Terms of Service
Last Updated: Apr 3, 2024
1. Introduction
1.1 These terms of service (“Terms”) constitute a legal agreement between InscribeNow.io and you, and govern your access to and use of the InscribeNow website located at https://InscribeNow.io/, mobile application, or any other applications or website as and when available (collectively referred to as, the “Website”), and any tools, features, functionalities or content provided via or in connection with our services. This includes, without limitation, using our services to view, explore, display, mint, inscribe, sell, and transfer Ordinals on public blockchains, as applicable.
1.2 In these Terms, “we”, “InscribeNow” or “Company” refers to InscribeNow.io, and “our” shall be construed accordingly. “You” refers to any person accessing or using any Services (as defined in Section 2.1 of these Terms) as accessible through the Website, and “your” shall be construed accordingly.
1.3 Each of you and the Company shall hereinafter be referred to as a “Party”, and collectively, you and the Company shall hereinafter be referred to as the “Parties”.
1.4 Your use of the Services (as defined) is subject to these Terms as may be amended by us from time to time at our sole and absolute discretion. These Terms shall also include and incorporate, by reference or otherwise, any other operating rules, policies and procedures which we may issue or publish on our Website from time to time. We may modify these Terms at any time with or without notice to you and any changes will be uploaded on the Website. These changes shall take effect from the date of upload and your continued access or use of the Website and/or the Services from such date shall be deemed to constitute acceptance of the new Terms. It shall be your sole responsibility to check the Website for such changes from time to time. If you do not agree to these Terms, please exit the Website and either do not use or cease usage of all the Services immediately.
1.5 Any personal data or information which you provide to us is also subject to the latest version of our privacy policy available on our Website (“Privacy Policy”), which is
incorporated by reference into these Terms.
1.6 By accessing, browsing or viewing the Website, including but not limited to, connecting
Third-Party Wallets, registering for an account, submitting any information to us or
utilising any of the Services as provided and offered by the Company and/or its Affiliates, you:
a. agree to be bound by and to abide by the latest version of the Terms and our Privacy Policy. You will be deemed to have signed these Terms and to the extent permitted under Applicable Laws, you waive any rights or
requirements under Applicable Laws which require a signature, whether original or electronic, and/or delivery of records;
b. represent and warrant that in the jurisdiction to which you are subject, you are of legal age to use the Website and/or the Services and to create binding legal and financial obligations for any liability you may incur as a result of the use of the Website and/or the Services; and
c. represent and warrant that you are not a Disqualified Person/Entity (as defined in Section 2.1 of these Terms) or acting on behalf of a Disqualified Person/Entity.
1.7 No information contained in or on, and no part of the following:
a. the Website;
b. any electronic sites, communication or applications directly or indirectly linked to the Website; or
c. any other information or document,
shall constitute part of these Terms (unless otherwise stated on the Website or in these Terms), and no representations, warranties or undertakings are or are intended or purported to be given by the Company and/or its Affiliates in respect of any information contained in or on, or any part of, the items as stated in Sections 1.7(a) to (c) above.
1.8 InscribeNow is not a wallet provider, exchange, broker, dealer, financial institution, payments processor, money services business, custodian, or creditor. InscribeNow provides a platform to help Users discover and directly interact with each other and Ordinals available on public blockchains. We do not have custody, control, or oversight over the Ordinals or public blockchains that you interact with via the InscribeNow platform, and we do not execute purchases, transfers, or sales of Ordinals.
1.9 None of the information available on the Website or made available to you in relation to the use of the Services constitutes a recommendation, solicitation or offer by InscribeNow and/or its Affiliates to buy or sell any securities, futures, options, cryptoasset or other financial instruments or provide any investment, tax or legal advice or service.
2. Definitions and Interpretations
2.1 Definitions
In these Terms, unless the context otherwise requires:
“Account” has the meaning ascribed to it in Section 4.2 of these Terms;
“Address” means an address on the applicable digital ledger or blockchain network;
“Affiliate” means with respect to any person, any other person directly or indirectly controlling,
controlled by or under common control with such person;
“Applicable Laws” means all relevant or applicable statutes, laws, rules, regulations, directives, circulars, notices, guidelines and practice notes of any Governmental Authority;
“BTC” means Bitcoin, the cryptocurrency associated with the Bitcoin blockchain;
“Business Day” means a day other than a Saturday, Sunday or a public holiday in the Province of British Columbia, Canada;
“Collection” means a unique assortment or series of one or more Ordinals, that is released by a Creator or a group or Creators, and contains a limited number of individual Ordinals that may
have different rarities or unique properties;
“Copyright Laws” means all relevant or applicable statutes, regulations, and treaties that govern
the protection and enforcement of intellectual property rights in creative works, including literary, artistic, musical, and other original expressions;
“Creator” means one or more individuals who have created the intellectual property underlying a Collection, listing, and/or Ordinal, including but not limited to the artwork, audio, and other
metadata inscribed on the respective satoshi(s) making up an Ordinal;
“Digital Asset” means any cryptographic asset, digital asset or virtual currency, including, but not limited to, the Supported Digital Assets;
“Disqualified Person/Entity” means (a) any person or entity seeking to access the
Website or use the Services from within the Excluded Jurisdictions or Non-Cooperative Jurisdictions; (b) any person or entity who or which is currently the subject of any sanction administered by the OFAC or any other
United States or Canadian government authority, or is designated as a "Specially Designated National" or
"Blocked Person" by OFAC; (c) any person (being a natural person) who is citizen of, domiciled in,
or resident of, a country whose laws prohibit or conflict with the access of the Website or use of Services; and/or (d) any entity that is incorporated in, domiciled in, or organized in, a
country whose laws prohibit or conflict with the access of the Website or use of Services;
“Excluded Jurisdiction” means the jurisdictions that are currently the subject or the target of any U.S. sanctions administered by the Office of Foreign Assets Control of the U.S. Department of the
Treasury (“OFAC”) or the U.S. Department of State, the United Nations Security Council, the European Union, His Majesty’s Treasury of the United Kingdom, or other relevant sanctions authority;
“Fees” means such amounts that are deducted by InscribeNow from a User’s Third-Party Wallet in connection with the minting or inscription of an Ordinal, which include Minting Fees, Service Fees and/or Network Fees as well as other fees InscribeNow may charge from time to time;
“Fork” means a change in the existing source code or the creation of new or additional source code for a blockchain;
“Governmental Authority” means any nation or government, any state or other political subdivision thereof, any entity exercising legislative, executive, judicial or administrative functions of or pertaining to government, including, without limitation, any government authority, agency, department, board, commission or instrumentality, and any court, tribunal or arbitrator(s) of competent jurisdiction, and any self-regulatory organization. For the avoidance of doubt, Governmental Authority may include private bodies exercising quasi-governmental, regulatory or judicial-like functions to the extent they relate to either you, InscribeNow and/or its Affiliates, the Supported Digital Assets and/or the Services;
“JSON” means JavaScript Object Notation;
“Loss” means any and all losses, claims, liabilities, damages, suits, actions, demands,
proceedings, costs, charges and/or expenses of whatsoever nature or howsoever arising,
including any indirect, special, incidental, consequential or other losses of any kind, in tort,
contract or otherwise (including but not limited to loss of revenue and income or profits and/or any actual or hypothetical gains);
“Minting Fees” means payments to the original creator of the Ordinal for every minting of the Ordinal created by them;
“Network Attack & Vulnerabilities” means hacks, cyber-attacks, network attacks (including but
