ART. 1 : PURPOSE AND SCOPE OF APPLICATION

METHERWORLD (hereinafter referred to as "METHER") may provide a range of services to its clients related to the staking of digital assets registered on a blockchain or other digital, distributed ledger technology (collectively referred to as "Staking Services"). These Terms and Conditions (the "Terms and Conditions for Staking") govern the access and use by the client (the "Client" or "you") or its authorized representatives of the Staking Services provided by METHER.

The Terms and Conditions for Staking form an integral part of the contractual relationship between the Client and METHER. They apply together with and in addition to the general terms and conditions (the "GTC"), and any other terms and conditions of METHER, subject to any special agreements between the Client and METHER.

METHER reserves the right to adjust and amend these Terms and Conditions at any time.

ART. 2 : DEFINITIONS

These Terms and Conditions for Staking use the following definitions:

"Subcontractor" means any third party whose services METHER utilizes to implement and provide the Staking Service.

"Client" refers collectively to corporate clients (legal entities) and personal clients using the Staking Service.

"Client Portal" refers to the online portal provided by METHER for the use of its Clients.

"Crypto Asset" refers to a digital representation of value or rights that can be transferred and stored electronically using distributed ledger technology or similar technology.

"Staking Period" refers to a predetermined period during which the Client's Crypto Assets are locked in the Staking Service.

"Staking" refers to the Client's Crypto Assets in the Staking Service that the Client has decided to lock on the blockchain for the Staking Period.

"Reward" refers to compensation that METHER transfers to the Client for the Staking.

"Service" refers to the brokerage and custody service for Crypto Assets and the Client Portal provided by METHER.

"User Account" refers to the Client's account in METHER's Service, where the Client can store Crypto Assets and Fiat Currency.

"Staking Instruction" refers to the instruction given to METHER by the Client regarding the Staking of Crypto Assets in the Staking Service.

"External Wallet" refers to a digital wallet that allows the storage of Crypto Assets outside the Service, managed by METHER's Subcontractor as part of the Staking Service.

"Fiat Currency" refers to the official currency of a country issued by a central bank or other monetary authority.

"Blockchain" refers to a distributed ledger technology that records transactions in a decentralized manner, ensuring transparency and security.

"Custody Service" refers to the service provided by METHER for the safekeeping and management of Crypto Assets on behalf of the Client.

"Transaction Fee" refers to any fee charged by METHER for the execution of transactions related to the Staking Service.

"Force Majeure" refers to any unforeseen event or circumstance beyond METHER’s control, such as natural disasters, wars, or regulatory changes, which prevents METHER from fulfilling its obligations under these Terms.

"Agreement" refers collectively to the Terms and Conditions for Staking, GTC, Custody Regulations, and any other agreements or documents governing the relationship between METHER and the Client.

ART. 3 : STAKING OF DIGITAL ASSETS GENERALLY

Staking requires participants, known as validators, to lock up and put at risk (stake) a certain amount of Digital Assets associated with a specific blockchain network to process transactions. This process is central to the consensus mechanism called “Proof of Stake” or “PoS.” Unlike Proof of Work (PoW), where networks rely on energy-intensive mining to add new blocks, PoS selects validators at random intervals to create and validate new blocks. The selection process is influenced by the amount of “stake” a participant has: the more Digital Assets staked, the higher the chances of being chosen to validate transactions and produce blocks.

Staked Digital Assets are at risk of being forfeited if a validator acts fraudulently or violates the rules of the network. Several modern networks, including M20, Tezos, Polkadot, Solana, Avalanche, Tron, EOS, Ethereum, Algorand, and Cardano, operate on PoS mechanisms. Ethereum is also transitioning from PoW to PoS.

ART. 4 : STAKING OF DIGITAL ASSETS WITH METHER

METHER provides its Clients with the opportunity to stake Digital Assets according to the rules of the relevant blockchain network and to earn rewards for staking Digital Assets for a specified period in accordance with those rules (collectively referred to throughout this document as the “Staking Services”). It is understood that any blockchain network’s rules apply to the client. When holding Digital Assets with METHER, the Client may choose to stake certain Digital Assets supported by M20 for Staking Services. Staking Services will be available for selected Digital Assets where staking functionality is enabled, and M20 has decided to offer such services.

By requesting Staking Services for Digital Assets held with METHER, the Client authorizes METHER to stake such Digital Assets in accordance with the rules of the underlying network. Digital Assets will be staked on the Client’s behalf by a third-party staking provider that offers staking services. METHER disclaims any liability for the actions or performance of such third-party staking providers to the fullest extent permitted by applicable law.

