Mandala Finance: risk disclosure

Read this disclosure and the Terms before using Mandala Finance. Digital assets, smart contracts and public blockchains can result in rapid and total loss.

This disclosure summarises material risks of the Mandala Finance interface at mandala.finance and app.mandala.finance (the “Interface”). It is not exhaustive, does not predict every failure, and does not replace the Terms of Use at https://app.mandala.finance/terms (including the fee terms in Section 4 of the Terms), or disclosures presented for a particular route, token, pool or feature. If this summary conflicts with the Terms, the Terms govern to the extent permitted by law.

1. No advice, recommendation or guaranteed outcome

The Interface is a technical tool. Information, rankings, estimates, token displays and integrations are not legal, tax, investment or financial advice; a suitability assessment; or a promise of profit, yield, safety, liquidity, best execution or future value. Make your own assessment and obtain independent advice where appropriate.

2. Loss and volatility

Digital assets can lose all value. Prices can change sharply between quote, signature, inclusion in a block and later disposal. A token can have little or no market, unreliable pricing, concentrated ownership, manipulable volume or no redemption right. Do not transact with assets you cannot afford to lose.

3. Smart-contract and token risk

Code may contain errors, design weaknesses, malicious functions or vulnerabilities that an audit or review did not find. A token may impose transfer fees, rebase, fail to return expected values, blacklist or freeze holders, allow further minting, use upgradeable logic, or behave differently from its name or display. An administrator or attacker may pause, upgrade, drain or otherwise affect a protocol.

Availability through the Interface does not mean that Mandala has endorsed, audited, verified or legally approved a token, issuer, pool, route or protocol.

4. Network and infrastructure risk

Transactions depend on wallets, devices, RPC/node providers, validators or sequencers, networks, internet infrastructure and third-party services. Congestion, outages, forks, reorganisations, latency, censorship, malware, phishing, compromised credentials or provider errors may delay, fail, duplicate or alter the expected outcome. A reverted transaction may still consume network fees.

5. Irreversibility and wallet security

You authorise transactions using your wallet. A confirmed public-blockchain transaction is ordinarily irreversible. Mandala generally cannot cancel it, recover a mistaken transfer or restore a private key. Verify the chain, token, contract, route, approval, recipient, amount, fee, minimum output and wallet prompt before signing.

Protect your device, hardware wallet, credentials, private key and recovery phrase. Mandala will never ask for a private key or recovery phrase.

6. Quote, routing and execution risk

The Interface compares only currently integrated sources. A displayed route is an estimate, not a guarantee of best price or execution. Quotes may be stale, incomplete or based on inaccurate third-party data. Actual results may differ because of slippage, price movement, liquidity changes, front-running or other ordering effects, network delay, token behaviour, pool state or failed dependencies.

Some routes use contracts over which Mandala has administrative or economic rights; other routes use independent third-party protocols. Review the route shown and its dependencies. Mandala may change integrated sources, ranking methods or availability prospectively, subject to its disclosures and applicable law.

7. Fees and total transaction cost

The Mandala wrapper currently charges 0.25% (25 basis points) of the output token. This is not necessarily the total cost. An external venue or pool can charge its own fee. At the current settings, a Mandala-native V2 route carries approximately 0.55% in aggregate percentage charges before gas, price impact and slippage: a 0.30% native-pool trading fee plus the 0.25% Mandala wrapper fee. While the native-pool protocol-fee switch is active, the 0.30% fee's economics are approximately allocated as 0.25% liquidity-provider economics and 0.05% protocol-share economics realised later through liquidity-token mint mechanics; these are not two additional per-swap transfers.

Fees, routes and contract settings may change. Review Section 4 of the Terms of Use and the transaction-level display before signing. If the display and wallet transaction do not agree, do not sign.

8. Administrative and governance risk

MANDALA CHAIN INC. operates the Interface and may control or influence fee settings, fee destinations, source/router permissions, allowlists, pauses, upgrades and other functions for certain Mandala contracts. Those powers create key compromise, signer collusion, governance error, delay and misuse risk. Timelocks, multisignatures, emergency roles, testing and policies reduce but do not eliminate that risk.

