LEGAL · 03
Disclosures.
Read before using Zylo Pay
Important Risk Warning
Zylo Pay is a non-custodial, blockchain-based payment protocol. Using the Services involves significant risks including but not limited to smart contract vulnerabilities, stablecoin depeg, network congestion, and irreversible transactions. You should not use Zylo Pay with funds you cannot afford to lose. Past performance and uptime do not guarantee future results.
RISK-01
Smart Contract Risk
The ZyloPaySettlement smart contract processes all payment settlements on Monad. Despite security audits and formal verification, smart contracts may contain undiscovered vulnerabilities that could result in loss of funds. Contract upgrades via proxy patterns introduce additional surface area for potential exploits.
RISK-02
Stablecoin Depeg
All payments are denominated in USDC. While USDC is designed to maintain a 1:1 peg with the US Dollar, it is not guaranteed. A depeg event could result in the value of settled payments being worth more or less than the intended dollar amount at the time of settlement.
RISK-03
Network Congestion
Monad targets 10,000 TPS with 800ms finality. During periods of extreme network demand, transaction settlement may be delayed beyond the expected timeframe. The relay infrastructure may also experience congestion during high-volume payment periods, resulting in delayed or failed transaction submissions.
RISK-04
Regulatory Risk
On-chain payment networks operate in an evolving regulatory landscape. Changes in local, national, or international regulations may restrict or prohibit the use of Zylo Pay in certain jurisdictions. Users are responsible for compliance with applicable laws in their jurisdiction.
RISK-05
Key Loss / Passkey Recovery
Zylo Pay uses passkey (FIDO2/WebAuthn) authentication. If you lose access to all devices registered with your passkey, you may permanently lose access to your account and associated wallet. Zylo Pay cannot recover passkey credentials on your behalf. Passkey backup and sync depend on your platform provider (Apple, Google, Microsoft).
RISK-06
Market Volatility
While USDC is a stablecoin, the broader cryptocurrency market is volatile. Changes in market conditions may affect the availability of liquidity, the cost of gas on the Monad network, and the overall viability of on-chain payment infrastructure. Zylo Pay makes no guarantees about future market conditions.
Zylo Pay is not a bank, money transmitter, or licensed financial institution. The Services do not constitute financial advice, investment advice, or a solicitation to purchase securities. Zylo Pay does not custody user funds. All transactions are executed by user-controlled wallets interacting with publicly deployed smart contracts on the Monad blockchain. Users are solely responsible for compliance with applicable laws in their jurisdiction. Zylo Pay / Uplevel LLC · Effective March 22, 2026.