RIADeFi
Refusal file · other

Why Ketju rejected Extended Perps

Memo v1Published by Ketju Research

A registry memo, published verbatim and versioned. Superseded versions are recorded, never edited away. A rejection is a judgment for Ketju's client base and thesis, not a universal safety claim. Not investment, legal, tax, or compliance advice.

The memo

REJECTED ON A CATEGORICAL US EXCLUSION, NOT ON A CLAIM THAT THE EXCHANGE IS CUSTODIAL. Extended's Terms name X10 Ltd. and its affiliates and incorporate a restricted-country list that currently includes the United States; the legal page says no exceptions are made and expressly prohibits VPN circumvention. The Starknet product is technically stronger than many offshore perpetual venues: collateral remains in Starknet contracts, signatures are required for state-changing operations, and trading rules and settlements are checked on chain. But order matching, risk assessment, and transaction sequencing remain off chain, and EVM-wallet exits depend on Rhino.fi bridge liquidity. The published outage procedure also confirms that liquidations and conditional orders pause during downtime and resume after a 120-second post-only window. Those are underwritable operating facts, but none can overcome the product's explicit ineligibility for the registry's US-client population.

What would reopen the file

  • Extended removes the United States from its Restricted Territories and publishes the registration or exemption permitting the product to serve this registry's client base
  • Off-chain order matching, risk assessment, or transaction sequencing causes an outage exceeding one hour or a documented client loss
  • The insurance vault absorbs more than 5% of its capital in one day or its published 15% daily depletion constraint changes
  • A proposed-size EVM withdrawal exceeds the documented six-hour upper window because Rhino.fi bridge liquidity is unavailable

Facts on file

Verdict
Rejected
Exposure
other
Chains examined
Ethereum, Starknet
Memo version
v1
Reviewed
Next review

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