UNCHAIN X Cautions

Please note the following risks associated with using Unchain X.

Please note the following risks associated with using Unchain X.
Unchain X is a decentralized blockchain protocol without central entities. Users participate in transactions through liquidity pools created by other users on the blockchain at their own discretion and responsibility. As a result, in case of user error, such as mistaken transactions, recovery support may not be available from any party, including Unchain X. It is recommended to always test with small amounts first to manage the risks associated with mistakes.
All assets and liquidity pools identified on the Unchain X website are tokens on the Binance Smart Chain (BSC) network. They are registered directly by users without undergoing individual scrutiny. The Unchain X team does not guarantee their safety.
When exchanging assets on Unchain X, due to the nature of AMM (Automated Market Maker), the asset prices applicable to users at that moment can fluctuate significantly. This can vary depending on the swap volume, the quantity (ratio) of assets pending in the pool, and real-time deposits and withdrawals to the pool.
Due to asset price fluctuations, users may deposit or withdraw assets from the pool at prices or ratios they did not anticipate. Furthermore, if there are price changes from the time of deposit to withdrawal, users may incur losses compared to simply holding the assets.
All figures displayed on the website are estimated information provided to assist users in their decision-making. They do not guarantee the timeliness, suitability, or accuracy of the data.
Unchain X website never asks for users' personal wallet private keys, mnemonic keys, or seed phrases.
Please review the following information for further risks, precautions, and terms of use.

1. Overview

Unchain X is a decentralized application (DApp) that utilizes the Binance Smart Chain (BSC), developed by a third party. Users of Unchain X can utilize its decentralized protocol to exchange various virtual assets and provide liquidity directly through their BSC wallets, accessed via interfaces such as the Unchain X website (hereinafter referred to as "Unchain X").

The contents of this User Guide (hereinafter referred to as the "Guide") contain matters that users must agree to in order to use Unchain X, so please read it carefully to the end. By confirming this Guide and continuing to use Unchain X, users are deemed to have read, understood, and agreed to its contents.

2. Changes to this Guide

The contents of this Guide may be constantly changed, added, deleted, supplemented, or modified by Unchain X for reasons such as changes, additions, deletions, enhancements, user protection, error corrections, etc. If the contents of this Guide are changed, the changes take effect from the time they are posted. However, in cases where the changes are disadvantageous to users or involve significant changes, they will be posted at least 30 days prior to their effective date. If users confirm the changed Guide and continue to use Unchain X after the effective date, they are deemed to have read, understood, and agreed to the changes.

3. User Eligibility

• To use Unchain X, users must be at least of legal age in their country (e.g., at least 21 years old according to Singapore law) and must represent and warrant that they have full rights and authority to enter into and comply with civil contracts on their own behalf or on behalf of the corporation they represent or act for.

• The user is not listed as subject to economic or trade sanctions by any government authority (including, but not limited to, the Office of Foreign Assets Control of the U.S. Department of the Treasure, etc.) ii) not a citizen or resident of a jurisdiction subject to comprehensive economic sanctions by the United States (or designated by the United States government as a state sponsor of terrorism) iii) state that the user's access to and use of Unchain-X is in full compliance with relevant laws and regulations, and that the user will not use Unchain-X for the purpose of performing, facilitating, or promoting any illegal activity.

4. Precautions during the Use of Unchain X

4.1. General Matters

When using the Unchain X website, please ensure the following precautions to create a stable network environment:

It is recommended to use only one tab while using the site.
Prolonged access using multiple tabs, accessing from locations using company/public IP addresses, or excessive requests to RPC may make usage difficult.
If you encounter difficulties in using the site due to other reasons, please close all tabs accessing the site and try accessing the site again after at least 1 hour has passed.

4.2. Asset Deposits and Withdrawals

4.2.1. General Asset Deposits and Withdrawals

Users should be aware of the following when depositing and withdrawing assets on Unchain X.

To request transactions, users must have a BSC wallet capable of handling BSC assets and a small amount of BNB to use as transaction processing fees on the BSC network.
The assets that can be used for deposits on Unchain X follow the BEP-20 format issued on the BSC. Therefore, assets other than BEP-20 types and assets from other chains (such as Ethereum, Ripple, etc., unless explicitly mentioned) must be converted to the BEP-20 format via a bridge site before depositing them on Unchain X.

4.2.2. Asset Misdelivery

Users must accurately confirm the type and address of the assets when processing asset deposits and withdrawals on Unchain X. If users deposit unsupported types of assets on the BSC or input incorrect deposit addresses, the assets may not be correctly deposited, leading to potential loss.

Unchain X is a decentralized application where the user's private key is not managed by a central authority. Therefore, Unchain X is unable to recover or provide technical support for misdelivered assets, including the situations mentioned above. In the event of misdelivered assets, Unchain X and others will have no access to the assets, and as a result, the approach to misdelivery on Unchain X may differ technically and structurally from that of centralized exchanges.

