GENERAL TERMS OF USE

CRYPTO QR PAYMENTS

1 April 2026

1. BASICS

These General Terms of Use (“General Terms”) set forth the legal framework applicable to Crypto QR Payments. The General Terms aim to present the basic rights and obligations between you as a user of Crypto QR Payments (“User”, “you”, “your”) and the NAKA Entity managing and operating Crypto QR Payments (“NAKA”, “us”, “our”). The NAKA Entity managing and operating Crypto QR Payments:

These General Terms refer solely to the use of Crypto QR Payments and do not regulate any other legal relations between you and us or between you and the NAKA Partners or third parties. Provision of other NAKA Services (e.g., obtaining NAKA Card, participating in NAKA Payment Network as a Merchant, etc.) is governed by separate general terms of use for a specific NAKA Service and other legal documents relating to that particular NAKA Service.

1.1 Your Agreement to these General Terms  

By using Crypto QR Payments, you confirm that you have carefully read these General Terms, and you agree to be bound by them. If you do not agree with them, we recommend you cease using Crypto QR Payments immediately. If you do not fully understand a provision of these General Terms, we recommend you consult us before starting to use Crypto QR Payments. We will be very pleased to answer all your questions and clarify any possible ambiguities. We are available at the e-mail address stated above. We recommend that you occasionally review the General Terms and the Personal Data Protection Notice NAKA Services, because these documents together form the agreement between you and us regarding the use of Crypto QR Payments.

If you are a natural person, you are only allowed to use Crypto QR Payments if you are older than 16 years. In case the legal age in your jurisdiction is more than 16 years, you hereby confirm that you have obtained the required consent from your legal guardian for using Crypto QR Payments.

By using Crypto QR Payments, you represent that you are financially and technically sophisticated enough to understand the inherent risks associated with using cryptographic and the Blockchain-based systems, and that you have a working knowledge of the usage and intricacies of the Crypto-Assets.

1.2 Changes to the General Terms

We reserve the right to amend these General Terms at any time and upon our sole discretion. In such cases, we will use reasonable efforts to provide notice of changes, such as by publishing the notice on our webpage. Alternatively, you may track the current version of these General Terms by the date of their effect stated at the top of the General Terms. We also recommend that you save a copy of the General Terms for future reference and comparison. By continuing to use Crypto QR Payments, you confirm you accept the General Terms in their current version. It is your sole responsibility to review them from time to time to ensure you are acquainted with the applicable version of the General Terms, including any changes thereto. We recommend you check these General Terms each time before using Crypto QR Payments to ensure that you understand what terms and conditions apply when you use Crypto QR Payments.

1.3 Applicable Terms and Definitions

Terms and capitalized words not defined in the main text have the following meanings:

2. PROVISION OF SERVICES

To use Crypto QR Payments, you must have:

(a) For making payments: a compatible Digital Wallet which is provided by third-party service providers (e.g., BitPay, MetaMask, BitGet), and

(b) For personal verification: NAKA Pay App which you download from the store (Google Play or Apple Store, based on the operational system used on your electronic device) and create a new wallet or add an existing one.

We do not provide any Digital Wallets within NAKA Payment Network or as a separate NAKA Service.

Other functionalities of NAKA Pay App, such as NAKA Cards or NAKA+ Cards are governed by NAKA’s separate NAKA Card Terms of Use and NAKA+ Card Terms of Use.

2.1 Creating Profile with NAKA Pay App

Before you commence using NAKA Pay App for the purpose of making Crypto QR Payments, you must set a 4-digit Passcode or enable face recognition feature on your device. The Passcode serves as a fundamental security measure, granting access to NAKA Pay App and preventing unauthorized entry. Setting the Passcode in NAKA Pay App initiates the creation of a Smart Contract, enabling you to utilize the functionalities of NAKA Pay App. Following the Passcode setup, you are presented with three options for backing up the Seed Phrase: (i) a manual backup, (ii) iCloud backup, or (iii) Google Drive backup. Opting for Google Drive backup necessitates the creation of a master password. This master password is essential for decrypting the Seed Phrase stored on Google Drive, ensuring its security. Alternatively, selecting iCloud backup automatically encrypts the Seed Phrase, enhancing its security.

