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Terms of Service & Risk Disclosure

Version: 2026-06-09 · Effective: 2026-06-09

1. Service Overview

VolatilityFarmer (the “Service”) is automated cryptocurrency trading software that connects to your personal Kraken exchange account using API keys you provide. The Service places, monitors, and manages orders on Kraken on your behalf, according to per-pair parameters you configure.

The Service is operated by Dylan Knapman as a sole proprietorship registered in the Province of Ontario, Canada:

  • Business name: VOLATILITY FARMER
  • Business Identification Number: 1001423967
  • Effective date of registration: 24 November 2025
  • Mailing address: 144 University Ave W, Cobourg, Ontario K9A 4X2, Canada

Throughout these Terms, “Operator”, “we”, “us”, and “our” refer to this sole proprietorship.

The Service is software, not a brokerage, exchange, custodian, financial advisor, or money transmitter. We do not take custody of your funds. All trading takes place inside your own Kraken account; our only interaction with your funds is the placement of orders through Kraken’s public API using credentials you voluntarily provide. See Section 17 for a more detailed regulatory-status statement.

2. Eligibility & Geographic Availability

The Service is currently available only to residents of Canada (excluding the Province of Quebec) and the United States. Signups from any other jurisdiction are not accepted. We have made this choice so that we can offer the Service responsibly under the privacy and consumer-protection regimes that apply where we operate.

Quebec is currently excluded because the Province’s Act respecting the protection of personal information in the private sector (Law 25) imposes additional obligations that we have not yet completed the work to satisfy. We expect to support Quebec residents in a future release.

By creating an account you represent and warrant that:

  • You are at least 18 years of age (or the age of majority in your jurisdiction, whichever is greater).
  • You have the legal capacity to enter into this agreement.
  • You are a resident of one of the geographies listed above — Canada (excluding Quebec) or the United States.
  • You are not a person resident in, or otherwise subject to sanctions enforced by, any jurisdiction in which use of the Service or trading on Kraken is prohibited.
  • Your use of the Service complies with all laws applicable to you, including those governing trading, taxation, anti-money-laundering, and the export of cryptography software.
  • You hold an active, verified Kraken account in good standing.

Registering with false residency or eligibility information is a violation of these Terms and may result in immediate account termination without refund.

3. Risk Disclosure

Trading cryptocurrency is exceptionally risky. You may lose some or all of your capital. Do not use the Service with funds you cannot afford to lose.

You acknowledge and accept the following non-exhaustive list of risks:

  • Market risk. Cryptocurrency prices are volatile and can move sharply in either direction with little warning. Periods of low liquidity, exchange suspensions, or extreme volatility can cause orders to fill at significantly worse prices than expected, or not fill at all.
  • Strategy risk. Automated strategies, including dollar-cost-averaging (DCA) on drops, will continue buying through sustained downturns and can compound losses. Past configurations that performed well give no guarantee of future performance.
  • Software risk. The Service is software and may contain bugs. Updates can change behavior. Trades may be missed, duplicated, or executed at prices that don’t match the configured strategy due to software defects.
  • Infrastructure risk. Internet outages, Kraken API outages, rate-limiting, server failures, power loss, and DNS/routing incidents can cause the Service to miss trades, delay orders, or temporarily lose visibility into account state.
  • Counterparty risk. Kraken is the counterparty for all trades. Kraken outages, account freezes, withdrawal suspensions, regulatory action against Kraken, or Kraken’s insolvency may result in temporary or permanent loss of access to your funds. The Service does not insulate you from any of these.
  • Custody risk. Kraken holds your funds. The Service never takes custody. Loss of your Kraken credentials, compromise of your Kraken account, or compromise of the device or browser on which you administer your bot may result in loss of funds.
  • Regulatory risk. Cryptocurrency regulation is evolving. Changes in law where you live, where Kraken operates, or where the Operator operates may render the Service unavailable, change tax treatment of your trades, or otherwise affect your ability to use it.
  • Tax risk. Every trade the Service places on your behalf may be a taxable event in your jurisdiction. You are solely responsible for tracking and reporting taxes; the Service is not a tax tool.

This list is not exhaustive. Other risks not described here may exist now or arise in the future.

4. User Responsibilities

You are solely responsible for:

  • Choosing your trading strategy and all configuration values, including trade size, sell targets, drop triggers, DCA settings, max-loss limits, and bank rates.
  • Maintaining the security of your Kraken account credentials, 2FA, and any API keys you generate.
  • Keeping your account credentials for the Service (password, TOTP secret, backup codes) confidential and rotating them if compromised.
  • Monitoring your bot’s activity, including reviewing trade activity and account balance regularly.
  • Stopping the bot if it behaves in a way you don’t understand.
  • Ensuring your Kraken API keys are scoped to the minimum permissions required (see Section 5) and never include withdrawal permission.
  • Compliance with all laws in your jurisdiction, including reporting and paying taxes on your trading.

