LEGAL & DISCLOSURE

Last Updated: January 31, 2026

Contact: [email protected]

1. Regulatory Status & Legal Characterization

  • Not a Bank: PalmFi (Palm Finance) is not a bank, depository institution, trust company, or insured financial institution. Digital assets and staking positions are not subject to deposit insurance (e.g., FDIC, SIPC) and may lose value.
  • Not an Exchange: PalmFi is not a broker, dealer, securities exchange, or trade execution venue. We do not execute trades on your behalf.
  • No Fiduciary Duty: PalmFi does not act as an advisor, trustee, or fiduciary for any user. You acknowledge that no fiduciary relationship exists and that you are solely responsible for conducting your own due diligence regarding risks and suitability.
  • No Securities Offering: Nothing contained in the PalmFi interface constitutes an offer to sell or a solicitation of an offer to buy securities, derivatives, or regulated financial instruments in any jurisdiction where such activity is prohibited.

2. Platform Model & Reinvestment Strategy

PalmFi provides access to staking and yield products whereby users deposit USDT into smart-contract-based vaults.

Reinvestment Disclosure:

Assets deposited by users may be:

  1. Pooled at the protocol or vault level; and
  2. Reinvested, allocated, or deployed into various strategies, which may include but are not limited to:
    • Traditional financial instruments (e.g., equities, funds, fixed-income products).
    • Real-World Assets (RWAs).
    • On-chain yield farming or lending strategies.

The composition, allocation, and risk profile of these underlying assets may vary over time without prior notice.

3. Management Discretion & Risk

Where applicable, reinvestment strategies may involve:

  • Discretionary Management: Decisions made by PalmFi, its affiliates, or appointed third-party managers.
  • Algorithmic Execution: Rules-based allocation mechanisms.
  • Counterparty Reliance: Dependence on external issuers, custodians, or service providers.

There is no guarantee that any specific strategy will achieve its intended financial objective.

4. Principal & Yield Risk

  • Variable Returns: All Annual Percentage Yields (APY) or returns displayed are indicative, historical, or projected. They are variable and subject to change based on market conditions.
  • Risk of Loss: Users acknowledge the risk of partial or total loss of deposited principal. Losses may arise from market volatility, asset devaluation, counterparty default, insolvency, or technical failures.
  • Stablecoin De-Peg: USDT is subject to the risk of losing its peg to the US Dollar, regulatory freezing, or issuer insolvency. PalmFi cannot control these external risks.

5. Asset-Specific Risks

Underlying reinvestment strategies may be subject to specific risks, including:

  • Equity/Fund Exposure: Market volatility, trading halts, and valuation uncertainty.
  • RWA Risks: Counterparty default, custodial failure, settlement delays, and legal enforcement challenges regarding off-chain assets.
  • Liquidity Constraints: Lock-up periods, withdrawal queues, delayed redemptions, or lack of secondary market liquidity.

6. Interface vs. Underlying Protocol

The PalmFi interface serves strictly as a technical access point.

  • POV does not guarantee liquidity at all times.
  • Frontend access may be restricted for maintenance, legal compliance, or security reasons.
  • Underlying assets and smart contracts may be subject to rules or enforcement actions outside of POV's control.

7. Restricted Jurisdictions

Access to the PalmFi interface is strictly prohibited for any person or entity located in, resident in, or ordinarily resident in the following jurisdictions:

Prohibited Markets:

  • Mainland China
  • Taiwan
  • Hong Kong
  • United States
  • Singapore

Sanctioned/Embargoed Jurisdictions:

  • Cuba
  • Iran
  • North Korea
  • Syria

Regions of Ukraine Under Russian Occupation:

  • Crimea, Donetsk (DNR), Luhansk (LNR), Zaporizhzhia, Kherson

Sanctioned Persons:

Any individual, entity, or wallet address appearing on the OFAC SDN List, EU Consolidated List, UK HMT List, or UN Sanctions List.

This list is subject to change without notice.

8. USDT Disclaimer

PalmFi utilizes USDT (Tether) but does not issue or redeem it. USDT is issued by Tether Limited or its affiliates. Users interact with USDT at their own risk, subject to the issuer's terms of service and regulatory controls.

9. Third-Party & Counterparty Risk

PalmFi relies on a network of third parties, including asset issuers, fund managers, custodians, brokers, and oracle providers. POV is not liable for the acts, omissions, insolvency, or regulatory failures of these third parties.

10. General Disclaimer (No Advice)

All materials and data provided are for general informational purposes only. PalmFi provides no investment, legal, tax, or accounting advice.

11. Comprehensive Risk Warning

Staking and Reinvestment involve significant risk.

  • You may lose some or all of your funds.
  • Returns are never guaranteed.
  • Blockchain transactions are irreversible.
  • Smart contracts may contain bugs or vulnerabilities.

Do not use PalmFi unless you fully understand these risks and are prepared to lose your entire deposit.

12. Amendments

This Legal & Disclosure document may be updated at any time. Your continued use of the interface constitutes your acceptance of the revised terms.

13. Changelog

  • [2026-02-01]: Initial publication of PalmFi Legal & Disclosure for staking and reinvestment platform.