This document is governed by the Traditional Chinese version; other language versions are for reference only.

Carousel Bot — Member Risk Disclosure

This English version is a translation for reference only. In case of any discrepancy, the Traditional Chinese version prevails.

Effective date: April 10, 2026 Last updated: October 16, 2026 Version: v2.2

By completing payment or using the Carousel Bot service, you are deemed to have read, understood and agreed to this entire Risk Disclosure.

Key points

Please read these eight key points. The full text follows below.

• 🎯 This software is a “tool”, not “investment advice”. All trading decisions are your own
• 🎯 The software is not responsible for your trading results and does not guarantee profits
• 🎯 Spot grids cannot be liquidated by design (no leverage, no forced liquidation), but you can still be deeply stuck in losing positions
• 🎯 Being stuck may last months or even more than a year, during which those funds are tied up
• 🎯 In extreme cases (a coin collapses, an exchange disappears, etc.) you may lose all of your principal
• 🎯 Only invest “idle money you will not need for 3 to 12 months”
• 🎯 Your API keys and private keys are stored only on your own computer and never uploaded
• 🎯 After your subscription expires, the software stops placing new orders (existing orders are kept); market movements during that time are your responsibility

1. Legal nature of the software

Carousel Bot (“the Software”) is an independent, third-party automated grid-trading desktop tool for Mac and Windows. Members obtain a license to use the Software, plus updates and technical support during the subscription, through a prepaid subscription (monthly, quarterly or yearly).

The Software is not, and expressly does not constitute, any of the following:

• ❌ Investment consulting
• ❌ Investment advisory services
• ❌ Financial planning
• ❌ Promotion, solicitation or managed trading of securities, futures, crypto assets or any financial product
• ❌ A training course or learning platform
• ❌ Academic research

The Software is only a “tool” that provides the technical means to run grid strategies you decide on yourself. All trading decisions, parameter settings, money management and timing are judged and borne by you alone.

2. Key fact: spot grids cannot be liquidated by design

The Software supports spot grid trading only and does not use leverage or derivatives.

This means your positions cannot be force-liquidated by sharp market moves. This is a deliberate structural safety choice, drawn from experience with liquidations in leveraged forex trading.

But “cannot be liquidated” does not mean “no risk”. You can still lose money or face any of the risks below.

3. Ten risks you must understand

Risk 1: Being deeply stuck

When the market falls sharply, your grid keeps buying on the way down, which can lead to:

• A large drop in the market value of your holdings
• Most of your funds tied up in positions bought far above the current price
• Having to wait for prices to recover

This may last months or even more than a year, during which you cannot freely use those funds.

Risk 2: Opportunity cost

Funds stuck in a grid cannot be used for anything else (daily expenses, other investments, medical emergencies, etc.).

Strong recommendation: only invest “idle money you will definitely not need for 3 to 12 months”.

Risk 3: Price falling below the grid’s lower bound

If the price falls below the lower bound you set, the grid stops placing orders and your holdings wait for a recovery. During that time:

• The Software stops buying new positions (to avoid sinking more funds)
• Existing holdings remain and the grid resumes only when the price returns to range
• You may need to adjust the lower bound manually or stop the grid

Risk 4: Extreme risk (possible total loss)

If the crypto asset you hold faces any of the following, your principal may go to zero:

• The issuer collapses, disappears or is hacked (for example, past stablecoin de-pegging events)
• The asset is delisted by major exchanges worldwide and has no liquidity
• Government policy bans trading of the asset
• The blockchain itself suffers a catastrophic failure

The probability is very low, but not zero. Only invest an amount whose total loss would not affect your life.

Risk 5: Hyperliquid Agent Wallet risk

If you use the Hyperliquid integration:

• The Software uses the Agent Wallet model; your main wallet’s private key never enters the Software
• The agent can “place and cancel orders” only and cannot withdraw funds
• An agent authorization is valid for at most 180 days; before it expires you must create a new agent on hyperliquid.xyz and update it in the Software. Once expired, the Software cannot place orders on Hyperliquid until you re-authorize
• The agent address quota does not recover over time; it only grows with trading volume (each 1 USDC of volume = +1 cap)

Risk 6: Software and technical risk

The Software runs on your own computer and may be affected by:

• Power loss, crashes, restarts or sleep on your computer
• Loss of your internet connection
• Operating system updates causing compatibility problems
• Undiscovered bugs in the Software
• Exchange API outages or changes
• Insufficient disk space on your computer

The Software implements multiple safeguards (preventing sleep, disk-full protection, automatic restart, automatic recovery after disconnection, etc.), but cannot guarantee that nothing will ever go wrong.

Risk 7: Exchange risk

The Software connects to external crypto exchanges (currently Pionex, Hyperliquid and OKX, with more to come). You still face:

• Exchanges being hacked
• Exchanges disappearing or going bankrupt
• Exchanges suspending withdrawals or restricting trading
• Changes in exchange policies
• Changes in exchange API limits

The Software takes no responsibility for exchange actions. Assess exchange risk yourself and only keep funds you can afford to lose on an exchange.

