1. Introduction

1.1 These xStocks Terms and Conditions (the “Terms”) governs participation in trading activities and events involving xStocks on this Platform as maintained and enforced by Bybit Technology Limited (“Bybit”, “we”, “our”, or “us”) and shall be deemed as part of the Terms of Service between the User and the Company (the “Terms of Service”). By accepting our Terms of Service, you are deemed to have read, understood and acknowledged our Terms in relation to the product. All capitalized terms that are used but not otherwise defined herein shall have the meanings ascribed to them in the Service Agreement. By engaging in trading activities on our platform, including margin and derivatives trading, and by opening and closing positions that may contribute to or draw from the Fund, you (“you”, “User”, or “Customer”) agree to be bound by these Terms.

1.2 Unless otherwise defined or the context otherwise requires, all capitalized terms shall have the meaning given to them in our Terms of Service.

 

2. Eligibility
2.1 Only Users who have completed Identity Verification Level 1 (individuals) or Business Verification (entities) are eligible to trade xStocks or participate in related events.

2.2 Institutional users and market makers shall not be eligible to participate in any trading and/or event related to xStocks.

2.3 You understand and agree that the information and services provided by the Platform in relation to xStock are not provided to, and may not be used by or for the benefit of, any individual or entity in any jurisdiction where the provision or use thereof would be contrary to any applicable law, or where we are not authorized to provide such Platform or information and services. We also do not offer services or products to Users in a few excluded jurisdictions including:

a. the United States, the United Kingdom, Canada, Australia, Japan, and countries within the European Economic Area (EEA): Austria, Belgium, Bulgaria, Croatia, Cyprus, Czech Republic, Denmark, Estonia, Finland, France, Germany, Greece, Hungary, Ireland, Italy, Latvia, Lithuania, Luxembourg, Malta, Netherlands, Poland, Portugal, Romania, Slovakia, Slovenia, Spain, Sweden, Iceland, Liechtenstein, and Norway (the “Excluded Jurisdictions”).

 

2.4 You should inform us immediately if you become a resident in any of the Excluded Jurisdictions or are aware of any Users based in any of the Excluded Jurisdictions. You understand and acknowledge that if it is determined that you have given false representations of your location or place of residence, the Company reserves the right to take any appropriate actions in compliance with this restriction or in compliance with the law of a relevant jurisdiction, including termination of any Account immediately and liquidating any open positions.

 

2.5 Users from other jurisdictions must ensure that participation does not violate any local laws or regulations applicable to them.

 

3. xStocks

3.1 xStocks are tokenised instruments (each a “Token”) that aim to reflect the economic exposure to certain publicly-traded equities and exchange-traded funds. They are not themselves shares or securities issued by the underlying company, nor do they confer ownership, voting rights, or shareholder status in the underlying equity. Bybit makes no representation or warranty as to the legal status, regulatory treatment, or enforceability of any xStock token. They do not grant you any legal rights or interests. You should not construe any xStock as representing a legal or beneficial interest in the underlying equity.

 

3.2 The Tokens are issued by a third-party regulated financial entity, Backed Asset (JE) Limited (the “Issuer”), and track the market value of the corresponding traditional security. The Tokens are made available to Users for trading on the Platform via select pairs, such pairs may be subject to change by us from time to time in our sole and absolute discretion.

 

3.3 Bybit is not the issuer, custodian, market maker or seller of xStocks. Bybit merely provides a trading interface to access a marketplace where xStocks may be listed or traded by third parties. All xStock Tokens are issued and redeemed solely by the Issuer and the mechanics of such issuance are not within our control. We do not guarantee delivery, redemption, collateralization, liquidity, fair market pricing, or enforceability of any xStock. These factors are subject to external market conditions, third-party service availability and performance, and other external factors beyond our control.

 

3.4 You should note that holding a Token does not entitle you to receive any dividends, distributions, interest, voting rights, shareholder privileges, or rights offerings (including but not limited to share splits, spin-offs, or subscription rights) that may be associated with the underlying publicly traded equity. Tokens are synthetic in nature and do not carry economic rights typically conferred to direct shareholders.

