# D2 Finance Overview

**D2 Finance is a multi-strategy fund delivering sophisticated derivatives strategies, tokenized and executed on-chain.**

**We specialize in institutional-grade alpha & risk controls for the decentralized digital asset space.**

Unlocking tokenized opportunities for retail, institutional, and TradFi through our DeFi native protocol entity and Approved Asset Manager entity (BVI).

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**Real yield at scale:** combining 2+ years of DeFi-native alpha + 10 years of TradFi Alpha with institutional-grade Stablecoin, RWA, and BTC-backed structured strategies
{% endhint %}

D2 Finance’s portfolio of sophisticated and diversified DeFi strategies are designed to maximize returns by balancing risk and reward efficiently, building on our Traditional Finance history spanning 3 multi-billion dollar hedge funds, leveraging unique opportunities in the digital asset space.

This experience translates into **robust, actively managed strategies** that don't just react to the market — they capitalize on it.


# Links

<table><thead><tr><th width="266.01171875">Description</th><th>Link</th></tr></thead><tbody><tr><td>dApp</td><td><a href="https://d2.finance/">https://d2.finance/</a></td></tr><tr><td>Twitter</td><td><a href="https://twitter.com/D2_Finance">D2_Finance</a></td></tr><tr><td>Medium</td><td><a href="https://medium.com/@D2.Finance">D2.Finance</a></td></tr><tr><td>Discord</td><td><a href="https://discord.com/invite/XaKt2weT33">https://discord.com/invite/XaKt2weT33</a></td></tr><tr><td>Audit Reports</td><td><ul><li>Audit #1: <a href="https://paladinsec.co/projects/d2/">https://paladinsec.co/projects/d2/</a> </li><li>Audit #2: <a href="https://github.com/Cyfrin/cyfrin-audit-reports/blob/main/reports/2025-02-24-cyfrin-d2-v2.1.pdf">https://github.com/Cyfrin/cyfrin-audit-reports/blob/main/reports/2025-02-24-cyfrin-d2-v2.1.pdf</a></li><li>Audit #3: <a href="https://github.com/Cyfrin/cyfrin-audit-reports/blob/main/reports/2025-10-16-cyfrin-d2-hype-corewriter-v2.0.pdf">Cyfrin - Hyperliquid CoreWriter</a></li></ul></td></tr><tr><td>2-year Comprehensive Report (Jan 2025)</td><td><a href="https://docsend.com/view/8i6phi9tnyeevzwf">https://docsend.com/view/8i6phi9tnyeevzwf</a></td></tr></tbody></table>


# Architecture

<figure><img src="/files/jTa1mDEFDOHqXNz7YJOk" alt=""><figcaption></figcaption></figure>

{% hint style="success" %}
**Architecture**\
Each strategy (hXXI, HYPE++, etc) is a standalone unit comprising key components: the *Vault, the strategy contract,* and the *Trader OMS*. \
\
1\) **The Vault Contract (V1 & V3 Contracts)**\
The Vault is the user facing ERC-4626 compatible single staking vault, which handles all deposits, withdrawals, and share accounting functions. When a user deposits funds in the vault, they receive a vault token representing their share in the vault. The vault facilitates simplified single-click access to the strategies in a familiar interface.\
\
2\) **The Trader Contract** \
Each vault deployment utilizes a unique trader smart contract which defines allowable trading parameters and roles including:

* Allowed Spenders&#x20;
* Allowed Tokens&#x20;
* Enabled trading modules&#x20;
* Enabled trading function
* Executor role<br>

The trader contract ensures trading parameters are defined by the smart contracts according to the strategy mandates. \
\
\**See Product Disclaimer: Investment risks for additional details regarding interaction with Anchorage Digital Porto Wallet via Approved Investment Manager structure.*\
\
3\) **The Trader OMS (Strategy Contract)**\
The Trader OMS serves as the interface for our trading team to actively trade according to strategy mandates. The OMS embeds traditional hedge fund risk limit parameters within its smart contracts, ensuring trading is limited within the defined smart contract parameters, direct withdraws are restricted, and no exposure to front end exploits to integrated DeFi protocols. \
\
OMS smart contracts are built on a modular (diamond / cutter) system facilitating protocol interactions and expansion. Each module can be assembled to modify or create new strategies with minimal development or security risks to quickly capture market opportunities as they arise.\
\
The OMS provides a secure and powerful interface for safely executing the strategy within the risk parameters of the smart contracts.
{% endhint %}