not limited to double-spend attacks, majority mining power attacks and “selfish-mining” attacks), distributed denials of service or errors, or any attacks, vulnerabilities or defects on a network;
“Network Fees” means such transaction costs payable, whether denominated in Digital Assets or otherwise, for the use of or execution of transactions on a network;
“Non-Cooperative Jurisdiction” means any country or territory that has been designated as non-cooperative with international anti-money laundering principles or procedures by an intergovernmental group or organization, such as the Financial Action Task Force on Money Laundering (“FATF”), of which Canada and the United States are members and with which designation the Canadian or United States representative to the group or organization continues to concur. For clarity, countries or territories that have been designated as “Jurisdictions under Increased Monitoring” and “High-Risk Jurisdictions subject to a Call for Action” with the FATF constitute Non-Cooperative Jurisdictions;
“OFAC” means the United States Office of Foreign Assets Control of the United States Department of the Treasury;
"Ordinals" in the context of this Agreement means a piece of metadata inscribed on one or more satoshis that already have ordinal numbers and are on the Bitcoin blockchain. Ordinals are digital artifacts that have all their data inscribed directly on-chain;
“Ordinals Protocol” means the protocol that allows individual satoshis in a Bitcoin blockchain to
be assigned a unique identifier and transacted with extra data attached;
“Open-source software” or “OSS” means software that features freely available source code,
which users may view, modify, adopt, and share for both commercial and non-commercial
purposes;
“Payable Tax” has the meaning ascribed to it in Section 15.1 of these Terms;
“Privacy Policy” has the meaning ascribed to it in Section 1.5 of these Terms;
“Prohibited Uses” has the meaning ascribed to it in Section 5.3 of these Terms;
“satoshi” means the lowest denomination of a Bitcoin (BTC), equal to one hundred millionth of a Bitcoin;
“Services” means the services and/or content provided by the Company on or through the Website
or otherwise, but shall not
include any Third-Party Integrated Applications;
“Service Fees” means the fee payable to InscribeNow in connection with the minting or Ordinals;
“Supported Digital Assets” means the Digital Assets as may be set out on the Website to be a
Digital Asset for which the Services are made available, or such other Digital Assets as
determined by the Company, and includes but is not limited to Bitcoin and inscribed Bitcoin
satoshis or Ordinals;
“Supported Ordinals Inscription Standard” means the method of inscribing and transfer of fungible tokens via the Ordinals Protocol on the Bitcoin blockchain that the Website may support from time to time. This may include token standards such as BRC-20, CBRC-20, Runes, and/or other inscription methods/standards as detailed at https://docs.ordinals.com;
“Third-Party" means any person, entity, community, or organization (whether formally incorporated or otherwise), other than the Company and its Affiliates;
“Third-Party Integrated Applications” means the Third-Party applications and interfaces which
are integrated to the Website;
“Third-Party Wallet” has the meaning ascribed to it in Section 4.1 of these Terms;
“User” means a person or body corporate accessing or using the Website or the Services; and
“Website” has the meaning ascribed to it in Section 1.1 of these Terms;
2.2 Miscellaneous
In these Terms, unless the context otherwise requires:
a. words importing the singular include the plural and vice versa, words importing any gender include every gender;
b. references to a “person” include any company, limited liability partnership,
partnership, business trust or unincorporated association (whether or not having
separate legal personality) and references to a “company” include any company,
corporation or other body corporate, wherever and however incorporated or
established;
c. paragraph headings are for convenience of reference only and shall not affect the
interpretation of these Terms;
d. the words “written” and “in writing” include any means of visible reproduction; and
e. any “Digital Asset” may be constituted in an amount that is not a whole number.
3. Eligibility
3.1 Access to the Website is intended for and extended only to, and the Services are intended for and extended only to, a person or entity who is not a Disqualified Person/Entity.
3.2 Accordingly, you are not eligible to access the Website or use the Services if you are a Disqualified Person/Entity. If you are a Disqualified Person/Entity, or if you are acting on behalf of a Disqualified Person/Entity, you should exit the Website and cease usage of all Services immediately.
3.3 We require all Users to be of legal age to use the Website and/or the Services and to create binding legal and financial obligations for any liability you may incur as a result of the use of the Website and/or the Services, in the jurisdiction to which you are subject. If you are at least 13 years old but under 18 years old, you may only use InscribeNow through a parent or guardian’s Account and with their approval and oversight. That account holder is responsible for your actions using the Account. It is prohibited to use our Services if you are under 13 years old.
4. User Account and Access
4.1 To mint or inscribe an Ordinal or Collection via the Website, you will need a Third-Party Bitcoin address that is compatible with the Website’s Supported Ordinals
Inscription Standard (“Third-Party Wallet”).
4.2 Your account on InscribeNow identified by a unique Inscriber ID (“Account”) will be associated with your linked Third-Party Wallet (and, if applicable, any content associated with the Ordinals that you have made available on the InscribeNow Website).
4.3 You shall not hold InscribeNow, or any other InscribeNow Affiliate, responsible for any unauthorized access to and use of your Account or any Loss or damage occasioned to
you in connection with such unauthorized access or use.
4.4 You must notify InscribeNow immediately if you suspect that your Account or any of your security details have been compromised or if you become aware of any fraud or
attempted fraud or any other security incident (including a cybersecurity attack or an
unauthorized access to and use of your Account by your authorized representative(s) or
a Third-Party) affecting you and/or InscribeNow. Failure to promptly inform InscribeNow of such an incident may result in total loss of the Ordinals and/or Digital Assets held in your
Account and may be taken into account in our determination of the appropriate
resolution of the matter.
4.5 We shall have the right, in our sole and absolute discretion, to at any time suspend,
restrict, or terminate your Account and your access to the Website for any reason, including but not
limited to the following:
a. if we have reasonable grounds to believe that you are attempting to compromise the
Website;
b. if we have reasonable grounds to believe that you are in breach of these Terms;
c. if we have reasonable grounds to believe that you are using your Account in an
unusual, improper or abusive manner, including but not limited to the uploading and
listing of Ordinals that violate our guidelines on content and Site usage; and
d. if we and/or any other InscribeNow Affiliate have to comply with any Applicable Laws in
connection with the provision of Services.
4.6 You represent and warrant that you will comply with all Applicable Laws (e.g., local, provincial, state, federal and other laws) in connection with using the Website and/or then Services. In
order to comply with our legal obligations and keep our Users and the Website safe, we
may need to restrict, suspend, or terminate your access to the Website and/or the Services. You acknowledge that InscribeNow is under no obligation to disclose the details of its decision to take such action with you.
4.7 We may require you to provide additional information and documents in certain
circumstances, such as at the request of any Governmental Authority, as any applicable
law or regulation dictates, to provide you with a Service, or to investigate a potential
violation of these Terms. In such cases, InscribeNow, in its sole discretion, may block your
ability to access the Service until such additional information and
documents are processed by InscribeNow. If you do not provide complete and accurate
information in response to such a request, InscribeNow may refuse to restore your access to the Service.
4.8 Your access and use of the Services may be interrupted from time to time for any of several reasons, including, without limitation, the malfunction of equipment, periodic updating, maintenance, or repair of the Services, geographic restrictions, potential violation of these Terms, or other actions that InscribeNow, in its sole discretion, may elect to take. You understand that InscribeNow, in its sole discretion, may disconnect your Account from the Website and prevent your Account and any other Accounts that InscribeNow is aware of being under your control or influence from connecting to the Website.
