Important: Please read this statement carefully before using Zoomex Grid Trading services.
This Risk Disclosure Statement ("Statement") applies to all Grid Trading services (including Spot Grid and Futures Grid) provided by Zoomex. By activating, using, or continuing to use Zoomex Grid Trading services, you acknowledge that you have read, understood, and accepted all the risks described herein, and you agree to bear sole responsibility for any and all associated losses.
Grid Trading is a strategic tool for digital asset markets. It does not constitute a guaranteed return arrangement, an investment contract, or financial advice. Digital asset prices are highly volatile and carry significant market risk. You must make an independent judgment based on your financial situation, trading experience, and risk tolerance.
I. Key Risk Factors
1. Grid Trading does not guarantee profits or principal protection.
Digital asset prices are extremely volatile. Grid Trading may result in significant losses as well as gains. There is no "risk-free" or "guaranteed profit" model.
2. Strong trending markets (unilateral moves) may lead to strategy failure or amplified losses.
Grid strategies typically perform best in ranging/volatile markets. In a sustained bull run (upward trend), you may miss out on major price increases ("out of range" or "sold too early"). In a sustained bear market (downward trend), the bot may continuously accumulate positions, leading to "buying the dip" repeatedly and resulting in unrealized losses or "being trapped."
3. Breaking out of the preset price range degrades strategy performance.
If the market price moves significantly above your upper grid limit or below your lower grid limit, the bot will pause or stop operating as intended. This results in either holding a losing position (if price crashes) or holding only stablecoins while missing gains (if price pumps).
4. Improper parameter settings directly affect performance.
You are responsible for configuring your strategy. Incorrect settings—including price range, number of grids, investment amount, leverage, and stop-loss/take-profit levels—may result in poor performance or accelerated losses.
5. Copy-trading results may differ from the Lead Trader.
If you are copying a Lead Trader, your results may vary significantly due to differences in entry time, entry price, capital size, fee tiers, leverage settings, market slippage, and execution environment.
6. Past performance and backtest data do not predict future results.
Historical returns, win rates, drawdowns, and backtest results are for reference only. They are not indicative of future performance.
7. Slippage, latency, and failed order execution.
During periods of high volatility or low liquidity, orders may experience slippage (execution at a worse price than expected), partial fills, delayed execution, or failure to execute. This may lead to results that deviate from your expectations.
8. Fees and trading costs may erode profits (or increase losses).
Grid trading typically involves a high frequency of trades. Transaction fees, funding rates (for futures), and spreads accumulate over time. These costs may reduce net returns or turn a theoretically profitable grid into a losing one.
9. Leverage carries liquidation risk.
If you use Futures Grid or leveraged products, market fluctuations will amplify both gains and losses. A sudden adverse price movement may trigger forced liquidation, potentially resulting in the loss of your entire margin allocated to that bot. Zoomex is not responsible for losses incurred due to liquidation.
10. Strategy interruption, termination, or adjustment.
A grid bot may stop unexpectedly or produce different results due to:
- The Lead Trader closing their strategy (for copy-trading).
- Insufficient account balance to maintain orders.
- Risk controls triggered by the exchange.
- Delisting of the trading pair.
- Funding fee imbalances.
11. Technical, network, or force majeure factors.
System maintenance, network delays, matching engine anomalies, data feed interruptions, regulatory changes, or other force majeure events (including but not limited to natural disasters, war, or internet outages) may cause strategy interruptions, execution failures, or asset loss.
12. Zoomex does not provide investment advice.
Zoomex provides the technology and platform functionality only. We do not endorse, guarantee, or warrant the performance of any Lead Trader, strategy, parameter set, or outcome. All use of the service is at your sole discretion.
13. Account Security Risks.
Failure to complete Identity Verification (KYC), enable Two-Factor Authentication (2FA), or sharing account access with third parties may compromise your account security. Any resulting losses are your sole responsibility.
II. Special Notices
- You must understand the mechanics. Before activating a Grid Trading bot, ensure you fully understand how quantitative strategies work, the product mechanism of grid trading, and the specific risks mentioned above.
- Non-exhaustive list. The risks listed in this Statement are not exhaustive. There are other risks associated with digital asset trading and automated strategies (e.g., regulatory risk, smart contract risk).
- Assess your financial situation. Only invest what you can afford to lose. Do not participate if you cannot withstand the total loss of your invested principal.
- Do not treat it as low risk. Grid Trading is not a low-risk, stable-income, or capital-guaranteed product.
- Sole responsibility. You bear sole responsibility for all profits and losses arising from your use of Zoomex Grid Trading services.