Contest Rules

1. Overview

Season 1 of the BitBreakout contest is a three-month crypto-futures demo-trading skills competition for a maximum of 100 selected participants, with a total cash prize pool of eight thousand US dollars (US$8,000) distributed to the top three participants by end-of-contest equity.

2. Key parameters

The following parameters govern Season 1. All times are UTC unless otherwise stated.

• Contest name: BitBreakout Season 1
• Contest duration: ninety (90) calendar days from the Contest Start Time to the Contest End Time
• Contest Start Time: as published on the Service at or before the start of the contest
• Contest End Time: ninety (90) calendar days after the Contest Start Time
• Maximum number of participants: 100
• Registration: free; you join a waitlist during the registration window (between the published Registration Open and Registration Close times), and participants are selected at random from the waitlist
• Entry fee: none — registration and participation are completely free
• Starting balance (virtual): 100,000 units of a notional balance currency
• Instruments available: BTC-PERP, ETH-PERP, SOL-PERP and XRP-PERP (perpetual-style contracts, demo-only)
• Maximum leverage: 10x
• Total prize pool: US$8,000
• Prize distribution: US$5,000 to 1st place, US$2,000 to 2nd place, US$1,000 to 3rd place

3. Eligibility

In addition to the general eligibility requirements set out in the Terms of Service, participation in Season 1 requires that you:

• are at least 18 years old on the Contest Start Time;
• are not a resident of any Restricted Jurisdiction as defined in the Terms of Service or as updated on the Service from time to time; residents of the Russian Federation or the Republic of Belarus may participate in Season 1 but are not eligible to receive monetary prizes while resident in those jurisdictions (a Russian or Belarusian participant who is otherwise selected as a prize winner may receive payment only if they can demonstrate, at the time of identity verification, residence in a non-Restricted Jurisdiction and provide payment instructions in that jurisdiction; otherwise the bump-up rule in section 8.4 applies);
• are not an employee, officer, director, contractor, or immediate family member of any of the foregoing, of BitBreakout LLC or any of its affiliates or service providers;
• hold, and throughout the contest continue to hold, one and only one BitBreakout account;
• join the waitlist during the registration window and, if selected, confirm your place by the applicable confirmation deadline; and
• accept these Contest Rules, the Terms of Service and the Privacy Policy.

4. Registration and selection

4.1 Registration

To take part in Season 1, register for free through the Service to join the Season 1 waitlist. Registration is open between the Registration Open Time and the Registration Close Time published on the Service. Joining the waitlist does not by itself guarantee a place in the contest.

Registration collects only the information we need to verify your eligibility under Section 3 and to administer the contest — in particular, your name, contact email, country of residence, and your confirmation that you are eligible (including that you are at least 18) and that you hold a single BitBreakout account. We do not ask for a date of birth or a numeric age; your 18+ status is recorded as an eligibility confirmation. We process this information on the basis that it is necessary to enter into and perform these Contest Rules and, where applicable, to comply with our legal obligations. Further details are set out in the Privacy Policy.

We do not collect demographic, profile, or trading-experience information at the registration stage. The risk questionnaire is optional: answering it (or declining to) does not affect your ability to participate or to win a prize. Separately, if you choose to complete or edit your account profile, the profile form asks its demographic and experience questions (gender, age range, employment status, education, income range, trading experience) as a set; completing your profile is not required to enter or take part in the contest. Any such information is processed as described in the Privacy Policy and at the point of collection.

4.2 Selection from the waitlist

Up to 100 participants are selected at random from the waitlist. We may draw and invite participants at any time during the registration window, and selection and confirmation may continue after the Registration Close Time up to a final confirmation deadline (the “All Participants Confirmed” date) published on the Service. Selection is random among eligible waitlisted entrants; joining earlier does not improve your chances.

4.3 Confirming or declining your place

If you are selected, we will invite you to confirm your place by the confirmation deadline stated in the invitation. If you do not confirm in time, or you decline, your place may be offered to another eligible participant drawn from the waitlist. You may withdraw at any time before the Contest Start Time.

4.4 No fee

There is no application or participation fee for Season 1. Registration and participation are completely free.

5. Trading mechanics

5.1 Starting balance

Each selected participant will be credited with a virtual starting balance of 100,000 units at the Contest Start Time. This balance exists solely within the Service. It is not money. It has no value outside the Service. It cannot be deposited, withdrawn, transferred, or exchanged for any real asset, and no interest accrues on it.

5.2 Instruments

Participants may place demo orders on the following perpetual-style contracts, each settled in the notional balance currency:

• BTC-PERP
• ETH-PERP
• SOL-PERP
• XRP-PERP

Prices displayed for these instruments are derived from publicly available market data sourced from one or more third-party venues. Price, funding-rate, and liquidation behaviours on the Service are intended to approximate the equivalent behaviours on real perpetual-futures venues but are not identical to any real-world venue and may differ materially.

5.3 Leverage and margin

Maximum leverage for Season 1 is 10x. The maximum leverage for any individual instrument may be lower, as indicated in the trading interface. Initial-margin and maintenance-margin requirements, funding mechanics, and liquidation rules are described in the technical documentation and user interface of the Service. Participants are solely responsible for understanding those mechanics before placing orders.

5.4 Permitted order types and interactions

Participants may place market, limit and stop-market orders, with an optional reduce-only flag, as supported by the Service. Order entry must be made manually through the Service user interface. The use of automated scripts, bots, browser automation, or any other tool that places, modifies or cancels orders on a participant's behalf is prohibited for Season 1.

