> For the complete documentation index, see [llms.txt](https://docs.novamp.io/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs.novamp.io/legal-and-safety/risk-disclosure.md).

# Risk Disclosure

A plain-language education on the risks of using Novamp and trading crypto tokens. Not legal, financial, or investment advice.

Using Novamp means interacting with public blockchains, autonomous smart contracts, and highly speculative tokens. This page explains the main risks in plain language so you can make informed decisions.

{% hint style="danger" %}
🚫 **You can lose everything.** Crypto tokens — especially new and meme tokens — are extremely volatile and frequently go to **zero**. Only use funds you can afford to lose entirely. Nothing here is financial, investment, legal, or tax advice.
{% endhint %}

{% hint style="info" %}
This page is **risk education**, not a contract. The binding terms that govern your use of Novamp are in the [Terms of Service](/legal-and-safety/terms-of-service.md).
{% endhint %}

## Overview

At a glance, the risks you accept when using Novamp:

| Risk                          | In short                                                          |
| ----------------------------- | ----------------------------------------------------------------- |
| **Volatility**                | Prices swing violently; new launches can move 90%+ in minutes.    |
| **Total loss**                | Tokens have no intrinsic value and can go to zero.                |
| **Smart-contract risk**       | Code can contain bugs or economic flaws.                          |
| **Scams & impersonation**     | Fake tokens, fake sites, and fake "support" are common.           |
| **Liquidity & rug risk**      | Liquidity can be thin or, on non-Novamp tokens, pulled.           |
| **Taxes & regulation**        | Your obligations and the legal landscape are your responsibility. |
| **Third-party providers**     | DEXs, aggregators, oracles, and RPCs can fail.                    |
| **Irreversible transactions** | On-chain actions can't be undone.                                 |
| **Wrong-network loss**        | Sending assets on the wrong network can lose them.                |

## Market & volatility risk

Token prices can rise or fall sharply and without warning. Newly launched tokens are especially volatile and are frequently subject to rapid pumps and dumps. Past performance says nothing about the future. There is **no guarantee** of price, demand, liquidity, a listing, or any return.

## Total loss of value

Most tokens created on any permissionless launchpad lose most or all of their value. A token may have **no intrinsic value** and no one obligated to buy it back. Treat any amount you commit as potentially lost in full.

## Smart-contract & technical risk

Smart contracts, indexers, oracles, front-ends, and wallets are software and may contain bugs, vulnerabilities, or economic flaws, or may behave unexpectedly. Novamp's contracts are non-upgradeable and auto-verified, which reduces *some* risks (see the [Security Model](/protocol/security-model.md)), but **no software is guaranteed to be error-free or secure**.

## Scams, impersonation & copycats

Bad actors create look-alike tokens, fake websites, fake social accounts, and fake "support" channels to steal funds. AntiVamp reduces **`Name + Ticker` copycats**, but it protects **identity, not value or legitimacy** — a protected identity is not a safety rating or an endorsement. Always verify you're using [official links](/resources/community-and-links.md) and that a token traces to the official [`NovampLaunchFactory`](/protocol/contracts-and-addresses.md). More detail in [Token & Trading Risks](/legal-and-safety/token-trading-risks.md).

## Liquidity & rug risk

Thin liquidity means large **price impact** and difficulty exiting a position. On tokens launched outside Novamp's burn-or-lock model, a creator may **pull liquidity** ("rug"), collapsing the price. Novamp's design targets this vector for its own launches — but it cannot protect you on tokens or venues outside the protocol.

## Taxes & regulatory risk

You are solely responsible for determining and paying any taxes on your transactions and holdings. Laws affecting crypto are uncertain and evolving and may adversely affect the Service, specific tokens, or your ability to use them. What is permitted in one jurisdiction may be restricted in another.

## Third-party provider risk

Novamp relies on and interoperates with third parties outside its control, including:

* **DEXs / venues** — Uniswap, PancakeSwap, Pump.fun / PumpSwap.
* **Aggregators / routing** — 0x, Relay, Jupiter.
* **Oracles** — price feeds used for reservation pricing.
* **Infrastructure** — RPC providers, indexers, bridges, and IPFS/pinning services.

Any of these can experience downtime, errors, or failures. Their behavior and terms are their own.

## Blockchain & transaction risk

Blockchain transactions are **irreversible** once confirmed — mistakes cannot be undone by Novamp or anyone else. Networks can experience congestion, downtime, reorgs, or forks. Gas fees, slippage, and failed or reverted transactions are your responsibility.

## Wrong-network & user-error risk

Sending assets to the **wrong network** or a wrong address, approving a malicious contract, mistyping an amount, or losing your keys can cause **permanent, unrecoverable loss**. Double-check the network, address, and approval on every transaction.

## What AntiVamp does and does not do

{% hint style="warning" %}
⚠️ **AntiVamp protects identity, not value or legitimacy.** It reduces copycat reuse of a normalized `Name + Ticker`. It is **not** a guarantee that a token is safe, legitimate, endorsed, or a good investment. Do your own research.
{% endhint %}

## Not advice; your responsibility

Nothing on Novamp is financial, investment, trading, legal, accounting, or tax advice, or a recommendation to buy or sell anything. Novamp does not endorse, vet, or vouch for any token, creator, or project. **You are solely responsible for your own decisions.**

## Continue exploring

* [🪙 Token & Trading Risks](/legal-and-safety/token-trading-risks.md) — scams, rugs, and how to check a token
* [📜 Terms of Service](/legal-and-safety/terms-of-service.md) — the binding terms
* [🛡️ Security Model](/protocol/security-model.md) — what Novamp's design does mitigate
* [🆘 Support](/resources/support.md) — get help safely


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