**Strategy Flow**

The strategies are deployed in cycles called “epochs.” Each epoch has a *funding* phase, a *trading* phase, and a *withdraw* phase. \
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**Funding Phase**: When the vault opens in the funding phase, users can deposit the vault’s underlying currency. Users can also withdraw freely during this phase.\
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**Trading Phase:** During the trading phase, users may not deposit or withdraw, and the trader smart contract may take custody of the vault’s funds to run the strategy mandates. \
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**Withdraw Phase:** At the conclusion of the epoch, the funds are returned to the vault +/- PNL for users to withdraw at NAV or automatic rollover to next epoch.&#x20;

{% hint style="info" %}
Depending on position structure, there may be an unwinding period upon conclusion of the epoch:\
\
Flagship Strategies: Funds are returned to vault within 72 hours of expiry. \
Tactical Strategies: Funds may be traded upto 30 days past expiry based on market opportunities.
{% endhint %}


# Strategies (Strategy Vaults)

> **View the current strategies at** [**https://d2.finance/strategies**](https://d2.finance/strategies)**. For institutional inquires please contact the team for bespoke solutions.**&#x20;

Each vault strategy employs a different trading strategy to capitalize on diverse market inefficiencies and expose funds to varying degrees of risk/reward potential.

All strategies adopt the same theoretical principles:

* Identify drivers of market change;
* Build signals that capture those drivers;
* Turn those signals into positions;
* Risk-manage the positions.

Our approach leverages proprietary models developed and stress-tested in traditional derivatives markets/portfolio management—spanning equity options, volatility products, and exotic structures.

These models, combined with ML, identify statistical mispricings and structural opportunities across DeFi primitives. Human traders overlay discretionary judgment to optimize entry/exit timing, manage tail risks, and dynamically adjust exposure across market regimes.

The result: systematic on-chain alpha generation with adaptive risk management, executed transparently within a tokenized vault infrastructure.

{% hint style="info" %}
Fees are noted on the front end under the fee tab. Example:

* HYPE++ | 0% Management | 20% Performance&#x20;
* hXXI | 2% Management | 20% Performance&#x20;
  {% endhint %}

{% hint style="success" %}
All APRs and Performance displayed on D2 Finance front end are net of fees
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# d2Earn

**Fixed-term USDC lending to the D2 Finance platform. Deposit USDC, earn a fixed yield, withdraw at epoch end.**

d2Earn is a credit product, not a strategy vault. Depositors lend USDC to D2 Finance, which uses the capital as margin across its derivatives strategies on Derive and Hyperliquid. At epoch end, depositors receive principal plus the fixed yield quoted at epoch open.

{% hint style="info" %}
**This is not an investment in D2's strategies. It is credit exposure to the D2 Finance platform.** You earn a fixed rate agreed at deposit, not a share of strategy P\&L.
{% endhint %}

***

### How d2Earn Works

d2Earn is an ERC-4626 vault with a fixed-term, fixed-yield structure.

1. **Deposit.** You deposit USDC during the funding window and receive vault shares representing your claim.
2. **Lock.** At epoch start, capital is locked. D2 borrows the pooled USDC and deploys it as margin on Derive.
3. **Earn.** During the epoch, D2 runs its strategies. Your yield target is fixed at epoch open and does not vary with strategy performance.
4. **Withdraw.** At epoch end, 100% of deposits are liquid for withdrawal at NAV (vault share ratio), with accrued yield.
5. **Rollover.** Positions automatically roll into the next epoch at the newly posted rate unless withdrawn. Rates for the next epoch are posted prior to lockup.

Unlike D2's Alpha Strategy vaults (HYPE++, d2HYPE, ETH++, etc.), d2Earn depositors take **no direct market exposure**. Yield is a fixed term fixed rate from D2, not a distribution of trading P\&L.

***

### Where the Yield Comes From

D2's derivatives strategies generate alpha above their cost of capital. The spread between strategy alpha and the d2Earn rate is retained by D2.

This is the same financing logic multi-strategy funds like Citadel and Millennium use: borrow capital at a fixed cost, deploy it into alpha-generating strategies, pay the lender, keep the spread.

