1. Agreement to Terms
These sPOL Terms of Use and Risk Disclosures ("sPOL Terms") constitute a binding legal agreement between you ("you" or "your") and Polygon Labs UI (Cayman) Ltd. (together with its affiliates, "Polygon Labs," "we," "us," or "our") governing your access to and use of the sPOL liquid staking token, related smart contracts, and any interfaces through which sPOL is made available (collectively, the "sPOL Service").
BY DEPOSITING POL, RECEIVING, HOLDING, TRANSACTING IN, OR OTHERWISE USING sPOL, YOU AGREE THAT YOU HAVE READ, UNDERSTOOD, AND ARE BOUND BY THESE sPOL TERMS. IF YOU DO NOT AGREE, DO NOT USE THE sPOL SERVICE.
Polygon Labs' General Terms of Use and Privacy Policy are incorporated herein by reference and apply to your use of the sPOL Service. In the event of a conflict between these sPOL Terms and the General Terms of Use with respect to sPOL, these sPOL Terms will prevail. Capitalized terms not defined herein have the meanings given in the General Terms of Use.
2. What is sPOL?
sPOL is a liquid staking token (LST) issued by Polygon Labs. When you deposit POL tokens into the sPOL smart contract, you receive sPOL as a receipt representing your staked position. sPOL accrues staking rewards over time and may be used in decentralized finance (DeFi) applications. You may redeem sPOL for the underlying POL (plus accrued rewards, minus applicable fees and any slashing losses) subject to the unbonding period described in Section 4.5 below.
3. No Investment Advice; Role of Polygon Labs
sPOL is not an investment product and nothing in these sPOLTerms or on any Polygon Labs interface constitutes investment, financial, legal, or tax advice. You are solely responsible for evaluating the merits and risks of using sPOL.
Polygon Labs acts solely as a technology provider in connection with sPOL. It operates and maintains the smart contracts through which POL is deposited, sPOL is minted and redeemed, and staking rewards are distributed. These functions are performed programmatically through self-executing code. Polygon Labs does not manage your assets on a discretionary basis, does not guarantee any return, and does not provide any financial, custodial, or advisory services in connection with sPOL. You should seek independent legal and tax advice in your jurisdiction before depositing or transacting in sPOL.
4. Risk Disclosures
PLEASE READ THE FOLLOWING RISK DISCLOSURES CAREFULLY. STAKING POL AND HOLDING sPOL INVOLVES SIGNIFICANT RISKS, INCLUDING POSSIBLE LOSS OF YOUR ENTIRE DEPOSIT. DO NOT STAKE MORE THAN YOU CAN AFFORD TO LOSE.
4.1 Smart Contract Risk
sPOL is minted, held, and redeemed through on-chain smart contracts. Although Polygon Labs has commissioned multiple third-party security audits of these contracts, audits do not guarantee the absence of vulnerabilities. Smart contracts may contain undiscovered bugs, logic errors, or exploitable vulnerabilities. A successful exploit could result in partial or total loss of deposited POL. Polygon Labs cannot freeze, reverse, or recover assets lost due to a smart contract vulnerability. You interact with these smart contracts at your own risk.
4.2 Slashing Risk
Validators who secure the Polygon network may be penalized ("slashed") for malicious behavior or protocol violations (e.g., double-signing or extended downtime). sPOL delegates staking across a diverse validator set to reduce concentration, but slashing events reduce the underlying POL backing your sPOL and may result in you receiving less POL upon redemption than you deposited. Polygon Labs does not guarantee protection against slashing losses; slashing risk passes through to sPOL holders.
4.3 Liquidity Risk
The value of sPOL may fluctuate based on market conditions, protocol events, or broader crypto market dynamics. There is no guarantee of liquidity in secondary markets for sPOL. If you need to exit your position quickly, you may be unable to do so at a favorable price or at all. Redemption of sPOL for POL is also subject to the unbonding period described in Section 4.5 below.
4.4 De-Peg Risk
sPOL may trade at a price on secondary markets that differs—sometimes materially—from its underlying protocol redemption value in POL. During periods of high volatility, low liquidity, or network stress, the market price of sPOL may be significantly below the redemption value of the underlying POL. The market exchange rate of sPOL to POL is not guaranteed to reflect the protocol redemption rate at any time.
4.5 Redemption & Unbonding Risk
Redemptions of sPOL for POL are subject to an unbonding period imposed by the Polygon protocol, which currently ranges from approximately 2–3 days but is subject to change by protocol governance without notice. During the unbonding period, your POL is not accessible and you will not receive staking rewards on unbonding amounts. In periods of high redemption demand, queue times may be extended. Polygon Labs does not control unbonding periods and cannot accelerate them.
