Customer Asset Protection and Compensation Policy

FalconX has implemented a compensation framework to handle losses of customers' assets resulting from fraud or negligence by our company within our custodial product offering. Bellow are the details of this framework:

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1. Incidents Covered
   This Policy applies solely to customers using our custodial product and covers losses caused by fraud or negligence on the part of FalconX, including unauthorized transactions or mismanagement of customers' assets by our personnel.
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2. Reporting Incidents
   Customers should promptly report incidents related to custodial assets by contacting our support team at custody@falconx.io and provide all relevant information, including transaction details and evidence, to facilitate an investigation
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3. Investigation and Resolution Process
   Upon receiving a report, we will acknowledge the case within 2 business days. Our team will assess the incident, coordinate with insurance providers (if applicable) and provide updates to the customer throughout the process, which may result in restoring lost assets or providing compensation based on the findings, subject to the terms outlined in our customer agreement.
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4. Insurance Coverage
   Where applicable, our compensation framework for custodial assets is supported by insurance policies. The insurance covers specific incidents and claims are processed in accordance with the insurer's terms.
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5. Jurisdictional Considerations
   Customers should be aware that custodial assets stored in jurisdictions outside of Singapore may be subject to different legal and regulatory framworks. These differences may affect the ability to recover assets, including potential delays in the recovery process. We are committed to working closely with our customers to navigate such challenges effectively.
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Notwithstanding that FalconX has taken the above steps to mitigate the risks of the Customer losing all Digital Assets in the event of a cybersecurity incident, the risks of such losses are not completely eliminated and the Customer agrees that FalconX shall not be required to bear any such losses in the event they are suffered by the customer.