Token Description & Project Background

Golem is a decentralized network for sharing computing power. 

The platform has a native token, GLM. GLM is an ERC-20 token and serves as a means of payment within Golem’s resource sharing marketplace.

Golem connects dApp developers with spare computational resources provided by the network’s decentralized cohort of computer operators.

Within the platform individual requestors can leverage Golem’s P2P marketplace to purchase computational resources from ‘providers’ who use spare resources from their existing web server, desktop, laptop, etc. to complete tasks on behalf of the requestor. In exchange for computing power, providers are rewarded with a GLM-based payment. 

Together, these spare computational resources put forth by individual providers come to form Golem’s global, decentralized “supercomputer” capable of performing various machine learning, rendering, crypto mining and AI-related tasks.

Through the creation of this decentralized computing network, Golem hopes to offer an alternative to existing cloud service providers like Amazon, Microsoft, and Google. 

The platform was created by Golem Factory which launched in 2016.

Golem Factory was co-founded by Aleksandra Skrzypczak, Andrzej Regulski, Julian Zawistowski and Piotr Janiuk. Warsaw-based Skrzypczak had previously worked as a software engineer at Red Ocean.

Risks of GLM

Like an investment in other crypto assets, there are some general risks to investing in GLM. These include:  (i) volatility risk and liquidity risk, (ii) short history risk, (iii) demand risk, (iv) forking risk, (v) code defects, (vi) regulatory risk, (vii) electronic trading risk, and (viii) cyber security risk. For additional information of these and other general risks associated with crypto assets and Uphold’s platform, please refer to the Risks Specific to Holding Digital Assets statement.

In addition to these general risks, an investment in GLM is subject to the following specific risks:

• A number of competing projects also seek to offer decentralized alternatives to existing and established cloud service providers. Any potential success associated with GLM depends on Golem’s continued rate of adoption.

We emphasize that this Crypto Asset Statement is not an exhaustive description or summary of all risks associated with GLM . Investors should conduct their own research and perform their own assessment before trading any crypto asset to determine the appropriate level of risk for their personal circumstances.

The GLM community and Golem Factory are not under any legal or regulatory obligation to disclose material information to the public regarding its activities. Holders of GLM have no recourse to the GLM community, Golem Factory, or Uphold if GLM declines in value for any reason.

Changes to applicable law may adversely affect the use, transfer, exchange, or value of any of your crypto assets, and such changes may be sudden and without notice.

Uphold’s Evaluation Process

Prior to listing GLM on the Uphold Platform, Uphold performed due diligence on GLM and determined that GLM is unlikely to be a security or derivative under relevant securities legislation. Uphold’s analysis including reviewing publicly available information on the following: 

• The creation, governance, usage, and design of GLM, including ensuring the source code is open-source, audited and peer reviewed, security, and roadmap for growth in the developer community. 
• The supply, demand, maturity, utility, and liquidity of GLM.
• Any marketing materials put forward by the GLM social team including on, Twitter, Medium blog, LinkedIn posts, Discord and Telegram channels.
• Material technical risks associated with GLM, including any code defects, security breaches and other threats concerning GLM and its supporting blockchain (such as the susceptibility to hacking and impact of forking), or the practices and protocols that apply to them.
• Legal and regulatory risks associated with GLM, including any pending, potential, or prior civil, regulatory, criminal, or enforcement action relating to the issuance, distribution, or use of GLM. 

General

Uphold has prepared this Crypto Asset Statement based on publicly available information. Although Uphold has taken steps to obtain information from apparently reliable sources, information contained in this Crypto Asset Statement may be inaccurate, incomplete or out-of-date. This overview is a starting point for you to perform your own research prior to investing in a crypto asset.

Uphold users should read the Risks Specific To Holding Digital Assets statement for additional discussion of general risks associated with crypto assets made available through the Uphold platform.  

Canadian residents, please note that Uphold has filed an application for registration in certain Canadian jurisdictions but has not yet obtained registration. Until such time as Uphold obtains registration, Uphold has agreed to abide by the terms of an undertaking available at the following link. Please also review the Uphold Canada – Crypto Risk Statement for additional discussion of general risks associated with the crypto assets made available through Uphold Platform. Please be aware that statutory rights of action for damages or rescission in section 130.1 of the Securities Act (Ontario) and, if applicable, similar statutory rights under securities legislation in the other provinces and territories of Canada do not apply in respect of this Crypto Asset Statement or other disclosures on the Uphold website and Risks Specific To Holding Digital Assets statement. 

Last updated on June 21, 2023.