IMPORTANT: NAKA Pay App is a self-custodial solution, therefore we do not retain any copies of the Passcode, the Seed Phrase, or the master password. Consequently, in the event of their loss, we cannot facilitate recovery. Therefore, we recommend that you ensure you securely save the Passcode, the Seed Phrase, the master password or any other security feature you use to access NAKA Pay App.

2.2 Adding existing Profile with NAKA Pay App

You may initiate the process of adding an existing profile by selecting the method for importing the Seed Phrase. Three options are available: (i) a manual import, (ii) iCloud import, or (iii) Google Drive import. If you opt for manual import, you must enter the Seed Phrase manually into the designated fields. Alternatively, if you choose to import the Seed Phrase from iCloud or Google Drive, you will be prompted to input the master password to decrypt the Seed Phrase stored on Google Drive. Seed Phrase on iCloud will be decrypted automatically. Upon successful decryption, you are required to set a 4-digit Passcode. The Passcode serves as a fundamental security measure, granting access to NAKA Pay App and preventing unauthorized entry. By completing these steps, you will successfully import NAKA Pay App, gaining access to its functionalities.

2.3 Identification Procedure

Before you can make Crypto QR Payments, you must complete the Payer identification process. In accordance with the applicable AML/CTF Legislation, in particular the Travel Rule, we are required to verify your identity.

Identity verification is carried out by creating the Digital ID through NAKA Pay App. This process is provided by our verification partner, SumSub. Once your identity has been successfully verified, you will receive a confirmation email at your provided email address, after which you will be able to use Crypto QR Payments.

For detailed information on the Travel Rule Obligation and the manner in which the collected data is processed during the identification and verification process, please see the applicable Personal Data Protection Notice NAKA Services.

2.4 Payment Procedure

To execute a payment using your Digital Wallet, the Terminal displays two QR codes.

The first QR code prompts you to share your Digital ID. You must scan this first QR code using NAKA Pay App in order to transmit your Digital ID. For e-commerce POS solutions, the personal data required for the Digital ID is entered manually. Once this step has been successfully completed, you will be able to scan the second QR code, which contains the payment details: (i) the amount in the Crypto-Assets and (ii) the Merchant’s Blockchain address.

You then scan the second QR code with your Digital Wallet to authorise the payment in the Fiat as displayed on the Terminal using the Crypto-Assets held in your Digital Wallet.

Please note that none of the NAKA Entities is the owner, custodian, or controller of the Smart Contracts used with the Digital Wallets to facilitate transactions between recipients (e.g., the Merchants) and the Payers. The NAKA Entity that provides NAKA Pay App (as stated in section 1. BASICS) does not offer to the Payers: (i) custody or management of the Crypto-Assets, (ii) exchange between the Crypto-Assets or between the Crypto-Assets and the Fiat, (iii) transfers of the Crypto-Assets, as the Smart Contracts are exclusively managed by the Digital Wallets service providers.

You are solely responsible for ensuring that your Digital Wallet holds a sufficient balance of the supported Crypto-Assets to execute a transaction. You are also the only person authorised to approve a transaction using the Digital Wallet and to initiate the transfer of the Crypto-Assets for the purpose of payment.

2.5 Other Services

Please note that not all of the services provided within NAKA Pay App are necessarily provided by the NAKA Entity, which offers NAKA Pay App and/or Crypto QR Payments. Some of the services may be provided through the NAKA Group’s affiliated companies, a NAKA Partner, or other third parties (e.g., AML/CTF checks are provided by the NAKA Partners).

3. SUPPORTED CRYPTO-ASSETS AND BLOCKCHAINS

IMPORTANT: Since all the services provided through Crypto QR Payments are associated with the Crypto-Assets, it is important to get acquainted with the supported Crypto-Assets, including the Blockchains on which the Crypto-Assets are issued. The list of the currently supported Crypto-Assets and Blockchains is available here. We recommend that you review these General Terms and/or the list of the supported Crypto-Assets and Blockchains before each use of Crypto QR Payments in order to ensure you are acquainted with the current set up.

We reserve the right to occasionally change the list of the supported Crypto-Assets and/or Blockchains based on our business needs. In case of changes that require a migration of the Crypto-Assets from one Blockchain to another, we will inform you of such requirements and the associated consequences.

4. LIMITATIONS, RESTRICTIONS AND PROHIBITED USES

Under no circumstances do we have custody, possession, or control over the Crypto-Assets held in your Digital Wallet, nor over the Private Keys associated with your Digital Wallet.

