KYC Compliance Limits

Bracket will implement compliance limits on DeFi strategies and will work with managers to implement their preferred KYC/AML and onboarding documentation flows as needed.

Please see terms of service for user eligibility. Starting in Phase II, the Bracket Platform will have KYC limits based on volume tiers and activity on the platform. These limits are subject to change without notice as Bracket is required. The below does not include OFAC checks and other required transaction monitoring thresholds that Bracket will enforce.

Grace period: To provide fair warning to our current users, there is ~6-month grace period from launch on Jan 28th 2024 until KYC is enabled. After this grace period, the following limits will apply.

Tier 0

Action	USD equivalent	Requirement
Swapping into brktETH via Bracket	<3,000	Eligible users permitted
Redeeming brktETH for underlying assets via Bracket	<3,000	Eligible users permitted
Deploying into a DeFi strategy	<3,000	Eligible users permitted

Tier 1

Action	USD equivalent	Requirement
Swapping into brktETH via Bracket	>3,000	Eligible users permitted
Redeeming brktETH for underlying assets via Bracket	>3,000	Eligible users permitted
Deploying into a DeFi strategy	>3,000	Eligible users permitted

Tier 2

Action	USD equivalent	KYC required
Swapping into brktETH via Bracket	>10,000	ID verification
Redeeming brktETH for underlying assets via Bracket	>10,000	ID verification
Deploying into a DeFi strategy	>10,000	ID verification

Tier 3

Action	USD equivalent
Swapping into brktETH via Bracket	>200,000	Full KYC
Redeeming brktETH for underlying assets via Bracket	>200,000	Full KYC
Deploying into a DeFi strategy	>200,000	Full KYC

Tier 4

Action	USD equivalent
Swapping into brktETH via Bracket	>1,000,000	Full KYC, focused on institutions, UBOs etc.
Redeeming brktETH for underlying assets via Bracket	>1,000,000	Full KYC, focused on institutions, UBOs etc.
Deploying into a DeFi strategy	>1,000,000	Full KYC, focused on institutions, UBOs etc.

CeFi Strategies KYC/AML and onboarding terms will unique for each manager and strategy

*Note that the above thresholds are initial and can change based on our compliance policies and program. Fair notice will be made to users regarding changes.