Risk disclosure · Pearlixa

Pearlixa provides portfolio and risk analytics for digital assets. This page explains what the figures are, what they are not, and the risks that remain with the people who use them.

1. Information service, not investment advice

Pearlixa is a technology and information service. It does not provide investment advice, portfolio management, brokerage or order execution, and it does not hold client funds or crypto-assets.
The figures describe portfolios and markets. They are not recommendations to buy, sell or hold any crypto-asset or financial instrument, and they do not take any person's objectives or circumstances into account.
All investment and risk decisions remain the sole responsibility of the user and the user's organisation.

2. Regulatory status

Pearlixa is not licensed or supervised by the German Federal Financial Supervisory Authority (BaFin), the European Securities and Markets Authority (ESMA) or any other national competent authority in the EU/EEA.
Pearlixa does not provide investment services within the meaning of the Markets in Financial Instruments Directive (MiFID II, Directive 2014/65/EU).
Pearlixa does not issue crypto-assets or provide crypto-asset services within the meaning of the Markets in Crypto-Assets Regulation (MiCA, Regulation (EU) 2023/1114).
Pearlixa is not registered as an investment adviser, broker-dealer or commodity trading adviser with the U.S. Securities and Exchange Commission (SEC) or the Commodity Futures Trading Commission (CFTC), and it is not authorised by the UK Financial Conduct Authority (FCA).
Users of Pearlixa are not covered by any investor compensation scheme.

3. What the figures are

Estimates, not limits. Value at risk, expected shortfall and similar measures are statistical estimates for a given confidence level and horizon. Losses can and will exceed them. They are not a maximum loss.
Built on history. The measures are estimated from historical prices, volumes and other data. Markets can behave in ways the history does not contain.
Scenarios are hypothetical. Stress tests apply past or user-defined moves to today's positions. They show what such a move would cost; they do not predict that it will happen or how large the next crisis will be.
Model risk. Every model rests on assumptions. Different methods give different results, which is why Pearlixa shows several estimates side by side. No method is correct in all market conditions.
Data risk. Figures depend on market data from third parties and on the positions the user provides. Data can be delayed, incomplete or wrong, and an error in the positions changes every figure computed from them.
Liquidity and liquidation estimates depend on market depth and exchange rules at the time of calculation. Both can change quickly, especially in stress.
Demonstration figures. Figures in the product screens and examples on the website come from a demonstration portfolio. Figures in the Insights come from the sources named in each post. Neither describes any customer's portfolio.

4. Connections, deliveries and reporting

AI assistants. Where a customer connects an AI assistant to Pearlixa, for example through the Model Context Protocol (MCP), the assistant's answers are written by that assistant, not by Pearlixa. An answer can misstate, omit or misinterpret a figure even when the figure it reads is correct. The figures in Pearlixa itself remain the reference, and the customer is responsible for the assistant it chooses and for how its answers are used.
Alerts and deliveries. Alerts, webhooks, emails and scheduled reports depend on networks, the receiving systems and third-party services. They can be delayed, duplicated or not delivered, and they do not replace the user's own monitoring of positions and limits.
Regulatory and investor reporting. Pearlixa can prepare reports and figures that a firm uses in its regulatory and investor reporting. Responsibility for the content, completeness and timely submission of any report or filing remains with the user's organisation.

5. Risks of crypto-assets

Volatility. Crypto-asset prices can move by 10%, 20% or more in a single day, and individual assets have lost more than 90% of their value.
Leverage. Leveraged positions and derivatives can lose more than the capital committed and can be liquidated automatically.
Liquidity. It may not be possible to exit a position at the expected price or size, particularly in less liquid assets or during market stress.
Correlation. Crypto-assets often fall together, and their correlation with other asset classes can rise sharply in a crisis.
Continuous trading. Crypto markets trade 24 hours a day, every day. Large moves can happen when other markets are closed.
Venue and custody risk. Exchanges and custodians can be hacked, become insolvent or restrict withdrawals.
Stablecoins can lose their peg.
Regulation and tax. Rules for crypto-assets are changing in many jurisdictions and can restrict trading or change its tax treatment.
Technology. Blockchain networks and smart contracts can fail, be attacked or change through forks.

6. Liability

Pearlixa is not liable for losses arising from investment or trading decisions taken on the basis of its figures. Beyond that, liability is governed by the customer agreement or, for the website, by the Terms of use. Mandatory statutory liability, for example for intent, gross negligence or injury to life, body or health, remains unaffected.

7. Professional advice

Users should obtain independent professional advice on investment, legal and tax matters before acting on any figure, and should satisfy themselves that the use of Pearlixa is lawful in their jurisdiction.