery information

6. Third-Party Risk

DoronPay relies on various third-party services and infrastructure to provide our services. Failures, disruptions, or issues with these third parties may impact your ability to use DoronPay or complete transactions.

Blockchain Network Dependencies

DoronPay processes transactions on multiple blockchain networks, including Bitcoin, Ethereum (for USDT), Binance Smart Chain (BEP20), and Solana. We depend on these networks for:

• Transaction Processing: All cryptocurrency transactions must be confirmed on the respective blockchain
• Network Availability: Blockchain networks may experience downtime, congestion, or technical issues
• Smart Contract Execution: For token transactions, smart contracts must function properly
• Network Security: We rely on blockchain networks to maintain security and prevent attacks

Potential Third-Party Issues

Service disruptions, technical issues, or failures outside DoronPay's control may impact your transactions, including:

• Network Congestion: High transaction volumes may slow confirmations or increase fees
• Hard Forks: Blockchain splits may cause temporary service disruptions
• Node Failures: Problems with blockchain nodes may affect transaction processing
• Exchange Downtime: Partner exchanges may experience outages affecting conversions
• Banking Partner Issues: Fiat settlement may be delayed by banking system problems
• Cloud Provider Outages: Infrastructure failures may temporarily affect platform availability
• Payment Processor Problems: Third-party payment services may experience technical difficulties

No Control Over Third Parties

DoronPay has no control over:

• The operation, security, or availability of blockchain networks
• The actions or policies of external service providers
• Changes to blockchain protocols or consensus mechanisms
• The performance or reliability of internet service providers

Limited Liability

DoronPay is not responsible for losses or damages resulting from third-party failures, including but not limited to blockchain network issues, exchange problems, or infrastructure outages. You acknowledge and accept these third-party risks when using our services.

7. Technical Risk

Cryptocurrency transactions and blockchain technology are complex and may be subject to various technical risks and limitations.

Software Bugs and Errors

Software used in cryptocurrency transactions may contain bugs or errors that could result in:

• Transaction failures or incorrect processing
• Loss of funds due to smart contract vulnerabilities
• Unexpected behavior in wallet software or applications
• Data corruption or loss

Blockchain Protocol Risks

• Protocol Changes: Blockchain networks may undergo upgrades or changes that affect functionality
• Consensus Failures: Issues with blockchain consensus mechanisms may delay or prevent transactions
• 51% Attacks: If a single entity gains majority control of a network, they may manipulate transactions
• Double Spending: Though rare, technical vulnerabilities may allow double-spending of cryptocurrency

Compatibility Issues

Incompatibility between different systems may cause problems:

• Wallet software may not support all blockchain networks or tokens
• Different versions of protocols may not be compatible
• Cross-chain bridges may have technical limitations or vulnerabilities

Internet and Technology Infrastructure

Cryptocurrency transactions depend on functioning internet and technology infrastructure:

• Internet outages may prevent access to your account or wallet
• Device failures may result in loss of access
• Power outages may disrupt services
• Telecommunications failures may affect transaction processing

8. Liquidity Risk

Liquidity risk refers to the potential difficulty in buying, selling, or converting cryptocurrencies at desired prices.

Market Liquidity

Cryptocurrency markets may lack sufficient liquidity, resulting in:

• Wide Bid-Ask Spreads: Large differences between buying and selling prices
• Slippage: Inability to execute transactions at expected prices
• Price Impact: Large transactions may significantly move market prices
• Delayed Execution: Difficulty finding counterparties for transactions

Platform Limitations

DoronPay may implement limitations that affect liquidity:

• Transaction limits based on verification level
• Daily or monthly withdrawal caps
• Temporary holds on accounts or transactions
• Restricted access during high-volume periods

Conversion Challenges

Converting between cryptocurrencies or to fiat currency may be challenging:

• Limited availability of conversion pairs
• High fees during periods of low liquidity
• Delays in settlement to fiat currency
• Banking restrictions on cryptocurrency-related transactions

9. Operational Risk

Operational risks arise from the day-to-day operation of DoronPay's platform and services.

