1. This “Agreement” governs your use of Margin Staked SOL (as defined below) and related services entered into by and between you (the “User” or “you”, “your” or the “Participant”) and Bybit Technology Limited (“Bybit”, “we”, “us” or “our”). This Agreement forms a binding agreement between Bybit and you and serves to supplement our Terms of Service found at https://www.bybit.com/app/terms-service/information (the “Service Agreement”). If you do not agree to any terms or conditions of this Agreement, you must immediately cease using the Margin Staked SOL (as defined below) services. By using the Margin Staked SOL services you agree to be legally bound by this Agreement, the Service Agreement, and all other terms and conditions and rules relating to the Margin Staked SOL services that we may publish from time to time, including those without prior notice to you.

2. In the event of conflict or inconsistency between a term or provision in this Agreement and the Service Agreement, such conflict or inconsistency shall be resolved by giving precedence to this Agreement. All other provisions of our Service Agreement not modified by this Agreement shall remain in full force and effect.

3. The User acknowledges and fully understands the risks involved in the depositing of cryptocurrencies and unconditionally accept the potential risks and benefits of his or her own investment decisions. You also further understand and confirm that you have the experience and knowledge necessary to invest in non-guaranteed digital currency or assets products. In particular, you should understand the risks in the technology.

4. Our Site and Platform are not intended to provide tax, legal, insurance, or investment advice, and nothing on the Site or Platform should be construed as an offer to sell, a solicitation of an offer to buy, or a recommendation for any security or crypto asset by us. You alone are solely responsible for determining whether any investment, security or strategy, or any other product or service, is appropriate or suitable for you based on your investment objectives and personal and financial situation. You should consult an attorney or tax professional regarding your specific legal or tax situation.

5. Risk Disclosure. You understand and accept the risks that may arise from using the Margin Staked SOL services and all losses, expenses, costs, damages, liabilities, penalties, charges (“Losses”) that you may suffer from using the Margin Staked SOL services, including but not limited to:

1. Smart contract risks. Technologies such as protocols and smart contracts on the blockchains involve cyber security and technology-related risks. Accordingly, there are risks when you interact with protocols or smart contracts in the Margin Staked SOL services, such as contract vulnerabilities, bugs, hacking incidents, malfunctions, cyberattacks, changes to blockchains, or extreme fluctuations, among other risks. We assume no responsibility or liability for any such risks.

2. Disclaimer of Platform Use. We do not assume any responsibilities or liabilities for your use or access of our Platform. We do not guarantee uninterrupted or error-free operation of the Margin Staked SOL services. We also cannot and are not obligated to guarantee the outcomes of your use or access of our Platform. You agree and accept that you shall solely bear all Losses as a result of your use of our Platform, and we shall not be liable for any Losses in connection with your use or access of the Margin Staked SOL services, including without limitation, any transactions you dispute. You are strongly encouraged to carefully review the terms of this Agreement and seek independent professional advice as to whether the Margin Staked SOL services are appropriate for you having regard to your personal circumstances and objectives, financial position, and risk tolerance.

3. Digital Asset Risk. Investments in Digital Assets are particularly high-risk. The volatile and unpredictable nature of Digital Asset prices may lead to significant Losses. You should do all the necessary research and exercise your independent judgment before investing in Digital Assets.

4. Funding Risks. You may suffer Losses from the risks associated with the inability to trade Digital Assets while your Digital Assets are locked with the Margin Staked SOL services. You are willing to bear the funding risks and potential financial Losses caused by staking your Digital Assets and subscribing to the Margin Staked SOL services.

5. Investment Risk. Margin Staked SOL is a leveraged product which is complex and may not be suitable for everyone. There are significant risks associated with the use of margin and leverage, and the Losses you may incur is potentially unlimited and can exceed the amount which you originally deposit with us. You understand and acknowledge that you could sustain significant Losses, including the loss of your principal deposited with the Margin Staked SOL services. Subscription to the Margin Staked SOL services involves inherent risks. In particular, please note that past performance or annual percentage yield (“APY”) is not a reliable indicator of future results, future returns are not guaranteed, and a loss of original investment capital may occur. We make no representation, warranty, or guarantee regarding the profitability or future performance of any products under the Margin Staked SOL services.

