last updated: may 21, 2025
DESCRIPTION OF SERVICES
The Katana Services (Cayman) Ltd., a Cayman Islands company (“Foundation,” “we,” “us” and “our”) provides access to a limited, non-custodial web-based user interface at www.app.katana.network (the “Interface”) that may be used by you (“you,” “your,” and “yours”, and the “user”). The interface (a) assists eligible users to directly interact with certain decentralized smart contracts deployed on public blockchain networks by the Yearn DAO (“Yearn”) and governed by the Yearn Protocol (www.yearn.fi) (the “Yearn Protocol”), and (b) notifies users about their receipt of a free Krate (“Krate Giveaway” or “Free Krate”), and facilitates the Krate Giveaway (together with other functionalities that we may provide from time to time, the “Services”).
INITIAL DEPOSIT
The Interface facilitates the Services, and provides a front-end tool that enables you to use your own wallet to initiate transactions directly between yourself and the Yearn Protocol. Upon successfully connecting your wallet on the Interface, you may choose to deposit certain specified tokens (e.g., USDC, USDT, etc.) to an Ethereum-based smart contract built, launched, and controlled by Yearn (a “Yearn Vault” or “yVault”) developed, deployed, and controlled by the Yearn Protocol. Each of these is governed by, and subject to, the Yearn governance and Yearn’s systems. To learn more about Yearn please visit www.yearn.fi, and to learn more about Yearn’s governance please visit www.docs.yearn.fi/contributing/governance.
Deposit Restrictions
You will not be able to withdraw or otherwise transfer the funds deposited by you to a Yearn Vault until as late as 7 days following the launch and deployment (“Release Date”) of Katana blockchain's (“Katana Network”) public mainnet (the “Katana Mainnet”), and will be subject to the Yearn Portfolio management mandate and autonomous logic of the applicable Yearn Vault, the contract address of which is here, and subject to terms set forth by Yearn at www.yearn.fi.
Users should not use multi-signature wallets, or wallets based on smart contracts, which may not be eligible to receive certain Krate Giveaway Items.
Your deposit will not be accessible to you, nor qualified to receive yield from the Yearn Protocol, until the Release Date. For additional information on these potential uses and associated risks, please visit www.docs.yearn.fi/getting-started/intro. Upon the deployment of the Katana Mainnet, expected to occur prior to July 1, 2025, your deposit will be made accessible to you by the Yearn Protocol by using the “withdraw” function made available by Yearn on the Yearn interface integrated on the Protocol Mainnet. Alternatively, you may leave your deposit in the Yearn Vault where it will, upon launch and deployment of Katana Mainnet, generate yield on the Yearn Protocol on Katana Network.
By using the Interface, you understand and agree that Foundation does not take custody or control your funds or your assets contained in your wallet. All transactions are initiated and executed directly by you using your wallet and your wallet keys, and are sent directly from your wallet to Yearn. The Foundation does not control or operate the Yearn Protocol, any yVault, any Yearn Protocol management or portfolio actions, or the underlying Yearn Protocol smart contract.
Qualifying Deposits
Upon making a fully refundable Qualifying Deposit (defined below), you become eligible to receive one Free Krate in the Krate Giveaway. A “Qualifying Deposit” is a fully refundable deposit of the equivalent of one hundred and fifty U.S. dollars ($150) into a designated yVault, using a qualifying wallet, in a qualifying digital currency, such as ETH, USDC, USDT, or WBTC, and satisfying any other requirements set forth on the Interface. Each Free Krate contains, on a randomized basis, non-fungible tokens (“NFTs”), Katana Tokens (“KAT Tokens”), or AUSD, Morpho, or Sushi tokens (“Core App Tokens”) (each item a “Krate Giveaway Item”). Each Free Krate is awarded free of charge, and the deposit is fully refundable. The specific Krate Giveaway Items in any specific Krate are determined at random, in a manner chosen by the Foundation in its sole discretion, and subject to the Terms and Conditions herein, and receipt of any particular Krate item is not guaranteed.
Upon the deposit of a Qualifying Deposit to a yVault, the Interface will notify you that you have been awarded a Free Krate. You will not be able to immediately access or transfer the items reflected in your Free Krate. Upon launch of the Katana Mainnet your Free Krate Items will be reflected in your wallet on Katana Mainnet. Any Free Krate NFTs will be distributed on ETH Mainnet.
Krate Items in the form of KAT Tokens will be subject to a lockup period, which shall not exceed nine months following your receipt of the KAT Token. Additional information about KAT Tokens can be found on www.katana.network/blog. Other Krate Giveaway Items aside from KAT Tokens are not likely subject to a lockup.
The Foundation makes no promise or guarantee regarding the nature, value, or contents of Free Krates or Krate Giveaway, including without limitation any NFT or KAT Token, or Core App Tokens. Furthermore, as described in the Terms of Use below, the Foundation does not control or operate critical infrastructure supporting your deposit, including without limitation Ethereum, Yearn, the yVaults, your wallet, or your assets. You are encouraged to explore each such item of infrastructure. All interactions and transactions initiated by you through the Interface are with independently deployed smart contracts on blockchain networks, and the Foundation’s role in the Krate Giveaway is strictly limited to the provision of the Services.
TERMS OF USE
These terms of use, together with any documents and additional terms they expressly incorporate by reference, which includes any other terms and conditions or other agreement that the Foundation posts publicly or makes available to you (collectively, these “Terms”), are entered into between the Foundation and you concerning your use of, and access to, the Interface provided by the Foundation and the Services.
Please read these Terms carefully, as these Terms govern your use, rights and obligations as well as our disclaimers and limitations of legal liability in respect of the Interface and the Services. If you do not agree to these Terms, then you must not access or use the Interface or the Services.
By clicking “I agree” (or a similar language) to these Terms on the Interface, acknowledging these Terms by other means, or otherwise accessing or using the Interface or the Services, you accept and agree to be bound by and to comply with these Terms, including, without limitation, the mandatory arbitration provision in Section 22 below.
