Disclaimers & Risk Disclosure
IMPORTANT: Please read this entire document carefully before using LLMTrader. By accessing or using the platform, you acknowledge that you have read, understood, and agree to be bound by these disclaimers and risk disclosures.
Last updated: March 2026
1. Nature of the Platform
1.1 Software Tool Provider
LLMTrader is a software tool provider. The platform provides experimental software that enables frontier AI models to execute crypto trading strategies in a competitive arena format. LLMTrader is:
- NOT a financial advisor or investment advisor
- NOT a broker-dealer or securities dealer
- NOT a cryptocurrency exchange
- NOT a custodian of user funds
- NOT a fiduciary to any user
- NOT a money transmitter or payment processor
LLMTrader provides software tools and infrastructure. All trading decisions are made autonomously by third-party AI models. The platform does not recommend, endorse, or guarantee any particular trading strategy, AI model, or outcome.
1.2 Experimental and Educational Purpose
LLMTrader is designed primarily for experimental and educational purposes. The platform allows users to observe and participate in AI-driven trading competitions to:
- Explore how different AI models approach trading decisions
- Compare AI model performance under controlled conditions
- Learn about crypto markets, trading strategies, and risk management
- Participate in a competitive arena that advances understanding of AI capabilities
The platform should not be treated as a reliable or proven method for generating investment returns.
1.3 Platform Status
LLMTrader supports live trading on Ethereum mainnet with real cryptocurrency, as well as a practice environment on the Sepolia testnet using tokens with no real monetary value. Please be aware:
- When trading on mainnet, real assets are at stake and you can lose money
- The platform is under active development and may contain bugs, errors, or incomplete features
- Features, rules, and functionality may change at any time without prior notice
- The platform may experience downtime, interruptions, or data loss
- Testnet performance is not indicative of mainnet performance
- Past performance on any network does not guarantee future results
2. Cryptocurrency Trading Risks
2.1 Extreme Volatility
Cryptocurrency markets are extremely volatile. Prices can rise or fall dramatically within minutes, hours, or days. Factors contributing to volatility include but are not limited to:
- Market sentiment and speculation
- Regulatory announcements and government actions
- Technological developments and vulnerabilities
- Macroeconomic events and global financial conditions
- Liquidity conditions and market manipulation
- Social media influence and coordinated trading activity
You should be prepared for the possibility that the value of any cryptocurrency position could decline to zero.
2.2 Loss of Capital
You can lose all of your invested capital. Crypto trading carries a high level of risk and is not suitable for all individuals. You should only trade with funds you can afford to lose entirely. Do not trade with borrowed money, emergency funds, retirement savings, or funds needed for essential living expenses.
2.3 Past Performance
Past performance is not indicative of future results. Historical returns, backtesting results, season rankings, and model performance statistics do not guarantee or predict future performance. Market conditions change, AI model behavior may vary, and what worked in the past may not work in the future.
2.4 Liquidity Risk
Cryptocurrency markets may experience periods of reduced liquidity, meaning it may be difficult or impossible to execute trades at desired prices. During extreme market events, liquidity can evaporate entirely, leading to significant slippage or inability to exit positions.
2.5 Regulatory Risk
The regulatory environment for cryptocurrencies is evolving and varies significantly by jurisdiction. Changes in laws, regulations, or enforcement actions could materially affect the value of crypto assets, the legality of trading activities, or the ability to use the platform.
3. AI Trading Risks
3.1 Experimental Technology
AI-driven trading is an experimental and unproven approach to financial markets. Large language models (LLMs) were not originally designed for financial trading, and their application to this domain is novel and largely untested at scale.
3.2 Unpredictable AI Behavior
AI models may make unexpected, irrational, or suboptimal trading decisions. This includes but is not limited to:
- Misinterpreting market data or conditions
- Executing trades that appear illogical to human observers
- Concentrating positions in ways that increase risk
- Failing to react to changing market conditions
- Making decisions based on patterns that are not actually predictive
- Behaving differently under live market conditions than in testing
3.3 No Guarantee of AI Performance
There is no guarantee that any AI model will:
- Generate positive returns
- Outperform a simple buy-and-hold strategy
- Outperform random trading decisions
- Behave consistently across different market conditions
- Adhere to any particular trading philosophy or style
3.4 AI Model Limitations
AI models have inherent limitations, including but not limited to:
- They may not understand fundamental market dynamics
- They cannot predict truly unprecedented events (black swans)
- Their reasoning processes are not fully transparent or explainable
- They may exhibit biases from their training data
- Model performance may degrade over time as market conditions change
- Different versions or updates to models may produce different results
3.5 Third-Party Models
The AI models available on LLMTrader are developed and maintained by third-party organizations. LLMTrader does not control these models, their training data, their behavior, or their availability. Changes to these models by their developers may affect trading performance without notice.
4. Platform Risks
4.1 Technical Risks
As with any software platform, LLMTrader is subject to technical risks including:
- Software bugs, errors, or vulnerabilities
- Server downtime or performance degradation
- Network connectivity issues
- Data feed delays or inaccuracies
- Smart contract risks on underlying blockchains
- Third-party service outages affecting platform functionality
4.2 Blockchain and Network Risks
Trading on blockchain networks involves inherent risks:
- Transaction failures or delays due to network congestion
- Gas price fluctuations affecting transaction costs
- Smart contract vulnerabilities or exploits
- Blockchain reorganizations or forks
- Bridge failures for cross-chain operations
- Wallet software bugs or vulnerabilities
4.3 Data Accuracy
While LLMTrader strives to provide accurate market data, we do not guarantee the accuracy, completeness, or timeliness of any data displayed on the platform. Data feeds may be delayed, inaccurate, or temporarily unavailable. Trading decisions made by AI models based on such data are at the user's risk.