5. Prohibited Use
5.1 You shall be responsible for the reporting requirements under Applicable Laws in respect of any dealing with Digital Assets including the reporting requirements in respect
of any taxable income derived in connection with the use of Services to the relevant
Governmental Authority.
5.2 Your relationship with us and the operation and use of Services shall be subject at all times to Applicable Laws. InscribeNow and/or its Affiliates may take or refrain from taking any action whatsoever, and you shall comply with, and shall do all things required by InscribeNow and/or its Affiliates in order to procure or ensure compliance with Applicable Laws. You acknowledge and agree that InscribeNow and/or its Affiliates shall not be liable to you as a result of any action taken by InscribeNow and/or its Affiliates to comply with Applicable Laws.
5.3 You may not use the Services to engage in the categories of activity set out in Section 5.4 (“Prohibited Uses”). The specific types of use listed below are representative, but are not to be considered to be exhaustive. We may update the Prohibited Uses of the Services from time to time, and you hereby acknowledge and agree that it shall be your
sole responsibility to ensure that your use of the Services does not involve a Prohibited Use.
5.4 By using the Services, you confirm that you will not, and you will not aid, abet,
encourage or induce any Third-Party to engage in any of the following activities:
a. activities which would:
i. violate, or assist in the violation of, any Applicable Laws administered in the
countries where InscribeNow and/or its affiliates conduct business;
ii. involve proceeds of any unlawful activity; and/or
iii. publish, distribute or disseminate any unlawful material or information;
b. actions which:
i. impose an unreasonable or disproportionately large load on our infrastructure,
or detrimentally interfere with, intercept, or expropriate any system, data, or
information,
ii. transmit or upload any material to the Website that contains viruses, trojan horses,
worms, or any other harmful or deleterious programs;
iii. attempt to gain unauthorized access to the Website, and/or computer systems or
networks connected to the Website, through password mining or any other means;
iv. use the Account of another party to access or use the Website;
v. develop any Third-Party applications that interact with the Website without our
prior written consent; and/or
vi. transfer your Account access or the rights to your Account to a Third-Party,
unless by operation of law;
c. activities which:
i. interfere with, disrupt, negatively affect or inhibit another User’s access to, use
of, and/or full enjoyment of any of the Services;
ii. defame, abuse, extort, harass, stalk, threaten or otherwise violate or infringe
the legal rights (such as, but not limited to, rights of privacy, publicity and
intellectual property) of others, including but not limited to InscribeNow, its
representatives, employees, agents, Affiliates, and Users;
iii. incite, threaten, facilitate, promote, or encourage hate, racial intolerance, or
violent acts against others; and/or
iv. use any robot, spider, crawler, scraper or other automated means or interface
not provided by us to access the Services or to harvest or otherwise collect
information from the Website, including but not limited to identification numbers,
email addresses, phone numbers, or addresses without proper consent;
d. activity which operates to defraud Users or any other person;
e. providing any false, inaccurate, incomplete, or misleading information to InscribeNow and/or its
Affiliates;
f. intellectual property infringement, meaning any transactions, activities, and/or actions that:
i. (whether or not involving items) infringe or violate any copyright, trademark,
right of publicity or privacy or any other proprietary right under the law, including
but not limited to the creation, issuance, sale, offer for sale, trading, distribution,
solicitation, marketing, or promotion of any investment products (including
digital assets, fiat currency, securities, commodities, investment or trading
products, derivatives, structured products, investment funds, investment portfolios, commodity pools, swaps, securitizations or synthetic products),
including where the price, return, and/or performance of the investment product
is based on, derived from, or related to InscribeNow and/or its Affiliates, the Website, the Services or any
portion thereof, without our express prior written consent;
ii. modify, copy, reproduce, retransmit, distribute, sell, publish, broadcast, create
derivative works from, or store proprietary or confidential data or other similar
information provided via Website, without our express prior written consent;
iii. make use of intellectual property, name, or logo, including use of trade or
service marks belonging to InscribeNow and/or its Affiliates, without express
consent from us or in a manner that otherwise harms InscribeNow and/or its
Affiliates;
iv. reverse engineer or disassemble any aspect of the Website and/or the Services in
an effort to access any source code, underlying ideas and concepts, and
algorithms which are not already publicly disclosed by the InscribeNow and/or its
Affiliates; and/or
v. implies an untrue endorsement by or affiliation with InscribeNow and/or its Affiliates;
g. any activity which could be expected to bring disrepute upon or be
detrimental to InscribeNow and/or its Affiliates, the Services, the Website, you, or any other
Third-Party, such as listing Ordinals that contain content that is illegal, offensive, or
infringes on others’ rights, for instance:
i. any illegal activities, including advertising, transmitting, or otherwise making
available illegal gambling sites or services or disseminating, promoting or
facilitating child pornography;
ii. content that infringes or misappropriates the intellectual property or proprietary
rights of others;
iii. content that promotes suicide or self-harm, incites hate or violence against
others, or doxes an individual; and/or
iv. content that is defamatory, obscene, abusive, invasive of privacy, or otherwise
objectionable, including content that constitutes child pornography, relates to
bestiality, or depicts non-consensual sex acts.
h. if you are a Disqualified Person/Entity, using any virtual
private network, proxy service, or any other Third-Party service network, or product
with the effect of disguising your internet protocol (IP) address or location;
i. using the Services in connection with any businesses, activities, practices, or items which are prohibited or in conflict with Applicable Laws; and/or
j. any activities and/or actions that are in breach of and/or
violate these Terms.
6. Services
6.1 Minting / Inscriptions / Collections
6.1.1 By creating, minting or inscribing an Ordinal or Collection independently via the Website,
you acknowledge and agree that you are solely responsible for any legal, financial, or
other consequences arising from your actions. You assume all risks associated with the
creation, ownership, and transfer of the Ordinal to InscribeNow, and hereby disclaim and release us from any and all liability, claims, damages, or losses, whether direct or indirect, arising
from your minting or inscribing of Ordinals. You acknowledge that there will be no change of ownership of any Ordinal using the services of InscribeNow.
6.1.2 The Creator of an Ordinal or Collection may elect to have a Minting Fee paid to them on every minting of an Ordinal that they create via the Website. The Minting Fee will be deducted from the Bitcoin deposited by a User in connection with the minting of the Ordinal and paid directly to its
Creator. You understand that the Minting Fee is not set, collected nor determined by
InscribeNow. You also understand and accept that the metadata that allows the Minting Fee
to be paid to a Creator may not be supported by other Website or Ordinals marketplaces,
and it is possible that the Minting Fee may only apply to a minting of the Ordinal on the
Website.
6.1.3 We may allow you to list new Collections on the Website through the upload of one or more JSON files. You understand and accept that we do not make any
representation or warranty with respect of any open-source software that the Website may
link you to for the extraction of JSON files. In particular, InscribeNow shall not be held liable
for any diminishment in the quality, resolution, or fidelity of the Collections resulting from
the upload of JSON files to the Website, and shall not have any duty or authority to verify
the accuracy of the syntax or JSON file before a Collection is uploaded to the Website.
6.1.4 InscribeNow expressly disclaims any liability for its decision to support updates to the main Ordinals block explorer, developments, proposed improvements to the Ordinals Protocol, and/or mint limits and rarities on the Website.
6.1.5 You understand that the Services are provided to Users on an "as is", “where is”, “if applicable” and “where available” basis.
