Ndax Auto-Earn - Opt-In Disclosure

PLEASE READ CAREFULLY. BY PROCEEDING TO OPT-IN TO AUTO-EARN PROGRAM, YOU ACKNOWLEDGE AND AGREE TO THE FOLLOWING STATEMENT.

The Auto-Earn Program is an optional staking service offered by Ndax that permits you to opt in to automatically enrol your available stakeable crypto assets held on the Ndax Platform to the program, which results in a portion of those crypto assets being staked without being subject to any unbonding period, with the balance of the stakeable crypto assets held unstaked and under the custody of Ndax to facilitate requests from users to withdraw their assets from the program. For the purposes of the Auto-Earn Program, "available stakeable crypto assets" means those stakeable crypto asset held in your account in respect of which (i) you have not opted-in for Ndax’s user staking program or (ii) there is no associated open order on the Ndax Platform (in which case the stakeable crypto assets subject to the open order are not considered to be available).

Under the Auto-Earn Program, Ndax identifies the eligible stakeable crypto assets in respect of which the Auto-Earn Program is available. If you opt into the Auto-Earn Program, all eligible stakeable crypto assets held in your account will automatically participate in the program. While Auto-Earn remains enabled on your account, you may temporarily opt out individual eligible assets from participation; however, such assets will be automatically re-enrolled in the Auto-Earn Program at 07:00 UTC on the following day. Ndax also reserves the right, in our sole discretion, to limit the total aggregate amount of any stakeable crypto asset that can participate in the Auto-Earn Program. The Auto-Earn Program is offered by Ndax pursuant to a crypto contract.

The Auto-Earn Program is governed by the terms and conditions set out in this disclosure statement and in the User Agreement, the Risk Statement and the Conflicts of Interest Statement (collectively, the Opt-In Terms and Conditions), each of which may be amended, supplemented, or updated by Ndax from time to time in accordance with applicable regulatory requirements. By opting-in the Auto-Earn Program, you accept, in addition to all of the terms and conditions that are otherwise set out in the Ndax User Agreement, the terms and conditions set out from time to time on the Auto-Earn Program opt-in setting page on Ndax’s website, and acknowledge having received, read and understood the terms of the Opt-In Terms and Conditions. Additionally, by electing to participate in the Auto-Earn Program, you acknowledge and agree that your continued use of the program constitutes acceptance of any such amendments or updates to the Opt-In Terms and Conditions from time to time. Ndax will provide notification in the event of any such amendments or updates. 

General Risks 

Investments in crypto assets and the services offered by Ndax through the Platform involve significant risks, including the risk of loss of the entire value of your holdings.

Information about the specific risks associated with the staking services offered by Ndax, including the Auto-Earn Program, is set out in the Risk Statement. Additionally, for information about how the Auto-Earn Program applies to a particular crypto asset, please refer to the Crypto Asset Statement for a particular stakeable crypto asset. You should carefully consider whether using the staking services is appropriate for you in light of your experience, objectives, risk tolerance, financial resources and other relevant circumstances. You should understand the nature of the investment and the extent of your exposure to risk.

The tax treatment of certain crypto asset transactions, including staking and the Auto Earn program, is uncertain, and it is your responsibility to determine what taxes, if any, arise from all transactions with your crypto assets, including staking. You are solely responsible for reporting and paying all taxes arising from your crypto assets, including from staking.

We do not provide any investment, legal, or tax advice to you in connection with the Auto-Earn Program or otherwise. You should conduct your own due diligence and consult your own advisors before making any decision to participate in the Auto-Earn Program. Your staked crypto assets are not eligible for deposit insurance or any protection from either the Canada Deposit Insurance Corporation (CDIC) or Canadian Investor Protection Fund (CIPF).

Auto-Earn Service Terms 

Ndax uses reasonable efforts to stake the applicable stakeable crypto assets under the Auto-Earn Programs. An annual percentage yield (APY), representing the annualized rate of return on a staked stakeable crypto asset, is paid as advertised by Ndax and does not have to correspond directly with the rewards generated on the blockchain at the time of a transaction validation. Users will not accrue any rewards during the applicable bonding period.

