PYTH Risk

Pyth Network (PYTH)
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DESCRIPTION

PYTH is a decentralised, high-fidelity data oracle designed to bring reliable and real-time market data to the blockchain ecosystem. As an innovative solution for decentralised finance (DeFi) platforms and other blockchain-based applications, Pyth Network aggregates and publishes data from a network of trusted sources, including financial institutions, trading firms, and exchanges. The PYTH token plays a crucial role within the network, facilitating the secure and efficient operation of the oracle, incentivizing data providers, and enabling governance participation. Token holders can participate in governance decisions, including protocol upgrades and adjustments to data aggregation methodologies, ensuring the continuous evolution and reliability of the Pyth Network. As oracles are integral to the functionality of many DeFi protocols, PYTH serves as a key enabler for accurate and trustworthy data flow in decentralised environments.

Pyth Network (PYTH) Whitepaper: https://pyth.network/blog/pyth-network-whitepaper-version-2-0

‍RISKS OF PYTH NETWORK
Investing in cryptocurrency and digital assets, such as Pyth Network (PYTH), carries inherent risks, including but not limited to:
(i) Volatility risk and liquidity risk
(ii) Regulatory risk
(iii) Security risk
(iv) Market risk
(v) Smart contract risk
(vi) Governance risk
(vii) Technological riskFor additional information on risks associated with cryptocurrency and digital assets, you may refer to the Satstreet Inc. Services Risk Statement. Please note that these risks and the associated summaries or overviews provided herein are not intended to be a complete overview of all such risks, and there may be other risks associated with exposure to PYTH. We encourage all users to perform their own due diligence to assess the risks associated with PYTH and to determine whether this level of risk is acceptable to them. Neither PYTH nor Satstreet guarantees the value of PYTH, and holders of PYTH will not have any recourse to PYTH or Satstreet if the value of PYTH declines for any reason whatsoever.

‍SATSTREET EVALUATION OF PYTH
Satstreet Inc. has reviewed and assessed PYTH prior to making it available through our services and has concluded that PYTH is not a security or derivative under Canadian securities legislation; however, there is a risk that this conclusion could change in the future and that, in such event, Satstreet will be required to halt, suspend, and then remove PYTH from its platform as described in the Satstreet Inc. Services Risk Statement.Further, as indicated above, no Canadian securities regulatory authority has expressed an opinion about PYTH, including an opinion that PYTH is not itself a security and/or derivative. Based on publicly available information Satstreet has reviewed PYTH, including, but not limited to, a review of the following: The creation, governance, usage, and design of PYTH, including the source code, security, and roadmap for growth in the developer community and, if applicable, the background of the developer(s) that created PYTH. The supply, demand, maturity, utility, and liquidity of PYTH. Material technical risks associated with PYTH, including any code defects, security breaches and other threats concerning PYTH and its supporting blockchain (such as the susceptibility to hacking and impact of forking), or the practices and protocols that apply to them. Legal and regulatory risks associated with PYTH, including (i) any pending, potential, or prior civil, regulatory, criminal, or enforcement action relating to the issuance, distribution, or use of PYTH, and (ii) statements made by any securities regulatory authorities in Canada, other regulators in IOSCO-member jurisdictions, or the regulator with the most significant connection to PYTH about whether PYTH, or generally about whether the type of crypto asset, is a security and/or derivative.
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Last Updated: August 2024

Risk Statements

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