These Terms do not govern any activity in which you may engage involving cryptocurrencies and other blockchain-based assets not specifically referenced herein (collectively, “Digital Assets”) or activities or access otherwise outside of the Interface and the Services, including any transactions in which you may engage using Yearn or other platforms or websites. We disclaim any and all liability as well as warranty in this regard.
1. MODIFICATIONS TO THESE TERMS
You acknowledge and agree, and provide permissions supporting, that Foundation has the right, in its sole discretion, to modify these Terms and the Services from time to time. If the Foundation makes changes to these Terms, the Foundation will provide you with notice of such changes, such as by providing notice through the Interface or updating the “Last Updated” date at the top of these Terms. Unless we state otherwise in our notice, all such modifications are effective immediately, and your continued use of the Interface and the Services after we provide that notice will confirm your acceptance of the changes. If you do not agree to the amended Terms, then you must stop using the Interface and the Services. If you do not agree to our ability to revise the Terms, then you must stop using the Interface and the Services. You acknowledge and agree, and provide permissions supporting, that Foundation has the right to take reasonable steps (determined in its sole discretion) to resolve any bugs or deficiencies found in any software or infrastructure supporting the Services, and to find and adopt solutions, determined in Foundation’s sole discretion, to any bugs, hacks or unforeseen circumstances related to the use, award or distribution of Krates or Krate Giveaway Items, or Services.
2. DECENTRALIZED AND AUTONOMOUS OPERATION OF ETHEREUM, YEARN, YVAULTS AND RELATED SMART CONTRACTS
You acknowledge and agree that:
Ethereum is a decentralized blockchain protocol that operates on a peer-to-peer network without centralized control or oversight;
the Foundation does not own, operate, or control Ethereum, and has no unilateral ability to modify, halt, or reverse transactions that occur on Ethereum;
Yearn and yVaults were not developed by and are not deployed or maintained by the Foundation, and Foundation has no unilateral ability to modify, halt, or reverse transactions that occur within the Yearn ecosystem;
Yearn is governed by a decentralized autonomous organization and the YFI token holders, not the Foundation;
the YFI token holders are unaffiliated with and independent from the Foundation;
the Foundation is neither involved nor in any way responsible for the interactions between you and Yearn or yVaults.
the Foundation shall not be responsible or liable, directly or indirectly, for any damages or losses caused or alleged to be caused by or in connection with the use of Ethereum, Yearn, or yVaults and any action or inaction of the parties that developed, deployed, govern, or otherwise support Ethereum, Yearn, or yVaults.
The Yearn Protocol will have control of your deposit until after Katana Mainnet, and the deposit will be subject to any terms and conditions, and investment strategies, relevant to the Yearn Vault, and you have reviewed those details and agree to have your deposit governed thereby, and you agree that by using the Interface you waive any claim related thereto.
The Yearn Protocol will be deployed also on the Katana Network, and may utilize VaultBridge (additional details can be found at katana.network under “blog”, “docs” and “terms and conditions”), and you have reviewed the relevant terms and conditions and details thereto, and waive any claim arising from or related thereto.
Your deposit will not be eligible to return yield to you in the days prior to Katana Mainnet, and that after Katana Mainnet your Qualifying Deposit will be eligible to begin producing yield, or your Qualifying Deposit may be withdrawn by you to your wallet from the Yearn Vault on Katana Mainnet.
Your deposit will only be accessible to you after Katana Mainnet occurs, and then only via the Yearn application on the Katana Network protocol, and you acknowledge and accept the terms and conditions of the Katana Network protocol, which can be found at katana.network in the "docs" or "terms and conditions".
3. USE OF THE INTERFACE AND THE SERVICES
The Interface provides a web-based means of access to the Services and Yearn, a decentralized yield aggregation protocol available on Ethereum and related layer 2 blockchains that provides users the ability to earn interest on their Digital Asset holdings through a variety of on-chain strategies. Yearn allows users to deposit Digital Assets into autonomous smart contracts, known as yVaults, that deploy deposited assets into yield-generating opportunities pursuant to the pre-coded rules of the yVault smart contracts.
The Interface is distinct from Yearn. The Interface is only one, and not the exclusive, means of accessing Yearn. Yearn is composed of open-source or source-available self-executing smart contracts that are deployed on the Ethereum layer 1 blockchain and various Ethereum-based layer 2 blockchain, including, after public mainnet, the Protocol itself. Prior to launch of Katana Mainnet, anticipated to occur on or about June 30, 2025, deposits into the Yearn Protocol using the Interface will not receive yield. After the Protocol public mainnet, you will be able to receive yield earned on your Qualifying Deposits, according to Yearn’s terms and conditions that can be found on www.yearn.fi.
3.1. As a condition to accessing or using the Services or the Interface, you represent and warrant to the Foundation the following:
if you are entering into these Terms as an individual, then you are of legal age in the jurisdiction in which you reside and you have the legal capacity to enter into these Terms and be bound by them;
if you are entering into these Terms as an entity, then you must have the legal authority to accept these Terms on that entity’s behalf, in which case “you” (except as used in this paragraph) will mean that entity;
you are not a resident, national, or agent of the Crimea, Donetsk and Luhansk regions, Cuba, Iran, North Korea, Syria, or any other country to which the United States, the United Kingdom or the European Union embargoes goods or imposes similar sanctions (collectively, “Restricted Territories”);
you are not a member of any sanctions list or equivalent maintained by the United States government, the United Kingdom government, the European Union, or the United Nations (collectively, “Sanctions Lists Persons”);
you do not intend to transact with any Restricted Person or Sanctions List Person;
you do not, and will not, use VPN software or any other privacy or anonymization tools or techniques to circumvent, or attempt to circumvent, any restrictions that apply to use or access of the Interface or the Services; and
your use of or access to the Services and/or Interface is not (a) prohibited by and does not otherwise violate or assist you to violate any domestic or foreign law, rule, statute, regulation, by-law, order, protocol, code, decree, or another directive, requirement, or guideline, published or in force that applies to or is otherwise intended to govern or regulate any person, property, transaction, activity, event or other matter, including any rule, order, judgment, directive or other requirement or guideline issued by any domestic or foreign federal, provincial or state, municipal, local or other governmental, regulatory, judicial or administrative authority having jurisdiction over the Foundation, you, the Interface or the Services, or as otherwise duly enacted, enforceable by law, the common law or equity (collectively, “Applicable Laws”); or (b) contribute to or facilitate any illegal activity.
