Trading Rules & Risk Disclosure Statement

Welcome to our equity index option trading services. To ensure that you make investment decisions with a full understanding of the trading rules and associated risks, please read and fully comprehend the following content before you begin trading. This document aims to clarify the basic trading rules, fee structure, and potential risks. Any trading activity by you shall be deemed as your acknowledgement, understanding, and acceptance of all terms contained in this Disclosure Statement.

Transaction Fee Schedule

Transaction Fee: For every equity index option trade executed on our platform, a transaction fee will be charged as a certain percentage of the transaction amount. For specific rates, please refer to the latest platform announcements or the Fee Schedule. This fee will be automatically calculated and deducted at the time of each trade execution.

Trading Spread & Premium Explanation

Trading Premium: Option products utilize a one-way quoting mechanism with zero spread; however, a specific Option Premium is payable for every trade. You incur this cost immediately upon opening a position. Therefore, the underlying asset price must move in your favor beyond the cost of the premium for the trade to become profitable.
Risk of Rate Expansion: During periods of extreme market volatility, major economic data releases, or insufficient liquidity, the exchange's Liquidity Providers (LPs) may widen the bid-ask spread. Consequently, the trading premium rates on our platform are subject to potential expansion.

Forced Liquidation Mechanism

1. .Within 10 seconds of the expiry time, the system will disable the manual close function. The automatic settlement mechanism will be triggered once the expiry time is reached.
2. If the floating loss of a trade exceeds 50% of the Notional Principal, our Risk Management System will automatically liquidate the position to prevent further accumulation of losses.

Performance Fee

To balance operational risks during extreme market conditions, the Company reserves the right to charge a Performance Fee ranging from 5% to 45% on profits generated from trades during strong unilateral market trends.The specific rate will be determined based on market volatility, trading instrument, and profit amount, and will be automatically settled when you close a profitable position.Please be aware that this fee may significantly impact your final net return.

Trade insurance

(1)、"Trading Insurance" refers to loss indemnity funds received based on the corresponding trading volume in the event of a trading loss.
(2)、The validity of "Trading Insurance" is limited to the duration of the user's policy; the insurance becomes invalid once the policy expires.
(3)、This is a dividend-paying insurance product. Upon purchasing "Trading Insurance," users are entitled to not only loss compensation but also fixed income returns.
4.Revenue for the "Trading Insurance" pool is derived from user Performance Fees.
5.For more details regarding "Trading Insurance," please refer to the relevant sections in our "User Guide."

High Risk Warning

Option products are complex structured financial derivatives that typically involve high leverage and carry an extremely high level of investment risk. They may not be suitable for all investors.
1.Risk of Capital Loss: Due to the leverage effect, even minor market price fluctuations can result in substantial losses or the total loss of your invested capital. You must clearly understand that every leveraged investment made in pursuit of high returns faces the risk of losing the entire principal invested.
2.Product Complexity Risk: The value of option products depends on the price performance of the underlying asset within a specific timeframe. Its pricing mechanism is complex and differs from traditional stock or spot trading. You may incur losses without fully understanding the product characteristics and risks.
3.High Volatility Risk: The underlying assets associated with option products (e.g., precious metals, global equity indices) often experience extreme and rapid price volatility, which may lead to massive losses within a very short period.

Client Confirmation & Declaration

I verify that I have received and carefully read this "Flash Option Trading Rules and Risk Disclosure Statement." I hereby confirm that:
• I fully understand the nature and rules of option trading, as well as all associated costs (including but not limited to Transaction Fees, Spread/Premium Costs, and Performance Fees).
• I am clearly aware of the risk of total capital loss involved in option trading and confirm that my risk tolerance matches the product's risk classification.
• I voluntarily assume all potential risks and financial losses resulting from my participation in option trading.
Final Advice: Before deciding to trade, please ensure you have conducted an independent and prudent assessment based on your investment objectives, financial situation, and risk tolerance. If you have any doubts regarding any terms or risks, you are advised to consult with an independent financial or legal advisor.