 

3.5 Bybit does not process, deliver, or facilitate access to any such corporate actions, dividend payments, or entitlements. No representation or warranty is made that any dividends or rights attached to the underlying equities will be passed on to Token holders, and Users shall have no recourse to Bybit in connection with any such entitlements. If you believe you may have any claim in respect of any rights, you should seek clarification directly from the Issuer and are advised to conduct your own independent due diligence on the terms and conditions of the Issuer governing the issuance.

 

3.6 Each xStock Token may represent a depository receipt to an underlying publicly traded equity. The Token does not grant title, shareholder rights, or ownership in the referenced stock. It reflects a claim or contractual right (if any) against a third-party issuer or custodian, the terms of which are governed by separate arrangements outside of Bybit’s Platform. Participants are strongly encouraged to review the relevant documentation from the token issuer, including but not limited to custody arrangements, collateralization mechanisms, and redemption terms.

 

3.7 According to publicly available documentation provided by the Issuer, xStocks are intended to be fully collateralized by the underlying publicly traded equities on a 1:1 basis. In this model, for each xStock token issued, a corresponding share of the referenced stock is held by a regulated custodian on behalf of the Issuer. The Issuer acquires the corresponding equity shares in the underlying company, which are then held with a regulated and independent custodian in the name of, or for the benefit of, the Issuer or its designated trustee, to support the issuance of xStocks. Based on the custodied shares, the Issuer mints an equivalent number of xStock tokens, intended to reflect a 1:1 economic ratio to the referenced equity. These tokens are distributed or made available for trading through permitted channels, such as our Platform. Bybit does not participate in, verify or monitor the custody, ownership, or status of such collateral and makes no representation or warranty regarding its existence, adequacy, or segregation. This information is provided strictly for informational purposes and may not reflect the actual mechanics or risk profile of any specific xStock. Users should not rely on any summary provided herein as a basis for investment decisions and are strongly encouraged to review the Issuer's documentation and perform their own due diligence.

 

3.8 Prices of the underlying equities are sourced through decentralized or third-party oracles, which aggregate market data from third-party service providers. These price feeds may be subject to latency, discrepancies, or operational errors. Bybit does not control or verify the accuracy or timeliness of such price data. The prices of the underlying assets should therefore not be taken to represent the prices of the Tokens. You should therefore expect price variations between the underlying asset and the Token. 

 

3.9 Displayed Token prices are determined within the internal trading environment and may not reflect global or universal market values. While the Tokens are tradable 24/7 even when the respective primary marketplaces of the underlying assets may not be open to its participants, the prices of the Tokens may vary and not be relative or representative of the underlying equity while the primary market of the underlying assets are closed. Furthermore, price movements of xStocks may be affected by rebasing models, inventory adjustments by the Issuer or market makers, and the underlying asset’s corporate actions (such as stock splits or dividend re-investments) that are not transparently or immediately reflected in Token pricing. For example, the Issuer may purchase additional Tokens with any dividends issued by the underlying equity, leading to a deviation in price. As such, Users should not rely on xStock prices as accurate or reliable proxies for the value of the underlying securities, and vice versa.

 

3.10 xStock prices may also be impacted by adjustments conducted by the Issuer to account for corporate actions, including but not limited to reorganization of asset structures or modifications to the net asset value (“NAV”) per Token. For the purposes of this document, NAV refers to the total value of the underlying equity assets held in custody by or on behalf of the Issuer, divided by the total number of Tokens in circulation. From time to time, the Issuer may apply corporate actions (such as dividends or subscription rights) toward the acquisition of additional underlying shares. This may result in an increase in the number of underlying shares backing a single Token, effectively increasing the NAV per Token. Conversely, the Issuer may rebalance or consolidate holdings in a manner that results in a NAV reduction. These NAV fluctuations may cause the market value of xStocks to diverge significantly from the publicly quoted market price of the referenced equities. Such mechanisms are not always transparent, and Users may not receive notice of NAV adjustments in advance. Accordingly, Users should not rely on the Token price as a one-to-one reflection of the underlying stock price, and are strongly encouraged to conduct their own research regarding how NAV and rebasing may affect Token valuation over time.