6.1.6 In respect of the minting of recursive Ordinals or other similar new inscription standards, you understand that vulnerabilities may arise in respect of or in relation to how such Ordinals interact with your Third-Party Wallet, and you undertake to bear any such liability and indemnify InscribeNow in full for any claims against InscribeNow that may arise from your decision to mint/inscribe and/or distribute such Ordinal and/or Collection.
6.1.7 You understand that inscribed satoshis can be accidentally spent, whether as Network Fees or deducted from your Third-Party Wallet as Fees. You are strongly advised to ensure that the Third-Party Wallet that you use on our Website to mint/inscribe an Ordinal is separate from the Third-Party Wallet that you use to receive and store your Ordinals. You agree that you bear all responsibility and liability if you spend part or all of an Ordinal while using the Services, and that InscribeNow does not have any obligation, whether implied or otherwise, to notify you of any such possibility.
6.1.8 You agree that if the Third-Party Wallet that you use on our Website to receive an Ordinal is different from the Third-Party Wallet that you use on our Website to deposit Bitcoin in connection with the minting or inscribing of the Ordinal, the beneficial owner of both such Third-Party Wallets shall be the same person.
6.1.9 The Parties agree that InscribeNow shall promptly deliver an Ordinal to a Third-Party Wallet under your sole control, following receipt of Bitcoin deposited by you in connection with your minting or inscribing of the Ordinal via the Website, according to our usual commercial practice and in accordance with our obligations under Applicable Laws.
6.1.10 InscribeNow reserves the right to vary the scope and provision of the minting/inscription Services and may suspend or terminate the minting/inscription Services or any part of the minting/inscription Services, at its discretion and without prior notice to you.
6.2 Whitelist
6.2.1 InscribeNow may provide a whitelist feature, which allows Users to mint Ordinals or allow other Users to mint Ordinals from a Collection ahead of its public sale. InscribeNow shall not be held liable for any errors, omissions, inaccuracies, or incompatibilities in the
Addresses that you submit to a whitelist. You are solely responsible for ensuring the
accuracy, correctness, and compatibility of the Third-Party Wallet details that you submit to a Collection’s whitelist. You understand and accept that InscribeNow shall not provide compensation or be held liable for any losses, damages, or harm incurred due to errors, inaccuracies, or incompatibilities in the Third-Party Wallet details provided by you. It is your sole responsibility to verify the accuracy and validity of the Addresses that you submit for whitelisting. You are encouraged to double-check and cross-verify all Addresses that you submit to Collection’s whitelist in order to mitigate any potential risks.
6.2.2 InscribeNow provides the whitelist feature on an “as is” and “where is” basis, and does not guarantee that the whitelist feature will be without any bug, defect, or error. You agree that InscribeNow shall not assume any liability for any failures in the whitelist feature, or any delays relating to or caused by the whitelist feature.
6.3 User Generated Content
6.3.1 The Website contains interactive features which allow Users to post, submit, publish, display, or transmit, content or materials to other Users or other persons (collectively, the “User Generated Content”) on or through the Website, whether as an Ordinal or otherwise. All User Generated Content must comply with the Prohibited Use provisions set out in Section 5 of these Terms.
6.3.2 InscribeNow does not have any control over User Generated Content, and does not endorse any User Generated Content.
6.3.3 It is your sole responsibility to ascertain the authenticity, legality, identity, and other pertinent details of any Ordinal or Collection that you encounter or interact with through our Website. We do not provide any assurances, guarantees, or endorsements regarding the identity, legitimacy, or authenticity of any Ordinal or Collection available on the Website.
6.3.4 By creating and/or listing Ordinal(s) on the Website, you represent and warrant that the Ordinal(s) do(es) not contain any content that breaches the Prohibited Use provisions set out in Section 5 of these Terms. In particular, you represent and warrant that you have, or have obtained, all rights, licenses, consents, permissions, power and/or authorizations necessary for you to create/mint/inscribe, submit, sell, or display the Ordinal(s) through the Services, and that by doing so, you have not and/or will not infringe or misappropriate the intellectual property or proprietary rights of others. You are solely responsible for the content and metadata associated with the Ordinal(s) that you create/mint/inscribe and/or list on the Website.
6.3.5 By creating and/or listing the Ordinal(s) on the Website, you hereby grant InscribeNow a limited license to use a photographic image, animation, or representation of the Ordinal(s) for the purposes of selling and promoting the Ordinal(s), including but not limited to uploading the Ordinal(s) on the Website, carrying out marketing efforts such as social media posts, blog posts, news articles, events and conferences, and videos, and authorizing third parties to use the photographic image, animation, or representation of the Ordinal(s) for marketing purposes (where applicable).
6.3.6 These Terms govern the use of our Services. Ordinals are publicly available on the Bitcoin blockchain, and may be created/minted/inscribed, purchased, sold, or transferred between a buyer, seller, and/or Creator directly without the use of our Services, without said parties agreeing to or having notice of our Terms. Accordingly, there may be additional terms and conditions that apply to each specific Ordinal and/or Ordinals Collection, which are set directly between buyers, sellers, and/or Creators, and these additional terms and conditions may specify conditions over the use of the Ordinal
content and the rights and obligations associated with a given Ordinal ("Ordinal-specific
Terms"). For example, when you click to get more details about any of the Ordinal or
Collections visible on InscribeNow or view the Ordinal’s metadata, you may notice a
third-party link to or text containing Ordinal-specific Terms governing the use of the
Ordinal that you must comply with. InscribeNow and/or its Affiliates do not determine the
Ordinal-specific Terms and are not a party to any such Ordinal-specific Terms, which are solely between the buyer, seller, and/or Creator. The buyer, seller, and/or Creator are entirely responsible for communicating, agreeing to, and enforcing the Ordinal-specific Terms. By creating, inscribing, minting, buying, selling, or transferring such an Ordinal, you bear sole responsibility for specifying, reviewing, and complying with such
Ordinal-specific Terms.
6.4 Listing Takedown Requests
6.4.1 We are under no obligation to edit or control User Generated Content, and will not be in any way responsible or liable for User Generated Content. By using and/or accessing the Services, you understand, accept, and waive all liability that InscribeNow may have in respect of the content or materials that make up User Generated Content.
6.4.2 As the Services rely on a content-addressable
decentralized data storage method, all mints/inscriptions and orders are self-authenticating - this means that InscribeNow has no control over Users’ actions in the
event that they upload multiple Ordinal listing(s) to the Website that are allegedly infringing material, after the first Ordinal listing(s) have been removed pursuant to a Listing Takedown Request.
6.4.3 We may, however, at any time and without prior notice, screen, remove, edit, or block any User Generated Content that in our sole judgement violates these Terms, is alleged to violate the rights of third parties, or is otherwise objectionable.
6.4.4 When using the Services, you will be exposed to User Generated Content from a variety of sources and acknowledge that the User Generated Content may be inaccurate, offensive, indecent, or objectionable. You agree to waive, and do waive, any legal or equitable rights, claims, or remedies that you have or may have against InscribeNow with respect to User Generated Content.
