1. Introduction and Acceptance
These Terms of Service ("Terms") govern your access to and use of the Vektes Protocol (the "Protocol"), including the smart contracts deployed on the Ethereum blockchain, the web interface at app.vektes.com (the "Interface"), and the informational website at vektes.com (collectively, the "Services").
By accessing or using the Services, you acknowledge that you have read, understood, and agree to be bound by these Terms. If you do not agree, do not access or use the Services.
2. The Protocol
2.1 Decentralized Protocol
The Vektes Protocol consists of open-source, immutable smart contracts deployed on the Ethereum blockchain. The Protocol operates autonomously according to its code. No individual, entity, or group has the ability to alter, pause, or reverse transactions processed by the Protocol once executed on-chain, except through functionality explicitly programmed into the smart contracts (such as the emergency pause function controlled by the protocol multisig).
2.2 Interface vs. Protocol
The Interface (app.vektes.com) is a convenience tool that facilitates interaction with the Protocol. The Interface is not the only way to access the Protocol — users may interact directly with the smart contracts through any compatible wallet, block explorer, or third-party tool. The Interface does not custody, control, or have access to your funds at any time.
2.3 Non-Custodial
The Services are entirely non-custodial. You maintain full control of your digital assets at all times. At no point do we have custody, possession, or control of your tokens or private keys.
3. $VEK Token
3.1 Utility Token
$VEK is a utility token used exclusively for:
- Paying protocol service fees on the Vektes Protocol
- Participating in protocol governance (when implemented)
- Network gas fees on the Vektes network (when applicable)
3.2 No Investment Contract
$VEK is not an investment, security, share, equity, debt, loan, or equivalent in any jurisdiction. Acquiring $VEK does not grant any rights to:
- Profits, dividends, or revenue sharing
- Ownership or equity in any entity
- Guaranteed returns of any kind
- Claims against any person or entity
3.3 No Expectation of Profit
You acknowledge that you are acquiring or using $VEK solely for its consumptive utility within the Protocol and not as a speculative investment. The fee-burning mechanism exists to manage token supply as a protocol parameter, not to generate profits for holders.
4. Eligibility
4.1 General Requirements
By using the Services, you represent and warrant that:
- You are at least 18 years of age (or the age of majority in your jurisdiction)
- You have the legal capacity to enter into these Terms
- You are not located in, resident of, or organized in a Restricted Jurisdiction (Section 4.2)
- You are not subject to any sanctions administered by OFAC, the United Nations, or any other governmental authority
- Your use does not violate any applicable law or regulation
4.2 Restricted Jurisdictions
The Services are not available to persons or entities located in, resident of, incorporated in, or having a registered agent in:
- Cuba, Iran, North Korea, Syria, the Crimea region, the Donetsk and Luhansk regions of Ukraine
- Any other jurisdiction subject to comprehensive economic sanctions
- Any jurisdiction where the use of cryptocurrency protocols is prohibited by law
4.3 United States Persons
U.S. persons may use the Protocol for its intended utility (making and receiving payments). Nothing herein constitutes an offer to sell or solicitation to buy securities. $VEK has not been and will not be registered under the U.S. Securities Act of 1933.
5. User Conduct
You agree not to:
- Use the Services for any illegal activity, including money laundering, terrorism financing, or sanctions evasion
- Attempt to exploit, disrupt, or manipulate the Protocol or Interface
- Use automated systems (bots) to manipulate protocol parameters or fee calculations
- Circumvent geographic restrictions through VPNs or other means if you are in a Restricted Jurisdiction
- Misrepresent your identity or jurisdiction of residence
6. Protocol Mechanics — Important Disclosures
6.1 Irrevocability
Transfers submitted through the Vektes Protocol are irrevocable by the sender once confirmed on-chain. There is no chargeback, cancellation, or reversal mechanism available to senders. You acknowledge this is a core design feature, not a defect.
6.2 Recipient Rejection
Recipients may reject pending (unsettled) transfers, which returns funds to the sender. This is the only mechanism by which a transfer can be reversed, and it is solely at the recipient's discretion.
6.3 Settlement Dates
Funds locked with a future settlement date cannot be accessed by the recipient until that date passes. The Protocol enforces this programmatically. Neither we nor any third party can accelerate or modify settlement dates.
6.4 Transaction Codes
Each transaction code is unique per sender-recipient pair. Once used, a code cannot be reused for the same pair. Ensure you use meaningful, unique codes for each transfer.
7. Fees
7.1 Protocol Fees
The Protocol charges tiered fees based on monthly sender volume, paid in $VEK. Current fee tiers are displayed on the Interface and enforced by the smart contract. Fee tiers may be modified through governance.
