Risk Disclosure

This is the same disclosure the Parquet app shows once when you first connect a wallet on mainnet. Acknowledging the in-app modal sets a local flag so it does not appear again. Please read this before trading on mainnet.

Mainnet — real funds at risk

This is the production deployment. All trades use real USDC. Smart contracts can fail, oracle feeds can stale, and you can lose your funds. Winning closes may be queued and paid as the pool recovers. Use at your own risk.

Smart-contract risk

Parquet is on-chain software running on a permissionless blockchain. The deployed bytecode is the final word on what the protocol will and will not do. Even correct-looking software can behave unexpectedly under edge conditions, adversarial inputs, or compounding interactions with other on-chain or off-chain systems. Loss arising from program bugs is borne by users.

Oracle staleness and disagreement

Prices used for marking, liquidating, and settling positions come from external feeds. During regular trading hours (RTH, Mon-Fri 09:30-16:00 ET on US business days), Parquet uses a decentralized on-chain oracle as the primary on-chain feed and falls back to a relayer-written secondary feed when the primary ages past its staleness threshold. Outside RTH, the secondary feed becomes the on-chain price — sourced from extended-session reference feeds on weeknights, and from an off-exchange reference feed on weekends. Feeds can stale, disagree, lag, or report incorrect values; the on-chain deviation circuit breaker is intentionally disabled so Monday-morning gaps can process cleanly, which means bad-data rejection happens off-chain in the aggregator rather than at the program level.

Off-hours pricing

On weeknights, off-hours pricing comes from extended-session reference feeds. On weekends, it is sourced from a third-party perp DEX, not the underlying US equity venues — that reference feed tracks the underlying equity via its own market, which can drift from where the underlying would actually trade at RTH open. Positions held across the RTH boundary mark continuously against the prevailing off-hours regime — there is no gap at next-open, but the off-hours mark can deviate materially from where the equity opens at 09:30 ET. SPY and QQQ track scaled off-exchange index feeds on weekends, which adds an additional layer of basis risk.

Tighter off-hours risk parameters

Leverage is up to 200× in every session — the same across the board. The wallet-notional-tiered leverage table is identical during regular hours and off-hours; there is no longer a reduced off-hours leverage cap. 200× is the maximum you can open, set by the 50 bps initial margin. At the 200× cap a freshly-opened position sits essentially at its liquidation point once the open fee is taken, so even a small adverse move can liquidate it — high leverage is high risk in every session.

What still tightens off-hours is not leverage but the per-market open-interest cap (it drops to $500K) and an armed auto-deleveraging (ADL) tail-backstop that can apply a capped, last-resort haircut to the oldest unbacked entries in the payout queue. These are intentional defenses against thinner off-hours liquidity; all of these risk parameters may be changed by the upgrade authority without notice. The tighter off-hours limits may constrain new opens or margin removes that would have been allowed during RTH, and off-hours liquidations may happen at levels you would not have hit during RTH.

Feed disagreements can drop a market

Earlier in the 24/7 rollout, individual symbols were temporarily pulled when the off-exchange reference feed's price diverged sharply from other reference feeds on the same equity, breaking the cross-feed agreement check. Such symbols can be reactivated once feeds re-converge, and any symbol whose off-exchange reference feed similarly diverges from US venues may become inert without notice. An inert market still has its PDA initialized but rejects opens because the oracle is stale — existing positions remain on the books and may be affected by the loss of fresh pricing. Check the Markets page for the current active and inert list.

Non-equity markets: crypto, commodities, forex, and trading cards

Parquet lists more than US equities, and the non-equity markets do not share the equity sessions, feeds, or risk posture described above. The equity sections of this disclosure do not fully describe them.

Crypto perpetuals trade 24/7 with no regular-hours session. There is no RTH/off-hours boundary, no session blend, and no day on which they freeze. They are filled against a shared crypto liquidity pool with a flat per-market open-interest cap that applies around the clock. Major crypto names are openable up to 200×; the long-tail crypto markets are capped at 50× with materially higher initial- and maintenance-margin requirements. Crypto markets do not carry the off-hours auto-deleveraging (ADL) backstop that the equity markets do, so the payout queue is your sole backstop if a pool is drained.

Commodities and forex also trade 24/7 and are priced from an off-exchange reference feed, not from the underlying physical, futures, or interbank venues. That reference feed tracks the underlying through its own market and can drift from where the underlying would settle elsewhere; it can stale, lag, or report incorrect values like any other feed. These markets sit on their own liquidity pools with a flat 24/7 open-interest cap and, like crypto, carry no ADL backstop.

Trading-card (TCG) perpetuals are a higher-risk, speculative product — treat them accordingly. Each card market is priced from a single card-market reference feed, with no independent on-chain oracle cross-checking it; if that feed is wrong, stale, or manipulated, marks, liquidations, and settlements follow it. Card markets are deliberately capped at a lower 50× maximum leverage, but with higher initial- and maintenance-margin requirements than the equity markets, and they sit on small, depth-scaled, queue-backed liquidity that can be exhausted by a single sizeable position. They are excluded from the LP farm — there is no liquidity-provider pool or yield behind them beyond the protocol's seed liquidity and the payout queue. Card underliers are illiquid, thinly traded, and subject to grading, fakes, and reference-data gaps; the app groups them into raw, sealed, and graded (slab) sectors, each of which can price and behave very differently. Do not trade these unless you understand that you may not be able to close at a fair price, or be paid promptly, or at all.

Counterparty pool exhaustion and payout queue

All trades are filled against per-market USDC pools. Large positions on highly-correlated names (for example tech-heavy single-names) can produce concentrated payouts that drain a pool's free liquidity and route winning closes through a FIFO payout queue. Time-in-queue is unbounded; payouts depend on subsequent pool inflows (counterparty losses, LP deposits) to replenish free liquidity. You assume the risk that a winning position may not be paid immediately or, in an extreme case, at all.

Liquidations

Positions falling below maintenance margin are liquidated by permissionless keeper bots. Keeper behavior depends on RPC availability, oracle freshness, network conditions, and the keeper's own software. A delayed, missed, or partial liquidation can result in larger losses than the maintenance-margin level suggests, including losses that exceed posted collateral in the worst case.

Funding rates

Open perpetual positions pay or receive funding on a recurring basis. Funding rates can move quickly, compound against your position, and erode collateral over time even if the mark price does not move against you. The funding-rate cap is 10 bps per hour, which is meaningful at high leverage.

Infrastructure and third parties

The frontend, indexer, price relayer, keeper, and the underlying Solana network can be degraded, paused, unavailable, or incorrect. Solana RPC providers, third-party hosting and network providers, multiple licensed market-data providers, an off-exchange reference feed, and a decentralized on-chain oracle are operated by parties outside Parquet's control. An outage at any of these can prevent you from opening, closing, adjusting, or even observing your positions while market prices continue to move.

Parameter changes

Trading fees, funding-rate caps, liquidation fees, margin requirements, leverage tiers, open-interest caps, oracle staleness thresholds, and payout queue rules may be changed by the on-chain upgrade authority without prior notice or user consent. Continued use of the protocol after a parameter change constitutes acceptance of the new parameters.

Last updated: 2026-06-28