# Disclaimer & Risk Disclosure Users should exercise caution when interacting with any smart contract or blockchain application.\ While LayerBank conducts audits, testing, and bug bounty programs to mitigate risks, vulnerabilities in smart contract code may still exist. *** ### **Protocol Risks** LayerBank is a decentralized, permissionless money market that allows users to **supply, borrow, and stake** assets across multiple EVM chains (Linea, Rootstock, Mode, Scroll, and more). When interacting with LayerBank, users should be aware of the following risks: * **Smart Contract Risk:** Undiscovered vulnerabilities may lead to partial or total loss of funds. * **Market Risk:** Collateral values may fluctuate, potentially resulting in liquidation. * **Shortfall Events:** Certain assets may be subject to slashing or protocol-wide loss allocation in extreme events. * **Governance Risk:** DAO parameter changes (LTV, interest rate curves, reward emissions) may affect user positions. Before using LayerBank, read the documentation and fully understand how the protocol works. *** ### **No Financial Advice** Information on LayerBank’s website and documentation is provided **for informational purposes only** and does not constitute: * Investment advice * Financial advice * Trading advice * Any other form of professional advice Users are responsible for their own due diligence and decisions. *** ### **APY Guidance** All APYs displayed are **estimates** and for guidance purposes only.\ LayerBank operates across multiple chains and markets where available liquidity, utilization, and rewards fluctuate continuously. * **APYs are not real-time guarantees.** * **Past performance is not indicative of future results.** *** ### **Usage Risks** LayerBank will not be responsible for losses, damages, or claims arising from (but not limited to): * User errors (e.g. sending assets to the wrong address) * Software issues (e.g. malware, unsafe libraries, wallet bugs) * Technical failures (e.g. hardware wallet malfunction) * Unauthorized access to user wallets * Third-party risks (e.g. oracle failures, bridge exploits, counterparty defaults) *** ### **Investment Risks** Cryptocurrency and DeFi participation can result in: * Loss of principal * High price volatility * Impermanent loss (when providing liquidity) Users are solely responsible for evaluating risks and determining whether to participate. *** ### **Tax Compliance** Users are solely responsible for determining and complying with any tax obligations resulting from their activities on LayerBank. *** ### **No Warranties** LayerBank is provided on an **“as-is”** and **“as-available”** basis.\ There are no warranties of any kind regarding LayerBank’s uptime, security, or functionality.\ Services may be disabled partially or entirely without prior notice. *** ### **Security** Audits and monitoring programs reduce but do not eliminate risk.\ LayerBank cannot guarantee the protocol is completely secure or free from bugs, viruses, or potential exploits. *** ### **Limitation of Liability** Unless required by law, LayerBank contributors, developers, and governance participants are **not liable** for any damages, including (but not limited to): * Loss of use * Loss of profits * Loss of data or digital assets arising from the use of LayerBank. *** ### **Arbitration** By using LayerBank, you agree to arbitrate any dispute arising from or connected to LayerBank or this disclaimer, excluding disputes related to intellectual property (copyrights, logos, trademarks, trade names, trade secrets, or patents). --- # Agent Instructions: Querying This Documentation If you need additional information that is not directly available in this page, you can query the documentation dynamically by asking a question. Perform an HTTP GET request on the current page URL with the `ask` query parameter: ``` GET https://docs.layerbank.finance/other-information/disclaimer-and-risk-disclosure.md?ask= ``` The question should be specific, self-contained, and written in natural language. The response will contain a direct answer to the question and relevant excerpts and sources from the documentation. Use this mechanism when the answer is not explicitly present in the current page, you need clarification or additional context, or you want to retrieve related documentation sections.