Palliora® Terms of Use

Last updated: October 16, 2025

Welcome to Palliora®! These Terms of Use ("Terms") govern your use of the Palliora® protocol, user interfaces, and any other related software or services (collectively, the "Interface"). Palliora is a Proof-of-Stake blockchain protocol that implements innovative tokenomics through dynamic inflation mechanisms and a stability corridor approach to maintain optimal staking rates. Please read these Terms carefully.

1. Acceptance of Terms

These Terms of Use, along with any documents referenced within (collectively referred to as the "Terms"), govern your access to and use of this Interface. The term "you" or "User" refers to any person, entity, organization, or group that visits, interacts with, accesses, links to, or otherwise benefits from the Interface.

By accessing or using the Interface in any way, including but not limited to browsing, clicking through, or affirming your acceptance, you confirm that you have read, understood, and agreed to comply with these Terms, as well as our Privacy Policy and any Disclosures, which are incorporated by reference.

Please note that by agreeing to these Terms, you also consent to a binding arbitration clause and a waiver of class action rights, both of which affect how legal disputes may be handled.

We reserve the right to update or modify these Terms at any time without prior notice. If you do not accept the most recent version of the Terms, you should discontinue your use of the Interface immediately.

2. Definitions

For the purposes of these Terms:

• "User," "you," or "your" means any person or entity that accesses or uses the Interface.
• "Palliora," "we," "our," or "us" refers to the maintainers of the Interface.
• "Middleware" means the underlying open-source smart contracts, protocols, or deployments with which the Interface may interoperate.
• "Token" or "Digital Asset" means any cryptographic token, cryptocurrency, or other digital representation of value that exists on a blockchain network.
• "Staking" means the process of locking tokens in the protocol to participate in network validation and earn rewards.
• "Staking Rate" means the fraction of the total token supply currently being staked in the protocol.
• "APY" means Annual Percentage Yield, the annualized rate of return earned through staking.
• "Dynamic Inflation" means the protocol's mechanism for adjusting token inflation based on the current staking rate.
• "Stability Corridor" means the target staking range (typically 40-60%) where the protocol maintains stable yields to prevent oscillations.
• "Validator" means a network participant who stakes tokens and participates in block production and validation.

3. Token Legal Disclaimer

IMPORTANT NOTICE REGARDING DIGITAL ASSETS

No Investment Advice

The Interface and any associated tokens or digital assets accessible through it are not intended as, and should not be construed as, investment advice, financial advice, trading advice, or any other type of advice. Palliora does not recommend that any digital asset be bought, sold, or held by you. Nothing on this Interface should be taken as an offer to buy, sell, or hold any digital asset.

Token Risks

You acknowledge and agree that:

• Digital assets are highly volatile and subject to significant price fluctuations
• The value of tokens can decrease to zero without warning
• Tokens accessed through the Interface may have no intrinsic value
• Past performance of any token is not indicative of future results
• Tokens may be subject to regulatory actions that could significantly impact their value or legality

No Securities Offering

Any tokens or digital assets associated with or accessible through the Palliora protocol:

• Have not been registered under the securities laws of any jurisdiction
• Are not intended to constitute securities in any jurisdiction
• Have not been approved or disapproved by any regulatory authority
• May not be offered or sold in jurisdictions where their offer or sale is not permitted

Regulatory Uncertainty

The regulatory status of tokens and distributed ledger technology is unclear or unsettled in many jurisdictions. It is your responsibility to ensure that your use of the Interface and any associated tokens complies with all applicable laws and regulations in your jurisdiction.

Tax Obligations

You are solely responsible for determining what, if any, taxes apply to your token transactions. Palliora is not responsible for determining or paying the taxes that apply to your transactions.

No Guarantee of Functionality

Palliora makes no representation or warranty that any token will:

• Maintain any particular value or price
• Have any particular utility or functionality
• Be transferable or exchangeable
• Be supported by any particular platform or wallet
• Continue to exist or be maintained

4. Dispute Resolution; Arbitration Agreement

If you have any dispute or claim arising out of or relating to the Interface or these Terms, you agree to first attempt to resolve the matter through informal, good-faith negotiations. To initiate this process, you must send an email outlining your concerns to [email protected]. If the dispute is not resolved within 60 days of that initial communication, the matter shall be finally and exclusively resolved by arbitration.