You are solely responsible for keeping NAKA Pay App, as well as any Digital Wallet you use, secure and should never share the Private Key or the Seed Phrase with anyone. We are not liable for any acts or omissions made by you that compromise or could compromise NAKA Pay App and/or the Digital Wallet(s).

4.1 Prohibited Persons

By using Crypto QR Payments you represent and warrant that you are not a prohibited person and are not acting for or on behalf of any prohibited person. Deemed as prohibited persons are persons:

(a) Based in - or being a citizen of North Korea, Iran, Syria, Afghanistan, Algeria, Angola, Burkina Faso, Chad, Congo (Kinshasa and Brazzaville), Comoros, Equatorial Guinea, Eswatini, Gabon, Gibraltar, Djibouti, Guinea-Bissau, Haiti, Yemen, South Sudan, Cambodia, Cameroon, Kenya, Liberia, Mali, Myanmar, Mozambique, Niger, Nigeria, Nicaragua, Papua New Guinea, Russia, Solomon Islands, Senegal, Tanzania, Trinidad and Tobago, Turkmenistan, Uganda, Vanuatu, Vietnam, Venezuela, Panama, Madagascar, Laos, China, South Africa, Jamaica, and Barbados;

(b) Listed in any Sanctions List;

(c) Person acting in the name of, or on behalf of, a natural person or a group of persons (through a legal entity or any other form of association), where any such person is included on any Sanctions List or is based in - or being a citizen in a jurisdiction from the point a) of this subsection;

(d) A government official of a jurisdiction with a high risk for money laundering and terrorism financing or a jurisdiction from the point (a) of this subsection;

(e) Prohibited by a decision of a public authority to participate in or conduct services performed by us.

4.2 Prohibited Uses

You agree that you will not violate any laws, contracts, or intellectual property, and are solely responsible for your own actions when using Crypto QR Payments. You explicitly agree that you will not:

(a) Claim any of Crypto QR Payments’ name or content for the purpose of reselling it, confusing others, and deriving others’ goodwill; 

(b) Use such software, protocol, code, script, or similar, that could damage, disable, overburden, or impair the functioning of Crypto QR Payments in any manner, extract data, or otherwise interfere with or modify the rendering of Crypto QR Payments or its functionality;

(c) Use Crypto QR Payments for commercial purposes inconsistent with these General Terms;

(d) Reverse engineer, duplicate, decompile, disassemble, or decode any aspect of Crypto QR Payments, or do anything that might discover source code or bypass or circumvent measures employed to prevent or limit access to any service, area, or code of Crypto QR Payments,

(e) Sell or resell any of the services available in Crypto QR Payments;

(f) Use Crypto QR Payments directly or indirectly, for or in connection with money laundering, terrorist financing, or other illicit financial or criminal activity, or in any way in connection with the violation of any law or regulation that applies to you or us;

(g) Use Crypto QR Payments with the proceeds of unlawful activity;

(h) Infringe or violate our intellectual property rights or any other of our rights;

(i) Use Crypto QR Payments directly or indirectly, for, on behalf of, for the benefit of, or in connection with prohibited persons, defined above;

(j) Use Crypto QR Payments in any manner that could interfere with, disrupt, negatively affect, or inhibit other Payers from fully enjoying Crypto QR Payments;

(k) Use Crypto QR Payments to purchase controlled substances without a pharmaceutical license;

(l) Use Crypto QR Payments for unlawful: (i) purchase of guns, accessories, ammunition, and other weapons, (ii) purchase of illegal material, including but not limited to child pornography, (iii) gambling, betting, lotteries, sweepstakes, or games of chance, (iv) prostitution or escort services, (v) sale of counterfeit or "gray market" goods or services, (vi) political contributions, pawn shops, unlicensed auction sites, or (vii) ponzi or pyramid schemes, or other unfair or deceptive activities;

(m) use Crypto QR Payments for: (i) purchase of music, movies, software, or any other licensed materials without appropriate authorization, (ii) purchase of counterfeit goods, illegally imported or exported products, (iii) unauthorized purchase of brand name or designer products or services, and  (iv) purchase of any other products or services that directly infringe or facilitate infringement upon the trademark, patent, copyright, trade secrets, proprietary or privacy rights of any third party;

(n) use Crypto QR Payments for intentionally promoting, supporting, or perpetrating violence or physical harm or hate toward any group or individual based on race, religion, disability, gender, sexual orientation, gender identity, national origin, immigration status, or any other legally protected characteristic under any law or regulation that applies to you or us;

(o) use Crypto QR Payments: (i) with false, manipulated, inaccurate, or misleading information regarding the Payers’ identity, business entity, the nature of business, and any other information requested by us, (ii) to facilitate transactions on behalf of another undisclosed person or entity or for products/services that were not disclosed during your verification procedure.

