Risk Disclosure & Platform Limitations
In this article, we explain the risk disclosure for Reactor Trade, including the main DeFi trading risks, technical limitations of the platform, and what users should understand before using a non-custodial crypto platform.
What Is Reactor Trade?
Reactor Trade is not a bank, a broker, or a custodian. It is a software interface that connects users to decentralized blockchain protocols.
This means Reactor Trade operates as a non-custodial crypto platform:
- We do not hold or store your funds
- We do not control your wallet
- You remain fully responsible for your private keys and transactions
This design gives users full ownership of their assets, but it also means that mistakes cannot be reversed by a central authority.
Smart Contract Risks
Like all DeFi platforms, Reactor Trade relies on smart contracts. These contracts have been audited by Hacken, but smart contract risks can never be fully eliminated. Key risks include:
- Undiscovered bugs that could be exploited
- Protocol dependencies — Reactor Trade routes trades through third-party protocols such as Uniswap, Curve, and Yearn
- Upgradeability — some contracts may be upgradeable by a DAO or multisig, which introduces governance and execution risk
Even with audits, DeFi remains experimental technology.
Financial Risks in DeFi Trading
Using a decentralized trading terminal involves significant crypto market volatility and other financial risks. These include:
- Price fluctuations of $REACT and other assets
- Slippage, even when routing is optimized
- Perpetuals liquidation risk when trading with leverage
- Impermanent loss when providing liquidity to vaults
Users can lose part or all of their capital, especially during extreme market conditions.
Technical and Infrastructure Limitations
Reactor Trade uses a Hybrid DeFi Architecture: off-chain pathfinding combined with on-chain settlement. This enables advanced routing but also introduces limitations. These include:
- Service availability — off-chain servers may experience downtime
- Blockchain congestion — high gas fees and delayed transactions
- Oracle price feed risk — Perpetuals rely on external data from Chainlink or Pyth, which may fail or lag
These factors are outside the direct control of Reactor Trade.
Geographic and Compliance Restrictions
Reactor Trade does not serve users in regions where DeFi trading or token sales are restricted. This includes:
- USA
- Canada
- North Korea
- Iran
- Other sanctioned jurisdictions
Users are responsible for ensuring that their activity complies with local laws. This is a key part of crypto compliance restrictions.
No Investment Advice
Nothing on Reactor Trade constitutes financial, legal, or investment advice.
- There are no guarantees of profits
- Past performance does not predict future results
- Users must DYOR (Do Your Own Research) before buying $REACT or using DeFi strategies
Reactor Trade provides tools — not financial guidance.
Conclusion
Reactor Trade is a powerful non-custodial DeFi trading platform, but it comes with real risks: smart contract risks, market volatility, liquidation, oracle dependency, and technical limitations. Understanding these factors is essential before using the platform.
By using Reactor Trade, you take full control — and full responsibility — for your assets and decisions.
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