All unresolved disputes shall be submitted to arbitration administered by the Swiss Arbitration Centre in accordance with the Swiss Rules of International Arbitration in effect at the time the arbitration is initiated. The arbitration shall take place in Zug, Switzerland, be conducted in English, and be overseen by a sole arbitrator. The proceedings will remain strictly confidential, and the arbitrator's decision may be enforced in any court of competent jurisdiction.

This section will continue to apply even after the termination of these Terms, your use of the Interface, or any relationship you may have with the information or services provided through the Interface.

5. Class Action and Jury Trial Waiver

You agree to resolve any disputes or claims related to the Interface solely in your individual capacity. You will not initiate or participate in any class action, collective action, representative proceeding, or action brought on behalf of others, including under any private attorney general theory.

Additionally, you irrevocably waive any right you may have to a trial by jury in connection with any legal action or proceeding arising out of or relating to these Terms or your use of the Interface.

6. Governing Law

You agree that these Terms shall be governed by Swiss law, excluding its conflict of law rules.

7. About the Interface

The Interface is a non-custodial front-end that allows users to interact with the Palliora Proof-of-Stake blockchain protocol. Palliora implements an innovative dynamic inflation mechanism with a stability corridor approach designed to maintain optimal staking rates between 40-60% while preventing oscillations. Users can stake tokens, delegate to validators, and earn rewards through the protocol's inflation distribution system. All transactions are initiated via connected third-party wallets, and users remain in full control of their private keys.

8. Middleware Relationship

Palliora operates as a Proof-of-Stake blockchain protocol with associated middleware and SDK suite. Interaction with the Palliora protocol and smart contracts does not require use of this Interface. Users may interact with the protocol directly via on-chain calls, through third-party interfaces, or by running validator nodes.

Palliora maintainers do not control validator operations, manage user wallets, or dictate staking decisions. The protocol provides reference implementations, tools, and interfaces for developers, validators, and end-users to participate in the network's consensus and staking mechanisms.

9. Eligibility

By using the Interface, you represent and warrant that you:

• Are of legal age in your place of residence to use the Interface and any associated Middlewares, and possess the legal capacity to provide consent and agree to these Terms;
• Have the necessary technical knowledge or expertise to understand and assess the risks involved in using the Interface and the Middlewares;
• Comply with all applicable laws, regulations, and rules in your jurisdiction, and your use of the Interface does not violate or facilitate any breach of such laws, nor contribute to any unlawful activity;
• Are not a resident, citizen, national, agent of, nor an entity organized, incorporated, or operating in any of the following Restricted Territories: Belarus, Burundi, Crimea and Sevastopol, Cuba, Democratic Republic of Congo, Iran, Iraq, Libya, North Korea, Somalia, Sudan, Syria, Venezuela, Zimbabwe, or any other country subject to embargoes or similar sanctions by the United States, United Kingdom, European Union, United Nations, or any of their member states (collectively referred to as the Major Jurisdictions);
• Are not, nor do you directly or indirectly own or control, nor have you received assets from any blockchain address included on any sanctions or equivalent lists maintained by the Major Jurisdictions (referred to collectively as Sanctions-Listed Persons); and
• Do not intend to engage in transactions with, or on behalf of, any individuals or entities located in Restricted Territories or included on any Sanctions Lists.

10. Permitted Use

The Interface is provided solely for:

• Viewing, accessing, and using Palliora middleware;
• Research and development of privacy-preserving blockchain tools;
• Lawful, non-fraudulent uses.

You are solely responsible for verifying all transaction data and contract interactions.