3.2. As a condition to accessing or using the Services or the Interface, you further acknowledge, understand, and agree to the following:
from time to time the Interface and the Services may be inaccessible or inoperable for any reason, including, without limitation: (a) equipment malfunctions; (b) periodic maintenance procedures or repairs that the Foundation or any of its suppliers or contractors may undertake from time to time; (c) causes beyond the Foundation’s control or that the Foundation could not reasonably foresee; (d) disruptions and temporary or permanent unavailability of underlying blockchain infrastructure; or (e) unavailability of third-party service providers or external partners for any reason;
we reserve the right to disable or modify access to the Interface and the Services at any time in the event of any breach of these Terms, including, without limitation, if we reasonably believe any of your representations and warranties may be untrue or inaccurate in any respect, and we will not be liable to you for any losses or damages you may suffer as a result of or in connection with the Interface or the Services being inaccessible to you at any time or for any reason;
the Interface and the Services may evolve, which means the Foundation may apply changes, replace, or discontinue (temporarily or permanently) the Services at any time in its sole discretion;
the information provided on the Interface does not represent an offer, a solicitation of an offer, or any advice regarding, or recommendation to enter into, a transaction with the Foundation or any other individual or entity;
the Foundation does not act as an agent for you or any other user of the Interface or the Services;
you are solely responsible for your use of and access to the Interface and the Services, including, without limitation, all of your transfers and receipts of Digital Assets;
to the fullest extent not prohibited by Applicable Law, we owe no fiduciary duties to you or any other party, and have no liability to you or any party, and that to the extent any such duties or liabilities may exist at law or in equity, you hereby irrevocably disclaim, waive, and eliminate those duties and liabilities;
you are solely responsible for reporting and paying any taxes incurred in connection with your use of the Interface or the Services;
we have no control over, or liability for, the delivery, quality, safety, legality, or any other aspect of any Digital Assets that you may transfer to or receive from a third party, including the Yearn Protocol, and we are not responsible for ensuring that an entity with whom you transact completes the transaction or is authorized to do so (or repays any amounts it may be required to repay to you), and if you experience a problem with any transactions in Digital Assets using the Interface or the Services, then you bear the entire risk;
the Foundation does not control or operate any version of the Yearn Protocol or yVaults on any blockchain network;
by using the Interface and the Services, you are not transacting in Digital Assets with us and we do not operate any yVaults or control or influence transaction execution;
to access the Interface, you must use your wallet, which allows you to interact with public blockchains;
your relationship with your wallet provider is governed by the applicable terms of service of such third party;
we do not have custody or control over the your wallet or the contents therein, and we have no ability to retrieve, transfer or otherwise handle your wallet, its contents or your private key; and
by connecting your wallet to our Interface, you agree to be bound by the Terms.
3.3. As a condition to accessing or using the Services or the Interface, you covenant to the Foundation the following:
you will obey all Applicable Laws in connection with using the Interface and the Services, and you will not use the Interface or the Services if the laws of your country, or any other Applicable Law, prohibit you from doing so;
any Digital Assets you use in connection with the Interface and the Services are either owned by you or you are validly authorized to carry out actions using such Digital Assets; and
in addition to complying with all restrictions, prohibitions, and other provisions of these Terms, you will (a) ensure that, at all times, all information that you provide when using the Interface and the Services is current, complete, and accurate and (b) maintain the security and confidentiality of your private keys associated with your wallet, passwords, API keys and other related credentials.
4. USER RESPONSIBILITIES; WALLET
4.1. In order to use certain features of the Interface and Services, you will be required to connect your wallet to the Interface. You acknowledge that we are not responsible for transferring, safeguarding, or maintaining your private keys or any Digital Assets associated with your wallet. If you lose, mishandle or have stolen your wallet private keys, you acknowledge that you may not be able to recover associated Digital Assets and that we are not responsible for such loss.
4.2. You acknowledge that you may disconnect your wallet from the Interface at any time.
4.3. You agree that you will not use the Interface or the Services to engage in any Digital Asset transaction that would be in violation of Applicable Law.
4.4. You acknowledge and agree that we may restrict, suspend or close your access to the Interface or the Services for any reason or no reason, including if we reasonably believe that you have breached any of the Terms.
4.5. You acknowledge and agree that you must provide all equipment, connectivity, and software necessary to connect to the Interface and use the Services. You are solely responsible for any costs and expenses, including Internet connection fees, gas fees, or mobile fees, which you incur when accessing the Interface and the Services.
5. KRATES AND KRATE GIVEAWAY
In connection with the Krate Giveaway, you agree and acknowledge that:
5.1. By depositing Digital Assets into yVaults, and receiving Krates, you acknowledge and agree that: (i) the probability of receiving any specific Krate Giveaway Item, or value in the Krate Giveaway is uncertain, and (ii) the potential value or utility of any Krate Giveaway Item in the Krate Giveaway Item is uncorrelated with your deposit in Yearn Vaults.
5.2. If you are unable to claim Krates, Krate Giveaway Items, or participate in the Krate Giveaway due to technical bugs, smart contract issues, gas fees, wallet incompatibilities, loss of access to your wallet or the key thereto, or for any other reason, you will have no recourse or claim against the Foundation or any of its affiliates. In any such cases, by using the Interface you acknowledge and agree that neither the Foundation nor any of its affiliates will bear any responsibility, or liability.
