Effective Date: 24 September 2025
This Risk Disclosure explains the material risks of using Baltex ("Baltex," "we," "us," "our") and its Services (website, widgets, APIs, swap flows, Private Swaps, DEX Layer, and optional fiat on/off-ramp). By using the Services, you acknowledge that you understand and accept these risks. This document is informational only and not investment, legal, tax, or accounting advice.
You select input and output assets and provide a destination wallet. You fund a unique deposit address; after required confirmations and checks, the exchanged asset is sent to your designated wallet. Blockchain transactions are irreversible and may be delayed or fail due to network conditions.
Baltex operates on a non-custodial basis and does not maintain user balances. Use of transit addresses during settlement does not constitute ongoing custody but may require temporary holds to complete compliance checks and prevent fraud.
No traditional account is required to initiate a swap. You typically provide only transaction details and wallet addresses.
If risk thresholds are exceeded or red flags appear (see §4.1), we may request KYC/EDD information such as government ID, selfie/liveness, proof of address, payment-method ownership, and source-of-funds documentation. Refusal may result in delay, cancellation, or return (where lawful and technically feasible).
We may screen IP data, wallet addresses, and other inputs for exposure to sanctioned persons, entities, or regions and may block or restrict access accordingly.
Examples include:
We may delay/hold a transaction, request more information, perform manual review, or decline service where risk remains unacceptable.
Transactions tied to comprehensively sanctioned or otherwise high-risk jurisdictions may be blocked or subject to heightened controls.
Automated systems (including blockchain analytics and sanctions screening) may assess wallet risk, behavioral patterns, velocity, and known-bad clusters.
Compliance personnel review flagged cases and may approve, request additional information, cancel, or return funds when lawful and technically feasible.
We may pause or freeze a transaction if: (i) there are indicators of illicit activity; (ii) we receive a lawful request from competent authorities; or (iii) additional checks are necessary to complete our review.
Outcomes may include execution, cancellation, or returning assets to the origin address net of applicable network/processing fees, or retaining funds as required by law/regulators.
Where required, we file reports with the appropriate Financial Intelligence Unit (FIU) or other competent authority. We do not "tip off" users about such filings.
Examples include unexplained rapid flows, repeated large transfers to/from flagged addresses, clear sanctions exposure, falsified documents, or inconsistent source-of-funds explanations.
We may retain origin/destination addresses, amounts, hashes, timestamps, device/network identifiers, and related communications as part of our compliance logs.
Records are retained for at least five (5) years (or longer if required by law or ongoing investigations). Public blockchains may retain on-chain data indefinitely.
We do not process transactions for comprehensively sanctioned jurisdictions (illustratively: DPRK, Iran, Syria, and others designated from time to time).
Certain locations (e.g., subject to sectoral sanctions, special measures, or local licensing) may face additional verification, limits, or unavailability. Lists change and are applied at our discretion in line with law.
We cooperate with lawful requests (e.g., subpoenas, court orders) and may preserve, disclose, or restrict access to information or assets as required.
Any disclosure is limited to what is necessary and handled consistent with our Privacy Policy and applicable data-protection laws.
An AMLCO oversees policy implementation, monitoring, regulatory communications, and remediation of identified issues.
Periodic internal audits and, where appropriate, independent testing assess program effectiveness. Findings inform updates to controls and training.
Relevant personnel receive onboarding and periodic training on AML/CFT obligations, sanctions, PEP handling, red-flag typologies, blockchain analytics, data privacy, and incident reporting.
We review and update this Risk Disclosure and related procedures to reflect regulatory, market, and technological changes. Updates take effect upon posting unless a later date is stated.