{% hint style="info" %}
**Why D2 Finance strategies borrow from d2Earn vs deploying additional strategy capital**

D2's existing strategies hold capital that may appear idle between deployments, but this capital functions as margin buffer — it protects open positions against volatility spikes, funding shocks, and adverse market moves. Redeploying it into opportunistic trades would reduce the safety margin on the core book and drift the strategy's mandate.

d2Earn solves this by introducing a structurally separate pool of fixed-cost term capital. Strategy capital continues to protect the strategy; d2Earn capital funds incremental opportunistic trades when market dislocations clear the fixed borrow cost. Each pool has a defined role, each counterparty receives exactly the return profile they signed up for, and losses in one sleeve cannot cascade into the other.

This structure mirrors how multi-strategy funds have used prime brokerage financing for decades: maintain a baseline book on equity capital, hold committed credit lines for episodic opportunities, and evaluate each incremental trade as a binary hurdle-rate decision against the fixed cost of funds.&#x20;

d2Earn brings the same primitive on-chain, with known counterparty exposure, and verifiable overcollateralization.
{% endhint %}

D2 only draws from d2Earn when incremental margin is expected to generate returns materially above the fixed borrowing cost.&#x20;

d2Earn depositors earn the posted yield either way. You're funding optionality, not directional exposure to any single strategy.

{% hint style="success" %}
**Target yield: 6% APR** for the initial epoch — roughly 3x the current Aave USDC supply rate. Long-term target: \~2x Aave variable rate.
{% endhint %}

***

### Counterparty Transparency

d2Earn is designed to be the most verifiable credit product in DeFi. You are lending to a single identified platform, and you can verify the collateral yourself.

**What is observable on-chain:**

* The d2Earn vault on Ethereum (ERC-4626)
* D2's Derive account address holding deployed margin
* D2's broader platform holdings across Aave, Hyperliquid, and Derive
* All D2 strategy vault NAVs and positions

**What is not observable on-chain:**

* D2's Flowdesk OTC positions
* D2's intraportfolio positions

**Coverage context:**

This is informational, not contractual. D2's on-chain assets are publicly visible but are **not legally pledged or ring-fenced** to d2Earn depositors. You have no contractual seniority over D2's other counterparties.

**On the roadmap:** D2 plans to integrate third-party ZK-proven solvency attestation (via providers such as Accountable) to provide continuous, cryptographically verified proof of assets versus liabilities. Prospective, not live at launch.

***

### Risk & Counterparty Details

d2Earn is a lending product with real risk. The points below are not exhaustive — read the [disclaimers](https://gitbook.d2.finance/faqs-and-disclaimers/disclaimer-and-restrictions) before depositing.

#### Counterparty / Credit Risk

You are taking credit exposure to D2 Finance, not market exposure to D2's strategies. If D2's balance sheet is severely impaired, you may not receive full repayment of principal or yield. There is no automated liquidation mechanism protecting depositors. D2's visible on-chain assets are informational, not contractually pledged.

#### Structural Protection, Not a Guarantee

D2's platform AUM sits at a large multiple of the d2Earn cap. While historical VaR simulations since 2023 indicate an extremely low probability of impairment, this AUM provides a structural cushion rather than contractual seniority. In adverse conditions (such as tail events, correlation breakdowns, liquidity shocks, forced liquidations at the venue level, or hacks) losses may exceed this collateral buffer and result in a partial or total loss of principal.

#### Venue Risk

Margin capital is deployed on Derive. Exchange insolvency, smart contract exploit, oracle failure, or withdrawal restrictions at the venue level could impair recovery of margin and, by extension, d2Earn repayment capacity.

#### USDC Risk

d2Earn is denominated in USDC. USDC itself carries issuer and depeg risk. A USDC depeg would directly impact deposit value regardless of D2 platform performance.

#### Smart Contract Risk

d2Earn contracts have been audited by Paladin and Cyfrin. Audits reduce but do not eliminate risk. Undiscovered vulnerabilities, oracle failures, or integration exploits may result in loss of funds.

#### Liquidity / Epoch Risk

Capital is locked for the full duration of each epoch. You cannot withdraw early. At epoch end, 100% of deposits become liquid for withdrawal at NAV. NAV is the ERC4626 vault exchange ratio.

#### Regulatory Risk

Derivatives and pooled yield products face evolving regulation across jurisdictions. Product terms, geographic availability, or eligibility may change. d2Earn is not available to restricted persons — see disclaimers.

