Terms of Service

1. Description of Service

LetterFi is a decentralized NFT protocol that operates on Binance Smart Chain (BSC). Our platform enables users to:

• Mint and own Letter NFTs - unique digital collectibles stored on the blockchain
• Participate in community reward distributions - NFT holders are automatically eligible for daily and mega community reward pools
• Craft Word NFTs - combine Letter NFTs to create unique Word combinations
• Trade NFTs - buy, sell, and transfer NFTs on secondary markets

All reward distributions are executed through transparent smart contracts using Chainlink VRF (Verifiable Random Function) to ensure provably fair and verifiable randomness.

2. Eligibility and Account Requirements

2.1 Age Requirement

You must be at least 18 years old to use LetterFi. By using our services, you represent and warrant that you meet this age requirement.

2.2 Wallet Connection

To interact with LetterFi, you must connect a compatible Web3 wallet (such as MetaMask, Trust Wallet, or WalletConnect-compatible wallets). You are solely responsible for:

• Maintaining the security of your wallet and private keys
• All transactions initiated from your wallet
• Any loss of funds due to compromised wallet security

2.3 Geographic Restrictions

LetterFi services may not be available in certain jurisdictions. You are responsible for ensuring that your use of LetterFi complies with local laws and regulations in your jurisdiction.

3. NFT Ownership and Rights

3.1 Ownership

When you mint or purchase a LetterFi NFT, you own the NFT token and the associated metadata stored on the blockchain. Ownership is recorded on Binance Smart Chain and can be verified through blockchain explorers.

3.2 License to Artwork

Subject to your continued compliance with these Terms, LetterFi grants you a worldwide, non-exclusive, royalty-free license to use, copy, and display the artwork associated with your NFT for:

• Personal, non-commercial use
• Marketplace listings when selling your NFT
• Display in virtual galleries or social media

3.3 Restrictions

You may NOT:

• Modify or create derivative works that misrepresent LetterFi
• Use NFT artwork in connection with hateful, violent, or illegal content

3.4 Transfer of Rights

When you sell or transfer your NFT, these license rights automatically transfer to the new owner, and you lose all rights to use the associated artwork.

4. Community Reward Distributions

4.1 Automatic Eligibility

By owning LetterFi NFTs, you are automatically eligible to participate in community reward distributions:

• Daily Rewards - distributions occur every 24 hours
• Mega Rewards - larger progressive reward pools with periodic distributions

4.2 Reward Mechanism

• Rewards are distributed through smart contracts using Chainlink VRF for randomness
• Each eligible NFT represents certain entry quantities (stated at NFTs right after Minting) into the reward selection process
• Selection is completely automated and verifiable on-chain
• Winners are selected from all eligible NFT holders at the time of distribution
• Rewards are automatically sent to winners' wallet addresses

4.3 Trust Wallet Token (TWT) Staking Tiers

Users who stake Trust Wallet Token (TWT) receive enhanced participation benefits:

• Silver Tier (50+ TWT staked) - additional bonus entries
• Golden Tier (250+ TWT staked) - maximum bonus entries

4.4 No Guarantee

Participation in reward distributions does NOT guarantee that you will receive rewards. Rewards are distributed based on automated selection mechanics and blockchain randomness. LetterFi makes no promises or guarantees about the frequency, amount, or likelihood of receiving rewards.

4.5 Smart Contract Execution

All reward distributions are executed automatically by smart contracts. LetterFi cannot modify, reverse, or interfere with reward distributions once they are executed on-chain.

5. Transactions and Fees

5.1 Blockchain Transactions

All transactions on LetterFi (minting, transfers, crafting) are executed on Binance Smart Chain and require:

• Gas Fees - network fees paid in BNB for transaction processing
• Protocol Fees - fees collected by LetterFi smart contracts (if applicable)

5.2 Transaction Finality

All blockchain transactions are FINAL and IRREVERSIBLE. LetterFi cannot reverse, cancel, or refund transactions once they are confirmed on the blockchain.