Service Interruptions

DoronPay's services may be temporarily unavailable due to:

• Scheduled Maintenance: Planned downtime for system upgrades or maintenance
• Technical Issues: Unexpected system failures or bugs
• High Traffic: Platform slowdowns during periods of extreme usage
• Security Incidents: Temporary shutdowns to address security concerns

Human Error

Mistakes by users or DoronPay personnel may result in:

• Incorrect transaction processing
• Accidental fund transfers
• Data entry errors
• Miscommunication or misunderstanding of instructions

Business Continuity

DoronPay's ability to continue operations may be affected by:

• Financial Difficulties: If DoronPay experiences financial problems, services may be disrupted
• Regulatory Actions: Government actions may force service changes or shutdowns
• Natural Disasters: Events like earthquakes, fires, or floods may disrupt operations
• Pandemic or Health Emergencies: Public health crises may impact service delivery

10. Limitations and Disclaimers

No Investment Advice

DoronPay does not provide investment, financial, tax, or legal advice. Nothing in our services, communications, or materials should be construed as:

• A recommendation to buy, sell, or hold any cryptocurrency
• Investment advice tailored to your situation
• Tax guidance or planning
• Legal counsel or opinion

You should consult with qualified professionals before making any financial decisions.

No Warranties

DoronPay provides services "as is" without warranties of any kind, including but not limited to:

• Warranties of merchantability or fitness for a particular purpose
• Warranties that services will be uninterrupted, timely, or error-free
• Warranties regarding the accuracy or reliability of information
• Warranties that defects will be corrected

Limited Liability

As detailed in our Terms and Conditions, DoronPay's liability is limited. We are not responsible for losses resulting from:

• Market volatility or price fluctuations
• Your own errors or mistakes
• Third-party failures or issues
• Regulatory changes or actions
• Security breaches beyond our control
• Technical problems with blockchain networks
• Any risks described in this Statement

Speculative Nature

Cryptocurrency transactions are highly speculative. You should:

• Only invest what you can afford to lose: Never invest money you need for living expenses or cannot afford to lose
• Understand the technology: Educate yourself about how cryptocurrencies and blockchain work
• Diversify: Do not put all your assets into cryptocurrency
• Do your research: Thoroughly research before making any transaction

11. Your Acknowledgment

Specifically, you acknowledge and agree that:

• You have read and understood this entire Risk Disclosure Statement
• You understand the risks associated with cryptocurrency transactions
• You accept that cryptocurrency values can be highly volatile
• You understand that cryptocurrency transactions are irreversible
• You accept full responsibility for the accuracy of all transaction details
• You understand that you may lose some or all of your investment
• You acknowledge that DoronPay provides no guarantees regarding profits or asset values
• You understand that DoronPay has limited liability for losses
• You accept the risks related to security, regulation, technology, and third parties
• You are solely responsible for your own due diligence and decision-making
• You will not hold DoronPay liable for any losses resulting from the risks described in this Statement
• You have consulted with appropriate professionals as needed before using DoronPay

Informed Decision

You represent that:

• You have sufficient knowledge and experience to understand cryptocurrency risks
• You have conducted your own research and due diligence
• Your use of DoronPay is based on your own independent judgment
• You have the financial capacity to bear the risks involved
• You are using DoronPay voluntarily and of your own free will

Continuing Obligation

Your acknowledgment of these risks is ongoing. As you continue to use DoronPay's services, you continue to acknowledge and accept the risks described in this Statement and any updates we make to it.

12. Contact Information

If you have questions or concerns about the risks associated with using DoronPay's services, we encourage you to contact us before proceeding with any transactions.

Risk-Related Inquiries

For questions specifically about risks:

Email: support@doronpay.com
Subject: Please include "Risk Inquiry" in your email subject line

General Support

Email: support@doronpay.com
Phone: +233 55 058 1851
Hours: Monday - Friday, 9:00 AM - 5:00 PM PST

Mailing Address

DoronPay Inc.
Tetteh Quarshie Ave Adabraka, Accra, GA-074-3179
Accra
Ghana

Educational Resources

To learn more about cryptocurrency risks and best practices:

• Help Center: help.doronpay.com
• Blog: blog.doronpay.com for educational articles and updates
• Documentation: docs.doronpay.com for technical information