6.4.5 You may contact us in accordance with the “Contact Us” section at Section 20 of these Terms if you believe or allege that certain User Generated Content on the Website does not conform to these Terms or infringes your personal, intellectual property, or other rights (“Listing Takedown Request”). InscribeNow will undertake commercially reasonable efforts to assist you in your Listing Takedown Requests. We will review your email and the evidence that you have provided before determining whether, on a balance of probabilities, there would have been a likelihood that there has been copyright or trademark infringement, or a violation of your publicity or other intellectual property rights. You agree that InscribeNow shall have sole and absolute discretion in determining whether there has been a breach of your rights and whether to remove the User
Generated Content in such a situation, unless you present InscribeNow with an order of a court indicating that there has been an infringement of your rights.
6.5 Third-Party Wallet Support Services
6.5.1 By connecting your Third-Party Wallet to the Website, you agree that you are using that wallet under the terms and conditions of the Third-Party Wallet provider.
6.5.2 Third-Party Wallets are not operated by, maintained by, or affiliated with InscribeNow, and InscribeNow does not have custody or control over the contents of your wallet and has no ability to retrieve or transfer its contents. InscribeNow accepts no responsibility for, or liability to you, in connection with your use of a Third-Party Wallet and makes no representations or warranties regarding how the Services will operate with or whether Website and/or Services will be compatible with any specific wallet. It is your responsibility to ensure that your Third-Party Wallet is able to receive and hold Ordinals before you connect the wallet to the Website and/or Services.
6.5.3 No endorsement or approval of any Third-Party website, wallet, or DeFi application is expressed or implied by the fact that they have been made available via the Website and/or the Services.
6.5.4 You are solely responsible for keeping your Third-Party Wallet secure. If you discover an issue related to your wallet, please contact your Third-Party Wallet provider. Likewise, you are solely responsible for your Account and any associated wallet and we are not liable for any acts or omissions by you as a result of your Third-Party Wallet being compromised. You agree to immediately notify us in writing in accordance with the “Contact Us” section at Section 20 of these Terms if you discover or otherwise suspect any security issues related to the Services or your Account.
7. Supported Digital Assets
7.1 We shall have sole and absolute discretion to determine the type of Digital Assets which qualify as Supported Digital Assets in respect of which we will offer the Services.
7.2 InscribeNow’s decision to make the Services available for Supported Digital Assets does not constitute an implied or expressed recommendation or endorsement of the Supported Digital Assets or their issuer.
7.3 Notwithstanding such Supported Digital Assets as may be set out on the Website, we may from time to time in our sole and absolute discretion and without prior notice to you:
a. include additional Digital Assets as Supported Digital Assets in respect of which we
will offer the Services;
b. exclude Digital Assets from existing Supported Digital Assets whereupon we shall cease to provide the Services in respect to them; and
c. restrict or limit the availability of Services in respect of any Supported Digital Assets.
7.4 Unless otherwise determined by us in our sole and absolute discretion, the Supported Digital Assets shall not include any derivative of such Supported Digital Assets (whether resulting from a Fork or otherwise) unless such derivative has been included by us as a Supported Digital Asset. In the event of a Fork in relation to the Supported Digital Assets, you acknowledge and agree that we shall not be obliged to notify you of any Fork.
8. Application Programming Interface (“APIs”)
8.1 InscribeNow may provide integration of the Services with APIs.
8.2 Where the APIs are provided by Third-Parties:
a. InscribeNow does not review the APIs (and content available through the API) for
accuracy, completeness or reliability, and does not warrant or guarantee the
accuracy, completeness, reliability or any other aspect of the foregoing;
b. InscribeNow does not make any, and expressly disclaims all, warranties and statutory guarantees with respect to the performance of the APIs, including as related to
availability, the implied warranties of fitness for a particular purpose, merchantability
and non-infringement, and the implied warranties arising out of any course of
dealing, course of performance or usage in trade, to the maximum extent as
permitted by Applicable Laws;
c. InscribeNow shall not be liable whether in tort (including for negligence and gross
negligence), contract, misrepresentation, restitution or otherwise for any Loss
however arising from the use of the APIs, even if InscribeNow was advised of or knew or
should have known of the possibility of the Loss;
d. the use of the APIs may be subject to additional end-user licensing terms which you may be subject to through use of the APIs; and
e. the APIs, and the Services’ use and/or integration with them, are made available on an
"as is", “where is”, “if applicable” and “where available” basis.
9. Limitation of Liability and Indemnification
9.1 Limitation of liability. Without prejudice to any other right or remedy under these Terms and to the maximum extent permitted by all applicable laws, regulations and rules, except as otherwise provided in these Terms:
a. InscribeNow and/or its Affiliates, or their respective officers, directors, agents, employees or representatives, shall not be liable for any Loss arising out of or in connection with
the use of the Services, or the use, receipt or holding of Supported Digital Assets by
you, whether in tort (including for negligence and gross negligence), contract, misrepresentation, restitution or otherwise for any loss of profits, loss of business, depletion of goodwill and/or similar losses or loss or corruption of data or information,
or pure economic loss, or for any special, indirect or consequential loss, costs,
damages, charges or expenses however arising under this Agreement, even if we
are advised of or knew or should have known of the possibility of the same;
b. all warranties, representations, conditions and all other terms of any kind whatsoever
implied by statute or common law are excluded, including, but not limited to, the implied warranties of fitness for a particular purpose, merchantability, and non-infringement, and the implied warranties arising out of any course of
dealing, course of performance or usage in trade;
c. notwithstanding anything to the contrary contained herein, InscribeNow’s aggregate liability in contract, tort (including negligence and gross negligence),
misrepresentation, restitution or otherwise, arising in connection with these Terms,
the access to and use of the Website, Services, and/or User Generated Content, shall be limited to the amount of Fees received by InscribeNow for its
Services to you directly relating to the items that are the subject of the claim;
d. the Services are provided to Users on an "as is", “where is”, “if applicable” and
“where available” basis;
e. InscribeNow disclaims any knowledge of and does not guarantee the accuracy, reliability, or correctness of any data, information, and/or pricing provided through the Services,
and you understand that Network Fees and transaction timings depend on the
blockchain and are not within InscribeNow’s control;
f. InscribeNow does not guarantee that it will correct any errors or defects in the Services,
APIs, or data;
and
g. InscribeNow does not guarantee that the Services or any User Generated Content are free of viruses or other harmful
code.
9.2 Indemnification. To the maximum extent permitted by all applicable laws, regulations and rules, you shall indemnify, defend, and hold InscribeNow and its Affiliates, directors, officers, employees, agents, successors, and permitted assignees (“Indemnified Persons”) harmless from and against any and all Losses (including but not limited to reasonable legal fees incurred and/or those necessary to successfully establish the right to indemnification) filed/incurred by any Third-Party against any of the Indemnified Persons arising out of your use of the Services, your breach or violation of any warranty, representation, or obligation of these Terms or of Applicable Laws, or your infringement of the rights of a Third-Party, including another User.
9.3 Nothing in these Terms excludes your liability for any breach, infringement, or
misappropriation of InscribeNow’s intellectual property rights.
10. No Assignment
10.1 Subject to these Terms, only you and no other person shall have the right to any claim against InscribeNow and/or its Affiliates in connection with the Website and/or the Services. You shall not assign, trade or transfer, or attempt to assign, trade or transfer, your right to any such claim. Any such assignment or transfer shall be void and shall not impose any obligation or liability on InscribeNow and/or its Affiliates to the assignee or transferee.
11. Intellectual Property Rights
11.1 These Terms shall not entitle you to any intellectual property rights, including the rights in relation to the use, for any purpose, of any information, image, user interface, logos,
trademarks, trade names, Internet domain names or copyright in connection with the
Website, the Services, and/or InscribeNow and/or its Affiliates.
