1. Volatility Risk
PWR token and Node License NFT prices may fluctuate significantly due to market dynamics, governance outcomes, and Solana network conditions. There is no guarantee that prices will recover or exceed purchase value.
2. Liquidity Risk
Secondary trading requires KYC + sanction + Cap checks, limiting the buyer pool. Immediate liquidation may not be possible.
3. Class B Lockup Risk
Class B Strategic Partners are blocked from transferring for 12 months from receipt at the contract level. No exit option even during price drops.
4. Sanction Risk
Quarterly OFAC/SDN/PEP rescreening may set sanction_cleared=false, immediately blocking all future transfers. Users are responsible for awareness of their sanction status.
5. Technical Risk
- Solana network outages (validator downtime, forks)
- Latent bugs in the Anchor program (despite external audit)
- Permanent loss of NFT if wallet private key is lost
- Potential changes to the Metaplex Core standard
6. Regulatory Risk
Changes in virtual asset / securities regulations (Singapore, US, EU, Korea, etc.) may alter the legal status or restrict trading. Exposure to evolving Howey Test interpretations.
7. Governance Risk
Layer B Advisor influence is capped at 10% per voter. Foundation multisig holds ratification authority — governance outcomes are not auto-executed.
8. Reserve · Sunset Risk
Reopen purchases (reconvert_node) trigger immediate PWR burn after 180-day cooling + governance. Remaining allocation after Phase 4 + 730 days is permanently retired (sunset_burn).
9. Refund Policy
Once transfer_node is executed (blockchain irrevocability), no refunds. Pre-transfer validation failures are refundable (per foundation policy).
10. Disclaimer
Nothing on this site constitutes investment, tax, or legal advice. Purchase decisions are made solely at the user's judgment and risk. Seek qualified professional advice as needed.
This disclosure is current as of 2026-05-21. The Foundation may update it without prior notice.