4.3 Indemnification

By agreeing to these General Terms you agree to the fullest extent permitted by applicable law, to indemnify, defend, and hold us harmless, including all our respective past, present, and future NAKA Personnel, including Affiliates, Agents, and any employees, officers, directors, contractors, consultants, shareholders, service providers, subsidiaries, representatives, predecessors and successors, from and against all actual or alleged claims, damages, awards, judgments, losses, liabilities, obligations, taxes, penalties, interests, fees, expenses (including, without limitation, attorneys’ fees and expenses), and costs (including, without limitation, court costs, costs of settlement, and costs of pursuing indemnification and insurance), of every kind and nature whatsoever, whether known or unknown, foreseen or unforeseen, matured or unmatured, or suspected or unsuspected, that are caused by, arise out of or are related to your (i) use or misuse of Crypto QR Payments, (ii) violation or breach of any of these General Terms or applicable law, and (iii) violation of the rights of or obligations to a third party, including another user or third party, and (iv) negligence or willful misconduct. You agree to promptly inform us of any claims and cooperate with us in defending them.

Access and use of Crypto QR Payments may be interrupted from time to time for any of several reasons, including, without limitation, the malfunction of equipment, periodic updating, maintenance, repair, preventing potential violations of these General Terms, or other actions that we, in our sole discretion, may elect to take.

5. RISKS AND LIMITATION OF LIABILITY

We are not an owner, custodian, or in control of the Blockchain networks used to provide Crypto QR Payments. We are not responsible for and make no guarantees regarding the Blockchain networks environment operation and functionality. We also do not control Smart Contracts that may be integral to your ability to complete transactions with Crypto QR Payments or the Digital Wallets. Since transactions conducted within NAKA Payment Network are directly linked to the Blockchain, they are irreversible, and we have no ability to reverse them on the Blockchain.

NAKA Pay App used for Crypto QR Payments is only a digital infrastructure for deploying the Smart Contracts and creating and sharing the Digital ID. Consequently, we are not an owner, custodian, or in control of the Smart Contract, which you generate via NAKA Pay App. The Smart Contract is solely owned by you. You are also the only one who possesses the Private Key used to interact with the Smart Contract.

We do not take any action, nor do we participate in any way in the payment process conducted with your Digital Wallet. We only supply the technology solution capable of generating QR codes required to implement the transaction. The Digital Wallet is activated and operated solely by you, while it is provided by a third-party service provider. As such, we have no control over, and cannot restrict or block, any actions taken by you in connection with the Smart Contracts used to execute the payment.

You understand that by providing Crypto QR Payments, we are not: (i) operating a trading platform of the Crypto-Assets, (ii) exchanging the Crypto-Assets for the Fiat or other Crypto-Assets, nor (iii) are we placing and issuing the Crypto-Assets. Since transactions with the Smart Contract connected to the Digital Wallets are performed by you exclusively, we are also not an owner nor custodian of the Smart Contract and your Digital Wallet(s). We also do not: (i) execute any order on your behalf, (ii) provide custody, administration or transfer services of your Crypto-Assets, or (iii) provide advice on your Crypto-Assets and portfolio management of your Crypto-Assets.

You are accessing and using Crypto QR Payments at your own risk. Crypto QR Payments is provided on an “as is” and “as available” basis and we make no warranty or representation and disclaim all responsibility for whether Crypto QR Payments will meet your requirements.

Prices of the Crypto-Assets are subject to volatility and fluctuations. You acknowledge that you fully understand this and that you may lose money.

The Blockchain technologies and the Crypto-Assets are subject to continuous regulatory changes and scrutiny around the world, including but not limited to the AML/CTF Legislation. You acknowledge that NAKA Pay App and/or Crypto QR Payments, including their availability, could be impacted by one or more regulatory requirements.

There are risks associated with using internet and the Blockchain based products, including, but not limited to, the risk associated with the hardware, software, and internet connections, the risk of malicious software introduction, and the risk that third-parties may obtain unauthorized access to your Digital Wallet or NAKA Pay App. You accept and acknowledge that we will not be responsible for any communication failures, disruptions, errors, distortions or delays you might experience when using the Digital Wallet, NAKA Pay App or any Blockchain.