12. Surviving Terms
12.1 Sections 9 (Limitation of Liability and Indemnification), 10 (No Assignment), 11
(Intellectual Property Rights), 12 (Surviving Terms), 13 (No Waiver), 14 (Entire
Agreement), 15 (Taxes), 16 (Governing Law and Dispute Resolution), 17 (Third-Party
Rights), and 18 (Severance and Partial Invalidity) hereto shall remain valid and in full force and effect notwithstanding any rescission or termination of these Terms and any rights or obligations of the Parties in respect of any breach of these Terms accruing prior to, on or as a result of such termination or rescission shall continue to subsist
notwithstanding such termination or rescission.
13. No Waiver
13.1 Any failure by InscribeNow and/or its Affiliates to enforce these Terms or to assert any right(s), claim(s) or causes of action against you under these Terms shall not be construed as a waiver of the right of InscribeNow and/or its Affiliates to assert any right(s),
claim(s) or causes of action against you.
14. Entire Agreement
14.1 These Terms contain the entire agreement and the understanding between the Parties and supersedes all prior agreements, understandings or arrangements (both oral and written) in relation to the use of Services.
14.2 In the event that InscribeNow discovers that you, in your use of the Services, have engaged in any of the Prohibited Uses or any other unfair, excessive or abusive usage or conduct, InscribeNow and/or its Affiliates reserves the right to take such actions as may be necessary, to the fullest extent possible under law, to protect InscribeNow and/or its Affiliates from any Loss.
15. Taxes
15.1 The use of Services shall be exclusive of all taxes that are applicable to, arising from, or in connection to your use of the Services including your receipt and holding of Supported Digital Assets in any jurisdiction (“Payable Tax”).
15.2 You shall be responsible for determining any Payable Tax and declaring, withholding, collecting, reporting and remitting the correct amount of Payable Tax to the appropriate tax authorities. You shall be solely liable for all penalties, claims, fines, punishments, or other liabilities arising from the non-fulfilment or non-performance to any extent of any of your obligations in relation to the Payable Tax.
15.3 If you or any other person (whether or not a party to, or on behalf of a party to, these Terms) must, as required by Applicable Laws, at any time deduct or withhold any Payable Tax or other amount from any sum paid or payable by, or received or receivable from, you under these Terms, you shall pay such additional amount as is necessary to ensure that the Company receives such sum on the due date and retains (free from any liability other than tax on its own overall net income) a net sum equal to what it would have received and so retained had no such deduction or withholding been required or made.
15.4 You acknowledge and agree to (a) pay and, (b) within three (3) Business Days of
demand, indemnify InscribeNow and/or its Affiliates against any cost, loss or liability that InscribeNow and/or its Affiliates (in its absolute discretion) determines has been suffered (directly or indirectly) by InscribeNow and/or its Affiliates for or on account of tax in relation to a payment received or receivable (or any payment deemed to be received or receivable) under these Terms.
15.5 InscribeNow and/or its Affiliates shall not have any responsibility, whether implied or
otherwise, for determining any Payable Tax or for declaring, withholding, collecting,
reporting and remitting the correct amount of Payable Tax to the appropriate tax authorities.
16. Governing Law and Dispute Resolution
16.1 These Terms shall be governed by, and construed in accordance with, the laws of the Province of British Columbia and the federal laws of Canada applicable therein, without regard to conflict-of-law provisions.
16.2 Arbitration. Any dispute arising out of or in connection with these Terms, including any question regarding its existence, validity or termination, shall be referred to and finally resolved by arbitration in accordance with the rules of the Canadian Arbitration Association (“CAA”) for the time being in force. The place of the
arbitration shall be Vancouver, British Columbia. There shall be a sole arbitrator, with
reasonable experience, qualifications and/or knowledge in blockchain technologies. The language of the arbitration shall be English.
16.3 Notwithstanding Section 16.2 (Arbitration) above, InscribeNow shall be free at its sole option to bring any and all disputes arising out of or in connection with these Terms, including any question regarding its existence, validity or termination, to the Courts of the Province of British Columbia. You hereby submit to the jurisdiction of the Courts of the Province of British Columbia upon such election by InscribeNow.
16.4 Each Party irrevocably submits to the non-exclusive jurisdiction of the Courts of the Province of British Columbia to support and assist the arbitration process pursuant to Section 16.2 (Arbitration) of these Terms, including if necessary the grant of interlocutory relief pending the outcome of that process.
17. Third-Party Rights
17.1 Except for InscribeNow and/or its Affiliates and the Indemnified Persons who shall have rights to the extent accorded to them under these Terms, a person who is not a Party shall not have any rights whatsoever under these Terms or to enforce these Terms.
18. Severance and Partial Invalidity
18.1 If any of these Terms is rendered void, illegal or unenforceable by any legislation to which it is subject, it shall be rendered void, illegal or unenforceable to that extent and no further and, for the avoidance of doubt, the rest of these Terms shall continue to be valid and in full force and effect.
18.2 The illegality, invalidity or unenforceability of any provision of these Terms under the law of any jurisdiction shall not affect its legality, validity or enforceability under the law of any other jurisdiction nor the legality, validity or enforceability of any other provision.
19. Force Majeure
19.1 We may, in our reasonable opinion, determine that a Force Majeure Event exists. A “Force Majeure Event” will include, but is not limited to, the following: (i) any act, event or occurrence (including without limitation any strike, riot or civil unrest, act of terrorism, war, industrial action, market manipulation, exploitation of blockchain vulnerabilities or other related technology, acts and regulations of any governmental or supra national bodies or authorities) that, in our opinion, prevents us from providing and/or providing access to the Website and/or Services; (ii) the suspension or closure of any exchange or the nationalization, government sequestration, abandonment or failure of any instrument on which we are based, or to which we in any way relate, our quote, or the imposition of limits or special or unusual terms on the trading in any such market or on any such event; (iii) periods of high volume, illiquidity, or volatility in any such market for any Digital Asset or market disruption of any kind; (iv) the occurrence of an excessive movement in the level of any transaction and/or exchange or our anticipation (acting reasonably) of the occurrence of such a movement; (v) any breakdown or failure of transmission, communication or computer facilities, interruption of power supply, or electronic or communications equipment failure; or (vi) the failure of any relevant supplier, financial institution, intermediate broker, agent or principal of ours, custodian, sub-custodian, dealer, exchange, clearing house or regulatory or self-regulatory organization, for any reason, to perform its obligations.
19.2 If we determine that a Force Majeure Event exists, we may without notice and at any time, acting reasonably, take such steps as we deem reasonable to mitigate any adverse effects of the Force Majeure Event, but shall not be liable to you for the nature of such decisions or any related acts of omissions.
19.3 You agree that we will not be liable in any way to you or to any other person in the event of a Force Majeure Event, nor for our actions pursuant to this Section if we decide to take such action. InscribeNow and/or its Affiliates shall be released of all responsibilities for partial or full non-fulfilment, as well as for improper fulfilment of the obligations under these Terms if such partial or non-fulfilment or improper fulfilment was a result of a Force Majeure Event.
20. Contact Us
20.1 You can contact us at the following email address: [email protected].
21. ANNEX 1 – RISK FACTORS & DISCLAIMERS
You should carefully consider and evaluate each of the following risk factors and all other information contained in these Terms before deciding to use any of the Services. To the best of our knowledge and belief, the risk factors which are material to you in making an informed judgment to use the Services have been set out below.
