Token Description & Project Background

Mask Network is blockchain-based protocol that allows users of "Web 2.0" social media websites to partake in decentralized-platform-like activities, such as sending encrypted messages and making digital payments. 

MASK is the network’s native asset, and acts as a governance token. MASK holders vote on which development proposals are prioritized by way of MaskDAO, a decentralized autonomous organization (DAO) that administers the project's reserves.

Mask Network was founded in 2017 by Suji Yan. Yan studied computer engineering at the University of Illinois at Urbana-Champaign prior to launching a privacy-related startup, Dimension. Mask Network is developed and maintained by Dimension. 

The Mask Network launched in July 2019. The native MASK ERC20 token made its debut in February 2021.

Risks of MASK

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

• Any potential success associated with MASK is dependent on the Mask network’s rate of adoption by users and social media platforms.

We emphasize that this Crypto Asset Statement is not an exhaustive description or summary of all risks associated with MASK. 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 MASK community and MaskDAO are not under any legal or regulatory obligation to disclose material information to the public regarding its activities. Holders of MASK have no recourse to the MASK community, MaskDAO, or Uphold if MASK 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 MASK on the Uphold Platform, Uphold performed due diligence on MASK and determined that MASK 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 MASK, 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 MASK.
• Any marketing materials put forward by the MASK social team including on, Twitter, Medium blog, LinkedIn posts, Discord and Telegram channels.
• Material technical risks associated with MASK, including any code defects, security breaches and other threats concerning MASK 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 MASK, including any pending, potential, or prior civil, regulatory, criminal, or enforcement action relating to the issuance, distribution, or use of MASK. 

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.