Risk and Legal Disclosures

1. Know what the current Interface actually does

The current transaction flow requests an exact-input route from Relay for a supported origin asset and sends transaction instructions to your wallet. If completed, Relay's solver is expected to deliver WETH to your address on Robinhood Chain. The flow does not currently include a LEV7 mint, purchase, or pool swap. Any claim that this route buys LEV7 would be inaccurate unless a separate LEV7 acquisition step is added. Transaction execution is disabled by default behind independent build-time and runtime launch switches and must remain disabled until the launch checklist and required approvals are complete.

The indicative quote is created before execution and may use a placeholder quote address. The executable route is requested later for your wallet and can differ. The Interface does not currently show an expiry, canonical route hash, guaranteed minimum output, or the full fresh fee comparison before releasing every wallet prompt. Treat the wallet request as controlling and reject any unexplained difference.

Governance, validation, fee distribution, compounding, and withdrawal screens include preview or sample data and are not evidence of a live entitlement. Contract addresses, audits, deployment status, admin-key arrangements, and the final fee schedule must be published and independently verified before production use.

The repository's LEV7 contract is currently a fixed-supply ERC-20 with a holder registry. It does not implement an index, oracle, leverage, rebalancing, redemption, liquidation, or economic linkage to the seven referenced companies or perpetual markets. The referenced WETH / USDG pool contains no LEV7. Marketing claims about leveraged or index exposure are not implemented economic rights unless separate final, deployed, verified contracts and documents establish them.

2. Self-custody and irreversible transactions

You are responsible for using an authorized wallet and understanding its custody and approval model. We do not receive or store private keys or recovery phrases. We cannot stop or reverse a transaction, recover assets sent to an incompatible token, address, or network, revoke an approval, restore access, or resolve a wallet provider's failure. A person who satisfies your wallet's signing or recovery policy may be able to control its assets.

• Verify the exact lev7.finance domain, chain, token and spender address, recipient, amount, calldata, gas, and approval scope.
• A route may require an approval and then a separate swap or bridge transaction. Never assume there will be only one prompt.
• Disconnecting a wallet does not cancel pending transactions or revoke approvals already recorded onchain.
• LEV7 support will never ask for a recovery phrase, private key, or a transfer to “verify” or “rescue” a wallet.

3. Market, leverage, and liquidation risk

Digital-asset prices can move sharply, trade continuously, gap, become illiquid, or fall to zero. Leverage magnifies small market movements and can cause rapid liquidation or total loss. Depending on the instrument and market, losses can exceed posted collateral. Funding, borrowing costs, rebalancing, volatility drag, path dependency, fees, and liquidation mechanics can make a leveraged position perform very differently from a simple multiple of an underlying asset or index.

Market data may be delayed, incomplete, erroneous, manipulated, or unavailable. Quotes, USD values, funding rates, “dividends,” yields, weights, and historical or simulated figures are estimates, not guaranteed values or returns. Past performance does not predict future results. There is no promise of liquidity, redemption, price support, market making, profit, or capital preservation.

4. Index, reference-asset, and trademark risk

A token or position referencing AAPL, MSFT, NVDA, AMZN, META, GOOGL, or TSLA is not necessarily equity in those companies. Unless final product documents expressly and lawfully provide otherwise, it gives no shareholder voting, dividend, inspection, redemption, ownership, or insolvency rights in a referenced issuer. A reference price can diverge from a share price because of market hours, oracle methodology, corporate actions, fees, leverage, funding, liquidity, regulation, and tracking error.

Company, protocol, and product names and marks belong to their owners. References to Robinhood, Lighter, Uniswap, Relay, public companies, or other projects do not by themselves establish sponsorship, endorsement, affiliation, or approval. “Powered by” and similar claims must be authorized and factually accurate before launch.

5. Smart-contract and administrator risk

Smart contracts may contain design errors, coding bugs, malicious logic, economic vulnerabilities, unsafe dependencies, incorrect assumptions, or undiscovered exploits. An audit reduces neither all risk nor the need to review code, and the repository does not currently contain a published independent audit. Contracts may be immutable or impossible to repair after deployment; upgradeable or administered contracts introduce different risks.

LEV7 repository contracts include or contemplate privileged owner, keeper, pausing, address-exclusion, reward-threshold, routing, stock-list, slippage, fee-collection, and distribution configuration. One contract mints a fixed supply to the deployer, and other operations depend on selected keepers and routers. Privileged keys may be lost, compromised, used incorrectly, or exercised contrary to your expectations. Purchases can be paused, which may delay later distributions, and individual payouts may be skipped, including when an asset requires an allowlist. A statement that liquidity or principal is “locked” does not eliminate fee, code, pool, market, or key-management risk.