6. Margin Risk. Under Margin Staked SOL you may borrow assets for staking. When you stake assets, you may lose control over the assets (such as to the network you have staked it to) including the ability to repay the borrowed assets used for staking. In such a circumstance, you are still obligated to repay interests for the borrowed assets for as long as these assets are not repaid. You should carefully consider the risks of staking assets on margin.

7. Returns. Since the Margin Staked SOL services involves leveraged borrowing, there is risk that the interest rate for the borrowing of Solana tokens (“SOL”) becomes higher and exceeds the yield generated from Bybit Staked SOL (“bbSOL”), in which case you may not profit from staking with the Margin Staked SOL services and may incur Losses. The expected returns displayed on the Platform are the theoretical estimates of returns; they are not the actual returns guaranteed or promised by us. Actual returns may vary from the expected returns. Your final returns will be based on the actual returns you receive, which shall be distributed by us in our sole discretion. We do not make any guarantee or promise to the actual returns that you may receive.

8. Price Fluctuations. Price fluctuations of Digital Assets should be expected.

9. Technical Anomalies. Technical anomalies may occur, which may delay or prevent you from using the Margin Staked SOL services or performing related transactions and result in losses of your Digital Assets.

10. Market Anomalies. Market anomalies may occur, which may result in losses of your Digital Assets.

11. Changes to the Terms. To maintain an orderly market, we are required to add, remove, or change the policies, the terms of this Agreement or other relevant service agreements or terms from time to time without notice to you. Any changes may benefit or harm individual customers like yourself.

12. Our Relationship with You. We are not your broker, dealer, intermediary, agent, or advisor. You acknowledge and agree that we do not have a fiduciary relationship with or fiduciary duty towards you in connection with any transactions, decisions, or other activities you undertake when using the Margin Staked SOL services. We do not provide investment or financial advice of any kind, and no communication or information provided to you by us is intended as, or should be construed as, advice of any kind. All transactions are executed based on the parameters of your order instructions. You alone are solely responsible for determining whether any investment, security or strategy, or any other product or service, is appropriate or suitable for you based on your investment objectives and personal and financial situation, and you alone shall be solely responsible for any Losses therefrom.

13. You shall be solely responsible, and you assume and shall bear all risk of Losses, for all conduct relating to the Margin Staked SOL services or the use of the Margin Staked SOL services, including but not limited to the risks mentioned in herein. We expressly disclaim and do not take any responsibility for any Losses, liability, or damage incurred as a result of your access to and use of the Margin Staked SOL services.

6. Save as defined below, all terms and references used in this Agreement shall have the meaning given to them in the Service Agreement.

7. Margin Staking.

1. Margin Staked SOL (“Margin Staked SOL”) is a service where you may use leverage to borrow SOL (“Margin”) and stake the borrowed SOL together with your SOL in exchange for bbSOL, which is a tokenized representation of your underlying staked SOL plus associated rewards accrued.

2. To subscribe to the Margin Staked SOL services, you can set up your staking order as follows:

   1. Enter the amount of SOL you wish to stake (“Principal SOL”).

   2. If you enable the Margin feature, the system will automatically use the Principal SOL to borrow extra SOL (“Borrowed SOL”) based on the leverage selected. You can also disable the Margin feature, in which case you will only stake your Principal SOL.

   3. If you enable the Margin feature, the amount of your Borrowed SOL will be determined by your Principal SOL and the selected leverage as follows: Borrowed SOL = (Principal SOL – Fees) x leverage selected

   4. If you enable the Margin feature and borrow SOL for your staking order, you shall pay interest for the loan of your Borrowed SOL (“Interest”). The Interest is calculated at a floating rate, updated on an hourly basis.

3. The Principal SOL and Borrowed SOL (if any) will form the total amount of staked SOL (“Staked SOL”) for your staking order.

4. The Staked SOL will be converted to the corresponding amount of bbSOL according to the prevailing SOL/bbSOL exchange rate.

5. In subscribing to the Margin Staked SOL services, you agree to pay:

   1. all applicable fees in connection with your use of the Margin Staked SOL services, including but not limited to gas fees and platform fees for processing your staking and redemption order (“Fees”). 

   2. the Interest which is calculated at a floating rate, updated on an hourly basis.

6. By subscribing to the Margin Staked SOL services, you understand and agree that:

   1. once you have subscribed to the Margin Staked SOL services, you cannot redeem your Staked SOL or claim any associated rewards except as described in Clause 10 below. The bbSOL you receive from your Staked SOL will be locked in the staking position on the Platform to earn yield from its value appreciation and cannot be withdrawn or used elsewhere. 

