Dear Global 4M Users:
The derivative trading services provided by the 4M trading platform carry high leverage and high risks. This risk disclosure is established to reveal to investors the investment risks associated with high leverage in digital asset derivative trading, and to help investors evaluate and determine their own capabilities.
Given the existence of investment risks, prior to confirming this agreement and conducting contract trading, investors should carefully read this risk disclosure statement. They must ensure that they understand the nature and rules of contract trading, and independently decide whether to participate in contract trading based on their own investment experience, goals, financial situations, and risk tolerance capabilities. Investors should seek legal and other independent professional advice before applying for high leverage and contract trading.
As a special product with investment value, digital currency derivatives are influenced by a variety of factors, resulting in large price fluctuations, which makes it difficult for investors to fully grasp in practical operations, thereby creating the possibility of investment mistakes. If risks cannot be effectively controlled, significant losses may be incurred, and investors must solely bear all losses resulting therefrom.
Trading Risks
Risk of Amplified Leverage: Investors need to understand that derivative trading features high leverage, which may lead to rapid profits or losses. If the direction of the trade is opposite to the market fluctuations, substantial losses will be caused. Depending on the extent of the loss, investors need to add digital currency margin or reduce positions; otherwise, their holdings may be liquidated by force, and investors must bear all losses caused therefrom.
Risk of Irreversible Transactions: Limit orders submitted by investors within 4M''s trading system are irrevocable once executed, and investors must accept the risks that this approach may bring.
Note on Bearing Profits and Losses Independently: 4M will not make profit guarantees to investors, and will not share returns or share risks with investors.
Policy and Regulatory Risks
Digital asset derivative trading may face policy and regulatory risks within certain jurisdictions. Before trading, investors must make prudent judgments under the premise of understanding the policy and regulatory background of the trading region.
Other Potential Risks
Risk Control Restrictions on High Leverage: When users utilize high leverage, it will bring greater risks to the users themselves and the market. Therefore, in order to maintain market stability, 4M will monitor the positions of users who utilize high leverage. When 4M judges that a user''s position may cause a major impact on market stability, it will take corresponding handling measures, including but not limited to communication, risk disclosure, forced position reduction, forced liquidation, etc., and will provide the user with a written explanation.
Risk of Adjustments to Rules and Products: The derivative trading rules of the digital asset derivative market (including but not limited to adjustment coefficients, expiration dates, product rules, etc.) can be modified according to 4M''s actual operational status. If 4M needs to perform early or delayed delivery of products due to special circumstances, after fulfilling its obligation to inform through methods such as announcements on the official website or SMS notifications, users need to handle their own positions in a timely manner. Any potential losses or gains caused therefrom shall be borne by the users themselves.
Special Notes:
Before participating, investors must thoroughly understand the basic knowledge and relevant risks of digital currency contract trading, as well as the business rules related to participating in the 4M derivatives exchange.
The risk items mentioned in this risk disclosure are only illustrative in nature and fail to list comprehensively all risk factors regarding digital asset derivative trading. Before participating in digital asset derivative trading investments, investors should also conscientiously understand and master other potential risk factors.
We sincerely hope and advise investors to start from their own actual situations, such as risk tolerance, to prudently decide whether to participate in this contract trading, and to allocate their digital assets reasonably.<