RISK DISCLOSURE

Version 2.0

Last revised date: September 20, 2025

This Risk Disclosure is issued by Angelic Infotech Private Limited (CIN: U74999RJ2021PTC077075), which is registered with the Financial Intelligence Unit under registration number VA00031314, the operator of the SunCrypto - Crypto Exchange in India (https://suncrypto.in and the SunCrypto mobile application), to inform users of the inherent risks associated with Virtual Digital Assets (“VDAs”) or cryptocurrencies (“Cryptos”).

By accessing or using the Platform, you acknowledge and accept these risks, in addition to those set out in the Terms of Use, Privacy Policy, Trading Policy, and AML/KYC Policy. This disclosure is made pursuant to applicable Indian laws, including the Information Technology Act, 2000; DPDP Act, 2023; PMLA, 2002; ITA, 1961; and guidelines issued by Financial Intelligence Unit-India (FIU-India), as well as industry best practices.

GENERAL RISKS OF CRYPTO TRADING IN INDIA

The risk of loss in relation to digital assets can be substantial. Cryptocurrencies are highly volatile and speculative in nature, with prices subject to rapid and unpredictable fluctuations that may result in significant losses. Transactions on the blockchain are irreversible, and errors or fraud cannot be undone. SunCrypto does not guarantee profits, returns, or the recovery of invested funds, and past performance is not a reliable indicator of future results. Users should invest only what they can afford to lose and must exercise independent judgment and caution when trading. We are not responsible for the market of digital assets, and we make no representations or warranties concerning the real or perceived value of digital assets. Graphs displayed within the online platforms show the price fluctuations of digital assets and any other information, details, and documents; however, such data, graphs, information, details, or documents are for reference and general information purposes only and any reliance you place on them is strictly at your own risk and cost. We make no representations regarding the quality, suitability, veracity, usefulness, accuracy, or completeness of such data or graphs or information or details or documents.

1. MARKET-SPECIFIC RISK

a. Volatility: The prices of Cryptos, including Bitcoin, Ethereum, and other VDAs, are highly volatile and subject to rapid fluctuations due to market demand, regulatory announcements, technological changes, or global economic conditions. Users may experience significant financial losses or gains in short periods.
b. No Guaranteed Returns: SunCrypto does not guarantee any profits, returns, or recovery of invested funds. Cryptocurrency trading involves speculative risks, and users should only invest what they can afford to lose.
c. Irreversibility of Transactions: Transactions on the blockchain are final and irreversible. Mistakes, such as sending assets to the wrong address, cannot be undone, and SunCrypto is not liable for such losses.
d. Liquidity Risk: Some cryptos may have low liquidity, making it difficult to buy or sell at desired prices without slippage.

2. PLATFORM-SPECIFIC RISKS

a. Technical Risks: The SunCrypto Platform relies on internet connectivity, software, and third-party services (e.g., cryptocurrency exchanges). Downtime, technical glitches, bugs, or cyberattacks (e.g., DDoS attacks) may disrupt access or result in transaction delays or losses.
b. Security Risks: Despite robust cybersecurity measures (e.g., encryption, multi-factor authentication), risks such as hacking, phishing, SIM swaps, or unauthorized access to user accounts remain. Users are responsible for securing their login credentials and enabling two-factor authentication (2FA) and are solely responsible for protecting their devices, passwords, and private keys.
c. Third-Party Dependencies: The Platform may integrate with third-party custodians, exchanges or service providers. SunCrypto is not responsible for the security, accuracy, reliability, or actions of these third parties, and users assume all risks associated with their use.
d. Payment System Risk: In the event that any funds transferred to SunCrypto are later subject to dispute, investigation, reversal, chargeback, fraud claim, or regulatory action, SunCrypto reserves the right to recover such disputed amounts directly from the user. This may include partially suspending the user’s account, withholding withdrawals, restricting access to services, or taking any other lawful recovery action. The user agrees that SunCrypto shall not be liable for any delay, restriction, or loss arising from such recovery measures, and any associated costs or expenses may be charged to the user.

3. LEGAL AND REGULATORY RISKS

a. Evolving Regulations: The legal framework for VDAs in India is evolving and may change abruptly, including but not limited to restrictions, bans, or enhanced compliance requirements by regulators. Such changes may affect the legality, usability, or value of Cryptos on the platform.
b. Tax Obligations: Users are solely responsible for complying with tax obligations under ITA Section 194S (1% TDS on VDA transfers) and reporting gains/losses. SunCrypto’s TDS deductions do not constitute tax advice.
c. Sanctions Compliance: Users from sanctioned jurisdictions or engaging in prohibited activities may face account suspension or legal action, with no liability to SunCrypto.
d. Data Protection Risks: While SunCrypto complies with the Information Technology Act, 2000, and DPDP Act, breaches or unauthorized access to personal data may occur since no system is immune to unauthorized access, data breaches, or misuse of personal information.

