Risk Disclaimer
Important disclosures about the risks of prediction market trading.
Important Warning
Trading prediction markets involves substantial risk of loss. You may lose some or all of your invested capital. Only trade with funds you can afford to lose.
1. General Risk Warning
Prediction market trading is highly speculative and involves a significant risk of loss. The value of positions can fluctuate widely, and you may lose your entire investment. Past performance is not indicative of future results.
2. No Investment Advice
Itô Markets is a technology platform that provides tools for trading prediction markets. We do not:
- Provide investment, financial, or trading advice
- Recommend specific trades or strategies
- Guarantee any returns or profits
- Endorse any particular market or outcome
All trading decisions are made at your own discretion and risk.
3. Market Risks
3.1 Price Volatility
Prediction market prices can be extremely volatile and may change rapidly based on news, events, or market sentiment. Prices may move against your position, resulting in losses.
3.2 Liquidity Risk
Some markets may have limited liquidity, making it difficult to enter or exit positions at desired prices.
3.3 Market Closure
Markets may close or be suspended at any time. If a market closes before you can exit your position, you may be locked into an outcome you did not intend.
3.4 Resolution Disputes
Market resolution may be disputed or delayed. Resolution disputes can affect the value of your positions and may result in losses even if you were correct about the outcome.
4. Platform and Technical Risks
4.1 System Failures
The Platform may experience technical issues, outages, or failures that could:
- Prevent you from accessing your account
- Delay or prevent trade execution
- Cause data loss or corruption
- Result in incorrect price displays
4.2 Third-Party Services
The Platform relies on third-party services (Polymarket, Kalshi, Dome API) that may:
- Experience outages or failures
- Change their terms of service or API access
- Impose rate limits or restrictions
- Fail to execute trades as expected
4.3 API Key Security
You are responsible for the security of your API keys. If your API keys are compromised:
- Unauthorized trades may be executed
- Your funds may be at risk
- You may incur losses
5. Regulatory and Legal Risks
Prediction market trading may be:
- Restricted or prohibited in your jurisdiction
- Subject to changing regulations
- Taxable in your jurisdiction
You are responsible for understanding and complying with all applicable laws and regulations.
6. Basket Trading Risks
When trading custom baskets:
- Multiple positions must execute successfully for the basket trade to complete
- Partial execution may result in incomplete baskets
- Price movements in individual markets may offset each other
- Basket prices are calculated based on weighted averages and may not reflect actual execution prices
7. No Guarantees
Itô Markets makes no guarantees regarding:
- The accuracy of market data or price information
- The successful execution of trades
- The availability or uptime of the Platform
- The performance of any trading strategy
8. Limitation of Liability
To the maximum extent permitted by law, Itô Markets shall not be liable for any losses, damages, or expenses arising from:
- Trading decisions or outcomes
- Platform outages or technical failures
- Third-party service failures
- Market volatility or price movements
- Regulatory changes or restrictions
9. Suitability
Prediction market trading may not be suitable for everyone. You should only trade if you:
- Understand the risks involved
- Can afford to lose your entire investment
- Have sufficient knowledge and experience
- Are not prohibited from trading in your jurisdiction
10. Acknowledgment
By using the Platform, you acknowledge that:
- You have read and understood this Risk Disclaimer
- You are aware of the risks involved in prediction market trading
- You are solely responsible for your trading decisions
- You will not hold Itô Markets liable for any trading losses
11. Seek Professional Advice
If you are unsure about any aspect of prediction market trading, you should consult with a qualified financial advisor, legal counsel, or tax professional before trading.
12. Contact Us
If you have questions about this Risk Disclaimer, please contact us at our contact page.
END OF RISK DISCLAIMER