{% hint style="warning" %}
**Worst case: you could lose some or all of your deposit.** d2Earn is not a savings account, not a stablecoin, and not principal-protected. It is a fixed-term credit instrument for users who understand the counterparty exposure they are taking.
{% endhint %}

***

### d2Earn vs D2 Strategy Vaults

|              | d2Earn                                                                      | Alpha Strategy Vaults (HYPE++, d2HYPE, etc.)          |
| ------------ | --------------------------------------------------------------------------- | ----------------------------------------------------- |
| Product type | Fixed-term credit                                                           | Strategy exposure                                     |
| Return       | Fixed rate, known at epoch start                                            | Variable, based on strategy P\&L                      |
| Risk type    | Counterparty credit risk on D2                                              | Market risk on underlying strategy                    |
| Upside       | Capped at fixed rate                                                        | Uncapped participation in strategy alpha              |
| Downside     | Credit loss if D2 cannot repay                                              | Strategy drawdown                                     |
| Best for     | Depositors wanting predictable yield with transparent counterparty exposure | Depositors wanting direct participation in D2's alpha |

*The two products are designed to be composable. A 50/50 or 80/20 allocation across d2Earn and an Alpha Strategy vault lets depositors construct a yield barbell — fixed income on one leg, strategy alpha on the other.*

***

### FAQ

**Is d2Earn a stablecoin?** No. You deposit USDC and receive USDC back. d2Earn issues ERC-4626 vault shares representing your claim, not a transferable stable asset.

**Is my principal protected?** No. d2Earn is a credit product. Principal is subject to D2's ability to repay at epoch end.

**Can I withdraw early?** No. Capital is locked for the epoch duration. At epoch end, 100% of deposits are liquid at NAV. All depositers exit at same vault exchange ratio.

**What happens if D2's strategies lose money during the epoch?** Your yield remains contractually fixed, but D2's ability to repay depends on overall platform solvency. Strategy losses do not flow directly to d2Earn depositors unless they are severe enough to impair D2's ability to repay.

**How is the rate set?** The rate is set by D2 at the start of each epoch based on expected alpha above cost of capital and posted prior to lockup. It does not change during the epoch.

**Where does my USDC physically go?** Into the d2Earn ERC-4626 vault on Ethereum, then to D2 for deployment as margin on Derive. The Derive address is publicly verifiable.

{% hint style="success" %}
All APRs and Performance displayed on D2 Finance front end are net of fees
{% endhint %}


# Transparent Reporting

**DeFi**\
D2 Finance provides frequent trading updates on Twitter and Discord, including debriefs of performance after each vault.&#x20;

Positions are fully verifiable on-chain with the exception of Flowdesk OTC trades. Flowdesk collateral is partially verifiable on-chain while settlement is finalized on-chain.

Upcoming platform enhancements will include powerful tools for consolidated position insights, advanced Greeks monitoring, and in-depth derivative position analysis to help you manage risk and opportunities more effectively.

**Institutional**\
Full institutional reporting, tailored to meet client requirements.&#x20;

<br>


# Addressing Risk

D2 Finance addresses risks across the following:<br>

**Portfolio Stress Testing:** Regular stress testing is conducted to simulate extreme market scenarios, using tools like Bloomberg and BITO US Equity Options as proxy to assess resilience and potential vulnerabilities. Stress testing involves simulating extreme market scenarios or events to evaluate the resilience of a portfolio and assess potential losses under adverse conditions. This process helps in identifying vulnerabilities, refining risk models, and enhancing risk mitigation strategies. An independent Bloomberg stress test scenario is performed whenever there is a significant change in positioning.  This testing uses BITO US Equity Options as an approximation of exposure within the given epoch. The strongest assumption made is that all assets move together in this scenario. It should not be regarded as a precise representation of risk, but rather as a useful tool to gauge sensitivity in a stress scenario.

**Liquidity risk:** Liquidity Risk refers to the fund’s ability to buy or sell assets at desired prices without significantly impacting market prices. Under normal market conditions, and even in stressed scenarios, the fund can typically be liquidated without incurring unusual costs within one day. The netting of exposure (excluding options) is almost instantaneous.  For assets under management (AUM) up to $25 million, liquidity risk is considered negligible.

