Risk Disclosure
Important information about risks associated with RWA investments
Please read carefully before investing
Important Risk Warning
Investing in real-world assets (RWAs) through blockchain technology involves significant risks that could result in partial or total loss of your investment.
This document outlines key risks but is not exhaustive. You should carefully consider these risks and consult with qualified financial advisors before making any investment decisions.
Only invest amounts you can afford to lose entirely.
Key Risk Categories
Understanding the various types of risks involved
Investment Risks
Market Risk
The value of real-world assets may fluctuate due to market conditions, economic factors, and supply/demand dynamics.
Liquidity Risk
RWA investments may have limited liquidity, making it difficult to sell or exit positions quickly.
Credit Risk
Risk of loss due to counterparty default or failure to meet contractual obligations.
Interest Rate Risk
Changes in interest rates may affect the value of fixed-income RWA investments.
Technology Risks
Smart Contract Risk
Bugs, vulnerabilities, or exploits in smart contracts could result in loss of funds or functionality.
Blockchain Risk
Network congestion, forks, or technical issues with underlying blockchain infrastructure.
Wallet Security Risk
Loss of private keys, wallet compromise, or unauthorized access to your digital assets.
Oracle Risk
Reliance on external data feeds which may be inaccurate, manipulated, or unavailable.
Regulatory Risks
Regulatory Changes
Changes in laws or regulations may affect the legality, taxation, or operation of RWA investments.
Compliance Risk
Failure to comply with applicable laws or regulations may result in penalties or restrictions.
Jurisdictional Risk
Different jurisdictions may have varying legal frameworks affecting your investments.
Tax Risk
Tax treatment of digital assets and RWA investments may change or vary by jurisdiction.
Important Notices
Key considerations for all investors
No Guaranteed Returns: All investments carry risk of loss. Past performance does not guarantee future results.
Minimum Investment Requirements: Most opportunities require significant minimum investments ($10,000-$50,000+).
Accredited Investor Status: Many investments are limited to accredited investors as defined by applicable securities laws.
Geographic Restrictions: Service availability varies by jurisdiction due to regulatory requirements.
KYC/AML Compliance: All investors must complete identity verification and compliance screening.
Lock-up Periods: Many investments have minimum holding periods during which assets cannot be withdrawn.
Third-Party Dependencies: Investments rely on asset managers, custodians, and other third parties.
Currency Risk: Investments denominated in foreign currencies are subject to exchange rate fluctuations.
How We Mitigate Risks
Our approach to managing and reducing investment risks
Due Diligence
Comprehensive vetting of all investment opportunities and asset managers
Diversification
Multiple asset classes, regions, and investment strategies to spread risk
Transparency
Real-time reporting and blockchain-based proof of reserves
Circuit Breakers
Automated risk management systems to prevent excessive losses
Security Audits
Regular smart contract audits and continuous security monitoring
Compliance
Full regulatory compliance and investor protection measures
Legal Disclaimer
This risk disclosure is provided for informational purposes only and does not constitute investment advice, legal advice, or a recommendation to buy or sell any financial instrument.
Infinity Ventures and its affiliates make no representations or warranties regarding the accuracy, completeness, or timeliness of any information contained herein.
Investment in RWAs involves substantial risk and may not be suitable for all investors. You should carefully consider whether such investments are appropriate for you in light of your financial circumstances and risk tolerance.
By using our platform, you acknowledge that you have read, understood, and accepted all risks outlined in this disclosure and our Terms of Service.
This document was last updated: December 2024
Questions About Risks?
Consult with qualified financial advisors before making investment decisions