5. API Keys & Custody

The Service connects to Kraken using API keys you provide. Those keys are stored encrypted at rest using authenticated symmetric encryption. They are decrypted only in-process at the moment the Service needs to call Kraken on your behalf.

You must never grant the Service’s API key the “Withdraw funds” permission on Kraken. The Service does not need withdrawal access and will not request it. You can revoke the Service’s keys from your Kraken account at any time, or rotate them using the /me/bot/keys/rotate flow in this dashboard.

The Operator is not your custodian. Your funds remain at Kraken at all times. The Operator cannot move, freeze, or recover your funds.

6. Service Limitations

The Service is provided “as is” and “as available” without warranty of any kind, express or implied, including but not limited to warranties of merchantability, fitness for a particular purpose, or non-infringement.

The Operator does not warrant:

  • That the Service will be uninterrupted, error-free, or available at any particular time.
  • That data displayed (prices, balances, trade history, PnL) is real-time, complete, or free of error.
  • That any individual order will be placed, accepted by Kraken, filled, or filled at a particular price.
  • That the Service’s strategies will be profitable.
  • That defects or bugs will be corrected within any particular timeframe.

The Operator may modify, suspend, or discontinue any part of the Service at any time, with or without notice. Scheduled and unscheduled maintenance windows may occur; during maintenance, the Service may not place new orders or update existing ones.

7. No Investment Advice

Nothing provided by the Service constitutes investment advice, financial advice, trading advice, tax advice, legal advice, or a recommendation to buy, sell, or hold any cryptocurrency. The configuration knobs, defaults, suggested pairs, and any commentary surfaced by the Service are illustrative tools, not advice.

You should consult licensed professionals (financial advisor, tax advisor, lawyer) before making trading decisions.

8. Fees, Billing & Refunds

Subscription fees

The Service is offered on subscription tiers. The current tier prices, the features each tier includes, and the per-tier limits on number of pairs and DCA levels are listed at /billing when you are signed in. Subscriptions renew automatically at the end of each billing period unless you cancel.

We may change subscription prices and features prospectively. We will give at least 14 days’ notice by email before any price increase takes effect for an existing customer. Changes do not apply to a billing period that you have already paid for. If you do not wish to accept a price change, you may cancel your subscription before it takes effect.

Trial

New accounts include a 30-day free trial. During the trial, all features within the lowest paid tier’s limits are available without payment. At the end of the trial, you must choose a paid tier to continue placing new buys. Your bot will continue to manage existing positions during a lapse so that no trade is left orphaned, but no new entries will be placed until you re-subscribe.

Cancellation

You may cancel your subscription at any time from your billing portal (linked from /me). Cancellation takes effect at the end of the current billing period — you keep access through the period you have paid for, and you are not charged again.

Refunds

Refunds work as follows:

  • Within 14 days of a new subscription: if you cancel within 14 days of starting a new paid subscription, we will issue a pro-rated refund for the unused portion of the period on request. Email support@volatility.farm from the account’s registered email.
  • After 14 days: no automatic refund is available. You may cancel at any time; cancellation takes effect at the end of the current billing period and no further charges are issued.
  • Service failure refunds: if the Service was non-functional for a sustained period (for example, the bot did not run for multiple consecutive days due to a defect on our side), we may at our discretion issue a pro-rated refund or credit. Submit such requests to support@volatility.farm with the relevant timestamps; we will review and respond within ten business days.
  • Refunds are not available for trading outcomes, losses from market volatility, losses arising from your configuration choices, losses from Kraken outages, or any cause outside our direct operational control.

Kraken trading fees

Separately from our subscription fees, Kraken charges trading fees on every order the Service places on your behalf. Those fees are Kraken’s, not ours. We do not waive, refund, or offset Kraken’s fees, and they are not part of the subscription fee we charge you.

Payment processing

Subscription payments are processed by Stripe Payments. Your card number is never seen by us. Stripe’s terms of service govern the payment transaction itself; see Stripe’s consumer terms.

9. Limitation of Liability

To the maximum extent permitted by applicable law:

  • The Operator, its affiliates, employees, and contractors shall not be liable for any indirect, incidental, special, consequential, exemplary, or punitive damages, including but not limited to loss of profits, loss of cryptocurrency or fiat funds, loss of data, loss of business opportunity, or trading losses, arising out of or related to your use of the Service.
  • The Operator’s aggregate liability to you for all claims arising out of or related to the Service shall not exceed the greater of (a) the fees you have paid the Operator in the 12 months preceding the event giving rise to the claim, or (b) USD $100.
  • These limitations apply regardless of the legal theory (contract, tort, strict liability, statute, or otherwise) and even if the Operator has been advised of the possibility of such damages.

Some jurisdictions do not allow the exclusion or limitation of certain damages. In those jurisdictions, the Operator’s liability is limited to the maximum extent permitted by law.

