Overview
Digital asset trading involves significant risks, including the possibility of losing part or all of your funds. Before using BKG Exchange services, users should understand the risks associated with digital assets, market volatility, leverage, and different trading products.
This Risk Warning is provided for general information only and does not constitute investment, financial, legal, or other professional advice.
1. Digital Asset Market Risk
Digital asset prices can fluctuate significantly and may change rapidly due to market conditions, liquidity, news, regulatory developments, and other factors.
The value of digital assets may increase or decrease substantially, and past performance does not guarantee future results.
Users should only trade with funds they can afford to lose.
2. Spot Trading Risk
Spot trading involves buying and selling digital assets at market prices.
Users may experience losses when the market price of an asset declines after purchase. Low liquidity may also result in price differences, slippage, or difficulty executing orders at the expected price.
3. Futures and Leverage Risk
Futures trading and leveraged trading involve a higher level of risk than spot trading.
Leverage can increase both potential profits and potential losses. A relatively small market movement against your position may result in significant losses.
Positions may be forcibly liquidated when the applicable risk conditions are reached. Users should understand leverage, margin requirements, liquidation mechanisms, and position management before trading futures.
4. Liquidation Risk
Futures positions may be subject to forced liquidation when the applicable risk threshold is reached.
When the Risk Ratio reaches 10%, forced liquidation is triggered under BKG's current risk management rules.
Liquidation may result in the loss of the applicable margin and may occur rapidly during periods of significant market volatility.
Users should monitor their positions and risk levels carefully.
5. Funding Rate Risk
Futures positions may be subject to funding fees according to the applicable funding mechanism.
Funding rates may be positive or negative and may change according to market conditions.
Users should consider applicable funding fees when maintaining futures positions.
6. Copy Trading Risk
Copy Trading does not guarantee profits.
The performance of a Copy Trader may differ from the Trader being copied due to execution timing, market conditions, liquidity, position size, leverage, or other factors.
Past performance of a Trader does not guarantee future results.
Users should review a Trader's historical performance, trading activity, risk information, and trading strategy before starting Copy Trading.
7. P2P Trading Risk
P2P transactions involve interactions with other users and may involve payment or settlement risks.
Users should:
- Confirm payment information before completing a transaction.
- Only mark an order as paid after the payment has actually been made.
- Verify that funds have actually been received before releasing digital assets.
- Keep relevant transaction records.
- Use the platform's appeal or dispute process when necessary.
Screenshots, payment notifications, or messages should not be treated as conclusive proof of payment.
8. Liquidity and Execution Risk
Market conditions may affect the execution of orders.
During periods of high volatility or low liquidity, users may experience:
- Slippage
- Delayed execution
- Partial execution
- Price differences between the expected and executed price
The execution of an order at a specific expected price cannot always be guaranteed.
9. Technology and Service Risk
Digital asset trading depends on internet connections, software, blockchain networks, and other technical infrastructure.
Temporary interruptions, network congestion, system maintenance, technical failures, or other unforeseen events may affect access to services or transaction execution.
10. Regulatory and Legal Risk
Digital asset regulations may differ between countries and regions and may change over time.
Certain products or services may not be available to users in particular jurisdictions.
Users are responsible for understanding and complying with applicable laws and regulations in their jurisdiction.
11. Security Risk
Users are responsible for maintaining the security of their accounts and authentication information.
Users should:
- Keep login credentials confidential.
- Enable available security features.
- Never share verification codes or authentication information with others.
- Be cautious of phishing websites, emails, messages, and fraudulent communications.
- Verify that they are using official BKG Exchange services before entering account information.
12. Important Notice
BKG Exchange does not guarantee profits or protection against trading losses.
Users should carefully evaluate their financial situation, risk tolerance, trading experience, and understanding of digital assets before using any trading product.
By using BKG Exchange services, users acknowledge that digital asset trading involves risks and that they are responsible for their own trading decisions.
FAQ
Does BKG Exchange guarantee trading profits?
No. BKG Exchange does not guarantee profits or protect users from trading losses.
Is futures trading riskier than spot trading?
Futures and leveraged trading involve additional risks because leverage can increase the size of both potential gains and losses.
What happens when the Risk Ratio reaches 10%?
Under BKG's current risk management rules, forced liquidation is triggered when the Risk Ratio reaches 10%.
Can Copy Trading guarantee profits?
No. Copy Trading does not guarantee profits, and the results of a Copy Trader may differ from those of the Trader being copied.
Can I lose all of my trading funds?
Depending on the product, market conditions, leverage, and applicable risk management mechanisms, users may lose some or all of the funds allocated to trading.
Where can I learn more about BKG's legal policies?
Users should review BKG Exchange's applicable Terms of Service, Privacy Policy, Cookie Policy, AML Policy, and other legal and compliance documents before using the platform.