Public contracts that Mandala does not control may have different or undisclosed administrators. Even where Mandala can stop its Interface, it may be unable to stop direct interaction with public contracts or reverse a confirmed transaction.

9. KPG and conflicts

Mandala Chain Foundation, not MANDALA CHAIN INC., issued KPG and owns MANDALA CHAIN INC. This relationship creates potential conflicts when the Interface displays or routes KPG, supplies native-pool functionality, makes liquidity or marketing decisions, or earns route-dependent fees. KPG's availability through the Interface is not a guarantee of value, legality, liquidity or performance.

Platform revenue does not automatically accrue to KPG or its holders. Any future use of Inc or Foundation assets for a buyback, burn, liquidity, staking or holder program would require separate approvals and disclosures and could materially change regulatory, market-integrity and conflict risks. Do not rely on an expectation that such a program will occur.

10. Legal, regulatory and tax risk

The law applicable to a token, transaction or service may be uncertain, differ by jurisdiction and change without notice. A regulator or court may characterise an activity differently from the Terms or technical design. Access can be restricted, a feature can be suspended, and a token or transaction can create reporting, tax, licensing, offering, consumer, sanctions or other obligations for you.

Schedule 1 to the Terms of Use identifies current Interface restrictions. Passing a location or wallet control does not establish that your activity is lawful. You are responsible for laws and taxes that apply to you.

11. Privacy and public-chain risk

Wallet addresses and transactions are public and may be permanent. Other people may combine them with exchange, wallet, ENS, support, IP-derived or other information to identify a person and analyse holdings or behaviour. Mandala's deletion of an off-chain record cannot erase an independent public blockchain. See the Privacy Notice at https://app.mandala.finance/privacy.

12. Sanctions, restriction and blocked-property risk

Mandala may screen location, wallet and transaction information and restrict access or escalate a receipt. A screening result can be incomplete or wrong. Legal obligations may prevent Mandala from executing, returning or explaining the handling of particular property or information. Interface controls cannot prevent direct use of public contracts, but direct contract activity and treasury receipts may still be monitored.

13. Third-party and composability risk

One transaction can depend on several contracts and providers. A failure, exploit, oracle error, bridge failure, token defect or governance action in one component may propagate to others. Mandala does not control an independent wallet, protocol, venue, token issuer, validator, bridge, data source or block explorer merely because the Interface connects to it.

14. Feature status

The token launchpad is currently closed, with issuer access intended to remain disabled until separate legal, issuer, security and operational gates pass. Lend/borrow is parked and unavailable. A staking display or deployed factory does not mean a funded pool is available or approved. Do not treat source code, a deployed but gated contract, an illustration or a “coming soon” page as an offer of a live product.

If a feature is later enabled, feature-specific terms, fees, token/issuer disclosures and risks will apply. Review them before acting.

15. No deposit or compensation protection

Digital assets used through the Interface are not represented as a bank deposit. They are not covered merely by use of the Interface by a deposit guarantee, investor-compensation scheme or government insurance. Any mandatory protection that applies under law remains unaffected.

16. Before you sign

Before authorising a transaction:

1. confirm you are using the correct official domain and network;
2. verify token and contract addresses independently;
3. review the route, amount, recipient, approvals, price impact, slippage, minimum output and all displayed fees;
4. confirm your wallet prompt matches the Interface;
5. understand the token's supply, admin powers, liquidity and legal status;
6. consider smart-contract, counterparty, network and tax risks;
7. do not proceed if information is missing, inconsistent or unclear; and
8. never disclose a private key or recovery phrase.

17. Contact

Report a discrepancy or security issue without including secret recovery material:

MANDALA CHAIN INC.

Republic of Panama

Support and security: the official Mandala channels: Discord (https://discord.gg/MwUQgQZgxm), X (https://x.com/MandalaChain) or Telegram (https://t.me/mandalachain). For a security issue, ask for a private channel first and do not post details publicly.