wstDIEM Vault — Terms & Conditions

1. What the Vault Is

The wstDIEM vault (“the Vault”) is a set of immutable smart contracts on the Base blockchain. Depositing DIEM (or assets routed to DIEM) mints wstDIEM, an ERC-4626 share token representing a claim on staked DIEM held by the Vault. wstDIEM is intended to appreciate against DIEM as inference revenue and protocol fees accrue, but its value is not fixed, guaranteed, or redeemable on demand.

The Vault and related contracts (Router, FeeRouter, oracles, Morpho markets, Curve and Uniswap V4 pools) are owned by a multisig and may be paused or reconfigured within published limits.

2. Experimental & Unaudited Software

The Vault is newly developed and has not completed a third-party security audit. It has undergone internal and agent-assisted review only. Smart contracts may contain bugs, economic flaws, or vulnerabilities that result in the permanent, total loss of deposited funds. You assume this risk entirely.

3. No Instant Withdrawals

The Vault does not offer instant redemption. Exiting requires either (a) the asynchronous withdrawal queue, which is subject to a timelock and an underlying DIEM unstaking cooldown (on the order of weeks), or (b) selling wstDIEM on a secondary market (Curve / Uniswap V4), which is subject to available liquidity, slippage, and price. There may be times when you cannot exit at all, or only at a loss.

4. Exchange Rate & Yield Are Not Guaranteed

The wstDIEM/DIEM exchange rate is designed as a one-way ratchet, but yield depends on third-party inference revenue (Venice) and protocol fees, which may be zero or decline. Past or projected performance is not indicative of future results. The Vault is not a deposit account, savings product, money market fund, or yield guarantee, and is not insured by any party.

5. Leverage & Liquidation Risk

The Vault integrates with Morpho lending markets that allow borrowing against wstDIEM collateral, including looped (leveraged) positions. Leverage materially increases risk. If your position’s value falls relative to your debt, your collateral may be liquidated, in whole or part, with penalties. Adverse oracle moves, interest accrual, or thin liquidation liquidity can lead to liquidation or protocol bad debt.

6. Oracle Risk

wstDIEM collateral is priced by on-chain oracles (e.g. a time-weighted average price derived from a single DIEM/VVV pool). Oracles can be manipulated, become stale, revert, or report values that diverge from any notion of fair value, which can cause failed transactions, mispriced borrowing, delayed liquidations, or loss.

7. DIEM & Venice Dependency

DIEM is a staking/inference asset of the third-party Venice protocol and is nota fiat-backed or USD-pegged stablecoin; references to a notional dollar figure describe an inference-credit entitlement, not a cash-redeemable peg. The Vault’s value and operation depend on Venice, VVV/sVVV, and other external protocols (Morpho, Curve, Uniswap, Aerodrome, Base). Failure, change, or exploit of any of these can impair or destroy the Vault’s value. We do not control these protocols.

8. Fees

The Vault charges a deposit fee and a fee on accrued yield (at launch, 2.5% on deposits and 5% on yield), each adjustable by the owner up to published hard caps. Fees, gas costs, and secondary-market spreads reduce your return. See the documentation for current parameters.

9. Eligibility & Your Representations

By using the Vault, you represent and warrant, on each interaction, that:

• You are of legal age and have full capacity to accept these terms;
• You are not a person or entity subject to sanctions and are not acting on behalf of any such person, and you are not located in, organized under, or a resident of any sanctioned or prohibited jurisdiction;
• Your use of the Vault does not violate any law or regulation applicable to you, including securities, derivatives, AML/CFT, and tax laws;
• You are sufficiently sophisticated to evaluate the risks above and can bear the total loss of any funds deposited;
• You are acting on your own behalf with your own lawfully-obtained funds, and not on behalf of an undisclosed third party;
• You are not relying on any statement by us as financial, investment, legal, or tax advice.

We may restrict or decline access at our discretion. Acceptance of these terms is a condition of access; it does not create any obligation, fiduciary duty, or guarantee on our part.

10. No Advice

Nothing on this site or in the documentation is financial, investment, tax, or legal advice or a solicitation to buy or sell any asset. Conduct your own research and consult qualified professionals before depositing.

11. Taxes

You are solely responsible for determining and paying any taxes applicable to your use of the Vault, including on deposits, yield, swaps, borrowing, liquidations, and withdrawals.

12. No Warranty & Limitation of Liability

The Vault, the website, the SDK, and all associated contracts are provided “as-is” and “as available” without warranty of any kind. To the fullest extent permitted by law, the Protocol, its contributors, and affiliates shall not be liable for any direct, indirect, incidental, special, consequential, or exemplary damages arising from:

• Smart contract bugs, exploits, or economic/oracle failures;
• Liquidation, leverage losses, or protocol bad debt;
• Loss of wstDIEM value, illiquidity, or inability to withdraw;
• Failure or change of Venice, DIEM, Morpho, Curve, Uniswap, or Base;
• Loss of funds due to user error, key compromise, or phishing;
• Downtime, outages, or blockchain network conditions.

13. Changes & Governing Terms

We may modify these terms at any time; the “Last updated” date will change and continued use constitutes acceptance. These terms supplement the general Liquid Protocol Terms & Conditions and Privacy Policy; in case of conflict regarding the Vault, this page controls.