21.1 RISKS RELATING TO THE WEBSITE
1. We may experience system failures, unplanned interruptions in our network or
services, hardware or software defects, security breaches or other causes that could
adversely affect our infrastructure network, and/or the Website
We are unable to anticipate when there would be occurrences of Network Attacks & Vulnerabilities in the InscribeNow Website, Supported Digital Assets, Third-Party Wallets, or any technology on which we, the InscribeNow Website, our industry partners, Supported Digital Assets or Third-Party Wallets rely, or any other network associated with the Services. Such events may include, for example, flaws in programming or source code leading to exploitation or abuse thereof. We may not be able to detect such Network Attacks & Vulnerabilities in a timely manner and may not have sufficient resources to efficiently cope with multiple service incidents happening simultaneously or in rapid succession.
Our Services could be disrupted by numerous events, including natural disasters, equipment breakdown, network connectivity downtime, power losses, or even intentional disruptions of our Services, such as disruptions caused by software viruses or attacks by unauthorized Users, some of which are beyond our control. Although we have taken steps to guard against malicious attacks on our appliances and infrastructure, which are critical for the maintenance of the Website and the
Services, there can be no assurance that Network Attacks & Vulnerabilities will not be attempted in the future, and that any of our enhanced security measures will be effective. We may be prone to attacks on our infrastructure intended to steal information about technology, financial data or user information or take other actions that would be damaging to us and Users. Any significant breach of our security measures or other disruptions resulting in a compromise of the usability, stability and security of our network or Services (including the Website) may adversely affect the public confidence in our network or Services.
2. We are dependent on third parties in respect of the provision of Services
As we may rely on Third-Party service provider(s), such as software services providers, and intermediaries to provide Services, if such Third-Party service provider(s) experience system failures, unplanned interruptions in its network or services, hardware or software defects, security breaches or other causes that could adversely affect their infrastructure network, this would disrupt our provision of the Services.
3. We are dependent in part on the location and data center facilities of third parties
Our infrastructure network is in part established on servers which are owned or housed at the location facilities of Third-Parties, and/or servers that we rent at data center facilities of Third-Parties. If we are unable to maintain such network on commercially reasonable terms or at all, we may be required to transfer our services to a new data center facility, and may incur significant costs and possible service interruption in connection with the relocation. These facilities are also vulnerable to damage or interruption from, among others, natural disasters, arson, terrorist attacks, power losses, and telecommunication failures. Additionally, the Third-Party providers of such facilities may suffer a breach of security as a result of Third-Party action, employee error, malfeasance or otherwise, and a Third-Party may obtain unauthorized access to the data in such servers. As techniques used to obtain unauthorized access to, or to sabotage systems change frequently and generally are not recognized until launched against a target, InscribeNow and/or its Affiliates and the providers of such facilities may be unable to anticipate these techniques or to implement adequate preventive measures.
4. Legality of the Services and/or Supported Digital Assets may be subject to
clarification, implementation or change
The Applicable Laws in relation to the Services and/or the Supported Digital Assets in various jurisdictions may be uncertain and/or subject to clarification, implementation, or change. In the event of such clarification, implementation or change, the availability of the Services and/or the Supported
Digital Assets (in connection with the Services) may be adversely affected, including but not limited to the suspension or deactivation of the Services and/or the availability of the Supported Digital Assets (in connection with the Services). We may also have to take measures to comply with such regulations, or have to deal with queries,
notices, requests or enforcement actions by regulatory authorities, which may come at a substantial cost and may also require substantial modifications to the Website. This may impact the appeal of the Website for users and result in decreased usage of the Website.
Further, should the costs (financial or otherwise) of complying with such newly implemented regulations exceed a certain threshold, maintaining the Website may no longer be commercially viable and we may opt to suspend or discontinue the Services. Further, it is difficult to predict how or whether governments or regulatory authorities may clarify, implement, or change any Applicable Laws affecting digital ledger technology and its applications, including the Services. We may also have to cease operations in a jurisdiction that makes it illegal to operate in such jurisdiction, or
make it commercially unviable or undesirable to obtain the necessary regulatory approval(s) to operate in such jurisdiction.
5. Certain parts of our work and processes may risk being disrupted by new technologies that may emerge and have a disruptive effect on certain parts of our work and processes. In particular, blockchain and digital ledger technology is rapidly developing and evolving, and technological advancements may render certain or all parts of our work and processes obsolete and ineffective. This may have an adverse effect on the demand for or the availability of the Services and the Supported Digital Assets.
6. The InscribeNow Website, Third-Party Wallets and the Supported Digital Assets are exposed to risk of attacks
While we will make every effort to ensure that Website are secure, there is no assurance that the InscribeNow Website, Third-Party Wallets, or the Supported Digital Assets, will not be subject to Network Attacks & Vulnerabilities. Such events may occur as a result of, for example, flaws in programming or source code leading to exploitation or abuse thereof. In such event(s), the Services may be disrupted and/or the Supported Digital Assets may even be stolen or diverted to a different address. Unless you specifically obtain private insurance to insure your Supported Digital Assets, you may not have any recourse as a result of such loss of Supported Digital Assets.
7. There may be unanticipated risks arising from the use of the Website and/or the Services
The technologies involving the inscription of Ordinals, BRC-20, CBRC-20, Runes and other similar experimental token standards that have been developed as a method of sending fungible tokens using the Ordinals protocol, and other Services-related consensus protocols are novel, experimental, and speculative, and therefore there is significant uncertainty regarding the application of and viability of such technology. In addition to the risks included hereto, there are other risks associated with your use of the Services, including those that we cannot anticipate. Such risks may further materialize as
unanticipated variations or combinations of the risks discussed hereto.
21.2 GENERAL RISKS RELATING TO CRYPTOGRAPHIC TOKENS
1. Risk associated with Ordinals inscriptions
The Ordinals protocol is a system for numbering satoshis, giving each satoshi a serial number and tracking them across transactions. Simply put, the Ordinals protocol allows users to make individual satoshis unique by attaching extra data to them. This process is known as “inscription”. It is possible for developers to insert “bugs”, “errors”, or “exploits” into a blockchain’s open-source code or components. For example, for the Ordinals protocol, it is possible for a satoshi that a user does not own to be inscribed without the owner’s consent. While this bug can be fixed by making the Ordinals protocol ignore the inscription, this would change the inscription numbers following that inscription. While this does not affect the function of the Ordinals protocol per se, it is possible that inscription numbers affect the value and rarity of an Ordinal. Accordingly, it is possible that such “bugs”, “errors”, or “exploits” that are inserted by developers into a blockchain’s open-source code or components will affect the value, rarity, and existence of your Ordinals. Additionally, the technology and operational systems around Ordinals are still developing, and may have technical and financial weaknesses that are presently untested.