 

 

4. xStocks Trading Terms 

4.1 xStocks are available for trading under the Adventure Zone, subject to a trading fee of 0.2% (unless otherwise specified) and a maximum position limit of three hundred thousand (300,000) USDT per User. Such terms and limits may be amended by us from time to time at our sole and absolute discretion.

 

4.2 Deposits and withdrawals of xStocks will be available via the Solana (SOL) network.

 

4.3 xStocks are subject to rebasing mechanisms to reflect corporate actions such as dividends or stock splits.

 

 

5. Risk Disclosure and Limitations

5.1 You acknowledge and agree that xStocks do not represent a legal claim to dividends, distributions, or rights related to the underlying assets. Users are not entitled to make any claims against us in relation to dividends, shareholder entitlements, or equity-linked rights. Any such rights or interests (if any) must be pursued directly with the Issuer, and Bybit expressly disclaims all responsibility or liability in this regard.

 

5.2 xStocks are tokenized representations of traditional financial instruments and may be classified as securities, derivatives, or crypto-assets, depending on the applicable laws and regulatory frameworks in the user’s jurisdiction. Bybit does not make any representation or warranty regarding the legal classification or regulatory treatment of xStocks in any specific jurisdiction.

 

5.3 Bybit does not provide investment, legal, financial or tax advice in connection with xStocks or their underlying assets. Any summary of token mechanics or collateralization models is provided for informational purposes only and is based on publicly available or issuer-supplied data, which may be inaccurate or incomplete. You must conduct your own due diligence and seek professional advice before engaging in any xStocks-related activities and shall and assume full responsibility for your decisions.

 

5.4 Access to xStocks may be restricted based on local laws and regulations. You are solely responsible for ensuring that your use of xStocks complies with all applicable legal and regulatory requirements in their jurisdiction. Bybit reserves the right to restrict or disable access to xStocks in any jurisdiction at its sole discretion.

 

5.5 We do not hold the underlying assets directly and make no representation as to the solvency, reliability, or regulatory standing of the underlying issuer or custodian. Bybit disclaims liability for any loss arising from failure or mismanagement by the issuer, custodian, or third-party oracle providers.

 

5.6 While we rely on third-party price oracles and smart contracts to facilitate rebalancing and price feeds, we make no warranty as to the accuracy, timeliness, or integrity of such data, and shall not be liable for loss arising from delays, inaccuracies or failures in oracle feeds.

 

5.7 xStocks employ a rebasing model to reflect corporate actions such as dividends or stock splits. Such mechanisms may cause Token valuations to diverge materially from the spot market price of the referenced stock. The technical model of such “rebasing” is not standardized or fully disclosed, and may lead to pricing outcomes that are non-transparent or inconsistent with the underlying equity. Users must understand that holding xStocks does not replicate the economic or legal benefits of holding actual shares. Bybit shall not be liable for any loss, delay, or inaccuracy in the reflection of such events and reserves the right to suspend trading or settlement in the event of technical or operational issues related to rebasing.

 

5.8 Bybit does not control the custody of the underlying assets backing xStocks and disclaims any liability for losses resulting from failure, insolvency, negligence, or regulatory enforcement affecting any third-party custodian, market maker or issuer of xStocks.

 

5.9 Bybit does not guarantee liquidity in xStocks markets and is not obligated to act as market maker. Trading may be suspended or delayed in the absence of sufficient market depth.

 

5.10 As with any traded instrument, the price of xStocks may deviate from the underlying stock’s market price due to liquidity, latency, or order book depth. Bybit shall not be responsible for execution slippage arising from such deviation.

 

5.11 xStocks may rely on the proper functioning of third-party custodians, brokers, and market makers who hold or manage the underlying assets (if any). There is a risk that such parties may default, fail to deliver, or otherwise not honor their obligations, including the failure to deliver or settle upon redemption. In such cases, you may lose some or all of the value of your xStocks, and you will have no recourse against Bybit. You should treat xStocks as high-risk instruments that do not guarantee economic equivalence with the underlying stock.

 

5.12 In the event of regulatory intervention, enforcement action, or change in legal classification of xStocks, we may, without prior notice, suspend trading, delist xStocks, or restrict access to affected users. Bybit shall not be liable for any resulting losses or disruption.