**Market risk sensitivity:** The fund thrives on market volatility, major market risk is discrepancies between realized and implied volatility. Product will underperform in a dull market. Market risk sensitivity measures the fund's exposure to external market factors such as cryptocurrency price movements, market volatility, and macroeconomic events. Generally, volatility benefits the strategy. Underperformance is expected when the realized volatility is significantly lower than the implied volatility. The VaR (Value at Risk) measure is not applicable for iETH. Instead, we anticipate thriving when correlation assumptions fail and there are significant changes in the market.

**Concentration Risk:** A concentration does exist however in blue-chip assets. ART/D2 Finance maintains a focused portfolio of blue-chip assets, primarily Ethereum and its derivatives.

**Trading Risk:** In terms of trading limits, custom and immutable limits can be implemented directly in code, providing a structured framework for transactions. The Investment Manager utilizes stop-loss limits to safeguard the fund, complemented by a Dynamic Risk System that efficiently leverages options. Generally, ART/D2 Finance maintains predetermined maximum dollar risks for each exposure, accommodating wider stop-loss parameters. This approach allows us to view volatility movements as opportunities to secure better entry prices for our strategically pre-developed ideas. 

**Regulatory Compliance:** The fund is registered in the BVI. The fund continues to monitor regulatory developments closely

**Technology & Cyber Risk:** \
The fund has a multi-layered approach to cybersecurity which includes 24/7 continuous monitoring, penetration testing, alert monitoring system with emergency shut-down controls, hardware wallets and multi-sigs, and staff training to mitigate cyber threats and protect investor assets.  \
\
Regularly scheduled smart contract audits are scheduled upon any new trading module implementation.

 


# Security

#### Philosophy

The safety of customer funds is our utmost priority.

We have invested in industry-leading security practices covering all aspects of our software development process and the infrastructure which runs our app.

Finally, we have sought review from independent advisors. Our smart contracts have being audited by Paladin Blockchain Security, and an external security consultant has signed off on our internal processes.

Please refer to each section below to learn more about our security.

#### Best Practices

Our team obey the following mandatory policies:

* machine-generated complex passwords for all services, stored in a secure password manager;
* access to the password manager and all cloud-based services are protected by two-factor authentication - this includes project and team social media accounts;
* secrets are never stored in version control or otherwise shared insecurely;
* no code changes are pushed to production without passing an internal code review;
* we automate testing and deployment upon merging code, and merges to master are blocked by Github policy until code review is complete;
* we avoid phishing by limiting the use of email and blocking attachments.
* utilizing segregated VM instances for key operational duties

We also conduct internal training to keep security concepts top-of-mind and share learnings from recently published security breaches.

#### Frontend Security

We use reputable cloud-based infrastructure providers and modern DevOps practices to assure the security of our front end. We use leading tools like Sentry to provide real-time monitoring and alerting.

Our Defense in Depth approach provides an additional safeguard in the event of a security breach.

We have commissioned bespoke monitoring software to interrogate the configuration of our cloud infrastructure – including DNS records and the Content Delivery Network – to immediately alert us in the event of any unauthorized changes. This proactive security monitoring would allow us to take down our website if it were compromised before users could be prompted to sign any fraudulent transactions in their wallets.

We mitigate the risk of software supply-chain attacks by version-pinning our dependencies, subscribing to threat intelligence services, and making careful case-by-case decisions about when to update libraries.

#### Smart Contract Security

We will not receive user funds until:

* our smart contracts have been audited by a reputable firm;
* we have reviewed the audit results and implemented any recommended changes;
* we have published the audit in our documentation.

#### Vault Owner / Key Security

Each vault smart contract, when deployed sets an address as the owner of the vault.&#x20;

* The vault owner default is a 4/7 multi-sig consisting of 1 D2 team member and 6 trusted contributors/rangers
* For Bespoke Vaults, vault owners can be customized to meet requirements
* The vault owner at no time can access customer funds, function of the owner is:
  * Start Epoch
  * Set Whitelist / blacklist
  * Set deposit caps
  * Manage trader executor roles

{% hint style="warning" %}
In a case where the Executor Role (D2 trading team) private keys are exposed, the vault owners can remove permission and set a new trusted trader address as the executor role approved for trading. The executor role permissions are defined at deployment and limit interactional risk to an immutable set of pre-approved assets, protocols, and functions. \
\
The executor role never overlaps with vault ownership role.
{% endhint %}

#### Composability

We interoperate with other DeFi protocols, for example, AAVE. While we believe we have chosen reputable, battle-tested protocols to integrate with, these beliefs are based on the public representations made by those protocols. We have not verified the accuracy of any of these claims, and we are not responsible in any way for the security of third-party products.

