Risk Disclosure

1. General Real Estate Market Risks

• Market risk: Property prices can fluctuate significantly. There is no guarantee that values will be maintained or increase.
• Illiquidity: Real estate is an illiquid asset. Sale may take months or years.
• Hidden costs: Unexpected expenses may arise: repairs, community charges, regulatory changes, tax increases.
• Occupancy risk: Issues with tenants, illegal occupation, or difficulty letting.

2. Platform-Specific Risks

2.1 Technology risk

• Possible software, smart contract, or infrastructure failures
• Blockchain network interruptions (Stellar Network)
• Undetected security vulnerabilities
• Dependence on external providers (anchors, payment processors)

2.2 Blockchain risk

• Blockchain transactions are irreversible
• Loss of wallet access due to lost private keys
• Possible changes to the Stellar protocol
• Transactions are public and permanent

2.3 Counterparty risk

• Sellers may provide incorrect information
• Possible failure by other parties to fulfill obligations

3. Regulatory and Legal Risks

• Changes in crypto-asset or blockchain regulation
• Changes in real estate transaction taxation
• Possible restrictions in certain jurisdictions
• Complexity of cross-border dispute resolution

4. Escrow System Risks

• Escrow protects but does not eliminate all risks
• Possible delays in fund release
• Disputes over fulfilment of conditions
• Residual risk with escrow providers

5. Non-Custodial Model — User Responsibility

RealtorToken operates under a non-custodial model. Users are solely responsible for: safeguarding their private keys, verifying transaction details before confirmation, and maintaining access to their wallets.