Risk Disclosure Statement

Last updated: 16 September 2026

This Statement explains what can go wrong when you invest through Slice Financial. Please read it in full before you commit any money. If any part of it is unclear, ask us before you invest — not afterwards.

1. Purpose and scope

This Risk Disclosure Statement (the “Statement”) describes the risks of subscribing for, holding and disposing of tokenized interests in Real World Assets (“RWAs”) issued or brokered by Slice Financial. It applies to every client of our Brokerage Services and Issuance Services.

This Statement is general. It cannot describe every risk of every asset, and it is not a substitute for the offering documents. Each issuance has its own White Paper and, where applicable, its own offering memorandum, valuation report and title documentation. Those documents govern the specific investment; you must read them before you subscribe. Where this Statement and an issuance document differ, the issuance document prevails for that issuance.

Capitalized terms not defined here carry the meaning given to them in our Terms of Service and in our Brokerage Terms of Business, the current versions of which are published on this platform.

2. What a Slice token is — and is not

A Slice token is a digital record of an economic interest in a specific, identified asset — for example a named data centre, a named property, or a defined contractual income stream. The asset exists, it is independently valued, it is insured where insurance applies, and it is held in third-party custody or under documented contract. The token is the register entry; the asset is the substance.

A Slice token is therefore not:

• Not a cryptocurrency or speculative digital coin. Its value is intended to track a real asset, not market sentiment for digital tokens. It is not mined, and it is not issued to an open market for price discovery.
• Not a share in Slice Financial. Holding a token gives you no shareholding, voting right or claim on the profits of Slice Financial itself.
• Not a bank deposit or a savings product. It is not capital-protected and it is not covered by any deposit guarantee scheme.
• Not a guarantee of income or growth. Where an asset is expected to generate rent or other income, that expectation is an estimate, not a promise. Income may be reduced, delayed, or may not arise at all.
• Not a regulated collective investment scheme, unless the White Paper for a particular issuance states otherwise.
• Not a liquid instrument. See section 3, which is the single most important section of this Statement.

The fact that an asset is real and tangible reduces certain risks — there is something behind the token, and it can be inspected, valued and insured. It does not remove risk. Real assets fall in value, become difficult to sell, and cost money to hold.

3. Trading venues, transfer and liquidity

This is the risk most commonly misunderstood. Please read it carefully.

As at the date of this Statement, tokens issued or brokered by Slice Financial are not admitted to trading on any third-party venue. They are not listed on any cryptocurrency exchange, alternative trading system, regulated market, multilateral trading facility, over-the-counter desk or other secondary market. Slice Financial is presently the only venue through which these tokens are offered.

The practical consequences for you are these:

• There is no live market price. You will not find an order book, a bid and offer spread, a ticker or a continuously quoted value for your holding. Any figure we publish is a periodic valuation, not a price at which you can transact today.
• You cannot sell on demand. There is no counterparty standing ready to buy. A disposal depends on a buyer being identified and on the terms of the relevant issuance permitting the transfer.
• We do not make a market, and we do not offer redemption. Slice Financial gives no commitment to repurchase your tokens, to find you a buyer, or to do either at any particular price or within any particular period. Nothing in our materials should be read as such a commitment.
• Transfers are restricted. Tokens are not freely transferable to any wallet address. Where the terms of an issuance permit transfer at all, the recipient must first be onboarded and verified by us, and the transfer must satisfy our compliance requirements and any restrictions set out in the White Paper.
• A future listing is not promised. If tokens are ever admitted to a third-party venue, that will be disclosed at the time. Even then, admission to a venue does not create liquidity, does not guarantee a buyer, and does not guarantee a price at or above the value of the underlying asset.

You should therefore invest only money you can afford to leave invested for the full life of the asset, and only money you will not need at short notice. If you may need access to these funds, this is not a suitable investment for you.

4. Risks of the underlying asset

Because a token tracks a physical asset, the risks of that asset become your risks. Depending on the asset class, these include the following.