5.3. Claiming Krates or Krate Giveaway may require interaction with, reliance on, or an integration with third-party products or services (e.g., a wallet or a network or blockchain) that we do not control. In the event that you are unable to access such products, services, or integrations, or if they fail for any reason, and you are unable to participate in the Protocol pre-deposit mechanism or claim Krates, Krate Items, or Krate Giveaway thereunder as a result, you agree that you will have no recourse or claim against the Foundation or any of its affiliates, and neither Foundation nor any affiliate thereof shall bear any responsibility or liability to you.
5.4. The Foundation’s liability is limited only to using good faith efforts to deliver the claimed Krate Giveaway to you in accordance with these Terms. Any other liability, including without limitation you failing to claim your Krate Giveaway, shall not in any way be held as a liability of the Foundation or any affiliate thereof in accordance with these Terms.
5.5. These Terms apply to the Services and the Krate Giveaway, and govern your use of the Interface and Services, and you acknowledge and agree to all of the risks and fees and limitations of the Interface and Services referenced herein.
6. NETWORK FEES
In connection with your use of the Interface and the Services, you are required to pay all fees necessary for interacting with any blockchain, including “gas” costs. You acknowledge and agree that the Foundation is not responsible for any such fees.
7. NO PROFESSIONAL ADVICE OR FIDUCIARY DUTIES
All information provided in connection with your access to and use of the Interface and the Services is for informational purposes only and should not be construed as professional advice. You should not take, or refrain from taking, any action based on any information contained on the Interface or any other information that we make available at any time, including, without limitation, blog posts, articles, links to third-party content, discord content, news feeds, tutorials, tweets, and videos. Before you make any financial, legal, or other decisions involving the Services, you should seek independent professional advice from an individual who is licensed and qualified in the area for which such advice would be appropriate. These Terms are not intended to, and do not, create or impose any fiduciary duties on us. You further agree that the only duties and obligations that we owe you are those set out expressly in these Terms.
8. PROHIBITED ACTIVITY
You may not use the Interface or the Services to engage in the categories of activity set forth below, as well as any other similar or related activities (“Prohibited Uses”). The specific activities set forth below are representative, but not exhaustive, of Prohibited Uses. By using the Interface or the Services, you confirm that you will not use the Interface or Services to do any of the following:
violate any Applicable Laws including, without limitation, any relevant and applicable anti-money laundering and anti-terrorist financing laws and sanctions programs, such as, without limitation, the Bank Secrecy Act and the U.S. Department of Treasury’s Office of Foreign Asset Controls;
violate any Applicable Law including, without limitation, those related to securities and derivatives regulation, or gambling;
engage in transactions involving items that infringe or violate any copyright, trademark, right of publicity or privacy or any other proprietary right under Applicable Law;
use the Foundation’s intellectual property, name, or logo, including the Foundation’s trade or service marks, without express consent from the Foundation or in a manner that otherwise harms the Foundation or implies an untrue endorsement by or affiliation with the Foundation;
use the Interface or the Services in any manner that could interfere with, disrupt, negatively affect, or inhibit other users from fully enjoying the Interface or the Services, or that could damage, disable, overburden, or impair the functioning of the Interface or the Services in any manner;
circumvent any content-filtering techniques, security measures or access controls that the Foundation employs on the Interface, including, without limitation, through the use of a VPN;
use any robot, spider, crawler, scraper, or other automated means or interface not provided by us, to access the Interface or the Services or to extract data, or introduce any malware, virus, trojan horse, worm, logic bomb, drop-dead device, backdoor, shutdown mechanism or other harmful material into the Interface or the Services;
provide false, inaccurate, or misleading information while using the Interface or the Services or engage in activity that operates to defraud the Foundation, other users of the Interface or Services, or any other person;
use or access the Interface or the Services to transmit or exchange Digital Assets that are the direct or indirect proceeds of any criminal or fraudulent activity, including, without limitation, terrorism or tax evasion;
use the Interface in any way that is, in our sole discretion, libelous, defamatory, profane, obscene, pornographic, sexually explicit, indecent, lewd, vulgar, suggestive, harassing, stalking, hateful, threatening, offensive, discriminatory, bigoted, abusive, inflammatory, fraudulent, deceptive, or otherwise objectionable or likely or intended to incite, threaten, facilitate, promote, or encourage hate, racial intolerance, or violent acts against others;
use the Interface or the Services from a jurisdiction where the use of the Interface or the Services is prohibited;
harass, abuse, or harm of another person or entity, including the Foundation’s employees and service providers;
impersonate another user of the Interface or the Services or otherwise misrepresent yourself; or
encourage, induce or assist any third party, or yourself attempt, to engage in any of the activities prohibited under this Section 9 or any other provision of these Terms.
9. CONTENT
You hereby grant to us a royalty-free, fully paid-up, sublicensable, transferable, perpetual, irrevocable, non-exclusive, worldwide license to use, copy, modify, create derivative works of, display, perform, publish and distribute, in any form, medium, or manner, any content that is available to other users as a result of your use of the Interface or the Services (collectively, “Your Content”), including, without limitation, for promoting the Foundation, its affiliates, the Services or the Interface. You represent and warrant that (a) you own Your Content or have the right to grant the rights and licenses in these Terms; and (b) Your Content and our use of Your Content, as licensed herein, does not and will not violate, misappropriate or infringe on any third party’s rights.
10. PROPRIETARY RIGHTS
10.1. You acknowledge that the Interface or the Services may use, incorporate or link to certain open-source components and that your use of the Interface or Services is subject to, and you will comply with any, applicable open-source licenses that govern any such open-source components (collectively, “Open-Source Licenses”). Without limiting the generality of the foregoing, you may not (a) resell, lease, lend, share, distribute, or otherwise permit any third party to use the Interface or the Services; (b) use the Interface or the Services for time-sharing or service bureau purposes; or (c) otherwise use the Interface or the Services in a manner that violates the Foundation License or any other Open-Source Licenses.