11. Prohibited Uses

By accessing or using the Interface, you agree not to engage in, attempt, or facilitate any of the following actions, whether directly or indirectly:

• Use the Interface for any purpose other than its intended and lawful use as defined in these Terms;
• Access or use the Interface if any of the representations you've made under these Terms are inaccurate, false, or no longer valid;
• Rely on the Interface as a source of legal, financial, investment, or tax advice, or as a substitute for professional counsel;
• Employ deceptive tactics, including schemes, devices, or manipulations intended to mislead, defraud, or otherwise harm others;
• Engage in fraudulent conduct, market manipulation, or any activity that may be considered deceitful or misleading;
• Violate, ignore, or fail to comply with any part of these Terms, the Privacy Policy, or other applicable terms, guidelines, or policies associated with the Interface;
• Attempt to hack, disrupt, or compromise the security or integrity of the Interface or any third-party systems or applications, including but not limited to Sybil attacks, denial-of-service (DoS) attacks, griefing, virus injection, or digital theft;
• Breach any applicable laws, regulations, or rules in your jurisdiction while using the Interface;
• Conduct or participate in transactions involving securities, leveraged or margined commodities, binary options (including prediction markets), real estate or leasing agreements, debt or equity funding, or other regulated financial instruments, unless fully compliant with all applicable laws and regulations;
• Organize or support token-related fundraising activities such as ICOs, IEOs, DAICOs, or similar token-based financings for any business, software, DAO, or initiative, in violation of regulatory requirements;
• Use the Interface in a way that manipulates trading environments or markets, including prohibited tactics such as wash trading or spoofing;
• Bypass, avoid, or interfere with sanctions, embargoes, or export controls applicable to you or your jurisdiction;
• Infringe upon or misuse the intellectual property or proprietary rights of others, including copyrights, patents, trademarks, trade secrets, publicity, and privacy rights;
• Mask, obscure, or otherwise alter the IP address or digital identity used to access the Interface in a manner intended to hide your actual location or activity;
• Transmit or exchange digital assets that are derived from or connected to illicit, criminal, or fraudulent behavior; or
• Participate in, promote, or assist others in carrying out any of the above-listed prohibited activities.

12. Additional User Declarations

By accessing or using the Interface, you acknowledge, represent, and agree that:

• The only obligations related to the Interface are those expressly stated in these Terms.
• These Terms constitute a binding legal agreement enforceable under applicable law.
• The Interface is operated from Switzerland, and its accessibility in other regions does not confer jurisdiction elsewhere.
• The Interface provides general, non-custodial, informational access and does not control or manage user wallets, keys, or transactions.
• Information and content provided (including third-party materials) are solely for reference and do not constitute legal, financial, tax, or investment advice.
• Any integration with third-party wallets or applications does not imply endorsement, and users assume all associated risks.
• The Interface maintainers are not liable for losses or damages incurred through the use of the Interface or Middleware.
• Users should consult licensed professionals before making any legal or financial decisions.
• No fiduciary relationship is created by these Terms, and any such obligations are explicitly disclaimed to the fullest extent permitted by law.

13. Staking and Network Participation

Palliora implements a dynamic inflation distribution system designed to maintain network security while preserving token liquidity. The protocol features:

• Dynamic Inflation Adjustment: Token inflation rates automatically adjust based on the current staking rate to incentivize optimal network participation.
• Stability Corridor: The protocol targets a 40-60% staking rate range with stable yields to prevent oscillations and provide predictable returns.
• Validator Participation: Users may operate validator nodes or delegate tokens to existing validators to participate in consensus and earn staking rewards.
• Lock-up Periods: Staked tokens may be subject to unbonding periods for network security, typically ranging from 7-21 days.

14. Limitation of Liability

To the fullest extent permitted by law, Palliora and its maintainers disclaim all liability for losses arising from:

• Use or misuse of the Interface;
• Blockchain or protocol behavior;
• Third-party wallet errors;
• Network or contract-level vulnerabilities;
• Token value fluctuations or total loss;
• Regulatory changes affecting token utility or legality.

15. Intellectual Property

The Palliora SDK, smart contracts, branding, visuals, and documentation remain proprietary and may not be reproduced without permission.