   2. you acknowledge that we cannot promise or guarantee that you will receive a certain amount of reward from staking your SOL.

   3. we do not guarantee the value of your staked Principal SOL or associated rewards.

   4. we are not responsible for any decrease in the value of your staked Principal SOL or associated rewards.

   5. we do not guarantee that the redemption will result in a successful exchange or sale of bbSOL. We will not backstop or otherwise intervene to guarantee bbSOL liquidity.

   6. we do not guarantee the security or functionality of any third-party protocol, software, or technology intended to be compatible with bbSOL, and we are not responsible for any losses of bbSOL due to the failure of third-party protocol, software, or technology.

   7. we shall have the sole discretion to determine, from time to time, in relation to the Margin Staked SOL services:

      1. minimum or maximum amounts required to be deposited in order to subscribe to the Margin Staked SOL services;

      2. any redemption period;

      3. any redemption limits;

      4. any subscription limits;

      5. charge any fees or charges; or

      6. any other changes or limitations in relation to the Margin Staked SOL services.

   8. the Margin Staked SOL services could be impacted by one or more regulatory actions, which could impede or limit the services with respect to the Margin Staked SOL services.

7. Without limiting the generality of Clause 5, you understand, agree, and accept the following risks associated with the Margin Staked SOL services:

   1. Use of Third-Party Service Providers. In providing the Margin Staked SOL services, we act on your instructions to pass your staking or unstaking requests to third-party staking providers (“Staking Providers”). We do not control the actions of Staking Providers, and they may fail to perform as expected, which could result in slashing or a loss of your staked SOL and any associated Validation Rewards (as defined below) or other rewards. We do not guarantee the performance of any third-party Staking Providers and are not responsible for any Losses that may result from their actions or failures. You are responsible for conducting your own due diligence before choosing to use the Margin Staked SOL services.

   2. Smart contract risk. The smooth functioning of the stake pool protocol relies on the robustness of all associated smart contracts. There is a risk that the protocol may fail to function smoothly because of errors in smart contract code or exploitation of previously undetected security vulnerabilities. We assume no responsibility or liability for any such risks.

   3. Slashing risk. The applicable blockchain network might subject staked assets to “slashing” if the transaction validator representing those assets incorrectly validates or fails to validate a transaction. Slashing typically involves the reduction or loss of a validator’s assets as a consequence of their improper actions. As a result, there may be non-payment of Validation Rewards (as defined below) and your Staked SOL may be subject to a penalty.

   4. Price fluctuation risk. The market price of the bbSOL token could diverge from the price of the underlying SOL or Staked SOL because of various reasons, including but not limited to market fluctuations. You hereby acknowledge and understand that there is such price fluctuation risk before you subscribe to the Margin Staked SOL services.

   5. Lock-Up or Unbonding Periods. Your staked SOL may be locked up due to rules determined by the protocols of the applicable blockchain network, during which they cannot be transferred or sold. Before you subscribe to the Margin Staked SOL services, you should therefore assess your liquidity needs and ensure that you can afford to have your assets locked up for the duration of the staking period. You acknowledge that the assets you have staked may be locked with the applicable blockchain network and as such may not be available for sale, transfer, trading, or other uses until they are unstaked and the unbonding period (if applicable) is complete.

   6. You understand and are aware of the risks of using third-party Staking Providers, smart contract risk, slashing risks, price fluctuation risk, and how your actions to unstake could depend on the lock-up or unbonding periods put in place by the applicable blockchain (all of which are beyond our control, as we only provide a facilitation service) before you participate.

   7. You agree and accept that we shall not be liable for any Losses arising from or connected with any of the risks mentioned herein, including but not limited to the risks set out below in Clause 5 above and in this Clause 7.7.

8. Validation Reward.

1. By staking your SOL and thereby participating in securing the Solana blockchain network by validating transactions propagated over the network, the Solana blockchain network may provide transaction validators with a reward (“Validation Reward”).

2. If the Staking Providers successfully validate transactions in respect of SOL in accordance with your instructions, you may be entitled to an applicable portion of the Validation Reward in proportion to the amount of SOL you have staked. The Validation Rewards are granted by and determined by the protocols of the Solana blockchain network.

3. Following the receipt of such a Validation Reward (if any), the Staking Providers will facilitate the distribution of such applicable portion of the Validation Reward to you (out of which a fee will be paid to us and/or the Staking Providers for providing you with the staking services, dependent on the terms of our arrangement with the Staking Providers). 