 

5.13 Bybit shall not be liable for any delay or failure in performance resulting from events beyond its reasonable control, including but not limited to acts of God, regulatory restrictions, third-party service outages (e.g., custodians, oracle providers, etc.), or network disruptions.

 

5.14 xStocks may be available across multiple blockchains. Bybit shall not be liable for any settlement delay, loss, or failure resulting from cross-chain transfers, contract interactions, or incompatibility between token standards.

 

 

6. Bybit’s Rights

6.1 We reserve the right to take provisional measures even in the absence of definitive proof in the event that of any suspected or actual violation of any trading limits or Terms set out herein by a User. Such measures may include, but are not limited to:

a. freezing some or all funds and Digital Assets in the User’s Account;

b. placing temporary restrictions on access to or execution of transactions involving such funds or assets;

c. extending the duration of such freeze as reasonably necessary to allow for further internal investigation, third-party forensic analysis, or requests from competent authorities;

d. referring the matter to relevant financial supervisory, law enforcement, or regulatory authorities and sharing all pertinent transaction records.

 

6.2 The User acknowledges and agrees that such actions may be taken without prior notice, and that Bybit shall not be liable for any loss or damage resulting from such provisional measures provided that they were taken in good faith to preserve the integrity of the market, protect Users, or comply with applicable legal or regulatory obligations.

 

6.3 In the event that a final determination confirms no misconduct, Bybit shall lift any such freeze as soon as practicable. However, if suspicions are substantiated or the matter is referred to a competent authority, the freeze may remain in place until such authority issues a binding resolution.

 

 

7. Bybit’s Discretion and Liability

7.1 We reserve the right to determine and revise any feature and/or requirement of this product, monitor User activity, and enforce controls or liquidations at our absolute discretion. The enforcement of any of these Terms shall not be construed as a breach of any contractual obligation to the User.

 

7.2 Bybit shall bear no liability for any loss, cost, or damage incurred as a result of any Terms enforcement, including slippage, missed opportunities, or realized/unrealized profits or losses resulting from forced position reductions and/or liquidations.

 

8. Amendments

8.1 We reserve the right to modify, update or change these Terms at any time. Continued use of the platform and participation in trading activities after any such amendment constitutes acceptance of the new Terms.

 

8.2 We may make such changes at any time without prior notice.  Any changes to these Terms may be posted on our website or notified to you through push notifications through the Site or an email to the email address in your Account. For this reason, you should check our website regularly, allow the Site to receive such push notifications, and keep your email address and other contact information up to date in the Account. You accept any changes if you continue to use the Site and Platform after such changes are effected.

 

 

9. Governing Law and Jurisdiction

9.1 These Terms shall be governed by and construed in accordance with the laws of Singapore. Any disputes arising under or in connection with these Terms shall be subject to the exclusive jurisdiction of the courts of Singapore.

 

9.2 In the event of any dispute, controversy, or claim arising out of or in connection with these Terms, including any question regarding their existence, breach, validity, or termination (a “Dispute”), the parties shall first attempt to resolve the Dispute amicably through good faith negotiations. If the Dispute cannot be resolved within thirty (30) days from the date either party notifies the other of the existence of a Dispute, the parties agree to attempt to resolve the matter through mediation administered by a reputable mediation institution in Singapore, in accordance with its applicable mediation rules.

 

9.3 If the Dispute remains unresolved following mediation, the parties agree that it shall be finally settled by binding arbitration. The arbitration shall be conducted in accordance with the rules of Singapore International Arbitration Centre (SIAC), which rules are deemed to be incorporated by reference into this clause. The arbitration tribunal shall consist of a single arbitrator appointed in accordance with the applicable rules.

 

9.4 The seat of arbitration shall be Singapore, the language of the arbitration shall be English, and the governing law of the arbitration agreement shall be the laws of Singapore.

 

9.5 The arbitration award shall be final and binding on both parties and may be enforced in any court of competent jurisdiction. Each party shall bear its own costs, unless otherwise determined by the arbitrator.

 

9.6 You agree that any arbitration shall be conducted solely in your individual capacity, and not as a plaintiff or class member in any purported class, collective, or representative proceeding. The arbitrator shall not consolidate claims or preside over any form of a representative or class proceeding.