16. Changes to Terms

These Terms may be updated at any time. Continued use after updates constitutes acceptance. The current version is always available at palliora.org.

17. Contact

For legal or compliance-related inquiries, please contact: [email protected]

18. Staking Mechanisms and Economic Controls

Dynamic Inflation: The protocol automatically adjusts inflation distribution based on the staking rate, with total inflation ranging from 3% to 10% annually to guide the network toward optimal security levels.

Stability Corridor: Within the 40-60% staking range, the protocol maintains stable yields to eliminate excessive sensitivity and prevent oscillatory behavior that could destabilize the network.

Staking Rewards: Validators and delegators earn rewards proportional to their stake, distributed through the protocol's inflation mechanism. The Annual Percentage Yield (APY) varies based on the total staking rate.

Unbonding Period: To ensure network security and prevent manipulation, staked tokens are subject to an unbonding period (typically 7-21 days) during which they cannot be transferred or traded.

Slashing Conditions: Validators may face penalties for misbehavior such as double-signing or extended downtime, with slashed tokens burned or redistributed according to protocol rules.

19. Key User Risks

Interface Availability: The Interface is informational, non-custodial, and may be modified or discontinued at any time without notice.

No Regulatory Oversight: Palliora and its maintainers are not registered with or regulated by any governmental or financial authority.

Legal Uncertainty: Digital assets and staking mechanisms are subject to evolving regulation. Changes may limit your ability to interact with the Interface or underlying protocols.

No Warranties: The Interface is provided "as is." There are no guarantees of uptime, accuracy, or freedom from errors.

Token Identity Risk: Token names and logos may be reused by unrelated contracts. Users must verify contract addresses independently.

User Responsibility: You are responsible for your wallets, keys, devices, and security practices.

Fees & Irreversibility: While the Interface itself may not charge fees, blockchain transactions are subject to non-refundable network fees. Staking and unstaking operations are irreversible.

Staking Rate Oscillations: The protocol's dynamic inflation mechanism may experience periodic oscillations in staking rates and yields, particularly outside the stability corridor.

Lock-up Risk: Staked tokens are subject to unbonding periods during which they cannot be accessed, potentially preventing you from responding to market conditions.

Slashing Risk: Validators face penalties for misbehavior. If you delegate to a validator that is slashed, you may lose a portion of your staked tokens.

Yield Variability: Staking rewards fluctuate based on the total staking rate and may decrease significantly if staking participation increases.

Token-Specific Risks: Tokens may become worthless, illiquid, or unusable. Smart contract vulnerabilities may result in total loss of tokens.

20. License to Use the Interface

You are granted a personal, non-exclusive, non-transferable, revocable license to use the Interface in accordance with these Terms. The underlying smart contracts and SDKs are open-source and not owned by the Interface maintainers.

21. Privacy & Compliance

The Interface may process limited technical data (e.g., logs, wallet/IP addresses) for operational, security, and regulatory purposes. See the Privacy Notice and Compliance Policy for more details.

22. Non-Reliance

You confirm that you are familiar with blockchain systems, have independently evaluated the relevant technologies, and are not relying on the Interface maintainers for advice or guarantees.

23. Disclaimers & Liability Limits

Third-party Content: The Interface may reference external tools or smart contracts. Use them at your own risk. Palliora disclaims responsibility.

Cryptography Risks: Advances in computing (e.g., quantum) may compromise cryptographic systems.

Forks: Chain reorganizations may affect your assets. Palliora does not commit to supporting forks.

Third-party Dependencies: The Interface relies on wallets, nodes, and oracles not controlled by its maintainers.

Taxes: You are solely responsible for understanding and fulfilling your tax obligations.

Jurisdictional Limitations: Some regions may limit liability disclaimers. These Terms apply only as far as allowed by law.

Indemnification: You agree to hold Palliora and its affiliates harmless against claims, losses, or damages arising from your use of the Interface.

24. Entire Agreement

These Terms, together with the Privacy Notice, Compliance Policy, and any documents referenced herein, form the entire agreement between you and the maintainers regarding use of the Interface, superseding any prior understandings.