4.1 AI data centers and compute infrastructure

• Technology moves faster than buildings. Power density, cooling design and rack layout are specified for the hardware of the day. A hall built for one generation of accelerators may need substantial re-fit for the next, at the asset’s cost.
• Demand for AI compute is new and unproven over a full cycle. A great deal of capacity is being built worldwide. If demand cools, or moves to a different kind of facility, rents and occupancy will follow.
• Tenant concentration. A site typically serves one operator or a small number. If that tenant leaves, renegotiates or fails, income stops, and a purpose-built facility is slow to re-let.
• Power is the dominant input. Grid capacity, connection dates, tariffs and the availability of long-term supply agreements determine whether a site works at all. Connection delays are common and largely outside anyone’s control.
• Construction and fit-out risk. Where a site is being built or converted, cost overruns, equipment lead times and delays directly reduce the return, and the asset earns nothing until it is operating.
• Planning, water, noise and emissions. Data centres attract local opposition and increasingly specific regulation. Conditions can be imposed after a project has started.
• Few natural buyers. A specialised building sells to a narrow market, which lengthens any exit and widens the gap between valuation and realised price.

4.2 Annuities and income technology

An income stream is a promise to pay. That makes its risks different in kind from a building or a data hall, and in one respect worse: there is often nothing to repossess. Please read this section particularly carefully.

• The payer is the investment. A schedule of payments is worth exactly what the party owing them is good for. A long contract from a weak counterparty is worth less than a short one from a strong one, whatever the headline total says.
• Many projects never reach production. A licence, a resource and a plan are not a mine. Projects stall at permitting, financing or metallurgy, and the capital committed to them can be lost entirely.
• Long lead times. Years typically pass between investment and any revenue, if revenue ever arrives. Your capital is committed throughout, and further capital may be required.
• There may be nothing to recover. If a payer defaults on an unsecured income stream, there is no building to sell. Recovery depends on the contract, on the payer’s remaining assets, and on the insolvency law of their jurisdiction — and may be nil.
• Prices are strategic, not purely commercial. Rare earth and technology-metal prices are influenced by state stockpiling, export controls, subsidy and trade policy. Price moves can be abrupt and politically driven.
• Income is not a yield, and a yield is not a guarantee. Distributions are made only from money actually received, after costs and fees. A schedule in a dossier describes what is contracted, not what will arrive. Payments can be reduced, deferred or stop entirely, and past distributions do not indicate future ones.
• Political and resource nationalism risk. Licences can be reviewed, conditioned, taxed differently or revoked. Assets are immovable and sit under the jurisdiction that hosts them.

4.3 Real estate

• Property values fall as well as rise, and are affected by interest rates, local supply, planning decisions, infrastructure and general economic conditions.
• Rental income depends on tenants. A property may be vacant between lettings, a tenant may default, and rent reviews may settle below expectations.
• Buildings require maintenance, repair, insurance, management and service charges. These costs are borne by the asset and reduce the return.
• Title, planning, licensing and registration positions vary by jurisdiction and can be challenged.
• Sale of a property typically takes months, not days, and the sale price may be materially below the last valuation.

4.4 Risks common to all asset classes

• Concentration. An investment in a single asset is not diversified. The performance of that one asset determines your outcome.
• Physical loss or damage. Fire, flood, storm, theft, accident or conflict can damage or destroy an asset. Insurance may not cover every cause of loss, may be subject to excesses and limits, and an insurer may decline or reduce a claim.
• Currency. If the asset is valued or sold in a currency other than your own, exchange rate movements will affect your return independently of the asset’s performance.
• Third-party performance. Property managers, storage operators, valuers, insurers and agents may fail to perform, become insolvent, or act negligently.

5. Valuation and pricing

Valuations of Real World Assets are professional estimates, not market prices. They are prepared periodically rather than continuously, they rely on assumptions and comparable transactions, and different valuers can reasonably reach different figures for the same asset.

• A published valuation may be out of date by the time you read it, and conditions may have changed since it was prepared.
• A valuation is not an offer to buy. No one is obliged to transact at the valuation figure, and realized sale prices are frequently below it.
• Because there is no trading venue (see section 3), there is no independent market price against which a valuation can be tested.
• The absence of visible day-to-day price movement is not an absence of risk. It means the risk is not being displayed to you continuously.

6. Holding period and exit

These are long-term, illiquid investments. Your capital is committed until the underlying asset is realized, which is generally achieved by a sale of the asset itself rather than by a sale of your tokens.