10.2. Excluding the open-source software described in Section 10.1 or third-party software that the Interface or the Services incorporates, as between you and the Foundation, the Foundation owns the Interface and the Services, including all technology, content, and other materials used, displayed, or provided on the Interface or in connection with the Services (including all intellectual property rights subsisting therein), and hereby grants you a limited, revocable, transferable, license to access and use those portions of the Interface and the Services that are proprietary to the Foundation.
10.3. Any of the Foundation’s product or service names, logos, and other marks used on the Interface or as a part of the Services, including the Foundation’s name and logo, are trademarks owned by the Foundation, its affiliates, or its applicable licensors. You may not copy, imitate, or use them without the prior written consent of the Foundation or the applicable licensors, and these Terms do not grant you any rights in those trademarks. You may not remove, obscure, or alter any legal notices displayed in or along with the Services.
11. LINKS
The Interface and/or the Services provide, or third parties may provide, links to other World Wide Web or accessible sites, applications, or resources. You acknowledge and agree that the Foundation is not responsible for the availability of such external sites, applications or resources, and does not endorse and is not responsible or liable for any content, advertising, products, or other materials on or available from such sites or resources. You further acknowledge and agree that the Foundation shall not be responsible or liable, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with use of or reliance on any such content, goods, or services available on or through any such site or resource.
12. MODIFICATION, SUSPENSION, AND TERMINATION
We may, at our sole discretion, from time to time and with or without prior notice to you, modify, suspend or disable (temporarily or permanently) the Interface and the Services, in whole or in part, for any reason whatsoever. Upon termination of your access, your right to access and use the Interface or the Services will immediately cease. We will not be liable for any losses suffered by you resulting from any modification to the Interface or the Services, or from any modification, suspension, or termination, for any reason, of your access to all or any portion of the Interface or the Services.
13. ADDITIONAL RISKS RELATED TO THE INTERFACE AND THE SERVICES
13.1. You acknowledge and understand that the Interface and the Services could be impacted by one or more regulatory inquiries or regulatory actions, which could impede or limit the ability of the Foundation to continue to make available its proprietary software and, thus, could impede or limit your ability to access or use the Interface or the Services.
13.2. You acknowledge and understand that cryptography is a progressing field with advances in code cracking or other technical advancements, such as the development of quantum computers, which may present risks to Digital Assets and the smart contracts to which the Interface and the Services facilitate access, and could result in the theft or loss of your Digital Assets.
13.3. You acknowledge that the Interface and the Services are subject to flaws and that you are solely responsible for evaluating any code provided by the Services or Interface. This warning and others the Foundation provides in these Terms in no way evidence or represent an on-going duty to alert you to all of the potential risks of utilizing the Services or the Interface.
13.4. Although we intend to provide accurate and timely information on the Interface, the Interface and other information available when using the Services may not always be entirely accurate, complete, or current and may also include technical inaccuracies or typographical errors. To continue to provide you with as complete and accurate information as possible, information may be changed or updated from time to time, including, without limitation, information regarding our policies. Accordingly, you should verify all information before relying on it, and all decisions based on information contained on the Interface or as part of the Services are your sole responsibility.
13.5. Any reference to a type of Digital Asset on the Interface or otherwise during the use of the Services does not indicate our approval or disapproval of the technology on which the Digital Asset relies, and should not be used as a substitute for your understanding of the risks specific to each type of Digital Asset.
13.6. We must comply with Applicable Law, which may require us to, upon request by government agencies, take certain actions or provide information, which may not be in your best interests.
13.7. You hereby assume, and agree that the Foundation will have no responsibility or liability for, the risks set forth in these Terms, including this Section 13. You hereby irrevocably waive, release and discharge all claims, whether known or unknown to you, against the Foundation, its launch partners, its affiliates, and their respective shareholders, members, council, directors, officers, employees, agents, and representatives, suppliers, service providers, and contractors related to any of the risks set forth in these Terms, including this Section 13.
14. ADDITIONAL RISKS RELATED TO YEARN AND YVAULTS
14.1. yVaults are designed to be non-custodial, such that users retain control of their deposited assets via tokenized vault shares. The Yearn multisignature wallet (“Yearn Multisig”) has limited authority to pause or withdraw funds from yield-generating strategies associated with yVaults. Yearn users remain subject to structural governance decisions, and changes in smart contract functionality may be implemented through Yearn’s governance processes and protocol updates.
14.2. Yearn smart contracts may contain unknown vulnerabilities or be affected by bugs. Such flaws may result in loss of funds, unintended behaviors, or susceptibility to exploits. The security of yVaults is also dependent on the safety and integrity of the third-party protocols and strategies into which yVaults allocate funds. Even audited Yearn code may be compromised by risks external to the Yearn protocol.
14.3. yVaults optimize and auto-compound yield by deploying user funds across a variety of external blockchain protocols that are developed and deployed by unaffiliated third parties. Users are exposed to the financial and technical risks associated with these third-party protocols, including but not limited to impermanent loss, de-pegging of stablecoins, liquidating events, and failure of third-party smart contracts. Yearn contributors may utilize various tools, including internal and third-party risk assessments systems (e.g., www.dune.com; www.seafood.yearn.watch/risk), to evaluate and monitor these exposures; however, such evaluations may be based on incomplete, evolving, or inaccurate information.
14.4. When depositing funds into a yVault, you consent to the allocation of those funds pursuant to strategies selected and managed by Yearn contributors (i.e., strategy creators) and encoded into the smart contracts that underlie a particular yVault. Gains and losses incurred through a yVault’s strategy are socialized across all depositors in that yVault. While Yearn strategy creators may also be participants in the applicable yVault, and therefore share aligned incentives with other depositors, no guarantee is provided as to the profitability, risk tolerance, or performance of any yVault. You should conduct your own diligence and determine whether such shared outcomes are suitable for your risk profile.