10. Indemnification

You agree to indemnify and hold the Operator and its affiliates, employees, and contractors harmless from any claim, demand, loss, or damage (including reasonable attorneys’ fees) arising out of or related to:

  • Your use of the Service.
  • Your violation of these Terms.
  • Your violation of any law or the rights of any third party (including Kraken).
  • Your trading activity and tax obligations.

11. Account Termination

You may close your account at any time from /me → “Delete account.” Closing your account stops the bot, wipes your stored API keys, and removes your account data from active systems within a reasonable period. Open positions on Kraken are not closed by account deletion — you remain responsible for managing positions through Kraken directly.

The Operator may suspend or terminate your account for any of the following reasons, with or without notice:

  • Violation of these Terms.
  • Suspected fraud, abuse, or activity that endangers other users or the Service’s infrastructure.
  • A legal order (subpoena, court order, regulator request) requiring suspension.
  • Discontinuation of the Service.

On suspension or termination by the Operator, the Service will stop placing new orders on your behalf. You are responsible for managing any open positions on Kraken directly.

12. Privacy & Data Handling

The Service collects and stores the minimum data necessary to operate: your username and password hash, your email address, your country and province of residence, your TOTP secret (encrypted), your Kraken API keys (encrypted), per-pair configuration, trade history, and audit logs of security-relevant actions. Logs of bot activity remain on the server while your account is active.

We do not sell user data. We may disclose data in response to a valid legal request, to defend against legal claims, or to protect the safety or rights of users or the public.

For a full description of what is collected, why, how long it is kept, who we share it with, and the privacy rights you have, read our Privacy Policy. The Privacy Policy is incorporated into these Terms by reference.

13. Intellectual Property

All right, title, and interest in and to the Service, including all software, designs, text, graphics, logos, and trademarks, is and shall remain the property of the Operator or its licensors. You are granted a limited, non-exclusive, non-transferable, revocable license to use the Service for its intended purpose, subject to these Terms.

Trade data you generate (the historical record of orders, fills, and PnL for your account) belongs to you. The Operator may use aggregated, anonymized statistics across all users for product improvement.

14. Changes to These Terms

The Operator may update these Terms from time to time. When the substance changes materially, the version number shown at the top of this page is incremented and existing users are prompted to re-accept the updated Terms on next login.

Declining to re-accept restricts you from new account actions (placing new orders, adjusting configuration, adding pairs). The bot will continue to manage existing positions under the previously-accepted Terms until you either re-accept or close your account.

15. Governing Law & Disputes

These Terms are governed by, and shall be construed in accordance with, the laws of the Province of Ontario and the federal laws of Canada applicable in Ontario, without regard to its conflict-of-law principles.

You and the Operator agree that any dispute, claim, or controversy arising out of or related to these Terms or your use of the Service shall be brought exclusively in the courts located in the Province of Ontario, Canada, and you submit to the personal jurisdiction of those courts for that purpose.

Nothing in this section limits any non-waivable consumer-protection right you have under the law of your home jurisdiction within Canada or the United States. If a mandatory rule of consumer-protection law where you live requires that a dispute be heard in a different forum or under different law, that mandatory rule applies. Section 9 (Limitation of Liability) and Section 10 (Indemnification) apply only to the maximum extent permitted by the law applicable to you.

16. Contact

Questions, abuse reports, refund requests, and legal notices may be sent to:

We aim to respond to support inquiries within two business days and to legal notices within five business days. Acceptance of legal service by email is not waived; legal service should be made by mail to the address above unless otherwise agreed.

17. Regulatory Status

The Operator is a software publisher. We provide automation tooling that you direct, using API credentials you provide, against your own account at Kraken. We do not:

  • receive, hold, transfer, or convert funds on your behalf;
  • operate a cryptocurrency exchange, brokerage, or trading platform;
  • act as a custodian for any cryptocurrency or fiat balance;
  • accept deposits, hold customer balances, or process withdrawals;
  • provide money-transmission, money-services-business, or remittance services;
  • act as a broker-dealer, investment adviser, or financial advisor;
  • execute trades on our own behalf in connection with the Service.

Your funds remain at Kraken at all times. The Service’s only interaction with your account is the placement and management of orders through Kraken’s public API, using API credentials you voluntarily provide and which you can revoke from your Kraken account at any time. The Operator’s API key permission must include order placement only, and must not include withdrawal permission — the Service validates this at the time keys are stored and will refuse keys with withdrawal access.

On this basis, the Operator believes it is not required to register with the Financial Transactions and Reports Analysis Centre of Canada (FINTRAC) as a money services business, and is not currently so registered. The Operator is not registered as a broker-dealer or investment adviser in any jurisdiction. If you have a different view of the Operator’s regulatory status, please reach out to legal@volatility.farm so we can discuss it in good faith.

Regulation of cryptocurrency software is evolving. The Operator reserves the right to register with applicable authorities, restrict or modify the Service, or cease offering the Service in any jurisdiction if regulatory interpretation changes. If a change of this kind affects you, we will notify you by email.

Nothing in this section is legal advice. You are responsible for understanding the law that applies to your own use of the Service and your own trading.