• The expected holding period for an asset is set out in its White Paper. It is an expectation, not a fixed term, and it may be extended if market conditions make a sale unattractive.
• A sale may be delayed by market conditions, by a dispute, by the condition of the asset, or by the time required to complete legal formalities in the relevant jurisdiction.
• Distributions of sale proceeds occur only after costs, fees, taxes and any liabilities of the asset have been settled.
• You should assume that you will not be able to bring your investment forward, and you should not plan around an early exit.

7. Custody of the physical asset

The tangible assets backing our tokens are held in bonded, insured third-party facilities in secure jurisdictions, which currently include Vienna, Dubai, New Jersey, Florida and Hong Kong. Real estate is held through the ownership structure described in the relevant White Paper.

• We select custodians and facility operators after due diligence, but we do not control their day-to-day operations and cannot eliminate the risk of error, negligence, insolvency or loss on their part.
• Insurance is maintained, but policies carry limits, exclusions and excesses. A claim may be reduced, delayed or refused.
• Assets located abroad are subject to the law, the courts, the taxation and the political conditions of the jurisdiction in which they sit.

8. Custody of the digital token

Slice Financial is not a standalone custody provider licensed by the Virtual Assets Regulatory Authority (“VARA”). Where we hold tokens, we do so strictly as an activity incidental to our Brokerage Services, using licensed third-party custodians and technology providers:

• Hex Trust acts as primary custodian for Virtual Assets other than Hedera-based tokens.
• Brandbox Limited provides the custodial technology solution for Hedera-based tokens.

The custody model applying to a particular asset is set out in its White Paper. Please read it: the arrangements are not identical across every issuance.

If you choose to hold tokens in your own self-custody wallet, you alone control the private keys and you alone bear the consequences of losing them. Slice Financial cannot recover a lost key, reverse a transfer made in error, or restore access to a compromised wallet. Blockchain transfers are irreversible.

9. Technology and cybersecurity

• Cyber-attack. Digital assets attract hacking, phishing, social engineering, malware, spoofing and impersonation. A successful attack on you, on us or on a service provider may result in irrecoverable loss.
• Distributed ledger risk. Our tokens depend on public blockchain protocols and smart contracts, including Ethereum, Polygon, Base and Hedera. These are evolving technologies. Undiscovered flaws may exist, protocol changes may be made by decentralized development communities outside our control, and a network may suffer congestion, forks or periods of unavailability.
• Smart contract failure. A defect in a contract could affect the record of your holding. We reconcile on-chain records against our own daily and retain the ability to correct discrepancies, including by re-issuing tokens under a replacement contract. Correction takes time, and the process is described in our Complaints Procedure.
• Platform availability. Access to this platform may be interrupted by hardware failure, software defects, network problems, third-party outages or scheduled maintenance. We cannot guarantee uninterrupted access, and you should not rely on being able to reach the platform at a particular moment.
• Verification. The pseudonymous nature of public blockchains can make asset verification harder for auditors and regulators, and can increase exposure to fraud and impersonation. Always confirm addresses and instructions through a channel you have independently verified.

10. Fiat payments and counterparties

To bridge traditional and decentralized finance we rely on regulated third parties for fiat services: Zand Bank, an authorized UAE bank, for operational and client money accounts; Wio Bank for operational accounts; and Total Processing as our payment services provider.

The failure, insolvency, error or regulatory restriction of any bank, payment provider, custodian or other counterparty could delay payments to or from you, or result in loss. We are not liable for the acts or omissions of these institutions beyond the duty of care we owe you in selecting and monitoring them.

11. Regulatory and legal risk

The legal treatment of tokenized assets is developing and differs substantially between jurisdictions.

• Action or rule changes by VARA in Dubai, the Dubai Land Department, the U.S. Securities and Exchange Commission, European authorities under MiFID and MiCA, or any other regulator may affect the issuance, holding, transfer or value of our tokens, potentially at short notice.
• A token treated as a utility or property interest in one jurisdiction may be treated as a security in another, which can restrict who may hold it and how it may be transferred.
• Enforcing rights over an asset located abroad may be slow and expensive, and the outcome may differ from what you would expect in your own jurisdiction.
• You are responsible for ensuring that your use of our services is lawful where you live. Our services are not offered to persons in any jurisdiction where doing so would breach local law, and we may decline or restrict access accordingly.