14.5. The Foundation has no control over Yearn or the yVaults. You hereby assume, and agree that the Foundation will have no responsibility or liability for, the risks set forth in these Terms, including this Section 14. You hereby irrevocably waive, release and discharge all claims, whether known or unknown to you, against the Foundation, its affiliates, and their respective shareholders, members, council, directors, officers, employees, agents, and representatives, suppliers, and contractors related to any of the risks set forth in these Terms, including this Section 14.
15. ADDITIONAL RISKS RELATED TO KAT TOKENS
15.1. KAT Tokens are designed to be used on the Protocol once launched. There can be no assurance that KAT Tokens will function as intended or as described on any website or in other communications, or will be maintained and further developed according to current plans.
15.2. Significant technological, market and economic factors may adversely affect your ability to use KAT Tokens:
15.2.1 No Market for the Token. There is no public market for KAT Tokens, and the Foundation does not control the development of such a market. A public market may not develop or be sustainable, and you may not be able to sell your KAT Tokens. Furthermore, the Foundation cannot control how KAT Token holders or third-party exchanges or platforms may support the KAT Token, if at all. Even if a public market for the KAT Token develops, such a market may be relatively new and subject to little or no regulatory oversight, making it more susceptible to fraud or manipulation.
15.2.2 Extreme Illiquidity. There will be significant restrictions on the transferability of your KAT Tokens. The transfer restrictions on your KAT Tokens will remain in place for a significant period of time and new transfer restrictions may be imposed on little or no notice to you. Even if a market does eventually exist, you may not be able to freely sell or transfer your KAT Tokens. If you can freely sell your KAT Tokens after some period of time, the depth and volume in that market may be insufficient for you to sell without substantial price concessions.
15.2.3 Inflation. Due to the nature and operation of blockchain protocols, the total amount of circulating KAT Tokens could increase as a result of any number of occurrences, including additional users participating in the pre-launch deposit program. An increase in the quantity of KAT Tokens, or inflation, could adversely impact you as a holder of KAT Tokens.
15.2.4 Adverse Activities in Secondary Markets. Secondary market activities that are beyond the control of the Foundation could develop that are adverse to your ability to use KAT Tokens. Even with significant transfer restrictions intended to support long-term alignment with the Protocol community, significant concentrations in KAT Token positions may be present among a relatively small group of KAT Token holders, exposing you to significant risks of volatility, herd trading, “dumping,” or other correlated secondary market activities. These risks will be considerable following expiration of the lock-up period applicable to KAT Token holders engaged in the pre-launch deposit program.
15.2.5 Experimental Features and Uses. KAT Tokens may be upgradeable to have experimental features and uses. Future features and uses may prove not to be valuable, usable, or viable, and contributors may fail to adequately research and develop any such upgrades. Under current plans, and over time, the Foundation may not have the ability to effectuate upgrades to implement new features and use cases. Such upgrades may not be approved in Protocol governance or may be adopted with security flaws or with unexpected or harmful changes that are adverse to your ability to use your KAT Tokens.
16. ADDITIONAL LEGAL AND REGULATORY RISK
16.1. Risks of New & Evolving Laws and Regulations. There is significant risk surrounding the ongoing development of regulatory frameworks governing blockchain technology across jurisdictions, including in the United States, and as the blockchain, Digital Assets, and web3 industry continues to grow, regulatory scrutiny may increase. The Foundation, the Interface, the Services, Krates, Krate Giveaway or other entities or assets associated with the foregoing may be found to be subject to certain laws or regulatory regimes that could adversely impact you. Additionally, laws or interpretations may change and the Foundation, the Interface, the Services, Krates, Krate Giveaway or other entities or assets associated with the foregoing may be subject to new or changed laws or regulations in the future. Any restrictive or prohibitive legislation or regulation on blockchains or Digital Assets could impair the Foundation, the Interface, the Services, Krates, Krate Giveaway or other entities or assets associated with the foregoing. To the extent licenses, permits, or other authorizations are required in one or more jurisdictions in which the Foundation is deemed to operate, there is no guarantee that the Foundation or another party will be able to secure such licenses, permits, or authorizations in order for the Foundation, the Interface and the Services to continue to operate. Significant changes may need to be made to comply with any licensing and/or registration requirements (or any other legal or regulatory requirements) in order to avoid violating Applicable Law or because of the cost of such compliance. Uncertainty in how the legal and regulatory environment will develop could negatively impact the development, growth, and utilization of the Interface, the Services, Krates, Krate Giveaway or other entities or assets associated with the foregoing.
16.2. Risks of KAT Tokens or KAT Token Transactions Being Deemed Securities or Other Regulated Instruments. The U.S. Securities and Exchange Commission (“SEC”) and its staff have taken the position that certain Digital Assets and Digital Asset Transactions fall within the definition of a “security” under the U.S. federal securities laws. The legal test for determining whether any given Digital Asset or transaction is a security is a highly complex, fact-driven analysis that evolves with U.S. case law and developments over time, and the outcome(s) or conclusion(s) of any such legal analysis may be uncertain or evolve in ways that are difficult to predict. The SEC generally does not provide advance guidance on or confirmation of whether any particular token or transaction is or may be a security. Furthermore, the SEC’s views in this area have evolved over time and it is difficult to predict the direction or timing of any continuing evolution. It is also possible that legislative or judicial developments or a change in the governing administration or the appointment of new SEC commissioners could substantially impact the views of the SEC and its staff. Further, certain Digital Assets or transactions may be deemed to be other types of regulated financial instruments or transactions in the U.S.; or securities or other regulated financial instruments or transactions in other jurisdictions. As a result, certain Digital Assets or transactions may be deemed to be “securities” or other regulated financial instruments or transactions under the laws of some jurisdictions, but not others. Various foreign jurisdictions may, in the future, adopt additional laws, regulations, or directives that affect the characterization of certain Digital Assets or transactions as “securities” or other regulated financial instruments. The classification of a Digital Asset or transaction as a security or regulated financial instrument under Applicable Law has wide-ranging implications for the regulatory obligations that could be imparted on the Foundation, Interface or Services users, or holders of KAT Tokens, including obligations that could make the Interface or the Services not viable to continue to operate or negatively impact the development, growth, and utilization of the Interface and Services, and liquidity and market sentiment around KAT Tokens.
