> For the complete documentation index, see [llms.txt](https://valuex.gitbook.io/valuex-whitepaper/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://valuex.gitbook.io/valuex-whitepaper/value-x-whitepaper/14..md).

# 14. Legal Notice and Disclaimer

Notice is given below of the legal nature of VLX and of this document, the restrictions on participation, and the scope of liability.

### 14.1 Definitions and Purpose

* In this document, the **"Distributor"** refers collectively to VLX Etherflow Technologies INC (registration number 155790232), established under the laws of the Republic of Panama (the "issuing and operating entity", "operating entity" and "issuer" in the main text; hereinafter the "Company"), its parent company, subsidiaries and affiliates, and their respective officers and employees, directors and agents.
* This document has been prepared solely to provide information to persons wishing to participate in the project, and it may not be construed, under the laws of Panama or of any other jurisdiction, as a prospectus for raising investment, a solicitation of subscriptions for securities, or an offer intended to induce the purchase of financial investment products.

### 14.2 Nature of the Token and Jurisdictional Risks

* The virtual asset **VLX** described in this document is a **utility token** designed for purposes such as using infrastructure within the ecosystem and paying service fees. VLX does not grant any co-ownership interest in, or cash claim on, real estate, intellectual property or any other specific asset, and it does not create any equity structure, shareholder rights or ownership in the Distributor.
* The legal classification of virtual assets may differ depending on the laws of the user's jurisdiction (country). The Distributor does not definitively guarantee that VLX will be classified as a non-security asset in every jurisdiction. Project participants are responsible for reviewing for themselves whether the acquisition, holding and trading of VLX are permitted under the laws of their place of residence and jurisdiction, and participants bear in full the risks arising from changes in the relevant regulations.

### 14.3 Prohibited Jurisdictions

* The offer to acquire and sell this virtual asset does not apply to residents of restricted jurisdictions. For **residents of the United States (USA), China (PRC), Singapore, the Republic of Korea and the mainland of the Republic of Panama**, and for residents, citizens or resident entities of regions where virtual asset trading is prohibited or may be subject to securities regulation, such as high-risk countries designated by the FATF (Financial Action Task Force), the extent to which AetherFlow and VLX-related services can be used may be restricted under the relevant laws and the licensing and reporting requirements of each service. Separately from the general technical functions of a non-custodial wallet, services relating to the trading, exchange, brokerage, custody and payment of VLX are provided only through businesses or partners that hold the licenses or have made the filings required in the relevant region. The specific functions available and the restricted regions are governed by the terms of use of each service and by separate notices.

### 14.4 Risks of the Technical Structure and the Directly Operated Asset Exchange Service

* **Network architecture:** Value X Chain is an independent blockchain separate from the Avalanche C-Chain and has adopted the Avalanche L1 structure introduced under ACP-77. Validators are registered on the Avalanche P-Chain, and the obligations to validate the Primary Network and to stake 2,000 AVAX do not apply. Validators operate under the Avalanche L1 validation fee structure and Value X Chain's network policies.
* **Liquidity exchange service model:** The directly operated asset exchange function provided by AetherFlow Wallet is not a trustless bridge that locks assets and issues wrapped tokens on the other chain. It is **a liquidity intermediation structure that converts assets into one another at pre-registered reference prices and pays them out within the base inventory (Liquidity Pool) of the custody contracts deployed on each chain**. Participants must fully understand the following risk factors before using the service.
  * **Operating entity credit risk:** The service may be affected by the system status and creditworthiness of the operating entity, which is responsible for the custody and matching of assets.
  * **Payout inventory shortage risk:** Exchanges are executed only within the available inventory, so transactions may be delayed or restricted if liquidity is temporarily depleted. Inventory is not reserved at the preview stage; it is reserved when the actual transaction is signed.
  * **Pricing risk:** Assets are converted at pre-registered reference prices, so differences from external market prices may arise during sharp market volatility.
  * **Payout delay risk:** Completing a payout may take time because of network congestion on the destination chain or the process of confirming finality on the source chain.
  * **Settlement signer risk:** The service relies on trust in the key management and multisig structure of the verifying party (Signer) responsible for approving and signing transactions.

### 14.5 Contractual Framework

* This document itself does not create any legally binding contract or commitment between the recipient and the Distributor. The act of reviewing this document does not by itself give rise to any legal obligation.
* The actual acquisition and trading of VLX and participation in the ecosystem take legal effect upon express agreement to the **"Terms of Service" or "Agreement Terms"**, which are provided separately from this document, and completion of the formal signing (or electronic approval) procedure. If the content of this document conflicts with the content of the separate Agreement Terms, the Agreement Terms, which govern the specific rights and obligations between the parties, prevail.

### 14.6 KYC and AML/CFT Compliance

* The Distributor establishes and maintains Know Your Customer (KYC) and Anti-Money Laundering (AML) frameworks in accordance with the recommendations of the Financial Action Task Force (FATF) and the relevant laws of the Republic of Panama (laws on money laundering, terrorist financing and the prevention of weapons proliferation). Some procedures, such as user identity verification, sanctions screening and transaction monitoring, may be performed by specialized partners that have the necessary qualifications and systems. The division of customer verification procedures that apply to the card payment function follows Section 8.6.
* Every participant wishing to acquire VLX must accurately provide the identity documents, proof of source of funds and other relevant information requested by the Distributor. If a participant provides false information or the source of funds is unclear, the Distributor may refuse, suspend or cancel the distribution of tokens without prior notice. Persons subject to international sanctions (such as OFAC) are excluded from participation from the outset.

### 14.7 Privacy Policy

* The Distributor, or a partner entrusted by it, may collect and process participants' personally identifiable information (name, nationality, wallet address, copy of identification document, etc.) for KYC/AML procedures and the operation of the ecosystem.
* All personal information collected is securely encrypted and stored, and it is used only for legitimate operational purposes and to fulfill legal obligations. Except where a judicial authority makes a request that is legally binding, the Distributor does not provide personal information to third parties without authorization and without the participant's consent. Details are governed by the separate **"Privacy Policy"**.

### 14.8 Accuracy of Information and Forward-Looking Statements

* The content of this document includes the Distributor's future business plans and technology roadmap and may be revised and updated periodically, without notice, depending on market conditions. The Distributor does not guarantee that the information in this document is always up to date or exhaustive.
* Third-party data cited in this document is attributed to reliable sources, but the Distributor has not individually reviewed it or guaranteed its integrity. Nothing in this document should be regarded as legal, financial, tax or other professional advice.

### 14.9 Limitation of Liability and Governing Law

* Project participants must be aware of all risks, including the technical uncertainty and price volatility of the virtual asset ecosystem, and must decide to participate on their own responsibility.
* This disclaimer applies only to the maximum extent permitted by applicable law. **Except for direct damages caused by the willful misconduct or gross negligence of the Distributor**, the Distributor is not liable for any direct or indirect losses arising in the course of using the information in this document or participating in virtual asset transactions.
* All legal disputes arising in connection with this document and participation in the project are subject to **the laws of the Republic of Panama as the governing law** and are resolved through the competent court located in Panama City.

### 14.10 Third-Party Platforms

* VLX may be integrated with third-party platforms that are operated independently under separate agreements.
* Such platforms bear no obligation to guarantee the price, redemption, returns or principal of VLX, and responsibility for the services of each platform lies with its respective operator.

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