12. Taxation

The tax treatment of acquiring, holding, receiving income from and disposing of tokenized assets depends on your personal circumstances and your country of residence, and it may change. Tax may arise even where you have received no cash.

Slice Financial does not provide tax advice and has no obligation to inform you of the tax consequences of your activity. You should take independent advice from a qualified adviser in your own jurisdiction before investing.

13. Costs and fees

Fees and costs reduce your return, and they apply whether or not the investment performs. They may include subscription or brokerage fees, ongoing management and administration fees, custody fees, storage, insurance, maintenance, valuation and audit costs, transaction and network fees, and costs incurred on realization of the asset.

The fees applying to a particular issuance are set out in its White Paper and in our fee schedule. Please confirm them before you subscribe. A long holding period combined with recurring costs can materially erode the return on an asset whose value has not risen.

14. Our role and conflicts of interest

Slice Financial acts as broker-dealer and as issuer of tokenized assets. We may have an economic interest in the completion of an issuance, and we are remunerated by fees. We deal with you on an execution-only basis unless expressly agreed otherwise in writing.

We maintain a Conflict of Interest Policy setting out how conflicts are identified, recorded, managed and, where necessary, disclosed. As at the date of this Statement, no conflict of interest has been identified arising from our trading or business activities that we consider material to clients, and no member of our senior management or Board is the subject of any conviction or prosecution before the courts of the United Arab Emirates, the United States, Europe or any other jurisdiction.

We do not hold funds or Virtual Assets for other Virtual Asset Service Providers, we do not provide clearing services to them, and we do not introduce our clients to external VASPs.

15. Operational and key person risk

Slice Financial is a growing business. The management of the assets, the platform and the relationships behind them depends on a small number of experienced people and on service providers we do not own.

• The loss of key personnel, or the termination of a provider relationship, could disrupt operations or delay transactions.
• Human error, process failure or fraud, whether internal or external, can cause loss despite the controls we maintain.
• If Slice Financial itself were to cease trading, realization of the underlying assets and distribution to holders could take a considerable time, and would be governed by the structure described in the relevant White Paper.

16. No deposit protection or compensation scheme

Your investment is not a deposit. It is not protected by any deposit guarantee, investor compensation scheme, financial services compensation scheme or government guarantee in any jurisdiction. If the value of the underlying asset falls, or if a counterparty fails, there is no scheme that will reimburse you.

17. No advice

Nothing on this platform, in this Statement, in our marketing materials or in any communication from our staff constitutes investment, financial, legal, accounting or tax advice, or a personal recommendation. We do not assess whether an investment is suitable or appropriate for you.

Any information we provide about an asset is for your own evaluation. Historic performance and past valuations are not a guide to future results. You must reach your own decision, based on your own research and on advice from your own professional advisers.

18. Limitation of liability

By using this site or our Brokerage Services you acknowledge and agree that Slice Financial is not responsible or otherwise liable for any direct, indirect or consequential loss or damage of any kind arising from the occurrence, in whole or in part, of any of the risks described in this Statement, save to the extent that liability cannot lawfully be excluded or limited.

Nothing in this Statement excludes or limits any liability for fraud or fraudulent misrepresentation, or any other liability that cannot be excluded or limited under applicable law.

Before investing, you must read the White Paper and any offering memorandum relating to the specific issuance, together with our Terms of Service, Privacy Policy and Disclaimer.

19. Changes to this Statement

We may amend this Statement or make additional disclosures from time to time, including to reflect the evolving requirements of the VARA Broker-Dealer Services Rulebook, Market Conduct Rulebook, and Compliance and Risk Management Rulebook.

Any amendment will be published on this page with an updated revision date and, where the change is material, notified to registered clients by email. Please review this page periodically so that you remain aware of the current terms.

20. Acknowledgement

By subscribing for any asset through Slice Financial, you confirm that you have read and understood this Statement; that you accept you may lose some or all of the money you invest; that you understand there is currently no secondary market and no guarantee that you will be able to sell; that you are investing money you can afford to leave committed for the long term; and that you have taken such independent advice as you consider necessary.

If you do not accept these risks, please do not invest. If anything is unclear, contact us and we will explain it before you proceed.