5.3 Failed Transactions

If a transaction fails due to insufficient gas, network congestion, or smart contract reversion, you may lose gas fees. LetterFi is not responsible for failed transactions or lost gas fees.

6. Smart Contracts and Technical Risks

6.1 Smart Contract Nature

LetterFi operates through smart contracts deployed on Binance Smart Chain. These contracts are:

• Automated and execute according to their code
• Immutable once deployed (unless specifically designed as upgradeable)
• Subject to blockchain network conditions

6.2 Technical Risks

You acknowledge and accept the following risks:

• Smart Contract Bugs - despite testing, smart contracts may contain undiscovered vulnerabilities
• Blockchain Network Risks - BSC network congestion, downtime, or forks may affect service
• Wallet Risks - loss of private keys results in permanent loss of NFTs and funds
• Oracle Risks - Chainlink VRF dependencies may experience delays or failures
• Market Volatility - cryptocurrency and NFT values can fluctuate dramatically

6.3 No Guarantees

LetterFi provides the platform "AS IS" without warranties of any kind, including but not limited to:

• Uninterrupted or error-free operation
• Smart contract security or absence of bugs
• Compatibility with all wallets or devices
• Future value or utility of NFTs

7. Prohibited Activities

You agree NOT to:

7.1 Legal Violations

• Violate any applicable laws, regulations, or third-party rights
• Engage in money laundering, terrorism financing, or other illegal activities
• Use LetterFi for any unlawful purpose

7.2 Platform Abuse

• Attempt to manipulate reward distributions through multiple accounts or collusion
• Exploit bugs, vulnerabilities, or unintended smart contract behavior
• Use bots, scripts, or automated tools without permission
• Interfere with or disrupt LetterFi services or infrastructure

7.3 Fraud and Misrepresentation

• Create fake or misleading NFTs
• Impersonate LetterFi team members or other users
• Engage in phishing, scams, or fraudulent schemes related to LetterFi

7.4 Market Manipulation

• Engage in wash trading or other manipulative trading practices
• Artificially inflate or deflate NFT prices through coordinated actions

8. Intellectual Property

8.1 LetterFi Trademarks

"LetterFi," the LetterFi logo, and other branding elements are trademarks owned by LetterFi. You may not use these trademarks without prior written permission.

8.2 User Content

By creating Word NFTs or Hero NFTs, you grant LetterFi a non-exclusive, worldwide, royalty-free license to display and promote your creations as part of the LetterFi ecosystem.

8.3 Third-Party Content

LetterFi may integrate with third-party services (wallets, marketplaces, oracles). We do not own or control these services and are not responsible for their content or functionality.

9. Limitation of Liability

9.1 Maximum Liability

TO THE MAXIMUM EXTENT PERMITTED BY LAW, LETTERFI AND ITS TEAM MEMBERS SHALL NOT BE LIABLE FOR ANY:

• Direct, indirect, incidental, special, or consequential damages
• Loss of profits, revenue, data, or NFTs
• Smart contract vulnerabilities or exploits
• Blockchain network failures or congestion
• Market losses or NFT value depreciation
• Unauthorized access to your wallet or accounts

9.2 No Liability Cap

In no event shall LetterFi's total liability exceed the amount of protocol fees you paid to LetterFi in the 30 days preceding the claim.

9.3 Risk Assumption

YOU EXPRESSLY ACKNOWLEDGE AND AGREE THAT YOUR USE OF LETTERFI IS AT YOUR SOLE RISK. You assume all risks related to:

• Cryptocurrency and NFT ownership
• Blockchain technology
• Smart contract interactions
• Market volatility and speculation

10. Indemnification

You agree to indemnify, defend, and hold harmless LetterFi, its team members, contractors, and partners from any claims, damages, losses, liabilities, and expenses (including legal fees) arising from:

• Your violation of these Terms
• Your violation of any laws or third-party rights
• Your use of LetterFi services
• Your NFT ownership or trading activities
• Any content you create or submit

11. Modifications to Terms

11.1 Right to Modify

LetterFi reserves the right to modify these Terms at any time. We will notify users of material changes by:

• Posting updated Terms on our website
• Updating the "Last Updated" date
• Announcing changes through our official communication channels

11.2 Continued Use

Your continued use of LetterFi after Terms modifications constitutes acceptance of the updated Terms. If you do not agree to the modified Terms, you must stop using LetterFi.