ART. 5 : REWARD, REPORTING, AND COMMISSIONS CHARGED BY METHER

The Client is entitled to a Reward based on the successful completion of the Staking Period. METHER will transfer the Reward to the Client in the same Crypto Asset that the Client used for the Staking. The indicative time frame for the transfer of the Reward is provided per Crypto Asset in the Service at the time of making the Staking Instruction and on METHER's website. METHER reserves the right to deviate from the stated time frame in the event of any disruption and/or delay in the transfer of the Reward by the third-party staking provider. The amount of the Reward potentially due to the Client is a certain percentage of the locked Crypto Assets. This percentage may vary based on changes in market conditions during the Staking Period.

As a fee for the Staking Service, METHER charges the Client a commission on the value of the Reward, including any fees and/or commissions charged by third-party providers, before the Reward is paid to the Client. The commission amount will be provided on METHER’s website or within the Service at the time of the Staking Instruction. METHER also reserves the right to withhold any portion of the Reward exceeding the commission if METHER has receivables from the Client based on any other METHER Service.

METHER endeavors to provide the Client with information about the Staking and the amount of the Reward through the Service before, during, and after the Staking Period. However, METHER cannot guarantee a specific rate of return, and the Reward amount communicated to the Client at the time of the Staking Instruction may not necessarily correspond to the final Reward, or the Reward may be entirely forfeited.

ARTICLE 6: LOCKUP PERIOD, STAKING PERIOD, AND EXPIRY

Some staked Digital Assets may be subject to a lockup period. METHER has no control over the duration or end date of the lockup period, which is determined by the respective protocol including the market conditions, volatility, etc. Unlike other Staking Services provided by METHER, once you have staked your assets, you may be unable to opt out of staking certain Digital Assets. METHER will not refund or replace such Digital Assets if you wish to unstake them. Unless otherwise stated by METHER, you will not be able to trade, transfer, or otherwise access your staked Digital Assets during the lockup period. For specific lockup periods, please refer to the Staking Factsheet, which is updated at METHER’s discretion.

Due to the characteristics of the Staking Period, the Client acknowledges and accepts that they cannot cancel, modify, or otherwise alter the Staking during the Staking Period. Upon successful completion of the Staking Period, a Reward is accrued to the Client's User Account for the Staking.

When the Staking Period expires, METHER's third-party staking provider will transfer any potentially accrued and unpaid Reward, along with the staked capital, back to METHER. The provider will deduct their expenses and commissions from the accrued Reward. Upon receiving the Reward and staked capital, METHER will transfer them to the Client's User Account, after deducting the commission payable to METHER for the use of the Staking Service.

Exceptional Situations

The market for Crypto Assets, and consequently the Staking Service, may experience exceptional and unpredictable disruptions, as well as other risks outlined at the beginning of these Terms. Such situations may include, but are not limited to:

1. i) The inability to execute the Staking of a Crypto Asset subject to the Staking Instruction.
2. ii) A system failure within the Staking Service.
3. iii) Significant volatility in the value of the Crypto Asset subject to the Staking Instruction.
4. iv) Technical or operational issues, or insolvency, affecting METHER, its third-party provider, or any other party involved in the operation of the Staking Service.

In the event of such disruptions, METHER may, at its discretion, take one or more of the following actions:

• • Prevent the Client from using the Staking Service.
• • Restrict the Client from accessing or using the Crypto Assets within the Staking Service.
• • Delay the execution of the Staking Instruction and/or the transfer of the Reward to the User Account.

The Client acknowledges and accepts that METHER may not be able to provide the Staking Service uninterrupted under all circumstances. The Client also acknowledges and accepts that in the event METHER takes such actions, the market value of the Crypto Assets may significantly differ from their value prior to the disruption, the Staking Instruction may not be executed, and the Client may suffer significant losses. In some cases, the Crypto Assets may even be permanently lost, for example, as a result of a penalty imposed by the network protocol.

ARTICLE 7: CUSTOMER RIGHT AND OBLIGATIONS AND ACKNOWLEDGEMENT OF RISK REGARDING STAKING RIGHTS

By using the Staking Service, the Client warrants that they assume full responsibility for all decisions and actions related to the Staking Service. The Client confirms that they are capable of assessing the risks involved and acknowledges that all actions and decisions made in connection with the Staking Service are based entirely on their own judgment.

The Client also warrants that all Crypto Assets used in the Staking Service are owned by them, free and clear of any encumbrances, and not subject to any claim, demand, receivable, option, or other right by any third party. The Client takes full responsibility for ensuring the legality of their actions and for meeting any potential tax obligations related to the use of the Staking Service, acknowledging that METHER does not provide tax-related services.

Crypto Assets represent a high-risk asset class. The risks outlined below related to Crypto Assets and the Staking Service do not encompass all possible risks, and it is possible that not all risks have yet been identified or predicted. Clients should be aware that the inherent volatility and unpredictability of Crypto Assets may expose them to significant financial loss.