7.2 Gas Fees
All blockchain transactions require gas fees paid to Ethereum validators. These fees are separate from Protocol fees and are not controlled by or payable to us.
7.3 Fee Cap Protection
The Protocol includes a maximum-fee-cap mechanism. You will never be charged more than the fee cap you specify at the time of the transaction, regardless of $VEK price fluctuations.
8. Risks
8.1 Blockchain Risks
You acknowledge and accept the following risks:
- Smart contract vulnerabilities, despite auditing
- Blockchain network congestion, delays, or failures
- Ethereum protocol changes that may affect functionality
- Oracle failures or manipulation that may affect fee calculations
- Loss of private keys resulting in permanent loss of funds
- Regulatory changes that may restrict access to the Services
8.2 Token Price Risk
The market price of $VEK may fluctuate. You accept all risks associated with holding and using $VEK, including the risk of total loss of value.
8.3 No Insurance
Funds locked in the Protocol are not insured by any government agency (including FDIC, SIPC, or equivalent). There is no guarantee of recovery in the event of smart contract failure. See the full Risk Disclaimer.
9. Intellectual Property
9.1 Open Source
The Vektes Protocol smart contracts are open-source software released under the MIT License. You may view, fork, and deploy the code in accordance with that license.
9.2 Trademarks
The Vektes name, logo, and branding are proprietary. You may not use these marks without prior written consent.
10. Disclaimers
10.1 As-Is
THE SERVICES ARE PROVIDED "AS IS" AND "AS AVAILABLE" WITHOUT WARRANTIES OF ANY KIND, EITHER EXPRESS OR IMPLIED, INCLUDING BUT NOT LIMITED TO WARRANTIES OF MERCHANTABILITY, FITNESS FOR A PARTICULAR PURPOSE, AND NON-INFRINGEMENT.
10.2 No Fiduciary Duty
Nothing in these Terms creates a fiduciary relationship, agency, partnership, or joint venture between you and any contributor to the Protocol.
10.3 No Financial Advice
Nothing provided through the Services constitutes financial, investment, legal, or tax advice. You should consult your own advisors before making decisions regarding the use of the Protocol or acquisition of $VEK.
11. Limitation of Liability
TO THE MAXIMUM EXTENT PERMITTED BY LAW, IN NO EVENT SHALL THE PROTOCOL CONTRIBUTORS, DEVELOPERS, OR ANY AFFILIATED PARTIES BE LIABLE FOR ANY INDIRECT, INCIDENTAL, SPECIAL, CONSEQUENTIAL, OR PUNITIVE DAMAGES, OR ANY LOSS OF PROFITS, REVENUE, DATA, OR USE, ARISING FROM OR RELATED TO YOUR USE OF THE SERVICES, WHETHER BASED ON WARRANTY, CONTRACT, TORT, OR ANY OTHER LEGAL THEORY, EVEN IF ADVISED OF THE POSSIBILITY OF SUCH DAMAGES.
TOTAL LIABILITY FOR ANY CLAIM ARISING FROM USE OF THE SERVICES SHALL NOT EXCEED THE AMOUNT OF PROTOCOL FEES PAID BY YOU IN THE TWELVE (12) MONTHS PRECEDING THE CLAIM.
12. Indemnification
You agree to indemnify, defend, and hold harmless the Protocol contributors, developers, and any affiliated parties from and against any claims, damages, losses, or expenses (including reasonable attorney fees) arising from:
- Your use of the Services
- Your violation of these Terms
- Your violation of any applicable law or regulation
- Any transaction you initiate through the Protocol
13. Dispute Resolution
13.1 Governing Law
These Terms shall be governed by and construed in accordance with the laws of the Cayman Islands, without regard to conflict of law principles.
13.2 Arbitration
Any dispute arising from these Terms shall be resolved by binding arbitration administered by the International Centre for Dispute Resolution (ICDR) under its rules. The arbitration shall be conducted in English. Judgment upon the award may be entered in any court having jurisdiction.
13.3 Waiver of Class Action
You waive any right to participate in a class action lawsuit or class-wide arbitration relating to the Services.
14. Modifications
We reserve the right to modify these Terms at any time. Changes will be posted on vektes.com with an updated "Last Updated" date. Your continued use of the Services after changes constitutes acceptance of the modified Terms.
15. Severability
If any provision of these Terms is found to be invalid or unenforceable, the remaining provisions shall remain in full force and effect.
16. Contact
For questions regarding these Terms:
- Website: vektes.com
- Email: team@vektes.com
These Terms are effective as of August 20, 2026.