To prevent user errors, it is recommended to conduct initial tests with small amounts before transferring the entire asset balance.

*Please refer to the terms and precautions of individual bridge sites for any asset misdelivery issues caused through bridges.

Users can supply (deposit) or withdraw their assets from the liquidity pool on Unchain X to take positions as liquidity providers, and they can also conduct swap transactions through the liquidity pool. However, users must be aware of the risks associated with these actions and proceed with all activities at their own discretion and responsibility.

4.3.1. Pricing

Unchain X operates based on the Automated Market Maker (AMM) mechanism, where the price of each token on Unchain X is determined by the exchange ratio within the contract where the token pairs are deposited. Due to the automated smart contracts adjusting prices to maintain stability according to the formula x*y=k for each pool, the prices displayed on the Unchain X website may not be the same as those on other exchanges, and there is no guarantee of matching fair value or market prices.

The price of each token at the time of depositing, withdrawing, or swapping assets is applied based on the aforementioned price measurement method (exchange ratio of token pairs), and the price is not determined proportionally to the exchange quantity.
Additionally, due to the real-time participation of various users, the exchange ratio of token pairs may change momentarily, resulting in the possibility of price fluctuations between the displayed price on the Unchain X website and the actual price at the time of the transaction (due to trading in the token pair, asset deposits and withdrawals in the token pair, etc.)
While the Unchain X protocol has safeguards in place to minimize losses that may occur from significant changes in the exchange ratio, users must confirm the exchange ratio applied at the time of the transaction before proceeding with liquidity provision, withdrawal, or swap.

4.3.2. Display of Expected Profitability and Usage Costs

All profitability indicators displayed on the Unchain X website, such as deposit yield, UNX distribution rate, airdrop profitability, transaction fee profitability, and staking yield, are estimated projections based on distributed rewards, and do not guarantee a fixed rate of return.

Unchain X strives to provide information as accurately and in real-time as possible. However, due to fluctuations in token prices, changes in the size of liquidity pools, transaction processing delays, and other factors, the displayed estimated profitability may differ from the actual profitability.

4.4. Deposit Specific Precautions

Pair Deposit

Users can deposit two types of assets on Unchain X to obtain UNX distribution revenue, transaction fee distribution revenue, and token airdrop revenue.

Pair deposits may result in impermanent losses.

If the current market price of the assets deposited by the user significantly increases or decreases compared to the price at the time of deposit, the expected profitability may decrease compared to holding the assets without depositing them. Additionally, there is a possibility of incurring evaluation losses at that time. However, such losses are confirmed when the user withdraws assets from the pool, and if the price difference of the assets in the deposit status recovers to the price at the time of deposit, the actual losses may decrease. Furthermore, overall profitability should be estimated considering both UNX distribution and transaction fee distribution revenue.

Users holding voting power (UNX) by staking UNX can participate in Unchain X governance voting according to the Unchain X governance voting policy.

5. Unchain X v3 Additional Precautions

5.1. Concentrated Liquidity

Unchain X v3 provides a feature called Concentrated Liquidity. In this guide, the liquidity pool with Concentrated Liquidity applied is referred to as the 'v3 pool', while the liquidity pool with the previous functionality is referred to as the 'v2 pool'.

Compared to the v2 pool, the v3 pool offers users more freedom and choice in supplying concentrated liquidity and specifying the supply range. However, it may entail greater potential benefits and higher risks of losses due to its operational principles.

Regarding the risks associated with v3 pool deposits, as the specified price range becomes narrower compared to v2 pool deposits, there may be heightened risks of (i) Impermanent Loss (IL), (ii) changes in the composition ratio and value of deposited assets (it is also possible for the ratio of the two deposited assets to be fixed at 100:0 upon withdrawal), (iii) the risk of no longer receiving deposit rewards if the token price deviates from the user-specified price range, and (iv) the risk of loss due to price range deviation and price range migration (v3 to v3 migration).

Since v3 pool deposits involve high structural complexity and difficulty in predicting asset loss risks (especially with narrow price ranges), they are not recommended for users with limited experience in cryptocurrency investments or those who cannot afford potential losses.

Users must carefully evaluate and consider the risks associated with concentrated liquidity before supplying liquidity to the liquidity pool and managing it under their responsibility and judgment.

5.2 v2 to v3 Migration

Users can transfer liquidity supplied to the v2 pool to the v3 pool using the v2 to v3 migration feature. However, during the execution of v2 to v3 migration, users may incur the following burdens: (i) Losses due to the confirmation of impermanent loss in the v2 pool as withdrawals occur during the v2 to v3 migration, and (ii) Costs such as transaction fees and slippage incurred from asset swaps between assets to enter the price range selected by the user in the v3 pool.

6. Prohibited Actions

Users must comply with the precautions in this guide and must not engage in the following actions.