5.5 Outages and technical issues

If the Service is unavailable for a material period during a contest, we may, in our sole discretion, extend the contest, void affected trades, roll back balances, suspend the contest, or take any other action we consider fair and reasonable. Decisions made by us under this section are final.

6. Scoring and ranking

6.1 Equity ranking

At the Contest End Time, participants are ranked by the total equity of their contest wallet, defined as the sum of their available balance, on-hold balance and the mark-to-market value of any open positions, expressed in the notional balance currency.

6.2 Tie-breaking

If two or more participants have identical total equity at the Contest End Time, ranking will be determined by the following tie-breakers, in order:

1. highest realised profit over the contest period;
2. lowest maximum intra-contest drawdown (measured as the largest peak-to-trough percentage decrease in equity during the contest);
3. lowest number of contest-period disqualification warnings received; and
4. as a final tie-breaker, the earlier registration time.

6.3 Eliminations

A participant whose contest wallet is liquidated below a minimum continuation threshold as defined in the trading interface may be eliminated from the contest. Eliminated participants remain in the final standings at the equity at which they were eliminated but may no longer place further orders.

7. Integrity and prohibited conduct

In addition to the conduct rules set out in the Terms of Service, the following are specifically prohibited in Season 1:

• coordinating trades with any other participant, including transferring virtual balance through offsetting trades;
• operating more than one account or entering Season 1 on behalf of any other person;
• exploiting any technical vulnerability, stale price, latency advantage, or error condition of the Service;
• using any automated order-placement tool unless expressly whitelisted by us in writing before the Contest Start Time;
• attempting to influence contest standings by deception, fraud or any other improper means; and
• disclosing any confidential information about the Service learned in the course of participation.

We may monitor participant activity for integrity purposes and may investigate any suspected breach. A participant whose conduct we determine, in our sole discretion, to breach these Contest Rules may be disqualified from Season 1 with no further notice and will forfeit any prize that would otherwise be payable to them. A disqualified participant may also be banned from future contests.

8. Prizes

8.1 Pool and distribution

The total prize pool for Season 1 is US$8,000, payable as follows:

• 1st place: US$5,000
• 2nd place: US$2,000
• 3rd place: US$1,000

Prizes are denominated in US dollars. Payment will be made either by BitBreakout or by a third-party prize-fulfilment provider engaged by BitBreakout. We expect that prizes will most likely be paid in USDC stablecoin by BitBreakout, but we may pay in another format or by another method — for example, a bank transfer in US dollars or another currency — where that is more practical. The payment method, network and any applicable exchange rate will be confirmed to each winner before payment.

The target window for prize payment is thirty (30) days from the Contest End Time, comprising up to seven (7) days for the results audit and dispute window, up to seven (7) days for completion of winner identity verification, and the remainder for sanctions screening and payment processing. Where unavoidable delays occur (for example, in correspondent banking or sanctions screening), we will keep the affected winner informed.

8.2 Identity verification before payment

Before any prize is paid, the winner must complete identity verification and sanctions screening. This may be conducted by BitBreakout or by a third-party provider engaged by BitBreakout. It typically includes providing a government-issued photo identification, proof of residential address dated within the last three months, and (where applicable) a tax-identification number. The winner must complete identity verification within fourteen (14) days of the Contest End Time. A winner who does not complete identity verification within this period forfeits the prize, subject to section 8.4.

8.3 Taxes

The winner is solely responsible for any income, withholding or other tax applicable to the prize in their jurisdiction. We may be required to withhold or deduct amounts from the prize as a matter of applicable law or based on the information provided by the winner.

8.4 Forfeiture and bump-up

Where a prize is forfeited (whether for failure to complete identity verification, failure of sanctions screening, breach of these Contest Rules or otherwise), the prize may, in our sole discretion, be offered to the next-placed eligible participant in cascading order. For example, if the first-placed prize is forfeited, the second-placed participant may be offered the first prize, the third-placed participant may be offered the second prize, and a new fourth-placed participant may be offered the third prize. Where no eligible participant remains, the forfeited prize may be retained by BitBreakout.

8.5 Sanctions screening

All prize payments are subject to sanctions screening, conducted by BitBreakout or by a third-party provider engaged by BitBreakout, against international sanctions lists (including the United States Office of Foreign Assets Control Specially Designated Nationals list, the United Nations consolidated list, the European Union consolidated list, and the United Kingdom HM Treasury list). A winner whose name, country of residence or destination payment instructions are flagged by sanctions screening will not be paid, and the prize will be treated under section 8.4.

9. Amendments and changes to these Contest Rules

We may make minor, clarifying or administrative changes to these Contest Rules at any time. We will not make material adverse changes after the Contest Start Time unless required by law or by a competent authority. Any changes we make will be notified to participants and will take effect at the time stated in the notice.

10. Cancellation and suspension

We may cancel or suspend Season 1, in whole or in part, at any time if we reasonably believe that it cannot be conducted fairly, that the integrity of the contest has been compromised, or that its continuation would expose us or participants to material legal, regulatory or security risk. In that event, where the contest has already begun, we may in our sole discretion pay a pro-rated or reduced prize based on standings at the time of cancellation.

11. Relationship with Terms of Service and Privacy Policy

These Contest Rules must be read together with the BitBreakout Terms of Service and Privacy Policy. By registering for Season 1, you confirm that you have read, understood and accept those documents in addition to these Contest Rules.

12. Contact

Questions about Season 1 should be directed to support@bitbreakout.com. Questions about personal data or our Privacy Policy should be directed to privacy@bitbreakout.com.