Part II

WhitepaperTermsPrivacyCompliance & Transparency

Part II – Core Platform Terms

1. Definitions

For the purposes of these Terms, the following definitions apply:

Platform
The digital infrastructure, websites, applications, smart contracts, and related services operated under the name "1of10k" that enable the hosting of campaigns and participation mechanisms.

User
Any individual or legal entity accessing, browsing, or interacting with the Platform.

Participant
A User who acquires platform credits or holds project NFTs and who may voluntarily activate such NFTs to generate participation unit identifiers within a campaign.

Campaign
A structured promotional event hosted on the Platform in which Users may voluntarily activate previously obtained project NFTs to generate participation unit identifiers associated with a specific asset, product, service, or experience.

Participation Unit Identifier
A blockchain‑based identifier generated when a User voluntarily activates a previously obtained project NFT for participation in a campaign allocation mechanism.

Utility Token
A token designed to provide functional access, interaction capabilities, or participation mechanisms within the 1of10k ecosystem.

NFT (Non‑Fungible Token)
A unique blockchain‑based digital asset that may represent a project collectible or activation key which can be voluntarily activated to generate a participation unit identifier within a campaign.

Marketplace Reserve
The internal operational allocation structure used by the Platform to coordinate campaign execution, infrastructure maintenance, and ecosystem sustainability.

Provider
A third party supplying a real-world asset, product, service, or experience connected to a campaign.

Allocated Participation Unit Identifier
The participation unit identifier selected through the Platform’s allocation determination mechanism that determines the participant eligible for the campaign outcome.

2. Eligibility

Users may only access or use the Platform if they:

  • are at least eighteen (18) years of age
  • possess the legal capacity to enter into binding agreements
  • comply with applicable laws and regulations in their jurisdiction

The Platform may restrict or prohibit access from certain jurisdictions in order to comply with legal or regulatory requirements.

3. User Accounts

The Platform may require Users to create an account in order to access certain services or participate in campaigns.

Users are responsible for:

  • maintaining the confidentiality of their account credentials
  • securing any connected digital wallets
  • ensuring the accuracy of information provided to the Platform

Users remain fully responsible for all activities conducted through their account.

The Platform shall not be responsible for losses resulting from unauthorized account access, compromised credentials, or user negligence.

4. Wallet Responsibility

Participation in blockchain-related functionality may require the use of a compatible digital wallet. The Platform operates on a non‑custodial interaction model wherever technically applicable, meaning Users typically retain control of their private keys and blockchain assets.

Users remain solely responsible for:

  • securing their wallet
  • maintaining custody of their private keys in non‑custodial environments
  • managing private keys
  • verifying transaction details
  • transactions initiated through their wallet

Blockchain transactions are generally irreversible. The Platform cannot recover lost private keys or reverse blockchain transactions once executed.

5. Campaign Participation

Participants may acquire platform credits and project NFTs through the mechanisms provided on the Platform. In a separate voluntary step, users may activate a project NFT to generate a participation unit identifier for participation in a campaign allocation mechanism.

Purchases of platform credits represent the acquisition of a digital product within the ecosystem and do not automatically grant participation in any campaign and do not represent a pooled investment used by participants to directly purchase the campaign asset. Campaign assets may be coordinated through the Platform's operational structure and marketplace reserve coordination mechanisms.

Participation in a campaign is structured as a digital allocation mechanism that determines eligibility for a campaign outcome through predefined and transparent procedures. Participation is not intended to constitute a lottery, gambling activity, betting service, or investment scheme under applicable laws unless explicitly structured and disclosed otherwise in accordance with applicable regulatory frameworks.

Participation unit identifiers are generated only when participants voluntarily activate previously obtained project NFTs within a campaign.

Users cannot select specific participation unit identifiers unless explicitly stated for a particular campaign.

Each campaign will define key parameters including:

  • the total number of eligible participation unit identifiers
  • the campaign structure
  • the associated asset, service, or experience

Full campaign details will be presented through the campaign disclosure page on the Platform.

