Purpose
Ensure clients receive clear, accurate and approved information about asset handling, rights, risks and protections. Clear and transparent client agreements are essential for building trust and ensuring that clients fully understand how their assets are safeguarded, while meeting regulatory and fiduciary responsibilities.
Scope
Applies to all client agreements, terms and conditions, disclosures, safeguarding communications and client reporting.
Steps
| # | Action | Details | Evidence |
|---|---|---|---|
| 1 | Maintain approved terms covering how and where client money and virtual assets are handled | All client agreements must include comprehensive provisions covering: how client money and virtual assets are handled and safeguarded; rights and obligations of both Bitkaya and the client; and risk disclosures and protections in place. | Approved client terms, conditions and disclosures |
| 2 | Inform clients in writing of how and where their assets are held | Cover how and where assets are held (client accounts, segregated VA wallets); safeguards and controls applied; and potential risks associated with Bitkaya’s services. | Written client awareness communications (asset holding, safeguards, risks) |
| 3 | Explain ownership, segregation, one-to-one holdings, movement controls, fees, proceeds, risks and applicable restrictions | Provide clear explanation of all key safeguarding terms and conditions. | Client agreement and disclosure records |
| 4 | Describe provider dependencies, protection limitations and insolvency or recovery arrangements | Ensure descriptions are accurate. | Provider dependency and protection limitation disclosures |
| 5 | Use clear, concise language in agreements | Avoid ambiguity or misleading terms. Clients should have sufficient information to make informed decisions. | Legal and Compliance review of agreements |
| 6 | Ensure agreements comply with all applicable legal and regulatory requirements | Ensure enforceability and alignment with client asset protection obligations. | Legal and Compliance review records |
| 7 | Avoid absolute guarantees not supported by legal and operating evidence | Ensure all guarantees in agreements are substantiated. | Legal review of guarantee language |
| 8 | Obtain required consent for any lawful use outside ordinary safeguarding | Exceptions for proceeds accrual may only apply if explicitly agreed in writing, ensuring full transparency and client consent. | Client consent and delivery evidence |
| 9 | Review safeguarding statements through the COMM approval workflow | Review before release. | COMM approval workflow records |
| 10 | Communicate delays, restrictions, incidents and recovery matters carefully | No communication should breach anti-tipping-off, confidentiality, or regulatory restrictions. Client communication must be handled carefully, consistently, and in accordance with applicable legal and confidentiality constraints. | Incident, delay or restriction communications (with confidentiality review) |
| 11 | Investigate client-reported discrepancies promptly | Route complaints through the COMP framework. | Complaint, discrepancy and correction records |
Records
- Approved client terms, conditions and disclosures
- Legal and Compliance review of agreements
- Written client awareness communications (asset holding, safeguards, risks)
- Client consent and delivery evidence
- Incident, delay or restriction communications (with confidentiality review)
- Complaint, discrepancy and correction records
Relationships
- Policy: POL-SAFU-001 Client Asset Protection and Safeguarding Manual
- Process: PRC-CPO-001 Client Protection and Operations
- Control: CTRL-SAFU-007 Ensure Safeguarding Terms and Client Communications Are Accurate
History
- 2026-07-26: Created from sections 7, 10 and 15 of the approved SAFU Manual.