Token Description & Project Background

Juno is a layer-1 Delegated Proof-of-Stake blockchain built using the Cosmos SDK framework. It is a permissionless interoperable smart contract network that automatically executes, controls, or documents a procedure of relevant events and actions according to the terms of such contract or agreement to be valid and usable across different networks. 

JUNO is the network’s token, and plays a similar role to that of various other Proof of Stake blockchains. It fuels the interoperably smart contracts deployed in the ecosystem, it covers all transactions, validators stake their tokens to secure the network and it is the key to community on-chain governance. 

Juno is a community-driven initiative involving various developers, validators, and delegators within the Cosmos ecosystem.

As a community-led project, Juno has not received outside funding from industry backers. Thus, the platform’s native asset JUNO was not subjected to a private or public token sale.

The initial JUNO distribution in October 2021 saw tokens airdropped to eligible ATOM stakers. According to documentation, the airdrop coincided with the release of Juno’s mainnet.   

Risks of JUNO

Like an investment in other crypto assets, there are some general risks to investing in JUNO. 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 JUNO is subject to the following specific risks:

• The Layer-1 space faces intense competition. Any potential success associated with JUNO will depend on the Juno blockchain’s rate of adoption by developers and projects, as well as the continued security and popularity of the Cosmos ecosystem it is connected to.
• As a community-funded project, there has been no direct capital raised for the project’s future development. Any potential success will rely on the efforts of a global community of validators and developers contributing to the network. 

We emphasize that this Crypto Asset Statement is not an exhaustive description or summary of all risks associated with JUNO. 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 JUNO community is not under any legal or regulatory obligation to disclose material information to the public regarding its activities. Holders of JUNO have no recourse to the JUNO community, validators, or Uphold if JUNO 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 JUNO on the Uphold Platform, Uphold performed due diligence on JUNO and determined that JUNO 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 JUNO, including ensuring the source code being open-source, audited and peer reviewed, security, and roadmap for growth in the developer community. 
• The supply, demand, maturity, utility, and liquidity of JUNO.
• Marketing materials put forward by the JUNO social team including, Twitter, Medium blog, LinkedIn posts, Discord and Telegram channels.
• Material technical risks associated with JUNO, including any code defects, security breaches and other threats concerning JUNO 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 JUNO, including any pending, potential, or prior civil, regulatory, criminal, or enforcement action relating to the issuance, distribution, or use of JUNO. 

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 5, 2023.