Token Description & Project Background

Rarible is an NFT marketplace. The RARI token was launched to help the platform evolve into a fully functioning DAO where all governance and decisions belong to platform users. 

RARI therefore is a governance token that enables creators and collectors to vote on any platform upgrades, as well as participate in curation and moderation.

Billed as a multi-chain solution, Rarible allows its users to mint NFTs on a range of leading blockchain networks like Ethereum, Polygon and Solana.

The RARI is an ERC-20 token and launched in July 2020.

Rarible was founded by Alex Salnikov (Head of Product) and Alexei Falin (CEO) in early 2020.

Falin’s professional background is in software development: he helped build Sticker.Place, a global marketplace for digital stickers. Salnikov is the cofounder of Zenome, a blockchain-based storage service for genomic data.

Risks of RARI

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

• The NFT marketplace space is competitive. A number of competing NFT marketplaces have entered the field since Rarible’s launch in 2020. Any potential success associated with RARI depends on Rarible’s rate of adoption by NFT collectors, creators, and traders.
• Any potential success associated with RARI is dependent on a number of external factors, including the growth of the NFT economy, and the continued security and popularity of the underlying chains (such as Polygon) the Rarible platform is integrated with.

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

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 14, 2023.