Risk 8: Legal and policy risk

Crypto regulations change quickly and may affect your trading, the Software’s availability, or legality where you live:

• Your region may ban or restrict crypto trading
• Tax policy changes may affect your actual returns
• Changing compliance requirements may lead to adjustments in Software features
• Authorities may require exchanges or the Service to provide user data

You must confirm that crypto trading is legal where you live and bear all related tax obligations.

Risk 9: Paying the subscription with stablecoins

Subscriptions are paid in USDT / USDC. Blockchain transfers cannot be reversed once sent, and all payments are non-refundable:

• Choosing the wrong network, pasting the wrong address or sending an unsupported token may make the funds permanently unrecoverable, and the Operator bears no responsibility
• Some exchanges deduct the fee from the amount sent, so the amount received may fall short and the plan will not activate until you pay the difference
• An exchange’s “internal transfer” does not go on-chain and cannot be confirmed by the system
• Stablecoins carry issuer risk (for example de-pegging or being frozen by the issuer)
• Your region may have laws or tax rules on paying with crypto; check them yourself

Check the network, address and amount on the payment screen carefully before paying.

Risk 10: While your subscription is expired

After your subscription expires, the Software stops placing new orders but does not cancel your existing orders on the exchange. Until you renew:

• Existing buy orders may still fill, but the Software will not automatically place the corresponding sell orders
• As prices move, the Software will not place new buy or sell orders according to your grid
• Your positions are temporarily “unattended”; losses or missed opportunities from market moves are your own

After you renew and the system confirms payment, your grids resume automatically and process orders that filled while expired. If you do not plan to renew, handle your existing orders on the exchange yourself.

4. What the Software commits to, and its limits

What the Software does

• ✅ Keeps the Software running properly and fixes major bugs promptly
• ✅ Notifies members of major updates first
• ✅ Provides technical support during the subscription (via email)
• ✅ Takes responsibility for errors in its own code (within reason)

What the Software does not do

• ❌ No investment advice, buy/sell recommendations or timing guidance
• ❌ No responsibility for your trading profits or losses
• ❌ No guarantee that you will profit through the Software
• ❌ Does not trade, set parameters or judge the market on your behalf
• ❌ No responsibility for risks of exchanges, blockchains or crypto assets themselves

The Software earns its income from member subscription fees. Exchanges such as Pionex may pay a referral rebate when you sign up through the Software’s link — the rebate is paid by the exchange and does not affect your trading costs. You can ask the Operator about the rebate rate at any time.

5. Your responsibilities

Subscribing to the Service means you accept these responsibilities:

1. Independent judgment: all trading decisions are yours. The Software does not decide what, when or whether to buy or sell
2. Money management: assess your risk tolerance and only invest “idle money you will not need for 3 to 12 months”
3. Keep learning: keep learning about grid trading, crypto assets and risk management
4. Obey the law: comply with crypto laws and tax rules where you live
5. Protect your credentials: keep your exchange API keys, Hyperliquid main wallet private key and Software login safe
6. Accept the risk: understand that the Software cannot eliminate trading risk; it is only a tool to help you run your own strategy

6. Who should not use the Software

Do not subscribe if any of the following applies to you:

• The money you would invest is borrowed, on revolving credit, an advance on living expenses, or would affect your daily life
• You expect guaranteed short-term profits or to get rich quickly
• You do not understand the basics of grid trading and are unwilling to learn
• You cannot accept the possibility of being deeply stuck for months or more than a year
• You cannot accept the possibility of losing all your principal in extreme cases
• Crypto trading is prohibited where you live
• You lack full legal capacity (minors, persons under guardianship, etc.)

7. Disclaimer

The Software (the Service Operator) is responsible only for the correctness of the Software’s code, and that responsibility is capped at “the total subscription fees the member actually paid in the most recent 12 months” (consistent with Article 8.2 of the Terms of Service).

The Software bears no responsibility at all for:

• Any loss from your trading (including but not limited to loss of principal, opportunity cost and expected profits)
• Losses caused by exchanges, blockchains, networks or third-party services
• Losses caused by your own operating errors, misjudgments or failure to follow risk guidance
• Service interruptions or losses caused by changes in laws or policies, or sudden events
• Losses caused by force majeure (natural disasters, war, hacking, government bans, etc.)

8. Effect and updates

This Risk Disclosure takes effect on the date you accept it in the Software and remains in effect until your subscription relationship ends.

The Software may update this Risk Disclosure from time to time (for example, adding risks when new exchanges are supported). Members are notified of major updates by email. Members who disagree with an update may choose not to renew. Continuing to use the Service means accepting the updated content.

9. Declaration of agreement

By completing payment or using the Service, you declare that:

• ✅ I have read and fully understand this entire Risk Disclosure
• ✅ I understand the Software is not investment advice and all trading decisions are my own
• ✅ I understand the ten risks listed here (including stablecoin payment and subscription-expiry risks) and have assessed that I can bear them
• ✅ The money I invest through the Software is “idle money I will not need for 3–12 months”
• ✅ I understand the Software is not responsible for my trading results
• ✅ Crypto trading is permitted where I live
• ✅ I have full legal capacity (aged 20 or over and not under guardianship)

Operator: the Service Operator (the Software) Contact:

• Email: indexoptionsjournal@gmail.com

Last updated: October 16, 2026 Version: v2.2