12. Modifications to Service

LetterFi reserves the right to:

• Modify, suspend, or discontinue any part of the service
• Change reward distribution mechanics or parameters
• Update smart contract functionality (if contracts are upgradeable)
• Adjust protocol fees or economic parameters

We will make reasonable efforts to notify users of significant service changes.

13. Dispute Resolution

13.1 Informal Resolution

Before initiating any formal dispute, you agree to contact LetterFi to seek informal resolution.

13.2 Governing Law

These Terms shall be governed by and construed in accordance with the laws of the British Virgin Islands, without regard to conflict of law principles.

13.3 Arbitration

Any disputes arising from these Terms or your use of LetterFi shall be resolved through binding arbitration rather than in court, except where prohibited by law.

14. Disclaimers

14.1 Not Investment Advice

Nothing on LetterFi constitutes investment, financial, legal, or tax advice. NFTs are speculative digital assets with no intrinsic value. You should consult with qualified professionals before making any financial decisions.

14.2 No Securities

LetterFi NFTs are digital collectibles and are NOT:

• Securities or investment contracts
• Shares in any company or entity
• Guaranteed to increase in value
• Subject to any profit-sharing arrangements beyond community reward participation

14.3 Regulatory Uncertainty

Blockchain technology and NFTs exist in an evolving regulatory environment. Future laws or regulations may affect LetterFi's operations or your ability to use the service.

14.4 Third-Party Risks

LetterFi integrates with third-party services including:

• Chainlink VRF for randomness
• BSC blockchain network
• Web3 wallets
• NFT marketplaces

LetterFi is not responsible for failures, vulnerabilities, or issues with these third-party services.

15. Termination

15.1 Your Rights

You may stop using LetterFi at any time. Your NFT ownership on the blockchain continues regardless of your use of the LetterFi interface.

15.2 Our Rights

LetterFi reserves the right to:

• Suspend or terminate access to the website interface for Terms violations
• Block wallet addresses engaged in prohibited activities
• Discontinue services with reasonable notice

15.3 Effect of Termination

• Your NFT ownership on the blockchain is not affected
• You may continue to interact with smart contracts directly
• Access to LetterFi website and tools may be restricted

16. General Provisions

16.1 Entire Agreement

These Terms constitute the entire agreement between you and LetterFi regarding the service and supersede all prior agreements.

16.2 Severability

If any provision of these Terms is found to be invalid or unenforceable, the remaining provisions shall remain in full force and effect.

16.3 No Waiver

LetterFi's failure to enforce any right or provision of these Terms shall not constitute a waiver of such right or provision.

16.4 Assignment

You may not assign or transfer these Terms without LetterFi's prior written consent. LetterFi may assign these Terms without restriction.

16.5 Force Majeure

LetterFi shall not be liable for any failure to perform due to circumstances beyond its reasonable control, including blockchain network failures, natural disasters, or regulatory actions.

17. Contact Information

For questions, concerns, or notices regarding these Terms, please contact us at:

• Email: info@letterfi.xyz
• Website: https://letterfi.xyz
• Documentation: https://docs.letterfi.xyz

18. Acknowledgment

BY USING LETTERFI, YOU ACKNOWLEDGE THAT:

• ✓ You have read and understood these Terms
• ✓ You agree to be bound by these Terms
• ✓ You understand the risks of blockchain technology and NFTs
• ✓ You are using LetterFi at your own risk
• ✓ NFTs are speculative digital assets with no guaranteed value
• ✓ Community reward distributions are automated and not guaranteed
• ✓ All transactions are final and irreversible
• ✓ You are responsible for your own wallet security and tax obligations