6. Allocation Determination Mechanism

Certain campaigns include an allocation determination process used to determine the allocated participation unit.

The selection mechanism may utilize one or more randomness sources, including:

  • verifiable random functions (VRF)
  • blockchain-based randomness
  • third-party randomness providers
  • hybrid entropy mechanisms

The purpose of the mechanism is to ensure fairness, transparency, and verifiability of campaign outcomes.

While the Platform aims to implement robust randomness mechanisms, no technical system can guarantee the complete absence of unforeseen technical risks or infrastructure dependencies.

The procedures governing the allocation event process are further described in the Transparency & Allocation Verification Protocol.

7. Allocation Result Determination

At the conclusion of a campaign, the Platform executes the defined selection mechanism to determine the Allocated Participation Unit Identifier.

The holder of the Allocated Participation Unit Identifier at the moment of the allocation event becomes the eligible recipient of the campaign asset, subject to the campaign rules.

Ownership of the Allocated Participation Unit Identifier is determined based on the blockchain record or platform account associated with the participation unit identifier.

The allocation event result may be publicly visible through the Platform or verifiable through the mechanisms defined in the Transparency & Allocation Verification Protocol.

8. Acceptance or Decline of the Asset

The holder of the Allocated Participation Unit Identifier may accept or decline the asset associated with the campaign.

The Platform may require confirmation of acceptance within a defined time period.

If the holder of the Allocated Participation Unit Identifier:

  • declines the asset, or
  • fails to respond within the defined acceptance period

The Platform may initiate a new allocation determination process among the remaining valid participation unit identifiers.

This process may repeat until a participant accepts the asset transfer.

9. Asset Transfer

Where applicable, the Platform may coordinate the transfer of the campaign asset between the Provider and the allocated participant.

The Platform acts primarily as a coordination infrastructure and does not automatically become the legal seller or transferor of the campaign asset unless explicitly stated in the campaign disclosure.

The Platform may facilitate administrative procedures necessary to complete the transfer of the asset.

Unless stated otherwise in the campaign disclosure, the Platform may cover reasonable administrative or transfer costs required for the asset handover.

After completion of the transfer, the allocated participant becomes solely responsible for all ongoing ownership costs associated with the asset, including but not limited to:

  • taxes
  • insurance
  • maintenance
  • registration fees
  • operational expenses

10. Campaign Providers

Campaign assets may be supplied by independent third‑party Providers.

Providers remain responsible for:

  • the accuracy of asset descriptions
  • the authenticity and legal ownership of the asset
  • their legal ability to transfer the asset
  • compliance with applicable laws

The Platform primarily acts as a facilitator connecting Providers with Participants.

11. Platform Fees

The Platform may charge fees related to:

  • platform interaction and campaign-related services
  • platform services
  • transaction processing
  • ecosystem operations

All applicable fees will be disclosed to Users prior to completing a transaction or participating in a campaign.

12. Platform Governance

The Platform operator retains the right to introduce improvements and modifications to the ecosystem in order to maintain functionality, security, and regulatory compliance.

Such updates may include:

  • new campaign formats
  • updated participation mechanisms
  • improvements to transparency protocols
  • enhancements to technical infrastructure

13. Suspension or Termination

The Platform may suspend or terminate User access where necessary, including but not limited to cases involving:

  • violations of these Terms
  • suspected fraud or abuse
  • regulatory compliance requirements
  • sanctions or legal restrictions

The Platform reserves the right to take such actions without prior notice where required to protect the integrity of the ecosystem or comply with legal obligations.

14. Technical Interruptions

The Platform does not guarantee uninterrupted availability of services.

Temporary service interruptions may occur due to:

  • system maintenance
  • infrastructure upgrades
  • blockchain network conditions
  • third‑party service disruptions

The Platform will make reasonable efforts to restore service functionality as soon as practicable.