Risk Disclosure Statement

Landbitt (the “Company”) is a technology platform and not a bank, investment advisor, broker-dealer, or financial institution. The purchase of Digital Co-ownership Certificates (“Tokens”) on the Landbitt Platform is speculative and involves a high degree of risk. You should only invest funds that you can afford to lose without changing your lifestyle.

By using the Platform and making an investment, you acknowledge and accept the following risks:

A. Loss of Capital
The value of the underlying land and real estate assets is subject to market fluctuations, economic downturns, changes in local government policies (RERA), and unforeseen external factors. There is no guarantee that the investment will appreciate in value, and you may lose all or a portion of your principal investment.

B. No Guaranteed Returns
Projected rental yields, capital appreciation rates, and property valuations displayed on the Platform are projections only and are based on third-party appraisals or market data. Actual returns may be lower or non-existent.

C. Property Specific Risks
The underlying assets may be subject to risks including, but not limited to, changes in zoning, environmental hazards, natural disasters, construction delays, tenant defaults, or unexpected maintenance costs, all of which can negatively impact the profitability of the asset.

• Difficulty Selling: You may not be able to sell your Tokens quickly, or at all, and you may be forced to hold the investment for a period longer than anticipated.
• Price Discount: If you need to sell quickly, you may have to accept a substantial discount relative to the current valuation.

B. Dependence on Platform
Your ability to sell, track, and manage your fractional share is entirely dependent on the continued operation and infrastructure of the Landbitt Platform and its associated Smart Contracts.

• Corporate Default: The SPV is a separate legal Trust entity. If the SPV faces unforeseen legal claims or insolvency, the value of your Tokens may be negatively affected.
• Legal Fees: Legal actions concerning the property may require contributions from all fractional owners (via the SPV Trust structure).

B. Regulatory Risk (India specific)
The regulatory landscape for fractional real estate ownership and asset-backed tokenization in India is evolving.

• CBDT/Tax Changes: While Landbitt structures its Tokens to be exempt from the VDA (crypto) tax regime (as per CBDT Notification No. 75/2022), future changes in the Income Tax Act could alter the tax treatment, potentially resulting in significantly higher tax liabilities (e.g., 30% VDA tax) or new TDS requirements.
• RERA/SEBI: New regulations introduced by RERA or SEBI may impose restrictions on the sale, transfer, or management of fractional assets, potentially reducing the value of your investment.

• Bugs/Exploits: Smart contracts contain code and are susceptible to unforeseen flaws, bugs, or malicious exploits. Such an event could lead to the loss or theft of all assets locked within the contract without recourse.

B. Wallet Security Risk
Your Tokens are stored in your private digital wallet.

• Private Key Loss: If you lose your wallet’s private keys or seed phrase, Landbitt cannot recover your Tokens or funds.
• Hacking/Theft: Your wallet is susceptible to hacking, phishing attacks, and security breaches outside of Landbitt’s control.

C. Network Risk
The Polygon network is subject to technical risks, including congestion, consensus mechanism failure, or changes in technology, which could affect your ability to transact or verify ownership. Gas fees (transaction costs) may fluctuate unpredictably.

• The information on the Platform is for general informational purposes only and is not a recommendation or solicitation to buy or sell any asset.
• You must conduct your own due diligence and consult with independent legal, financial, and tax advisors before making any investment decision.

By proceeding, you attest that you have read and understood these risks and agree that Landbitt Private Limited, its affiliates, directors, and employees shall not be liable for any losses arising from these risks.