Before launch, deployment-specific disclosures must identify affiliate token or reference-asset holdings and trading, seeded liquidity, owner/keeper/treasury key control, routing or listing incentives, and every hook, LP, app, referral, or distribution fee. Those economic interests and privileged powers can conflict with user interests.

6. Swap, approval, solver, and bridge risk

• Quote risk: rates, fee estimates, output, and ETA can change before or during execution.
• Approval risk: a malicious or unlimited approval can allow later asset transfers by the spender.
• Slippage and price impact: execution may produce less value than expected, especially in volatile or illiquid markets.
• Solver and relayer risk: a solver may fail, delay, censor, misroute, become insolvent, or deliver less than indicated.
• Bridge risk: bridge contracts, validators, multisigs, liquidity, message passing, and destination settlement can fail or be exploited.
• MEV risk: public transaction ordering can expose a swap to front-running, back-running, sandwiching, or other extractive strategies.
• Partial or delayed delivery:a route can remain pending beyond estimates or result in output below a preliminary quote after fees and changing conditions. The Interface should not label delivery complete below the executable route's expected output and should show the amount actually observed, but you must verify receipt independently.

7. Blockchain and infrastructure risk

Blockchains and layer-2 systems depend on validators, sequencers, bridges, nodes, governance, and software. They can experience congestion, high fees, reorgs, forks, censorship, downtime, chain-id confusion, delayed withdrawals, consensus failures, or abandonment. “Finality” varies by network and may be probabilistic. RPC, API, DNS, CDN, hosting, oracle, indexer, explorer, wallet, browser, and front-end outages or compromises may produce incorrect information or block access while contracts and markets continue operating.

8. Token, stablecoin, and liquidity risk

A token may be counterfeit, incompatible, non-transferable, fee-on-transfer, rebasing, paused, frozen, blacklisted, upgraded, or subject to issuer redemption or allowlist conditions. Wrapped assets depend on custody, contracts, and redemption mechanisms. Stablecoins can lose their peg, become illiquid, be frozen, or fail. WETH is not cash and has smart-contract and network risk. A pool can be concentrated, manipulated, drained, or unavailable; displayed liquidity may disappear before execution.

9. Cybersecurity, scams, and data risk

Phishing, fake domains, counterfeit tokens, malicious browser extensions, clipboard replacement, social engineering, compromised dependencies, DNS attacks, wallet-drainer signatures, and support impersonation are common. Public addresses and holdings can be analyzed and linked to identity. Onchain records are permanent and can expose financial activity. Protect operational security and use a dedicated wallet appropriate to the risk.

10. Third-party and counterparty risk

Wallets, Relay, solvers, bridges, RPCs, Lighter, Robinhood Chain, Uniswap, Blockscout, token issuers, oracle providers, liquidity providers, and other services are independent. They can change terms, block users, impose fees, malfunction, be hacked, become insolvent, or cease operating. LEV7 does not control their code, keys, business decisions, or privacy practices. Their integration or appearance does not guarantee their safety, legality, solvency, or performance.

11. Legal, regulatory, sanctions, and tax risk

The legal treatment of digital assets, leveraged products, tokenized references, derivatives, routing services, fee distributions, governance rights, and interfaces is unsettled and can change rapidly. An asset, activity, or participant may be subject to securities, commodities, derivatives, money-transmission, digital-asset licensing, consumer, financial-promotion, market-abuse, AML, sanctions, tax, or other laws. Regulators may restrict access, require registration, rescission, reporting, licensing, blocking, or other action. A self-custody label or disclaimer does not determine legal status.

You are responsible for the laws and taxes that apply to you. The Operator must obtain specialized regulatory analysis—including U.S. federal and state, California DFAL, money-transmission, securities and derivatives, sanctions, and any UK/EU financial-promotion review—before serving a market. A representation in a clickwrap does not replace geolocation, wallet screening, licensing, or a risk-based compliance program.

12. No advice, fiduciary duty, or insurance

LEV7 content, data, allocations, routes, and estimates are not individualized advice, an offer, a recommendation, or a promise of suitability. The Interface does not monitor your portfolio, risk tolerance, legal status, or tax position. No fiduciary relationship arises merely from use. Digital assets and protocol positions are not bank deposits and are not insured by FDIC, SIPC, or any equivalent government or private protection unless a specific provider expressly proves otherwise in its own binding documents.

13. Your responsibility

Use only assets you can afford to lose completely. Independently investigate the contracts, administrator powers, token addresses, networks, route providers, fees, approvals, tax consequences, and legal restrictions. Test with a small amount. Maintain secure backups, verify every wallet prompt, monitor transactions independently, and revoke permissions you no longer need. If you do not understand a transaction or risk, do not sign.

14. Policies and version

Review the binding Terms of Use and the Privacy Notice. These Risk Disclosures are version 2026-07-21-v2. Material updates require renewed acceptance before gated use.