Users should be aware of the risk that a software bug in third-party protocols, including blockchains and layer two solutions, could result in financial loss. We're not responsible for the security of third-party software. We will not be liable for any loss arising from using third-party software.

We encourage users to do their due diligence, for example, by reading security audits of the blockchains, layer two solutions, and third-party protocols that the user will be interacting with.

#### Internal Security Audit

Prior to launch, our two in-house security experts created a program of internal checks and affirmations to ensure all team members followed security procedures. This included:

* inventory and ownership of all protocol secrets;
* secure master passwords and 2FA for all accounts (e.g., mail, social media, Github);
* smart contract access;
* multi-sig wallet access;
* ownership and access to keys;
* secure transfer of secrets and sensitive information between team members.

It is essential to D2.Finance that we minimize vulnerabilities and that all team members are rigorous in following procedures designed to protect the protocol and user funds.


# Smart Contract Audits

The smart contract audits have helped secure $1B+ in trading volume:&#x20;

Audit #1: <https://paladinsec.co/projects/d2/> \
\
Audit #2: <https://github.com/Cyfrin/cyfrin-audit-reports/blob/main/reports/2025-02-24-cyfrin-d2-v2.1.pdf>\
\
Audit #3: [Cyfrin - Hyperliquid CoreWriter](https://github.com/Cyfrin/cyfrin-audit-reports/blob/main/reports/2025-10-16-cyfrin-d2-hype-corewriter-v2.0.pdf)


# Tokenomics

The D2 Finance Hedge Fund product does not have a token. \
\
\
\
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&#x20;

<br>


# Governance

The D2.Finance Front End is hosted by a legal DAO (D2 DAO) through <https://www.midao.org/>\
\
The D2DAO is legally registered in the Marshall Islands.

{% hint style="info" %}
The D2DAO does not control or have access to any funds or the Order Management System. It is strictly limited to hosting the front end as a software provider.
{% endhint %}


# Disclaimer and Restrictions

d2.finance is not an investment firm. It is a software platform that hosts vaults where the trading engine is provided by an external party. \
\
While the information contained within d2.finance is periodically updated, no guarantee is given that the information provided in the website is correct, complete, and current.

## Disclaimers <a href="#aa1b" id="aa1b"></a>

***Performance Disclaimer:***

*The indicative ROI/APY showed in d2.finance front-end is not guaranteed and is subject to market risk. The strategies are not risk-free, and some epochs may result in a negative return. Further details and protocol incentives can be found in* [*https://gitbook.d2.finance/*](https://gitbook.d2.finance/)*. While the information contained within the website is periodically updated, no guarantee is given that the information provided in the website is correct, complete, and current.*\
\
*Investments in this phase are highly speculative and should be considered high risk. Potential investors should be prepared for the possibility of losing their entire investment.*

***Product Disclaimer: Investment Risks***

V0 Sub Vault Architecture:\
The Main Strategy Vault (Operating under the V1 Whitelisted and/or V3 Smart Contracts) may deposit funds into a pre-approved V0 sub vault architecture to facilitate interactions with Derive on-chain options, Hyperliquid trading ecosystem, and OTC flow with on-chain settlement. \
\
The V0 sub vault architecture is managed through a secure Anchorage Digital Porto wallet, operated by a licensed Approved Investment Manager entity. \
\
Unlike the non-custodial V1 Whitelisted and V3 architectures, the V0 Trader smart contract does not define permissions for Trader Executor roles in the smart contract itself, but rather relies on the policy engine of the Anchorage Digital Porto wallet. \
\
The V0 architecture may also be used for arbitrage strategies involving Traditional Finance and Institutional Markets.\
\
Risk Disclosure:\
Participation in the V0 architecture involves risks, including but not limited to market volatility, operational risks, and potential loss of funds. Investors are strongly advised to conduct thorough due diligence and consult qualified financial and legal advisors before participating. Past performance is not indicative of future results.\
\
This disclaimer does not constitute financial, legal, or investment advice.\
\
Anchorage Digital Porto details: <https://www.anchorage.com/platform/self-custody>