The primary risks associated with Crypto Assets and the Staking Service include:

• • Market Risk: The value of Crypto Assets is highly volatile, and their value may increase, decrease, or even be lost entirely. Crypto Assets are traded continuously, 24 hours a day, seven days a week, making it difficult to monitor market conditions consistently.
• • Liquidity Risk: Some Crypto Assets may suffer from low liquidity, which can make trading difficult or, in some cases, impossible when desired.
• • Security Risk: The risk of hacking attempts targeting Crypto Assets or their underlying blockchain, as well as phishing attempts, could lead to the loss of Crypto Assets.
• • Blockchain Risk: Transactions made on the blockchain are generally irreversible. This inherent characteristic of blockchain technology means that errors and delays can lead to the permanent loss of Crypto Assets or delayed transfers.
• • Lock-in Risk: The Staking Service, based on the Proof of Stake protocol, involves locking Crypto Assets either directly on the blockchain or with a third-party provider used by METHER. There is a risk that failures or malicious activities during the validation process may result in a "Slashing Penalty" (the “Penalty”), reducing the value and amount of the staked assets.
• • Third-Party Risk: If METHER’s third-party providers or any other participants in the Staking Service or crypto markets become insolvent, make errors, or experience operational failures, there is a risk that Crypto Assets may be lost or their recovery may be significantly delayed.
• • Legislative Risk: Different jurisdictions have varying regulatory approaches to Crypto Assets, and changes in legislation may negatively impact the value or legality of Crypto Assets.
• • Tax Risk: Tax regulations concerning Crypto Assets are often unclear and not thoroughly established by law, which may lead to unforeseen tax obligations or liabilities.
• • Account Suspension: Upon any suspicious transaction or any suspicion, METHER has all rights to suspend the account till the completion of CDD and EDD, if required and the same account shall remain suspended and no transaction including but not limited to withdrawal, submission of coins, etc. can take place until the clearance of the suspected account.

Given these risks, using the Staking Service entails a significant risk that the Client may lose a substantial portion of the staked capital or even the entire amount, including any associated Rewards.

ARTICLE 8: REMEDIES FOR SUSPENSION OF ACCOUNT

The client agrees and understands that METHER may suspend accounts for various reasons. In the event of suspension of account Client will resolve the matter by writing to legal@metherworld.com and provide all evidence that is required of it. Client agrees that METHER has the sole discretion to cancel the suspension after Enhanced Due Diligence processes have been completed. Client agrees to indemnify METHER from any legal action regarding suspension or cancellation of account. Client agrees that the Court of Dubai International Financial Center (DIFC) in Dubai have the sole jurisdiction over any legal issues arising from this agreement. Client agrees that METHER may report any suspicious transaction to any legal authority or crypto audit companies for further investigation.

ARTICLE 9: NO GUARANTEE, REPRESENTATION, OR WARRANTY

The Client acknowledges and agrees that METHER does not provide any guarantee or warranty regarding the receipt of Staking Rewards. The percentage of Staking Rewards provided is an estimate only and does not constitute a guarantee, warranty, or representation of any kind. This percentage may change at METHER's sole discretion and may be less than the actual Staking Rewards received from the Staking Protocol.

METHER makes no representations, warranties, or guarantees that any specific Crypto Assets will be continuously available for staking. METHER reserves the right to initiate, suspend, or terminate Staking Services for any Crypto Assets or to modify the terms and conditions of Staking Services at its sole discretion.

While METHER uses reasonable efforts to ensure that the Staking Services are accessible without interruptions, METHER cannot guarantee uninterrupted or error-free operation of the Staking Services. The Client acknowledges and agrees that in the event of service disruptions, the staked assets may not generate Staking Rewards.

ARTICLE 10: LIMITATION OF LIABILITY

METHER’s obligations to the Client are limited to performing its services and contractual duties with the standard of care customary in the industry or as specified in these Terms and Conditions for Staking, the Custody Regulations, and/or any general terms of METHER.

METHER excludes any liability for loss or damage not arising from a breach of its duty of care. Additionally, liability is excluded where explicitly stated in these Terms and Conditions for Staking. METHER is not liable for indirect or consequential losses, including loss of profit, data, revenue, or missed opportunities.

METHER is not liable for any loss or damage resulting from events or risks beyond its control, nor for losses or damages caused or exacerbated by the Client, including failures to mitigate or avoid losses.

ARTICLE 11: ACCEPTANCE OF TERMS AND CONDITIONS

By using METHER’s Staking Services, the Client acknowledges and accepts the risks described in these Terms and Conditions for Staking and agrees to abide by them. Clients who do not understand these terms should seek appropriate legal counsel or refrain from using the Staking Services.

The Client is required to review and acknowledge these Terms and Conditions before engaging in the Staking Services and should consider the risk factors disclosed herein in their decision-making process, in addition to the risks described in any related risk disclosure documents.

Furthermore, these Terms and Conditions do not address taxation or other legal matters in any jurisdiction concerning the Staking Services. The Client agrees that they have consulted appropriate legal and tax professionals regarding such matters.