4. You acknowledge and accept that: 

   1. you may not be able to access the Validation Rewards until they are distributed to the Staking Providers by the Solana blockchain network and passed on to you. 

   2. you understand that any information or statement displayed on the Platform regarding any approximated projection of any rewards in respect of the Margin Staked SOL services (“Estimated APY”) is purely an estimation of the rewards and is in no way a guarantee or confirmation that you will actually receive such rewards or such amount of rewards.

   3. you acknowledge that the Estimated APY and any actual rewards, including the timing and frequency of any such rewards, may change over time and is solely dependent on the applicable blockchain protocol and performance of the Staking Providers.

   4. we do not have any ability to influence or determine any aspect of the rewards generated. We, and the Staking Providers, do not guarantee that you will receive any Validation Rewards, any other rewards, or any Estimated APY. You acknowledge and agree that we, our affiliates, and the Staking Providers, are not liable for any failure by the applicable network or other third party in disbursing any Validation Rewards or other rewards.

5. For avoidance of doubt, historical returns are not indicative of future returns. We do not guarantee redemptions and returns. You agree and accept that any representation concerning possible return at the time you subscribe to the Margin Staked SOL services is an estimate only and not guaranteed.

9. Margin Call and Stop Loss Function.

1. Margin Staked SOL employs a mechanism based on the unrealised profits and losses (“Unrealised PnL”) to limit losses when the costs of borrowing SOL exceed the Validation Rewards generated from Margin Staked SOL (“Stop Loss Mechanism”).

2. Under the Stop Loss Mechanism:

   1. when the Unrealised PnL falls to or below the preset level for margin call (“Margin Call PnL”), the system will notify you to deposit more SOL to increase the amount of your Principal SOL or to redeem your Staked SOL. Please note that if you increase the amount of your Principal SOL, the additional amount of Principal SOL would not be used to borrow extra SOL for your staking position.

   2. when the Unrealised PnL falls to or below the preset level for stop loss (“Stop Loss PnL”), the system will trigger the stop-loss function and automatically redeem all of your Staked SOL (“Auto Redemption”) to repay your loan of Borrowed SOL, the accrued Interests, and any applicable Fees, such as redemption processing fee and gas fees.

3. You may adjust the Stop Loss PnL to any level that is above the default Stop Loss PnL. If you adjust your Stop Loss PnL, your Margin Call PnL will be adjusted accordingly according to your adjusted Stop Loss PnL.

4. You acknowledge and agree that:

   1. we shall be entitled, but have no obligation, to notify you when your Unrealised PnL falls to or below the Margin Call PnL. It is your sole responsibility to monitor your positions and/or Unrealised PnL, and to adjust your positions from time to time in order to avoid Auto Redemption, particularly in periods of high volatility, regardless of whether or not a risk alert and/or notification has been issued to you;

   2. any Losses from Auto Redemption are your responsibility and shall be borne by you. This includes situations where the Auto Redemption of your position is triggered due to sharp price fluctuations in assets within a short period of time. If there are any deficiencies or shortfalls in your Account that arise from Auto Redemption or that remain after Auto Redemption, you shall be liable and shall promptly pay us for such deficiencies or shortfalls. This obligation shall survive the termination of this Agreement;

   3. any notifications, notices, and/or demand(s) given by us in relation to the Unrealised PnL are provided out of goodwill and not any form of representation to be relied upon by you. You shall exercise your own caution in risk management and further acknowledge and agree that such notifications shall not form conditions precedent for Auto Redemption or the exercise of any of our rights under this Agreement; and

   4. we shall have no liability to you or any third party in connection with any Auto Redemption or any Losses therefrom arising from or in connection with: 

      1. any failure to issue a risk alert and/or notification;

      2. any delay or glitch in the issuance of risk alert and/or notification; and

      3. any delay in your receipt of any risk alert and/or notification.

   5. You agree that in some cases we have no ability to redeem the staked assets, so as to reduce your exposure to the Interest arising from the Borrowed SOL. You agree and undertake to pay all Interests incurred from using the Margin feature and the loan of the Borrowed SOL.

10. Redeem Margin Staked SOL.

1. To redeem your Staked SOL, you may initiate a redemption request. The amount of SOL redeemed (“Redeemed SOL”) will depend on the prevailing SOL/bbSOL exchange rate at the time of redemption request.

