Terms and Conditions

Effective Date: 5/13/2025 Last Updated: 5/13/2025

Welcome to Bound, a platform that enables users to mint a Bitcoin-native stablecoin, bUSD, backed by a basket of reputable stablecoins such as USDC and USDT. By accessing or using the Bound platform, you agree to be bound by these Terms and Conditions ("Terms"). If you do not agree to these Terms, please do not use the platform.

1. Eligibility

You must be at least 18 years old and legally capable of entering into a binding contract to use the Bound platform. You also represent that you are not subject to any sanctions or listed on any restricted list maintained by any regulatory authority.

2. Overview of the Platform

Bound provides a platform that allows users to:

• Deposit supported stablecoins (e.g., USDC, USDT) on supported networks (e.g., Ethereum, Base).

• Mint bUSD on the Bitcoin mainnet and adjacent networks at a 1:1 ratio to the deposited stablecoins, less any applicable network gas fees

• Redeem bUSD for the underlying stablecoins, subject to platform availability and network conditions.

The bUSD token is fully backed by a basket of dollar-backed stablecoins held in secure, offline multi-signature vaults. These reserves are held transparently on-chain, and smart contract vaults on non-Bitcoin networks are used to provide instant on-chain liquidity.

3. Smart Contracts and Custody

The Bound platform utilizes smart contracts to facilitate minting and redemption processes. While these smart contracts are designed to be secure, they may contain vulnerabilities. Users interact with these smart contracts at their own risk.

Bound does not custody your assets; you retain control of your private keys at all times. You acknowledge and accept the risks associated with interacting with Bound technologies, including but not limited to smart contract bugs, transaction delays, and potential loss of funds.

4. Backing and Collateralization

bUSD is a stablecoin fully backed by a basket of reputable stablecoins, including USDC and USDT. The reserves are held in secure, offline multi-signature vaults and are transparently verifiable on-chain. The 1:1 backing ratio is maintained algorithmically by the platform’s smart contracts and backend servers.

No fractional reserve practices are employed. The platform does not re-hypothecate or otherwise utilize the deposited stablecoins for any purpose other than collateralization.

5. Fees and Limits

The platform may charge minting or redemption fees, which will be disclosed transparently at the point of interaction. The platform may also impose minimum or maximum minting or redemption limits, subject to change without notice.

6. No Financial Advice

The platform is a technical interface. Nothing on the platform constitutes investment advice, financial advice, trading advice, or any other form of advice. You are solely responsible for your use of the platform and any decisions made based on such use.

7. Regulatory Compliance

You acknowledge and agree that it is your responsibility to comply with all applicable laws and regulations in your jurisdiction. The platform makes no representation regarding the legality of your use of the platform in your jurisdiction.

8. Risks

By using the platform, you understand and accept the inherent risks of blockchain-based systems, including:

• Smart contract bugs and exploits.

• Price volatility of stablecoins and network tokens.

• Regulatory changes.

• Network congestion or forks.

• Loss or theft of private keys or wallets.

You use the platform at your own risk.

9. Limitation of Liability

To the maximum extent permitted by applicable law, the platform and its developers, contributors, affiliates, and service providers shall not be liable for any direct, indirect, incidental, special, punitive, or consequential damages arising out of or related to your use of the platform.

You waive any right to participate in a class action lawsuit or class-wide arbitration. Any disputes arising from these Terms shall be resolved through binding arbitration in a jurisdiction of our discretion.

10. Modifications

We reserve the right to modify or update these Terms at any time without prior notice. Your continued use of the platform after any changes constitutes acceptance of the revised Terms.

11. Termination

We may suspend or terminate your access to the platform at any time, with or without cause or notice, without liability.

12. Contact

If you have questions or concerns regarding these Terms, please contact us at: [email protected]