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Risk Disclosure — Crypto Trading & Leverage Products

Last updated: 25 May 2026

Reviewed by Ankit Sharma, Crypto Trader & Market Analyst for the topcryptoexchange.in editorial team.

Crypto products and NFTs are unregulated and can be highly risky. There may be no regulatory recourse for any loss from such transactions.

This Risk Disclosure applies to all content on topcryptoexchange.in, including reviews of centralised exchanges, hardware wallets, and crypto products. It is written for users in India under the framework of the Advertising Standards Council of India (ASCI) guidelines on the advertising of Virtual Digital Asset (VDA) products. Please read this page in full before acting on any information published on this site.

1. General crypto-asset risk

Cryptocurrencies and other virtual digital assets are highly volatile, speculative, and largely unregulated in India. Prices can move significantly within minutes, and digital assets may lose all of their market value with little or no warning. You should never invest funds you cannot afford to lose entirely.

2. Leverage and futures trading risk

Several exchanges featured on this site — including Bybit — offer leveraged products such as perpetual futures, with leverage of up to 100x. Leverage multiplies both gains and losses. The following points are critical:

  • A small adverse price move can wipe out your entire margin within minutes.
  • Leveraged positions are subject to automatic liquidation when the maintenance margin is breached.
  • In fast-moving markets, slippage and gap moves can result in losses larger than your initial margin in some products.
  • Leverage is not suitable for beginners. Start with the lowest available leverage (or none at all) while learning.
  • Past performance — including historical returns shown by "copy trading" leaderboards — is not a reliable indicator of future results.

3. Platform and custody risk

When you hold crypto on a centralised exchange, the exchange holds your private keys. This means:

  • If the exchange is hacked, becomes insolvent, or is sanctioned by regulators, your funds may become inaccessible or lost.
  • Exchange "Proof of Reserves" reports are point-in-time snapshots, not real-time guarantees.
  • Withdrawals can be paused, restricted, or rejected by an exchange at its sole discretion or by regulator direction.

Hardware wallets (such as Tangem and Ledger, featured on this site) reduce custody risk but introduce their own risks — loss of seed phrase, device damage, or supply-chain tampering — for which there is no recovery if a backup is not maintained.

4. Regulatory risk specific to India

Crypto regulation in India is evolving. Key points relevant to Indian users:

  • The Reserve Bank of India (RBI) does not recognise cryptocurrencies as legal tender. See rbi.org.in.
  • Crypto-asset transactions are subject to a 30% income tax under Section 115BBH and a 1% TDS under Section 194S of the Income-tax Act, 1961. See incometaxindia.gov.in.
  • Crypto-asset Service Providers operating in India must be registered with FIU-IND as Reporting Entities under the Prevention of Money Laundering Act, 2002. See fiuindia.gov.in.
  • The Securities and Exchange Board of India (SEBI) has, on multiple occasions, warned the public against unregulated crypto-asset investment-advisory schemes. See sebi.gov.in.
  • Indian banks may, at their discretion, decline transactions associated with crypto purchases.

Regulations can change with little notice. Always check the latest position from the cited Indian regulators before trading.

5. Not investment, tax, or legal advice

Nothing on topcryptoexchange.in constitutes investment, financial, tax, or legal advice. We are not a SEBI-registered investment adviser. We do not offer personalised recommendations. Before depositing funds, opening a leveraged position, or filing crypto-related taxes, consult a qualified, India-registered professional — for example, a SEBI-registered investment adviser or a Chartered Accountant.

6. Responsible trading

If you choose to trade crypto, we strongly encourage you to:

  • Trade only with funds you can afford to lose entirely.
  • Use the platform's risk-management tools — stop-loss, take-profit, position-size limits.
  • Avoid high leverage as a beginner. Start with spot trading or with the lowest leverage tier.
  • Maintain records of all transactions for Indian tax reporting (Schedule VDA in your ITR).
  • Keep two-factor authentication enabled on all exchange accounts.

If you feel that crypto trading is affecting your mental health, finances, or relationships, please seek help. In India, iCall and Vandrevala Foundation Helpline (1860-2662-345) offer confidential support.

7. Changes to this disclosure

We may update this Risk Disclosure to reflect new ASCI guidelines, regulator advisories, or changes in featured products. The "Last updated" date at the top of this page reflects the most recent revision.

8. Contact

For questions about this Risk Disclosure, contact us at mail@topcryptoexchange.in.