***User Certification and Legal Compliance***

*By interacting with our smart contract, you, as the user, certify that you are legally permitted to invest in such instruments in your jurisdiction. It is your responsibility to ensure that your participation complies with local laws and regulations. We do not assume any responsibility for the unlawful use of our product in any jurisdiction.*

***Sophistication Requirement\****

*Participation in our strategies is intended for individuals who meet certain financial criteria that classify them as high net worth or sophisticated investors. The definition of a high net worth or sophisticated investor varies by jurisdiction, but generally includes individuals with significant experience in financial and business matters, making them capable of evaluating the merits and risks of prospective investments. Investing in advanced financial strategies carries inherent risks, including the potential loss of capital. Prospective investors should be fully aware of these risks and are advised to conduct thorough due diligence.*

***No Guarantee of Returns***

*Investing in start-ups and decentralized finance instruments involves significant risks. We do not guarantee any return on investment (ROI) or annual percentage yield (APY). The performance of these investments can be volatile, and past performance is not indicative of future results.*

***Independent Analysis and Due Diligence***

*We strongly advise that you conduct your own independent analysis and due diligence before interacting with the Strategy Vaults and/or the Vault tokens. The information provided regarding Strategies and their related products is not intended to be, and should not be construed as, financial advice.*&#x20;

***Changes and Updates***

*Please note that the features, terms, and conditions of Strategies and their associated secondary markets on Camelot may change. Stay informed by reviewing our documentation and due course updates on Discord regularly.*

***Acknowledgement of Risks***

*By proceeding with the investment, you acknowledge that you understand and accept the risks associated with high-risk investments, start-ups, and decentralized finance (DeFi) products.*

## General Disclaimer for D2.Finance services <a href="#id-27ad" id="id-27ad"></a>

*Understanding the Agreement: By engaging with d2.finance, you acknowledge and accept the terms and conditions outlined in this agreement. Before proceeding, please read these terms carefully. By electronically interacting with Strategy Vaults and/or Vault tokens, you are acknowledging that it is as legally binding as if you had signed it manually. This means you fully accept the terms and conditions contained herein.*

*Updates to the Agreement: d2.finance may periodically update this agreement. We encourage you to regularly check for any changes or updates to these terms. Your interaction with Vault tokens implies your acceptance of the revised agreement. If you disagree with any of the terms, please refrain from interacting with vault tokens*

*Service Limitations:* The d2.finance front-end interface is owned and managed by D2 DAO, incorporated in the Marshall Islands. Your interactions with the front-end and with the smart contracts are governed by these disclaimers and the terms accepted on entry. d2.finance is a software platform providing front-end access to smart contract vaults; D2 DAO does not take custody of user assets, and all on-chain interactions are executed by the user at the user's own risk. The trading engine is provided by an external party.

*Risk Acknowledgement: Swap Vault’s tokens involve significant risks. This includes the potential for complete loss of value of any property or cryptocurrency, as defined, that you deposit into the Vault. We urge you to consider these risks carefully before interacting with our Vaults token.*

*Your Responsibility: Your decision to use the Vault and engage with d2.finance’s services is your own. We advise you to exercise caution and consider your individual circumstances before proceeding.*

There are geographical restrictions embedded in the deployment on participation in D2.Finance

*Geographical restrictions: Residents or citizens of Antigua and Barbuda, Algeria, Australia, Bangladesh, Bolivia, Belarus, Burundi, Myanmar (Burma), Cote D’Ivoire (Ivory Coast), Crimea and Sevastopol, China, Cuba, Democratic Republic of Congo, Ecuador, Hong Kong, Iran, Iraq, Liberia, Libya, Mali, Morocco, Nepal, North Korea, Paraguay, Somalia, Sudan, Syria, Switzerland, United Kingdom, United States, Venezuela, Yemen, Zimbabwe or any other country to which the United States, the United Kingdom or the European Union embargoes goods or imposes similar sanctions (collectively, “Restricted Territories”) are not permitted in any capacity to interact with our vault token.*\
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By engaging with our smart contracts, you certify you are neither a citizen nor a resident of those countries. You also agree that under no circumstances will D2 Finance be held liable, you have read the documentation and take full responsibility for your actions.&#x20;