Actions that undermine or disrupt the healthy trading order of Unchain X.
Using automated means such as agents, scripts, spiders, spyware, toolbars, or other illegitimate methods to disrupt or negatively impact the operation of Unchain X (including Unchain X interfaces, Unchain X protocols, etc.).
Acts that tarnish the reputation of the Unchain X team or interfere with their work.
Providing inaccurate or misleading information while using Unchain X.
Involvement in the unauthorized seizure of assets belonging to Unchain X users or the usurpation of user wallet permissions without just cause.
Engaging in any form of criminal activity (such as terrorist activities, tax evasion, etc.) directly or indirectly related to the proceeds derived from using Unchain X.
Impersonating someone else during communication with the Unchain X support function.
Any other illegal activities violating relevant laws and regulations.

7. Disclaimer and Limitation of Liability

Unchain X operates as a web-based interface to facilitate the exchange and liquidity provision of various virtual assets by allowing users to communicate directly with their Binance Smart Chain (BSC) blockchain wallets. However, Unchain X does not manage or control users' personal assets or the liquidity pools where assets are deposited, nor does it guarantee the integrity or reliability of transactions. Users must carefully evaluate and consider the risks of each transaction, including potential losses due to the benefits of each transaction, token prices, and fluctuations in exchange rates, before proceeding with trading at their own discretion and responsibility.
Content and information provided by Unchain X, including estimated returns, current token prices, and yield calculation examples, serve as auxiliary materials for facilitating decentralized trading, liquidity provision, removal, and swaps on Unchain X. They do not constitute investment advice or inducement for trading. While Unchain X strives to provide timely and accurate information, it does not guarantee the timeliness, suitability, or accuracy of such information.
Unchain X shall not be held responsible for any loss of assets or property incurred by users due to failure to realize expected benefits through the use of Unchain X or inherent risks associated with trading.
Unchain X does not guarantee the continuity of the features and services provided. Features offered by Unchain X may be added or permanently removed at specific points in time, and Unchain X services may be suspended or altered. (In the event of permanent feature removal or service interruption, affected users will be notified and provided with guidance on coping methods with at least 30 days' notice.)
Unchain X bears no responsibility for third-party services, including the Binance Smart Chain (BSC) blockchain platform used by the Unchain X protocol and wallet applications provided by third parties.
Developers, operators, and governance participants of Unchain X do not expressly or implicitly guarantee any direct or indirect commitments regarding related protocols, codes, services, etc., within the limits permitted by law.
All software used by Unchain X, including smart contract codes, may contain undiscovered defects due to inherent complexity and limitations, which may lead to asset loss resulting from hacking, flash loan attacks, etc.
While Unchain X endeavors to maintain the latest block synchronization, it cannot guarantee uninterrupted provision of Unchain X functionality due to force majeure, server maintenance, increased congestion in the Binance Smart Chain (BSC), computer system errors, software attacks, etc. The provision of Unchain X functionality is not guaranteed 24 hours a day.
In situations such as those described above, errors in displayed figures on the website, temporary service unavailability, connectivity errors, and suspensions may occur. As a result, transaction delays and failures may occur during the processing of liquidity deposits, withdrawals, swaps, etc., requested by users.
Unchain X explicitly disclaims any warranties, guarantees, or conditions, whether express or implied, including but not limited to the examples provided herein. Users understand and accept that Unchain X is provided "as is" and "as available." Users are solely responsible for their use of Unchain X. Users understand and acknowledge that computer, software, communication, and blockchain systems are inherently imperfect.
Unchain X shall not be liable for any direct, indirect, incidental, special, consequential, or punitive damages whatsoever, including but not limited to loss of profits (whether incurred directly or indirectly), loss of credit or business reputation, data loss damages, costs of obtaining substitute products or services, or other intangible losses. In any event, the limit of liability borne by Unchain X for user compensation shall be the greater of the amount paid by the user to Unchain X as consideration for the use of Unchain X or $100.00 USD. The limitation of liability under this provision shall apply to the extent permitted by applicable laws.
All features included in this document may be subject to restrictions due to social regulatory issues, and some features may be restricted until normal procedures are followed in accordance with social consensus-based regulations.

8. Rights Protection and Judicial Cooperation

In the following cases, user access information (wallet address, access information, etc.) may be provided to regulatory authorities or judicial agencies if deemed reasonably necessary.

In cases where there is reasonable evidence that the assets are involved in hacking, money laundering, or other criminal activities
Upon request from regulatory authorities or judicial agencies based on applicable laws

9. Safety and Security

Unchain X has completed professional security audits through a specialized security audit firm and makes reasonable efforts to eliminate and prevent security vulnerabilities.

10. User Notices

Unchain X may provide notices and notifications to users through commercially reasonable means, including public communication channels (such as SNS channel addresses posted on the Unchain X website). Notices and notifications provided by Unchain X through public communication channels take effect immediately upon posting.

This service notice is effective from May 17th, 2024.

Service Notice Change and Posting History

(May 17th, 2024) : Initial Establishment

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Last updated 3 months ago