Tokens Restricted for Restricted Persons

Restricted Leveraged Tokens of VISP Are Listed Below

Restricted Leveraged Tokens with Long Positions

• ETH2x - ETH 2x Leverage Index

• ETH3x - ETH 3x Leverage Index

• BTC2x - BTC 2x Leverage Index

• BTC3x - BTC 3x Leverage Index

Restricted Leveraged Tokens with Short Positions

• iETH1x - Inverse ETH -1x Leverage Index

• iBTC1x - Inverse BTC -1x Leverage Index

Disclaimer regarding the Tokens Restricted for Restricted Persons

If the user is considering purchasing or acquiring our restricted token products, it's crucial to note certain restrictions. Specifically, these tokens should not be obtained if one falls into any of the following categories: being a U.S. citizen, resident, green card holder, or entity incorporated in or controlled by the U.S., or if one is located in a jurisdiction where such transactions are deemed unlawful. Our tokens haven't undergone registration under the U.S. Securities Act of 1933 or any U.S. securities regulatory authority, rendering their sale within the U.S. to Restricted Persons impermissible. Moreover, distribution of our tokens to Restricted Persons on secondary markets or platforms is prohibited. To ensure compliance with applicable laws and regulations, purchasers must familiarize themselves with these restrictions. We reserve the right to enforce additional restrictions at our discretion, which will be communicated through our terms of service or website.

It's paramount to exercise caution and diligence when considering the acquisition of our restricted token products. Individuals or entities falling within the aforementioned criteria, including U.S. citizens, residents, and those subject to U.S. jurisdictional laws, should refrain from engaging in transactions involving our tokens. Such tokens have not been registered with relevant U.S. regulatory bodies and cannot be legally sold within the U.S. to Restricted Persons. Furthermore, any distribution of these tokens to Restricted Persons via secondary markets or platforms is strictly prohibited. Buyers are urged to ensure strict adherence to these restrictions and to stay informed about any additional regulations we may impose at our discretion. This information will be communicated through our terms of service or website, providing clarity and transparency regarding the permissible use and distribution of our token products.

Factors Contributing to Token Restrictions:

1. Regulatory Considerations:

   • Tokens classified as securities or those that carry significant legal and regulatory risks are often restricted. The structure and underlying assets of risky index might bring it under more stringent regulatory scrutiny compared to BSK and PLT, which are more straightforward index products.

   • The use of custodial wrapped assets also introduces regulatory complexities related to custodianship and the management of those assets​​.

2. Leverage and Risk Profile:

   • Tokens such as and ETH2x and BTC2x are leveraged products, carrying higher risk and potential for significant volatility. These products are restricted to protect less sophisticated investors from high-risk exposure​​. Levered trading is risky for conventional investors.

3. Operational Complexity:

   • Some Index may involved rebalancing mechanism of Dutch auctions, which can be more complex and less familiar to average investors compared to the traditional rebalancing mechanisms used in products like BSK and PLT. This complexity necessitates a higher level of investor sophistication​.

4. Custodial Wrapped Assets:

   • Some index may include non-EVM-native assets which have centralized wrapped custody. This custodial arrangement carries risks associated with the centralized management of these wrapped assets. Such risks are typically more significant than those faced by index products like BSK and PLT. These newer custodial models can sometimes rely on centralized wrapped assets​ and would therefore, fall in the restricted category.