# Backt Terms of Service

**DRAFT — pending final legal review by CFTC-experienced counsel before public launch.**

**Effective Date:** [TO BE SET AT LAUNCH]
**Last Updated:** [TO BE SET AT LAUNCH]

## 1. Acceptance of Terms

By creating an account, subscribing to a capper, or using any Backt feature (including but not limited to Simulate, Notify, and Auto modes), you agree to be bound by these Terms of Service ("Terms"). If you do not agree, do not use the Service.

You must be at least 18 years of age to use the Service. Some features may require you to be 21 or older depending on your jurisdiction.

## 2. What Backt Is (and Isn't)

**Backt is a publishing platform and, where registered, a Commodity Trading Advisor** whose clients may follow the publicly posted picks of independent cappers. Backt is not a sportsbook, broker-dealer, investment adviser, or gambling operator.

Cappers are independent third parties. Their picks are published to subscribers simultaneously and impersonally. Backt does not provide personalized investment or betting advice to any individual user.

Trade execution (when enabled via Auto or Notify mode) occurs on Kalshi, a CFTC-regulated prediction market exchange. Your funds always remain in your own Kalshi account. Backt never holds user funds.

## 3. No Guarantee of Returns

**Past performance does not guarantee future results.** Every capper's historical track record on Backt is informational only. Markets move, cappers lose, and you can lose your entire balance. Any statistic displayed on Backt — ROI, win rate, Backt Score, unit returns — is a historical measurement, not a forecast.

By using Auto or Notify modes, you acknowledge that real money will be placed at risk on Kalshi in response to capper picks you have authorized to follow, and that such trades can and do lose.

## 4. Responsibility for Your Account

You are responsible for:
- Maintaining the confidentiality of your Backt account credentials
- The accuracy of all information you provide
- All activity that occurs under your account
- Funding your own Kalshi account and complying with Kalshi's terms
- Complying with all applicable laws in your jurisdiction

## 5. Capper Picks: Who's Liable

Cappers are responsible for the picks they post. Backt is responsible for faithfully recording, displaying, and (where authorized) executing those picks — not for their outcomes.

You agree that:
- Backt is not liable for losses resulting from a capper's posted picks
- Backt is not liable for market movement between pick posting and order execution
- Backt is not liable for Kalshi's pricing, liquidity, or execution performance
- Backt is not liable for capper misconduct (fraudulent picks, manipulation), provided Backt acts in good faith to investigate and, where warranted, remove such content

## 6. Kalshi Integration (Auto and Notify Modes)

To use Auto or Notify modes, you must:
- Have your own Kalshi account in good standing
- Provide Backt with a Kalshi API key limited to Read and Trade scope (never Withdraw)
- Explicitly authorize Backt to place Kalshi orders in response to picks from cappers you have selected, at the dollar-per-unit amount and within the daily cap you configure

**Scope of authorization.** Backt is authorized to place orders on your Kalshi account **only** in response to picks from cappers you have explicitly selected, **only** at the dollar amount you have pre-configured, **only** within the daily cap you have set, and **never** to withdraw funds or place orders outside this scope.

**Revocation.** You may turn off Auto/Notify mode for any capper at any time from the Follow settings. You may revoke your Kalshi key entirely from the Kalshi account settings, which immediately disables all Backt execution on your behalf.

## 7. Subscription Payments

Subscription fees are processed through Stripe. Stripe is the money transmitter; Backt is a marketplace platform. Subscription terms:
- Billing occurs at the period you select (day, 3-day, weekly, monthly, season, annual)
- Free trials, if offered by a capper, convert to paid at the end of the trial
- You can cancel at any time; cancellation takes effect at the end of the current paid period
- Refunds are at Backt's sole discretion except where required by law
- Payment processor fees are non-refundable

## 8. Mandatory Arbitration and Class Action Waiver

**PLEASE READ CAREFULLY.**

Any dispute arising out of or relating to these Terms, the Service, or your use of Backt shall be resolved through binding individual arbitration administered by the American Arbitration Association under its Consumer Arbitration Rules. You waive any right to participate in a class action, class arbitration, or representative action.

Arbitration will take place in [DELAWARE / YOUR STATE OF INCORPORATION], and the arbitrator's decision is final. Nothing in this Section limits your right to pursue claims in small claims court for matters within that court's jurisdiction.

## 9. Limitation of Liability

To the maximum extent permitted by law, Backt's total liability for any claim arising from these Terms or your use of the Service is limited to the greater of (a) amounts paid by you to Backt in the 12 months preceding the claim, or (b) $100.

Backt is not liable for indirect, incidental, special, consequential, or punitive damages, including without limitation lost profits, lost data, or business interruption.

## 10. State Eligibility

Backt's Auto and Notify modes depend on Kalshi market availability, which varies by state. You are responsible for verifying that your use of Kalshi is legal in your state of residence. Backt will geo-gate Auto and Notify modes in any state where Kalshi itself blocks sports market access.

As of [DATE], Kalshi's sports markets are blocked in Nevada. This list is subject to change.

## 11. Prohibited Uses

You may not:
- Use the Service if you're in a jurisdiction where it's illegal
- Scrape, reverse-engineer, or resell Backt data outside of your personal use
- Submit picks you know to be manipulated (capper) or deliberately reference fake outcomes
- Impersonate another user
- Share your API keys or account credentials with other users
- Use the Service for money laundering, terrorism financing, or any other illegal purpose

## 12. Account Termination

Backt may suspend or terminate your account at any time for violation of these Terms, fraudulent activity, or failure to pay subscription fees. You may delete your account at any time from the account settings; deletion cancels all subscriptions effective at the end of the current paid period.

## 13. Changes to Terms

Backt may update these Terms. Material changes will be announced at least 30 days before taking effect. Continued use after the effective date constitutes acceptance.

## 14. Governing Law

These Terms are governed by the laws of the State of [DELAWARE / YOUR STATE], without regard to conflict-of-law principles.

## 15. Contact

[support@backt.app or similar]