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$AEO Token Terms & Risk Disclosures

Utility-only token terms covering eligibility, soft ledger vs on-chain state, mining and staking risks, warranties, liability caps, indemnification, and dispute resolution.

Last updated: August 19, 2026

1. Acceptance

These $AEO Token Terms and Risk Disclosures ("Token Terms") govern your access to, interaction with, or use of $AEO — the Agent Engine Optimization token associated with Cleared Index, an Entropy Index product (collectively, the "Platform").

By accessing the Platform, viewing $AEO-related materials, holding $AEO, interacting with $AEO smart contracts, earning or redeeming platform credits denominated in $AEO, or otherwise participating in $AEO-related features, you acknowledge that you have read, understood, and agree to be bound by these Token Terms and our general Terms of Service.

If you do not agree, do not acquire, hold, use, or interact with $AEO or $AEO-related Platform features.

2. Nature of $AEO — Utility Only

$AEO is designed exclusively as a platform utility mechanism for Cleared Index services, including metering usage, coordinating operator incentives, recording burns associated with checks, and enabling optional platform participation features described on the Platform.

$AEO is not: (a) a security, equity interest, debt instrument, deposit, collective investment scheme, or financial product of any kind; (b) an investment contract or offer of securities; (c) legal tender or e-money; (d) a promise of profit, revenue share, dividend, interest, or return of capital; or (e) a recommendation to buy, sell, or hold any asset.

Nothing on the Platform — including whitepapers, token pages, reward tables, mining descriptions, burn mechanics, scarcity language, or community fund references — constitutes investment advice, financial advice, legal advice, tax advice, or a solicitation.

3. No Promises, Projections, or Guarantees

All forward-looking statements, economic models, emission schedules, burn rates, break-even estimates, scarcity narratives, and usage projections are illustrative and hypothetical only. They are not guarantees of future performance, adoption, price, liquidity, or token value.

We make no representation or warranty that: (a) $AEO will retain any market value; (b) $AEO will be listed on any exchange; (c) any person will purchase $AEO from you; (d) burns, mining, or staking will operate without interruption; (e) on-chain and off-chain records will always reconcile; or (f) any Platform feature will remain available in its current form.

Past Platform usage, displayed statistics, or token activity do not predict future results.

4. Eligibility and Restricted Persons

You may use $AEO-related features only if you are legally permitted to do so in your jurisdiction and are not a Restricted Person.

Restricted Persons include, without limitation: persons located in, organized in, or residents of jurisdictions where acquisition or use of digital assets is prohibited or requires registration we have not obtained; persons on sanctions, denied-party, or similar restricted lists; persons under 18 years of age (or the age of majority in their jurisdiction, if higher); and persons acquiring $AEO on behalf of Restricted Persons.

You represent that you are not a Restricted Person and that your use complies with all applicable laws, including securities, commodities, money transmission, sanctions, and tax laws.

5. Soft Ledger, On-Chain Token, and Reconciliation

The Platform may maintain an internal ledger of $AEO-denominated credits ("Soft Ledger") that is separate from on-chain ERC-20 balances. Soft Ledger entries are platform accounting records for Platform services. They are not bank deposits, stored value, or guaranteed redeemable on-chain without additional steps.

On-chain $AEO is an ERC-20 token deployed on Base. Transitions between Soft Ledger activity and on-chain state may be queued, batched, delayed, paused, or discontinued at any time. Displayed burn totals may be sourced from on-chain reads, ledger aggregation, or estimated fallbacks depending on system availability.

You acknowledge that Soft Ledger balances and on-chain balances may differ temporarily or permanently, that reconciliation is operational not guaranteed, and that you have no claim against us solely because of a displayed statistic or counter.

6. Acquisition, Transfers, and Redemption

You may acquire $AEO only through methods we explicitly make available (for example, platform rewards, permitted third-party markets, or direct on-chain transfer). We do not operate a public sale, presale, or initial coin offering through the Platform unless expressly stated in a separate offering document.

Platform "earn" and "redeem" features allocate or consume Soft Ledger credits according to published rules. Redemption is limited to Platform perks and services we choose to offer. Redemption does not entitle you to fiat withdrawal, guaranteed on-chain minting, or any specific economic outcome.