4. FINANCIAL RISKS

a. Leverage and Margin Trading: In futures trading, leverage amplifies both gains and losses. Users may lose more than their initial investment, and SunCrypto is not liable for margin call failures
b. Counterparty Risk: Transactions involve counterparties. Default or insolvency or failure to honor obligations by a counterparty may lead to unfulfilled trades, with no recourse from SunCrypto.

5. FRAUD AND SCAM RISKS

a. Phishing & Impersonation: Fraudulent emails, websites, or applications may impersonate SunCrypto to steal personal data or funds.
b. Ponzi & Fake Tokens: Users must beware of scams, unauthorized tokens, or schemes promising unrealistic returns.
c. User Vigilance: SunCrypto will never request sensitive details (passwords, seed phrases) via unofficial channels. Users must remain vigilant and verify all communications.

6. ADVISOR-RELATED RISKS

a. Independence of Advisors: Any views, opinions, or content shared by empanelled advisors (including blogs, FAQs, or social media posts) are solely those of the advisors. SunCrypto does not validate, endorse, or guarantee the accuracy of such content.
b. No Professional Advice: The Company does not provide business, financial, legal, or tax advice. Users must obtain independent professional advice before acting on any information.

7. USER RESPONSIBILITIES

a. Users must conduct their own research and seek independent financial or legal advice before trading.
b. Users are responsible for securing their private keys, seed phrases, and account credentials. Loss of access due to forgotten credentials or device failure is not recoverable by SunCrypto
c. Users must notify SunCrypto immediately at help@suncrypto.in or call us at (+91-7889650068) of any suspicious activity or security breaches to mitigate risks.
d. No Monitoring: Suncrypto does not act as your broker, intermediary, agent, or advisor, and does not owe you any fiduciary duty in connection with your trades, decisions, or activities conducted through Suncrypto. We do not evaluate whether your use of our services aligns with your financial goals or objectives. It is solely your responsibility to determine whether your financial resources are sufficient and whether the products and services you choose to engage with are appropriate for your individual risk tolerance.

8. LIMITATION OF LIABILITY

a. Angelic Infotech Private Limited and its affiliates shall not be liable for any direct, indirect, incidental, consequential, or punitive damages arising from cryptocurrency trading, platform use, or the risks outlined herein, to the fullest extent permitted by law.
b. This Risk Disclosure does not constitute a waiver of SunCrypto’s obligations under applicable laws, including PMLA, ITA, and DPDP Act, but clarifies that users assume the risks inherent to cryptocurrency markets.

9. FORCE MAJEURE

a. Any force majeure events beyond the control of the Exchange, including earthquakes, floods, fires, riots, strikes, wars, government regulations, international bans or restrictions, and other unpredictable and unpreventable force majeure events such as power outages, technical failures, electronic failures, etc., may disrupt services and could have an impact/affect on the Participant's trading. SunCrypto shall not be liable for resulting losses.

10. ACKNOWLEDGMENT

a. By using the SunCrypto Platform, you acknowledge that you have read, understood, and accepted the risks disclosed herein. You agree to assume full responsibility for all trading decisions and their outcomes. For further information or to report concerns, contact our Support Team at help@suncrypto.in or Data Protection Officer at dpo@suncrypto.in

Disclaimer Note: Crypto products and NFTs are unregulated and can be highly risky. There may be no regulatory recourse for any loss from such transactions.

Digital Assets (including Virtual Digital Assets or cryptocurrencies) are unregulated in India and not recognized as legal tender by the Reserve Bank of India or any other regulatory authority. The SunCrypto Platform is not registered with the Securities and Exchange Board of India (SEBI), the Reserve Bank of India (RBI), or any other statutory or regulatory body in India for the provision of investment, trading, or advisory services in digital assets

Nothing contained in this Risk Disclosure Policy or on the SunCrypto Platform shall be construed as investment, financial, legal, or tax advice. The information provided is for general educational and informational purposes only. Users must rely on their own judgment, conduct independent research, and, where necessary, seek advice from qualified professionals before engaging in any transactions involving digital assets.

By accessing and using the Platform, you acknowledge that you fully understand the inherent risks associated with Digital Assets and agree that all trades, holdings, and transactions are undertaken solely at your own risk. SunCrypto shall not be held responsible or liable for any losses, damages, or consequences arising directly or indirectly from your use of the Platform or participation in Digital Asset activities.