Under the Auto-Earn Program, the rewards are based on the advertised APY described below, which will not match the amount paid on the applicable network or the amount that could be earned by you through Ndax’s other staking services. Ndax will charge an administration fee equal to a fixed percentage of the rewards earned through the Auto-Earn Program. Ndax reserves the right to modify the advertised APY for any stakeable crypto asset under the Auto-Earn Programs at any time, in our sole discretion, without prior notice. WE DO NOT GUARANTEE THAT YOU WILL RECEIVE ANY SPECIFIC STAKING REWARD OR ANY STAKING RETURN OVER TIME. FURTHER, ANY REWARD RECEIVED BY YOU MAY BE MORE OR LESS THAN THE ACTUAL STAKING REWARD RECEIVED FROM THE APPLICABLE NETWORK OR PROTOCOL.

You acknowledge that we provide you with opt-in access only for the Auto-Earn Program, and we bear no liability for losses incurred by you because of your use of the Auto-Earn Program, including any such loss resulting from on-chain contract security breaches. A crypto asset network may determine that the staking through the Auto-Earn Program has been erroneously operated. Any such determination is outside of Ndax’s control. Such a determination may result in a "slashing penalty" and/or non-payment of the expected staking rewards. While Ndax will monitor third-party validators for downtime, jailing and slashing events and take appropriate action to protect the stakeable crypto asset you have staked, we have no obligation to compensate or reimburse you for any slashing penalty incurred in connection with the Auto-Earn Program.

When you opt in to the Auto-Earn Program, enrollment becomes effective at 07:00 UTC on the following day, and the enrollment request may be cancelled at any time prior to that time. When you opt out of the Auto-Earn Program, the unbonding process is initiated immediately and, in ordinary circumstances, you will be able to access all applicable stakeable crypto assets without waiting for any network-level unbonding period to elapse; however, in the unlikely event that Ndax does not have a sufficient quantity of a particular stakeable crypto asset available to satisfy all opt-out requests at the time they are submitted, Ndax reserves the right, in our sole discretion, to delay the release of the affected crypto asset until after the applicable unbonding period has elapsed or until sufficient unstaked liquidity is available, and in all cases reward accrual ceases immediately upon opt-out.

Full Auto-Earn Program Opt-Out 

You may opt out of the Auto-Earn Program at any time. When you opt out of the Auto-Earn Program, all of your applicable stakeable crypto assets will be removed from the Auto-Earn Program and you will stop earning rewards on those crypto assets. In ordinary circumstances, you will be able to access all stakeable crypto assets immediately without waiting for any applicable unbonding period to elapse. If you opt out of the Auto-Earn Program in its entirety, you must opt in again to reactivate participation in the Auto-Earn Program.

As described above, in the unlikely event that you elect to opt-out of the Auto-Earn Program during a period when a sufficient amount of a particular stakeable crypto asset is not available to satisfy all opt-out requests from users, Ndax reserves the right, in our sole discretion, to delay the release of that stakeable crypto asset under the Auto-Earn Program until after the relevant unbonding period has elapsed or whenever there is a sufficient number of stakeable crypto asset in the unstaked pool. 

Asset-Specific Auto-Earn Opt-Out While Program Remains Active 

Unless you decided to opt-out from the Auto-Earn Program entirely, you may opt out of the Auto-Earn Program in respect of one or more stakeable crypto assets while the Auto-Earn Program remains active for other crypto assets in your account. Upon opting out of a specific crypto asset, reward accrual for that crypto asset will cease and, in ordinary circumstances, the opted-out crypto asset will be immediately accessible without waiting for any applicable unbonding period to elapse.

As described above, in the unlikely event that you elect to opt-out of the Auto-Earn Program during a period when a sufficient amount of a particular stakeable crypto asset is not available to satisfy all opt-out requests from users, Ndax reserves the right, in our sole discretion, to delay the release of that stakeable crypto asset under the Auto-Earn Program until after the relevant unbonding period has elapsed or whenever there is a sufficient number of stakeable crypto asset in the unstaked pool.

Any remaining balance in that crypto asset that is not sold or withdrawn will be automatically re-enrolled into the Auto-Earn Program at 00:00 UTC, provided the Auto-Earn Program remains active. 

Last updated: September 30, 2026.