On-chain transfers are irreversible. You are solely responsible for wallet security, private keys, network fees, address accuracy, and smart contract interactions.

7. Mining, Rewards, and Proof-of-Useful-Work

References to "mining," node rewards, or proof-of-useful-work describe optional participation in Platform infrastructure tasks. Rewards are discretionary, rate-limited, season-capped, and subject to change, suspension, or termination without notice.

Mining rewards may be issued as Soft Ledger credits before any on-chain emission. We may modify rates, eligibility, anti-abuse rules, and payout mechanics at any time. No minimum reward, continuous emission, or fair allocation is guaranteed.

Participation does not create an employment, partnership, joint venture, agency, or fiduciary relationship with us.

8. Staking, Slashing, and Operator Features

Staking, node bonding, operator priority stakes, role seats, lockups, and related features — whether on-chain or off-chain — involve risk of partial or total loss, including slashing, illiquidity during lock periods, smart contract failure, and rule changes.

Staked balances may confer Platform access or preference signals only. They do not confer ownership, governance rights beyond explicitly documented community fund processes, revenue rights, or priority in insolvency.

Any "seat," "council," or "sponsor" mechanics are access products subject to separate checkout terms and may be modified or discontinued.

9. Burns and Deflation Mechanics

The Platform may record burns associated with endpoint checks or protocol operations. Burn displays are informational. They do not represent a buyback, dividend, value accrual mechanism, or commitment to reduce supply on any particular schedule.

On-chain burns, when executed, are smart contract operations subject to operator controls, gas conditions, queue processing, and contract limitations during bootstrap phases. A displayed burn counter does not create a contractual obligation to maintain a specific monetary policy.

10. Community Fund and Governance

Community fund allocations, voting thresholds, and grant categories described on the Platform are aspirational operating policies, not binding governance rights. We may administer, modify, pause, or terminate community fund processes at any time.

Votes or stake-weighted input, if offered, are non-binding unless explicitly executed through enforceable on-chain mechanisms we publish as binding — which may never be implemented.

11. Smart Contract and Protocol Risks

On-chain $AEO functionality depends on smart contracts, blockchain networks, RPC providers, wallets, and third-party infrastructure outside our control. These systems may contain bugs, be exploited, fork, congest, or fail.

Contract administration functions (including owner-controlled burns, emissions, slashing, pausing, or upgrades if any) may exist during bootstrap. Public materials may not reflect current admin state. You must verify on-chain code and ownership before relying on any claim of immutability or "ownerless" status.

You assume all risks of interacting with blockchain systems, including total loss of tokens.

12. Regulatory and Compliance Risk

Digital asset laws are uncertain and evolving. $AEO may be classified differently across jurisdictions and over time. Regulatory actions could restrict Platform features, token transfers, or your ability to hold or use $AEO.

You are solely responsible for determining whether your activities require licenses, registrations, disclosures, or approvals. We do not provide compliance clearance for your use case.

13. Tax Responsibility

You are solely responsible for all tax obligations arising from acquiring, holding, transferring, earning, burning, staking, or disposing of $AEO. We do not provide tax reporting, withholding, or advice unless explicitly required by applicable law and stated in writing.

14. Third-Party Services

Exchanges, bridges, wallets, RPC endpoints, block explorers, and other third-party services are not controlled by us. We disclaim all liability for third-party acts, omissions, hacks, insolvencies, or listing/delisting decisions.

15. Disclaimer of Warranties

THE PLATFORM, $AEO, SMART CONTRACTS, APIs, DATA, STATISTICS, ATTESTATIONS, AND ALL RELATED MATERIALS ARE PROVIDED "AS IS" AND "AS AVAILABLE" WITHOUT WARRANTIES OF ANY KIND, WHETHER EXPRESS, IMPLIED, STATUTORY, OR OTHERWISE, INCLUDING MERCHANTABILITY, FITNESS FOR A PARTICULAR PURPOSE, TITLE, NON-INFRINGEMENT, ACCURACY, AVAILABILITY, OR ERROR-FREE OPERATION.

We do not warrant that attestations, scores, checks, or listings are complete, correct, current, or suitable for your purpose. The Platform is not a substitute for your own due diligence.