2. Risk associated with experimental Ordinals inscription standards
The Ordinals protocol is distinct from experimental Ordinals inscription standards such as BRC-20. Experimental Ordinals inscription standards include experimental fungible token standards that use Ordinal inscriptions on Bitcoin, such as BRC-20, CBRC-20, ORC-20, SRC-20, and Runes. In general, experimental Ordinals inscription standards do not use smart contracts like popular token standards on EVM blockchains – rather, such standards enable users to store a script file on Bitcoin and use that to attribute tokens to individual satoshis. In general, experimental Ordinals inscription standards employ JSON (JavaScript Object Notation) Ordinals inscriptions to initiate token contracts (which are still simplistic as smart contract functionality has yet to be developed), create new tokens and move tokens around. At the time of the drafting of this Annex 1, experimental Ordinals inscription standards have very limited functionality compared to ERC-20. Users of experimental Ordinals inscription standards are presently limited to only minting, deploying, and transferring tokens. Unlike ERC-20, there are neither approved standards for Ordinals inscriptions, nor do such experimental Ordinals inscription standards dominate present market share. Most experimental Ordinals inscription standards are still in the proposal phase. Additionally, unlike ERC-20 tokens, experimental fungible token standards that use Ordinal inscriptions on Bitcoin, such as BRC-20, CBRC-20, ORC-20, SRC-20 and Runes tokens, are not easily traded on exchanges at this time. Additionally, while experimental Ordinals inscription standards utilize the Ordinals protocol, not all Ordinals are compatible with each individual experimental inscription standard. There is no guarantee that tokens created using experimental fungible token standards will continue to be supported in the future or that exchanges will recognize or continue to recognize and support Ordinals created using experimental Ordinals inscription standards. Additionally, certain Ordinals are inscribed with off-blockchain systems that are not part of Bitcoin Core or activated in consensus with the Bitcoin network - i.e. maintained by a centralized group of
developers. This means that there is a possibility that this centralized group of developers might arbitrarily change settings in the future, disrupt software, or misdirect file storage hashes.
3. Risk associated with utilizing Third-Party Wallets to spend satoshis
Ordinals can be sent to any Bitcoin address, and are safe as long as the UTXO that contains them is not spent. However, if that wallet is then used to send Bitcoin, it may select the UTXO containing the Ordinal as an input, and send the inscription or spend it as fees.
Most Third-Party Wallets presently offer no or partial support for Ordinals. Users may accidentally send or burn valuable Ordinals if they commingle these Ordinals with their BTC in incompatible Third-Party Wallets.
By choosing to utilize Third-Party Wallets for your Supported Digital Asset transactions, it is imperative that you exercise due diligence by thoroughly researching and evaluating the security, reputation, and reliability of the wallet provider. You should review factors such as their track record, security measures implemented, regulatory compliance, user reviews, and any potential risks associated with the specific wallet services offered. Conducting your own due diligence is crucial to ensure the protection of your Supported Digital Assets, mitigate potential risks, and make informed decisions regarding the storage and transfer of your Supported Digital Assets.
4. There is no assurance of an active or liquid market for Supported Digital Assets
There is no assurance that an active or liquid market for the Supported Digital Assets will continue to remain or develop. As such, there is no assurance that your Supported Digital Assets will have any value. The Supported Digital Assets are not a currency issued by any central bank or national, supra-national or quasi-national organization, nor are they backed by any hard assets or other credit. Sale and purchase of the Supported Digital Assets depends on the consensus on their value between the relevant market participants, there is no guarantee as to the liquidity or market price of
the Supported Digital Assets to any extent at any time.
5. The trading price of the Supported Digital Assets may fluctuate
The prices of Digital Assets in general tend to be relatively volatile, and can fluctuate significantly over short periods of time. The volatility and unpredictability of the price of Supported Digital Assets may result in significant or all loss of your investments over a short period of time. The demand for, and correspondingly the market price of, the Supported Digital Assets may fluctuate significantly and rapidly in response to, among others, the following factors:
• new technical innovations;
• analysts’ speculations, recommendations, perceptions or estimates of the Supported Digital Asset’s market price;
• changes in market valuations and token prices of entities with operations similar to that of such Supported Digital Assets;
• announcements of significant events, for example partnerships, sponsorships, new product developments;
• fluctuations in market prices and trading volume of the Supported Digital Assets on
cryptocurrency exchanges;
• the availability of the Supported Digital Assets on other cryptocurrency exchanges; and
• changes in conditions affecting the blockchain or financial technology industry, the general economic conditions or market sentiments, or other events or factors.
6. Understanding cryptographic token technology requires technical knowledge
Cryptographic tokens are complex and are often described in exceedingly technical language that may require a comprehensive understanding of applied cryptography and computer science in order to appreciate the inherent risks.
The availability of Supported Digital Assets on the InscribeNow platform does not indicate approval or disapproval of the underlying technology regarding any Supported Digital Assets, and should not be used as a substitute for your own understanding of the risks specific to each Supported Digital Asset. We give you no undertaking or warranty as to the suitability of the Supported Digital Assets under these Terms and assume no duty in our relations with you. By using the Services, you acknowledge and agree that you have a basic degree of understanding of the operation, functionality, usage, storage, transmission mechanisms, and other material characteristics of digital ledger and blockchain assets, cryptographic tokens including the Supported Digital Assets, digital ledger and blockchain-based software systems, cryptographic token wallets or
other related token storage mechanisms, digital ledger and blockchain technology, the Ordinals Protocol, and smart contract technologies.
7. None of the information available on the Website or made available to you in relation to
the use of Services constitutes advice
None of the information available on the Website or made available to you in relation to the use of Services constitutes any advice, including but not limited to legal, tax, financial or trading advice. If you are in any doubt as to the action you should take, you should consult your legal, financial, tax or other professional advisors.
8. Digital Asset transfers may not be reversible
Transactions which have been signed by the transferor and verified on a digital ledger or blockchain network are generally immutable and effectively irreversible. In the event that you send Digital Assets to any other destination, such Digital Assets may not be returned. In particular, due to the
way in which Ordinals are inscribed, such transfers will carry a risk that your Ordinals will be lost.
Only experienced Users with knowledge of UTXO management should attempt it. If you are not confident in managing UTXOs, it's best to avoid transferring your Ordinals.
InscribeNow and/or its Affiliates do not assume any responsibility or make any warranties or
undertakings and shall have no obligation to you if any of the foregoing events occur, including but not limited to any responsibility to recover, or aid / assist in the recovery, of such Digital Assets.
9. Risks related to Digital Assets
Digital Assets and their underlying technologies face a number of intrinsic risks due to their entirely digital nature and structure, including but not limited to:
• faults, defects, hacks, exploits, errors, protocol failures or unforeseen circumstances
occurring in respect of a Digital Asset or the technologies or economic systems on which the Digital Asset rely. Digital Assets held in custodial wallets, as well as the protocol or technologies on which a Digital Asset depends, remain vulnerable to hacking;
• transactions in Digital Assets are permanent and irreversible, and any losses that you may suffer due to fraudulent, accidental, or erroneous transactions may not be recoverable;
• the decentralized nature of the blockchain, which means that we have no regulation or control over any failure, mistake, error and/or breach which shall occur on the blockchain or on any other networks in which the Digital Assets are being issued and/or traded;
• delays causing transactions to not be settled on the scheduled delivery date; and
• The underlying protocols of the Digital Assets may be subject to sudden changes in
operating rules (known as Forks). Such Forks may materially affect the value, function,
and/or even the name of the Digital Asset, and we may not be able to support certain forked Digital Assets on our platform.
10. Legal and Regulatory Risks
To the extent that InscribeNow may be required to obtain licenses, permits and/or approvals (collectively, the “Regulatory Approvals”) in any jurisdiction to offer any services, but are unable to obtain such Regulatory Approvals, or if such Regulatory Approvals are not renewed or are revoked for whatever reason by the relevant authorities, the Users in such jurisdiction will be unable to access the services provided on the InscribeNow Platform, or there may be changes to the scope of services provided to users from certain jurisdictions