Last modified : 2023.04.25
Purple Bridge is a service that people can transfer between tBORA Token in Bora Network and pBORA Token in Polygon Network(the “Bridge Service”) and exchange between pBORA Token in Polygon Network and USDC in such Polygon Network(the “Swap Service”, for Bridge Service and Swap Service collectively, the “Service” or the “Purple Bridge”). The Purple Bridge service is made up of source or source-available software including a set of smart contracts and you may not use the Service in a way that attempt to discover the source code or underlying components of models, algorithms, and systems of the Service (except to the extent such restrictions are contrary to applicable law. Your use of the Purple Bridge service involves various risks, including, but not limited to, losses while digital assets are being supplied to the Purple Bridge service and losses due to the fluctuation of prices of tokens in a trading pair or liquidity pool. The Service is not responsible for any damages or other losses resulting from your use of any blockchain networks, your blockchain wallet (or any other blockchain address that you control), including but not limited to any losses, damages or claims arising from: (a) user error, such as forgotten passwords, incorrectly inputted addresses or amounts, or incorrectly construed smart contracts or other transactions; (b) blockchain failure or data loss; (c) corrupted wallet files; (d) unauthorized access or activities by third parties, including, but not limited to, the use of viruses, phishing, brute-forcing or other means of attack against the Interface, any blockchain network, or any blockchain address, including the blockchain wallet; or (e) any errors or vulnerabilities in smart contracts, or updates to such contracts, including those that make up the Service. Before using the Purple Bridge service, you should review the relevant documentation to make sure you understand how the Purple Bridge service works. Additionally, just as you can access email services such as SMTP through multiple email clients, you can access the Purple Bridge service through dozens of web or mobile interfaces. You are responsible for doing your own diligence on those interfaces to understand the fees and risks they present.
THE Purple Bridge SERVICE IS PROVIDED “AS IS“, AT YOUR OWN RISK, AND WITHOUT WARRANTIES OF ANY KIND. Although PURPLE LABS(“[PURPLE LABS]“) developed much of the initial code for the Purple Bridge service, it does not provide, own, or control the service, which is run by smart contracts. Upgrades and modifications to the service are best efforted to manage in a community-driven way by holders of the [PURPLE LABS] governance token. No developer or entity involved in creating the Purple Bridge service will be liable for any claims or damages whatsoever associated with your use, inability to use, or your interaction with other users of, the Purple Bridge service, including any direct, indirect, incidental, special, exemplary, punitive or consequential damages, or loss of profits, cryptocurrencies, tokens, or anything else of value.
There is a continuous effort to maintain the block sync between Purple Bridge and Bora, Polygon network; however, Purple Bridge interface may be stopped without prior notice due to problems in the network resulting from transaction congestion, computer system errors and software attacks and other factors, such as natural events. Purple Bridge is not guaranteed to always work.
The biggest potential risk to a Liquidity Provider (LP) is Impermanent loss.
Impermanent loss is a temporary loss of assets occurring when providing liquidity to a pool due to volatility in a trading pair. For example, when Purple Bridge provides Swap service in a Purple Bridge pBORA/USDC 50/50 liquidity pool, If pBORA goes up in value, the pool has to rely on arbitrageurs to ensure that the pool price reflects the real-world price to maintain the same value of both tokens in the pool. If the LP decides to withdraw their liquidity, the impermanent loss will become permanent. Impermanent loss is called impermanent because if the LP does not withdraw their liquidity and the price of pBORA goes back to the original value, the impermanent loss will be canceled back to 0.
Please ensure you comply with all applicable legal and regulatory requirements, including but not limited to regulations of virtual assets, taxes and securities in your jurisdiction.
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