16. Limitation of Liability

TO THE MAXIMUM EXTENT PERMITTED BY APPLICABLE LAW, IN NO EVENT SHALL CLEARED INDEX, ENTROPY INDEX, OR THEIR OWNERS, OPERATORS, AFFILIATES, CONTRIBUTORS, CONTRACTORS, OR SUPPLIERS BE LIABLE FOR ANY INDIRECT, INCIDENTAL, SPECIAL, CONSEQUENTIAL, EXEMPLARY, OR PUNITIVE DAMAGES, OR ANY LOSS OF PROFITS, DATA, GOODWILL, TOKENS, DIGITAL ASSETS, OR BUSINESS OPPORTUNITY, ARISING OUT OF OR RELATED TO $AEO OR THE PLATFORM, EVEN IF ADVISED OF THE POSSIBILITY.

TO THE MAXIMUM EXTENT PERMITTED BY APPLICABLE LAW, OUR AGGREGATE LIABILITY FOR ANY CLAIM ARISING OUT OF OR RELATED TO $AEO OR THE PLATFORM SHALL NOT EXCEED THE GREATER OF (A) USD $100 OR (B) THE AMOUNT YOU PAID US IN FIAT FOR PLATFORM SERVICES IN THE TWELVE (12) MONTHS BEFORE THE EVENT GIVING RISE TO THE CLAIM (EXCLUDING VOLUNTARY ON-CHAIN TRANSFERS NOT RECEIVED BY US).

Some jurisdictions do not allow certain limitations; in those jurisdictions, our liability is limited to the fullest extent permitted by law.

17. Indemnification

You agree to defend, indemnify, and hold harmless Cleared Index, Entropy Index, and their operators, affiliates, and personnel from any claims, damages, losses, liabilities, costs, and expenses (including reasonable attorneys' fees) arising out of or related to: (a) your use of $AEO or the Platform; (b) your violation of these Token Terms or applicable law; (c) your interaction with smart contracts or third-party services; or (d) your misrepresentation of eligibility or authority.

18. Release

To the fullest extent permitted by law, you release Cleared Index, Entropy Index, and their operators from any and all claims, demands, and damages (actual and consequential) of every kind and nature, known and unknown, arising out of or in any way connected with $AEO, token economics, displayed statistics, mining or reward calculations, staking outcomes, or Platform availability.

19. Force Majeure

We are not liable for delay or failure due to events beyond reasonable control, including network outages, chain halts, RPC failures, smart contract exploits, regulatory actions, war, natural disasters, labor disputes, or third-party service failures.

20. Changes

We may modify these Token Terms, token mechanics, reward schedules, contract interaction policies, and Platform features at any time. Material changes will be reflected by updating the "Last updated" date. Continued use after changes constitutes acceptance.

21. Dispute Resolution; Arbitration; Class Waiver

Except for qualifying small-claims matters or requests for injunctive relief for intellectual property misuse, any dispute arising out of or relating to these Token Terms or $AEO shall be resolved by binding individual arbitration and not in a class, collective, or representative action.

You and we waive any right to a jury trial and to participate in a class action to the fullest extent permitted by law. The arbitrator may award only individual relief.

If this arbitration section is unenforceable in your jurisdiction, disputes shall be resolved in courts located where Cleared Index operators maintain their principal place of business, unless applicable law requires otherwise.

22. Governing Law

These Token Terms are governed by the laws of the State of Delaware, United States, excluding conflict-of-law rules that would apply another jurisdiction's laws, except where mandatory consumer protections in your jurisdiction apply and cannot be waived.

23. Miscellaneous

These Token Terms are independent of any oral or informal statements, community discussions, social media posts, or agent-generated summaries. If there is a conflict between informal materials and these Token Terms, these Token Terms control.

If any provision is held invalid, the remaining provisions remain in effect. No failure to enforce is a waiver. You may not assign your rights without our consent; we may assign as part of a reorganization or sale of Platform assets.

Questions: see the contact address on the Platform support page.

Cleared Index provides infrastructure and information tools. $AEO terms, risk disclosures, and platform terms apply. Not financial, legal, or tax advice.