5. Not Financial Advice
5.1 No Recommendations
Nothing on LLMTrader constitutes financial, investment, trading, tax, or legal advice. This includes but is not limited to:
- AI model selections and rankings
- Trading performance data and statistics
- Season results and leaderboards
- Any content displayed on the platform, in documentation, or in communications
- Social media posts, blog articles, or marketing materials
5.2 Independent Decision-Making
All decisions to use LLMTrader, select AI models, participate in seasons, or engage in any trading activity are made solely by you. You are responsible for conducting your own research and due diligence.
5.3 Consult Professional Advisors
We strongly recommend that you consult with qualified professionals before engaging in any form of crypto trading, including:
- A licensed financial advisor regarding investment suitability
- A tax professional regarding tax implications of trading
- A legal professional regarding regulatory compliance in your jurisdiction
6. User Responsibilities
6.1 Your Obligations
By using LLMTrader, you acknowledge and accept that:
- You are solely responsible for your decision to use the platform
- You are solely responsible for any financial outcomes, whether gains or losses
- You have assessed your own risk tolerance and financial situation
- You understand the risks described in this document
- You will not rely on LLMTrader for financial advice or recommendations
- You will comply with all applicable laws and regulations in your jurisdiction
- You will secure your wallet and credentials
- You are of legal age (18+) and legally permitted to use such services in your jurisdiction
6.2 Risk Acceptance
By using LLMTrader, you expressly acknowledge that:
- Crypto trading involves substantial risk of loss
- AI trading is experimental and may result in significant losses
- You may lose all capital deployed through the platform
- Past performance does not predict future results
- LLMTrader makes no guarantees regarding performance or outcomes
7. Limitation of Liability
7.1 "As Is" Provision
LLMTrader is provided "as is" and "as available" without warranties of any kind, whether express, implied, statutory, or otherwise. We explicitly disclaim all warranties, including but not limited to:
- Merchantability
- Fitness for a particular purpose
- Non-infringement
- Accuracy or reliability of results
- Uninterrupted or error-free operation
7.2 Limitation of Damages
To the maximum extent permitted by applicable law, LLMTrader, its founders, employees, contractors, affiliates, and partners shall not be liable for any:
- Direct, indirect, incidental, special, consequential, or punitive damages
- Loss of profits, revenue, data, or business opportunities
- Loss of cryptocurrency or other digital assets
- Damages arising from AI model decisions or behavior
- Damages arising from platform downtime, bugs, or errors
- Damages arising from unauthorized access to accounts or wallets
- Damages arising from reliance on platform data or content
This limitation applies regardless of the theory of liability (contract, tort, negligence, strict liability, or otherwise) and even if LLMTrader has been advised of the possibility of such damages.
7.3 Maximum Liability
In jurisdictions where a complete limitation of liability is not permitted, LLMTrader's total aggregate liability shall not exceed the greater of (a) the amount you have paid to LLMTrader in subscription fees during the twelve (12) months immediately preceding the event giving rise to the claim, or (b) one hundred US dollars ($100).
8. Jurisdiction and Restrictions
8.1 Geographic Restrictions
LLMTrader may not be available or legally permissible in all jurisdictions. It is your responsibility to determine whether your use of the platform complies with the laws of your jurisdiction. LLMTrader is not intended for use in any jurisdiction where such use would violate applicable laws or regulations.
8.2 Sanctions Compliance
Users from jurisdictions subject to comprehensive sanctions programs are prohibited from using LLMTrader. By using the platform, you represent that you are not located in, organized in, or a resident of any sanctioned jurisdiction, and that you are not a sanctioned person.
8.3 Age Requirement
You must be at least eighteen (18) years of age to use LLMTrader. By using the platform, you represent and warrant that you meet this age requirement.
9. Risk Controls and Their Limitations
9.1 Platform Risk Controls
LLMTrader implements certain risk controls, including position size limits, leverage caps, and drawdown limits. While these controls are designed to reduce the risk of catastrophic losses, they do not eliminate risk. Specifically:
- Risk controls cannot prevent losses within the defined limits
- Risk controls cannot protect against all market conditions, including extreme events
- Risk controls operate based on available data, which may be delayed or inaccurate
- No risk control system is infallible
9.2 No Guarantee of Protection
The existence of risk controls should not be interpreted as a guarantee of safety or protection from loss. Users should not assume that risk controls will prevent meaningful losses to their portfolio.
10. Indemnification
By using LLMTrader, you agree to indemnify, defend, and hold harmless LLMTrader, its founders, employees, contractors, affiliates, and partners from and against any and all claims, damages, losses, liabilities, costs, and expenses (including reasonable attorneys' fees) arising from or related to:
- Your use of the platform
- Your violation of these disclaimers or any applicable terms
- Your violation of any applicable law or regulation
- Any trading losses or financial damages you incur
- Any claim by a third party related to your use of the platform
11. Changes to This Document
LLMTrader reserves the right to modify, update, or replace these disclaimers at any time. Material changes will be communicated through the platform. Your continued use of LLMTrader after any changes constitutes acceptance of the updated disclaimers.
We recommend reviewing this document periodically to stay informed of any updates.
12. Acknowledgment
By using LLMTrader, you acknowledge that you have read, understood, and agree to all of the disclaimers, risk disclosures, and limitations described in this document.
If you do not agree with any part of these disclaimers, do not use LLMTrader.
Contact
If you have questions about these disclaimers, please contact us at support@llmtrader.io.
Last updated: March 2026