Risk Disclaimers

Read this before you bridge anything. Nothing here is legal, tax, or investment advice.

1. TSD pays no yield, ever

TSD does not pay interest, yield, dividends, rewards, staking returns, rebates, or any share of revenue or profit. Holding TSD does not entitle you to anything beyond the right to redeem it for the underlying stablecoin at 1:1, less any disclosed redemption fee.

This is deliberate. A dollar token that pays a return to holders starts to look like an investment contract, and we have no interest in issuing an unregistered security. TSD is plumbing: it moves a dollar you already own onto a different chain. If reserves are parked in yield-bearing instruments for treasury management, that yield accrues to the operators to fund operations — not to TSD holders — and holders acquire no claim on it.

2. TSD is not a security, deposit, or e-money

• Not a security, share, note, bond, or investment contract.
• Not a bank deposit and not insured by the FDIC or any deposit guarantee scheme.
• Not electronic money, and not legal tender anywhere.
• Not a claim on the operators' assets, revenue, equity, or future profits.
• Not an obligation of the State of Texas or any government body.

"Texas" in the name refers to the values and community the project comes from. It does not imply endorsement, sponsorship, or backing by any government, agency, or official body.

3. We are not the dollar issuer

TSD is backed by third-party stablecoins — USDC, USDT, PYUSD, DAI — held in reserve. We do not issue those tokens, control their reserves, or influence their policies. We are not affiliated with, endorsed by, or partnered with Circle, Tether, Paxos, PayPal, or Sky.

Issuer risk passes straight through to you. If an underlying stablecoin loses its peg, is frozen, is blacklisted, halts redemptions, or fails entirely, TSD backed by that asset is impaired to the same degree. Our 1:1 promise is a promise about the reserve token, not a guarantee that the reserve token is worth a dollar.

4. Bridge and smart contract risk

• Bridges are among the most attacked systems in crypto. A compromise of our keys, infrastructure, relayer, or hosting could result in total loss.
• Reserve addresses are derived deterministically and held by the operators. This is custodial in nature — you are trusting us with the locked stablecoins while your TSD exists.
• TSD is a managed token on the TEXITcoin Omni Layer. The issuer retains the technical ability to grant and revoke tokens.
• Bugs in the bridge, node software, Omni layer, or any dependency can cause loss, duplication, or stuck funds.

5. Blockchain risk

• Transactions are irreversible. There is no chargeback and no undo.
• Sending to a wrong, unsupported, or attacker-supplied address results in permanent loss. Copy addresses only from our interface.
• Sending an unsupported token, or a supported token on an unsupported chain, may result in permanent loss.
• Reorganizations, congestion, fee spikes, chain halts, and validator failures can delay or prevent minting, redemption, or payout.
• You are solely responsible for your keys, seed phrases, and wallet security.

6. Redemption is not instant by guarantee

We keep a hot-wallet buffer sized to serve typical redemptions immediately, and we publish that capacity live on our status page. If a redemption exceeds available hot capacity, it is queued until an operator moves funds from cold storage. That can take minutes or, in adverse conditions, longer. Published capacity and queue estimates are informational, not contractual, and we do not guarantee any redemption timeframe.

7. Amount received is the amount minted

The bridge mints based on what actually arrives on-chain, not on the amount you quoted. Overpayments and underpayments mint the received amount. Quotes and rates shown in the interface are indicative and can move before your deposit confirms. Fees are disclosed before you commit and may change for future orders.

8. Proof of reserves has limits

Our attestations are self-published, cryptographically signed snapshots of balances we observe at controlled addresses. They are continuous, append-only, and independently verifiable on-chain — but they are not an independent audit, and they are not a certification by any accounting firm or regulator. They also cannot prove the absence of undisclosed liabilities. Verify addresses yourself on proof of reserves.

9. No warranty, no liability

The bridge is provided "as is" and "as available", without warranties of any kind, express or implied, including merchantability, fitness for a particular purpose, and non-infringement. To the maximum extent permitted by law, the operators are not liable for any indirect, incidental, special, consequential, punitive, or exemplary damages, or for lost profits, lost data, or loss of digital assets, arising from your use of or inability to use the bridge.

10. Regulatory and availability risk

Laws applying to stablecoins, wrapped assets, and bridges are changing quickly. Rules could force us to change fees, restrict jurisdictions, suspend minting, or wind the bridge down. We may pause the bridge at any time without notice for security or legal reasons. If we wind down, our intention is to enable redemption of outstanding TSD for the underlying reserves — but we cannot guarantee any specific outcome or timeline.

11. Only risk what you can lose

Do not bridge funds you cannot afford to lose entirely. Read the Terms of Service, the compliance page, and the Privacy Policy. If you do not accept these risks, do not use the bridge.