16.3. Risk of Third-Party Illegal Activity. Third parties may exploit the Interface, the Services, Yearn, yVaults or KAT Tokens to facilitate illegal activity including fraud, money laundering, gambling, tax evasion, sanctions evasion, and scams. If any third party engages in such illegal activities, that and the legal and regulatory consequences of those activities could negatively impact the development, growth, and utilization of the Interface, the Services, Yearn, yVaults and KAT Tokens. While we do not control your activities or the activities of others who use the Interface, the Services, Yearn, yVaults or KAT Tokens, such use for illegal or improper purposes could subject us, you, the Interface, the Services or Yearn to claims, individual and class action lawsuits, and government and regulatory investigations, prosecutions, enforcement actions, inquiries, or requests that could result in liability and reputational harm.
Certain activities that may be legal in one jurisdiction may be illegal in another jurisdiction, and certain activities that are at one time legal may in the future be deemed illegal in the same jurisdiction. In the event that a user found responsible for intentionally or inadvertently violating the laws in any jurisdiction, you or the Foundation may be subject to governmental inquiries, enforcement actions, prosecution, or held secondarily liable for aiding or facilitating such activities.
16.4. Risks Associated with the Tax Treatment of Digital Assets. Due to the new and evolving nature of Digital Assets and the absence of comprehensive legal guidance with respect to Digital Asset transactions, the taxation of Digital Assets is uncertain, and it is unclear what guidance may be issued in the future on the treatment of Digital Asset transactions for tax purposes. Guidance under, or changes in, the tax laws applicable to of Digital Assets, including KAT Tokens, or the Foundation and/or its activities and transactions, either directly or through subsidiaries, could adversely impact the value of KAT Tokens or your ability to use or engage with the Interface or Services, or in certain types of transactions. The Foundation or its affiliates may also have tax reporting obligations in various jurisdictions with respect to KAT Tokens or other Digital Assets associated with the Interface and the Services. You should consult a tax advisor with respect to the tax treatment of Digital Assets in your jurisdiction.
16.5. Risk of Slippage in ETH/BTC Deposits. Deposits made in crypto, without limitation ETH or BTC, may be subject to price fluctuations between the time of user transaction submission and the backend processing of such deposits. As a result, the number of Krates allocated to users may differ from what is expected at the time of deposit. While the system includes mechanisms designed to limit this impact—specifically, a 1% slippage tolerance—extreme market conditions could lead to a mismatch. In cases where the slippage exceeds this threshold, users may receive fewer Krates than initially estimated. Users should, therefore, consider market conditions and understand that this mechanism is intended to balance fairness and platform integrity under volatile market scenarios.
17. INDEMNIFICATION
You will defend, indemnify, and hold harmless the Foundation, its affiliates, and its and its affiliates’ respective stockholders, members, council, directors, officers, managers, employees, attorneys, agents, representatives, suppliers, and contractors (collectively, “Indemnified Parties”) from any claim, demand, lawsuit, action, proceeding, investigation, liability, damage, loss, cost or expense, including without limitation attorneys’ fees, arising out of or relating to (a) your use of, or conduct in connection with, the Interface or the Services; (b) Digital Assets associated with your wallet, including, without limitation, USDC, KAT Tokens and NFTs, or Core App Tokens; (c) any feedback or user content you provide to the Foundation, if any, concerning the Interface or the Services; (d) your violation of these Terms; or (e) your infringement or misappropriation of the rights of any other person or entity. If you are obligated to indemnify any Indemnified Party, the Foundation (or, at its discretion, the applicable Indemnified Party) will have the right, in its sole discretion, to control any action or proceeding and to determine whether the Foundation wishes to settle, and if so, on what terms, and you agree to corporate with the Foundation in the defense.
18. ADDITIONAL DISCLOSURES; DISCLAIMERS
The Foundation has no oversight, involvement, or control concerning your transactions facilitated by use of the Interface and the Services. All transactions facilitated by Foundation-developed open-source software, including the Interface, are executed peer-to-peer or peer-to-contract directly between the users’ wallets through a smart contract.
To the maximum extent permitted under Applicable Law, the Interface and the Services (and any of their content or functionality) provided by or on behalf of us are provided on an “AS IS” and “AS AVAILABLE” basis, and we expressly disclaim, and you hereby waive, any representations, conditions or warranties of any kind, whether express or implied, legal, statutory or otherwise, or arising from statute, otherwise in law, course of dealing, or usage of trade, including, without limitation, the implied or legal warranties and conditions of merchantability, merchantable quality, quality or fitness for a particular purpose, title, security, availability, reliability, accuracy, quiet enjoyment and non-infringement of third party rights. Without limiting the foregoing, we do not represent or warrant that the Interface or the Services (including any data relating thereto) will be uninterrupted, available at any particular time, or error-free. Further, we do not warrant that errors in the Interface or the Services are correctable or will be correctable.
You acknowledge that your data, if any, on the Interface or used through the Services, may become irretrievably lost or corrupted or temporarily unavailable due to a variety of causes, and agree that, to the maximum extent permitted under Applicable Law, we will not be liable for any loss or damage caused by denial-of-service attacks, software failures, viruses or other technologically harmful materials (including those which may infect your computer equipment), protocol changes by third-party providers, Internet outages, force majeure events or other disasters, scheduled or unscheduled maintenance, or other causes either within or outside our control.
The disclaimer of implied warranties contained herein may not apply if and to the extent such warranties cannot be excluded or limited under the Applicable Law of the jurisdiction in which you reside.