We are not responsible or liable for any loss of your Crypto-Assets and take no responsibility for losses, damages, or claims arising from: (i) your error, incorrectly constructed transactions, or mistyped addresses, (ii) server failures or data loss, (iii) unauthorized access or use, (iv) any unauthorized third-party activities, including without limitation the use of viruses, phishing, brute forcing or other cyber-attacks, (v) any issues with the Blockchain.

No advice or information, whether oral or obtained from us in any manner, will create any warranty or representation not expressly made herein. We accept the inherent security risks of providing information and dealing online over the internet and you will not hold us responsible for any breach of security.

6. INTELLECTUAL PROPERTY RIGHTS

Crypto QR Payments, including its “look and feel” (e.g., text, graphics, images, logos, page headers, button icons, URLs, and scripts), proprietary content, information, and other materials, and all content and other materials contained therein, including, without limitation, logos and all designs, texts, graphics, pictures, data, software, other files, and the selection and arrangement thereof are our property.

You agree not to take any action(s) inconsistent with such ownership interests. We reserve all rights in connection with Crypto QR Payments and its content, including, without limitation, the exclusive right to create derivative works.

Crypto QR Payments’ name, logo, trademarks, and any of our products’ or services’ names, designs, logos, and slogans are and remain our intellectual property (or we have obtained a license from its rightful owner to use such intellectual property). As such, the intellectual property may not be copied, imitated, or used, in whole or in part, without our prior written permission in each instance. In addition, the “look and feel” of Crypto QR Payments constitutes our service mark, trademark, or trade dress and may not be copied, imitated, or used, in whole or in part, without our prior written permission.

7. APPLICABLE FEES

The use of Crypto QR Payments is free of charge. Depending on the Digital Wallet used, you may only be required to pay the applicable Gas when making a payment using the Crypto-Assets held in your Digital Wallet.

The amount of the Gas is not in any way determined by us, nor is it paid to us. The Gas payment is final and irreversible regardless of whether a successful transaction on the Blockchain occurs.

Transactions or operations in the Crypto-Assets may be considered tax events according to the legislation applicable to you and as such subject to taxation. These rules may be unclear or subject to change, and you are therefore encouraged to consult your tax or accounting adviser before engaging in the Crypto-Assets activities.

We do not provide any financial or tax advice related to the use of Crypto QR Payments.

If you, as the Payer, make an overpayment (i.e., a payment exceeding the value of the purchase) using Crypto QR Payments, we reserve the right either to charge the Gas for refunding the excess amount or not to issue a refund where the value of the difference is less than (i) USDt 5.00 or (ii) BTC 0.00012.

8. MISCELLANEOUS

These General Terms govern the access and use of Crypto QR Payments in its entirety.

The processing of Personal Data and the use of cookies are governed by NAKA’s separate Personal Data Protection Notice NAKA Services.

You acknowledge that breaching any of the provisions of these General Terms may result in irreparable harm to us, in which case we reserve the right to seek monetary compensation.

Crypto QR Payments are operated: (i) in El Salvador by NAKA SLV, incorporated under the laws of El Salvador, and (ii) in Switzerland by NAKA CH, incorporated under the laws of Switzerland. Those Payers who choose to access Crypto QR Payments from locations outside El Salvador and Switzerland, do so at their own initiative and are responsible for compliance with applicable local laws.

If any of the provisions of these General Terms proves void or invalid in any other way, this does not affect the validity and enforceability of the other provisions if they can also exist without the void or invalid provision. In this case, such void or invalid provision is considered separable from the other provisions, which are modified accordingly in the case of separation.

These General Terms are governed under the laws of (i) El Salvador (for payments made in El Salvador using Crypto QR Payments) and (ii) Switzerland (for payments made in Switzerland using Crypto QR Payments), in both cases to the highest extent allowed under the mandatory conflict of laws rules. In the case of any disputes arising out of or in connection with Crypto QR Payments (including disputes in connection with the existence, validity or termination of these General Terms or any other obligation derived from or in connection with NAKA Pay App and/or Crypto QR Payments), the competent court will be determined in line with the applicable law.

For any questions or comments in connection with these General Terms, we are available at support@naka.com.

NAKA Team