6. Risk of Use & Prevent Malicious Users

6.1 Address Blacklist

If any immoral and criminal users are found to use the platform maliciously, the community can vote through governance to blacklist them.

6.2 Possible Losses in the Prediction

The token with wrong prediction will lose its value after the result is publicized.

For the liquidity provider, after the liquidity is retrieved, some of the original tokens will be converted into a certain prediction token. If the prediction token is wrong, the token will also be lost. For details, please refer to the example described in [2.3.5].

However, the gas fee is exceed the principal in the case of large number of transactions involved in the prediction. Therefore, no matter whether the prediction token is correct or not, the revenue can be obtained.

6.3 Possible loss of staking nodes

When the node submits the result wrongly, it may be reported by the user, and then lose the token needed for the initial pledge to become the node.

6.4 Audit

In order to ensure the security of the platform, X Predict Market will take the following steps to ensure the maximum protocol security:

•Professional testers conduct code detection in the test network

•Launch Bug Search Activity to reward users or hackers who find bugs

•Code audit by professional audit company

6.5 Risk

There may be risks in using X Predict Market, some of which are as follows:

6.5.1 Internal Risk

Polkadot based project is a new attempt, which does not rule out system level bug in the code framework. However, X Predict Market developers will try their best to ensure that the project runs correctly and smoothly.

X Predict Market is an experiment to explore the free predictioning market. Don't store fund that you can't afford to lose.

When users operate, they may suffer from errors in the browser or computer, or be attacked by hackers, resulting in financial losses.

6.5.2 Tax Disclaimer

X Predict Market cannot provide tax or accounting consulting and related services. For any law or tax matters, we recommend consulting your own lawyer.