19. EXCLUSION OF CONSEQUENTIAL AND RELATED DAMAGES
In no event shall the Foundation, its affiliates, its suppliers and contractors, and its and its affiliates’, suppliers’ and contractors’ respective stockholders, members, directors, officers, managers, employees, attorneys, agents, representatives, suppliers, and contractors (collectively, the “Risk Limited Parties”) be liable for any incidental, indirect, special, punitive, consequential or similar damages or liabilities whatsoever (including, without limitation, damages for loss of fiat, assets, data, information, revenue, opportunities, use, goodwill, profits or other business or financial benefit) arising out of or in connection with the Interface and the Services, any execution or settlement of a transaction, any performance or non-performance of the Services, your Digital Assets or any other product, service or other item provided by or on behalf of the Foundation, whether under contract, tort (including negligence), civil liability, statute, strict liability, breach of warranties, or under any other theory of liability, and whether or not we have been advised of, knew of or should have known of the possibility of such damages and notwithstanding any failure of the essential purpose of these Terms or any limited remedy hereunder nor is the Foundation in any way responsible for the execution or settlement of transactions between users of the Foundation-developed open-source software.
20. LIMITATION OF LIABILITY
In no event shall the Foundation’s aggregate liability (together with its affiliates, including its and its affiliates’ respective stockholders, members, directors, managers, officers, employees, attorneys, agents, representatives, suppliers, or contractors) arising out of or in connection with the Interface and the Services (and any of their content and functionality), any performance or nonperformance of the Services, your Digital Assets, or any other product, service or other item provided by or on behalf of the Foundation, whether under contract, tort (including negligence), civil liability, statute, strict liability or other theory of liability exceed in aggregate $100.
21. DISPUTE RESOLUTION AND ARBITRATION
Please read the following section carefully because it requires you to arbitrate certain disputes and claims with the Foundation and limits how you can seek relief from the Foundation. You and the Foundation agree that any dispute arising out of or related to these Terms or the Services is personal to you and the Foundation and that any dispute will be resolved solely through individual action, and will not be brought as a class arbitration, class action, or any other type of representative proceeding.
Any dispute, controversy or claim arising out of, or in relation to, these Terms, including the validity, breach, or termination thereof, shall be resolved by arbitration in accordance with Swiss Rules for International Arbitration of the Swiss Arbitration Centre in force on the date on which the Notice of Arbitration (the “Rules”). The number of arbitrators shall be three. The seat of the arbitration shall be Zug, Switzerland. The arbitration proceedings shall be conducted in English. The arbitrator may conduct only an individual arbitration and may not consolidate more than one individual’s claims, preside over any type of class or representative proceeding or preside over any proceeding involving more than one individual.
22. GOVERNING LAW
The interpretation and enforcement of these Terms, and any dispute related to these Terms, the Interface or the Services, will be governed by and construed and enforced under the laws of Switzerland, without regard to conflict of law rules or principles that would cause the application of the laws of any other jurisdiction. The United Nations Convention for the International Sales of Goods is excluded. You agree that we may initiate a proceeding related to the enforcement or validity of our intellectual property rights in any court having jurisdiction. For any other proceeding that is not subject to arbitration under these Terms, the courts located in the canton of Zug, Switzerland will have exclusive jurisdiction. You waive any objection to venue in any such courts.
23. GENERAL INFORMATION
23.1. Please refer to our privacy policy, which is incorporated herein by reference and available at www.katana.network/legal/privacy-policy, for information about how we collect, use, share and otherwise process information about you.
23.2. You consent to receive all communications, agreements, documents, receipts, notices, and disclosures electronically (collectively, our “Communications”) that we provide in connection with these Terms, the Interface or the Services. You agree that we may provide our Communications to you by posting them on the Interface or by emailing them to you at the email address you provide in connection with using the Services, if any. You should maintain copies of our Communications by printing a paper copy or saving an electronic copy. You may also contact us with questions, complaints, or claims concerning the deposit https://discord.com/invite/yearnthe Krate Giveaway at support@katana.network.
23.3. Any right or remedy of the Foundation set forth in these Terms is in addition to, and not in lieu of, any other right or remedy whether described in these Terms, under Applicable Law, at law, or in equity. The failure or delay of the Foundation in exercising any right, power, or privilege under these Terms shall not operate as a waiver thereof.
23.4. The invalidity or unenforceability of any of these Terms shall not affect the validity or enforceability of any other of these Terms, all of which shall remain in full force and effect.
23.5. The following sections of these Terms will survive any termination of your access to the Interface or the Services, regardless of the reasons for its expiration or termination, in addition to any other provision which by law or by its nature should survive: Sections 10 through 23.
23.6. We will have no responsibility or liability for any failure or delay in performance of the Interface or any of the Services, or any loss or damage that you may incur, due to any circumstance or event beyond our control, including without limitation any flood, extraordinary weather conditions, earthquake, or other act of God, fire, war, insurrection, riot, labor dispute, accident, action of government, communications, power failure, or equipment or software malfunction.
23.7. You may not assign or transfer any right to use the Interface or the Services, or any of your rights or obligations under these Terms, without our express prior written consent, including by operation of law or in connection with any change of control. We may assign or transfer any or all of our rights or obligations under these Terms, in whole or in part, without notice or obtaining your consent or approval.
23.8. Headings of sections are for convenience only and shall not be used to limit or construe such sections.
23.9. These Terms contain the entire agreement between you and the Foundation, and supersede all prior and contemporaneous understandings between the parties regarding the Interface and the Services.
23.10. In the event of any conflict between these Terms and any other agreement you may have with us, these Terms will control unless the other agreement specifically identifies these Terms and declares that the other agreement supersedes these Terms.
23.11. You agree that, except as otherwise expressly provided in this Agreement, there shall be no third-party beneficiaries to the Agreement other than the Indemnified Parties.
