Risk Disclosure

No investment advice

Nothing provided by havl constitutes investment, financial, legal or tax advice.

Information about $havl, network rewards, staking, tokenomics or other digital assets is provided for informational purposes and to explain the functionality of the havl ecosystem.

havl does not make any representation or guarantee regarding the future value, price, liquidity or performance of $havl or any other digital asset.

You should make your own assessment and, where appropriate, seek independent professional advice.

$havl

$havl is designed as a utility and incentive mechanism within the havl ecosystem. It may be used in connection with verifier rewards, staking, network incentives and other functionality introduced as the network develops.

Holding $havl does not represent ownership of havl AB and does not, by itself, provide any right to shares, dividends, profits, revenue, management rights or other ownership interests in havl AB.

The functionality and utility of $havl may evolve over time as the network develops.

Price volatility

The market price of $havl and other digital assets may fluctuate significantly.

Prices can be affected by factors including:

• supply and demand;
• general cryptocurrency market conditions;
• liquidity;
• network adoption;
• technological developments;
• regulatory developments;
• market sentiment; and
• broader economic conditions.

The value of $havl may increase or decrease substantially over short periods and may fall to zero.

Past performance of any digital asset is not an indication of future performance.

Liquidity risk

There is no guarantee that an active or liquid market for $havl will exist.

Users may be unable to buy or sell $havl at a desired time or price. Low liquidity may also result in significant price movements when relatively small transactions occur.

The availability of $havl on a blockchain, decentralized exchange or other trading venue does not guarantee continued liquidity.

Verifier rewards

Eligible verifiers may receive rewards for completing verification tasks.

Rewards may be denominated or paid in $havl or other supported assets. The displayed value of a reward may differ from its value when received, withdrawn or exchanged.

For example, a task may have an estimated reward equivalent to a particular fiat-currency amount when completed, while the market value of the asset received may subsequently rise or fall.

Participation as a verifier does not guarantee:

• availability of verification tasks;
• any minimum level of rewards;
• continuous participation in the network;
• any particular fiat value of rewards; or
• future appreciation of $havl.

Verifier rewards are compensation or network incentives associated with participation and should not be interpreted as guaranteed investment returns.

Staking

havl may allow users to stake $havl to access network functionality or receive benefits such as XP boosts or other participation incentives.

Staking does not guarantee a financial return or an increase in the value of $havl.

Depending on the implementation, staking may involve additional risks, including:

• temporary restrictions on access to staked assets;
• smart-contract vulnerabilities;
• blockchain failures;
• changes to staking mechanisms;
• changes to network incentives; and
• changes in the market value of $havl while assets are staked.

The specific conditions applicable to staking will be presented with the relevant staking functionality.

Blockchain and smart-contract risk

havl uses or may use public blockchain infrastructure and smart contracts.

Blockchain systems can experience technical failures, congestion, network forks, attacks, software vulnerabilities or other unexpected events.

Smart contracts may contain errors or vulnerabilities that could result in unexpected behaviour or loss of digital assets.

Transactions recorded on public blockchains are generally irreversible. havl may not be able to cancel, modify or recover assets after a transaction has been confirmed.

Wallet security

Users are responsible for securing their own wallets, private keys, seed phrases and authentication credentials.

Loss or compromise of these credentials may result in permanent loss of access to digital assets.

havl will never require users to disclose their private keys or seed phrases.

Users should independently verify wallet addresses, transactions and smart-contract interactions before approving them.

Third-party infrastructure

havl may rely on third-party infrastructure, including blockchain networks, wallet providers, exchanges, tokenization providers, liquidity venues, bridges or other protocols.

Failures, interruptions, exploits, insolvency, regulatory restrictions or changes affecting third parties may affect havl functionality or users' ability to access or transfer assets.

havl does not control independent third-party networks or services.

Alternative reward assets

havl may allow eligible verifiers to select rewards in assets other than $havl.

Such assets may carry risks different from those associated with $havl. Their availability may depend on jurisdiction, third-party infrastructure and applicable regulation.

Some assets, including tokenized representations of securities or other financial instruments, may be subject to additional eligibility requirements, transfer restrictions, identity verification or geographic limitations.

Availability of an asset through havl does not constitute an endorsement, recommendation or statement regarding its suitability as an investment.

Regulatory risk

The legal and regulatory treatment of cryptocurrencies, digital assets, staking, tokenized assets and decentralized networks continues to evolve.

New laws, regulations, regulatory interpretations or enforcement actions may affect:

• the availability or functionality of $havl;
• staking;
• verifier rewards;
• trading or liquidity;
• supported reward assets;
• access from particular jurisdictions; or
• the operation of the havl network.

havl may modify, restrict or discontinue functionality where reasonably necessary to comply with applicable legal or regulatory requirements.

Tax risk

Receiving, holding, staking, transferring or disposing of digital assets may create tax obligations.

The tax treatment of digital assets varies between jurisdictions and may change over time.

Users are responsible for determining and complying with their own tax obligations. havl does not provide individual tax advice.

Technology and network risk

havl is a developing technology platform. Software defects, cybersecurity incidents, infrastructure failures, unexpected network behaviour or changes to underlying technologies may affect the availability or operation of the network.

There is no guarantee that every feature described in havl documentation, roadmaps or other materials will be implemented or remain available.

No guarantee of future value

The success of the havl network does not guarantee an increase in the market value of $havl.

Similarly, development activity, partnerships, integrations, network usage, verifier participation or adoption of havl products should not be interpreted as a promise or guarantee regarding the future price of $havl.

Users should participate in the havl ecosystem based on their assessment of its functionality and associated risks, not on an expectation of guaranteed financial returns.

Acceptance of risk

By acquiring, holding, staking or using $havl, receiving digital-asset rewards or otherwise interacting with blockchain-based features of havl, you acknowledge that you understand the risks associated with digital assets and blockchain technology.

You are responsible for evaluating whether participation is appropriate for your circumstances and jurisdiction.

You should not commit funds or assets that you cannot afford to lose.

Contact

Questions regarding this Risk Disclosure may be directed to:

havl AB

Stockholm, Sweden

Email: hello@havl.io