2. When you submit a redemption request, you may choose either of the following:

   1. to redeem your Staked SOL immediately (“Instant Redemption”), where you will be able to receive your Principal SOL and part of your Validation Rewards immediately, subject to the limit for Instant Redemption set by the Platform. If you opt for Instant Redemption, you understand, acknowledge, and accept that you may lose part of your Validation Rewards.

   2. to choose delayed redemption and wait for the unstaking of your Staked SOL to process on-chain (“Postponed Redemption”), where you will only be able to receive your Principal SOL and all the accrued Validation Rewards after the expiry of the unstaking period, during which the Interest for your Borrowed SOL will continue to accrue. Your bbSOL will be converted to SOL at the prevailing SOL/bbSOL exchange rate when you submit your redemption request. During the processing time for the unstaking request on-chain, you will not earn any Validation Rewards for your Staked SOL.

3. When you redeemed your Staked SOL, the system will automatically use your Redeemed SOL to repay the loan for your Borrowed SOL, the accrued Interest for the Borrowed SOL, and the applicable Fees, such as redemption processing fee and gas fees. After repayment, any remaining balance from the Redeemed SOL will then be credited into your Funding Account.

4. In some circumstances the redemption of SOL may be subject to additional delay, including but not limited to events of extreme market volatility, network delays and outages, validator or protocol failure, a significant number of simultaneous instructions to convert bbSOL to SOL from other Users, or other unanticipated events.

11. You will be able to view your account history on the Platform. You must review your account history carefully and let us know if you see any entries or transactions that you do not recognize or you think are incorrect as soon as possible, and within 14 days after the date that your account history is provided or made available to you.

12. We may rectify any error in your account at any time and reserve the right to void or reverse any transaction in the following instances:

1. involving or deriving from a manifest error (that is, any error, omission or misquote (whether an error of us or any third party that we assign) which is manifest or palpable, including a misquote by any representative of ours taking into account the current market and currently advertised quotes, or any error of any information, source, official, official result, or pronunciation); or

2. to reflect what we reasonably consider to be the correct or fair details of the transaction.

13. You hereby undertake to, wherever you are, use the Margin Staked SOL services in compliance with all applicable laws. You further undertake to indemnify us from any and all liabilities that we may incur arising from your improper or non-compliant use of the Margin Staked SOL services.

14. We disclaim to the maximum extent permitted by laws, and you hereby waive and release us from any and all claims, liabilities, causes of action, responsibilities, and Losses arising from or in any way related to, including but not limited to:

1. your use of the Margin Staked SOL services;

2. your use and access of the Platform;

3. any defect in any protocols, blockchain network, or smart contracts; and 

4. loss of your invested or staked assets, or inability to redeem your assets.

15. We may be required under applicable laws and regulations to share information about your accounts and use of the Platform with third parties. You acknowledge, agree, and consent that we are entitled to disclose such information.

16. We reserve the right to, without prior notice:

1. temporarily or permanently prohibit you from accessing or using the Margin Staked SOL services;

2. impose limits on your access or use of Margin Staked SOL services;

3. suspend or terminate the Margin Staked SOL services;

4. delay certain transactions in the Margin Staked SOL services. 

You understand and agree that we shall not, to the maximum extent permitted by law, be liable to you for any Losses caused by such prohibition, suspension, or termination.

17. You shall comply with all applicable laws and regulations and ensure and cease using the Margin Staked SOL services where such compliance is no longer possible.

18. You agree and accept that we have the right to amend the content of this Agreement at any time in our sole discretion. We shall not be liable for any Losses due to your misunderstanding of this Agreement or your failure to take note of any amendments made to this Agreement from time to time.

19. The content contained in this website does not constitute an offer or sale of securities in or into the United States, or to or for the account or benefit of U.S. persons, or in any other jurisdictions where it is unlawful to do so. Transfer of Digital Assets may be subject to legal restrictions under applicable laws. Under no circumstances shall the Digital Assets be reoffered, resold, or transferred within the United States or to, or for the account or benefit of, U.S. persons, except pursuant to an exemption from, or in a transaction not subject to, the registration requirements of the U.S. Securities Act of 1933, as amended. Any public offering of the Digital Assets to be made in the United States will be made by means of a prospectus that may be obtained from the issuer or the selling Digital Asset holder and that will contain detailed information about the company and management, as well as financial statements.