4.6 Network & Validator Performance Risk
Validator performance, downtime, or penalties can reduce staking rewards over time. Network congestion or outages can delay deposits, redemptions, and transfers of sPOL. Polygon Labs does not guarantee any specific level of validator performance or any minimum rate of staking rewards.
4.7 No Return Guaranteed
Staking rewards are variable, denominated in POL, and depend on network-level emission rates, total staked supply, validator fees, and Polygon Labs' applicable service fee. Historical returns figures are not indicative of future returns. Polygon Labs does not guarantee any rate of return. Fees charged by Polygon Labs are configurable and may change; any fee changes will be disclosed in accordance with applicable governance processes.
4.8 DeFi & Third-Party Protocol Risk
If you use sPOL in third-party DeFi protocols (e.g., lending markets, liquidity pools, or yield aggregators), you assume all additional risks of those protocols, including smart contract risk, oracle manipulation risk, liquidation risk, and counterparty risk. Polygon Labs does not endorse, operate, audit, or take responsibility for any third-party protocol. Use of sPOL in DeFi may involve additional fees, lock-up periods, or loss of principal.
4.9 Regulatory & Legal Risk
The regulatory treatment of liquid staking tokens, including sPOL, is evolving and varies across jurisdictions. sPOL may be restricted or prohibited in your jurisdiction. Changes in law, regulation, or enforcement practice—including actions by the SEC, CFTC, or international regulators—could materially affect the value, liquidity, legality, or continued availability of sPOL. Polygon Labs may restrict or discontinue sPOL services at any time to comply with applicable law.
4.10 Geo-Restriction & Sanctions Compliance
Access to sPOL and related interfaces is restricted for persons located in, or nationals of, the following jurisdictions: China, Cuba, Iran, Syria, North Korea, and the Ukraine regions of Crimea, Donetsk, and Luhansk. Access is also prohibited for persons on any applicable sanctions list maintained by OFAC, the EU, the UN, or the UK (collectively, "Sanctions Lists"). Polygon Labs reserves the right to update this list to comply with applicable law. By accessing sPOL, you represent and warrant that you are not located in a restricted jurisdiction and are not listed on any Sanctions List.
4.11 Tax Risk
Staking rewards, redemptions of sPOL for POL, and secondary market transactions in sPOL may constitute taxable events in your jurisdiction. Polygon Labs does not provide tax advice. You are solely responsible for determining and meeting any tax obligations arising from your use of sPOL. Tax treatment of liquid staking tokens is uncertain in many jurisdictions and may change.
4.12 Custody & Key Management Risk
You are solely responsible for the safekeeping of your private keys and wallets used to hold sPOL. Polygon Labs does not have custody of your sPOL or your wallet private keys. Loss of private keys will result in permanent, irreversible loss of your sPOL and the underlying POL. Polygon Labs cannot recover lost or stolen sPOL.
4.13 Bridge & Cross-Chain Risk
sPOL supports staking and redemption on both Ethereum and Polygon. Cross-chain transfers may involve bridge protocols operated by third parties or by Polygon Labs. Bridge exploits, oracle failures, and cross-chain messaging delays may result in loss of, or delays in accessing, your assets. Polygon Labs is not liable for losses arising from third-party bridge or cross-chain infrastructure.
4.14 Governance & Protocol Change Risk
The Polygon protocol, including staking mechanics, emission rates, fee structures, and validator selection logic, is subject to governance decisions made by the Polygon Protocol Council and/or token governance. Governance decisions may materially and adversely affect the value or functionality of sPOL. Polygon Labs does not control governance outcomes and cannot guarantee that future protocol changes will be favorable to sPOL holders.
4.15 Technology & Upgrade Risk
Polygon Labs may upgrade, modify, or deprecate sPOL smart contracts or related interfaces. In the event of a migration, you may be required to take action to migrate your sPOL to a new contract. Failure to migrate in a timely manner may result in loss of access to staking rewards or reduced functionality. Polygon Labs will endeavor to provide advance notice of material upgrades but cannot guarantee any specific notice period.
5. User Representations & Eligibility
By using the sPOL Service, you represent and warrant that:
You are at least 18 years of age and have the legal capacity to enter into these sPOL Terms in your jurisdiction.
You are not located in, or a national of, any restricted jurisdiction listed in Section 4.10.
You are not listed on any Sanctions List referenced in Section 4.10.
You have read and understand these sPOL Terms and the risk disclosures herein.
You are not relying on any representation by Polygon Labs as to the expected return, security status, or tax treatment of sPOL.
You have obtained independent legal, financial, and tax advice as you deem appropriate.
Your use of sPOL complies with all applicable laws and regulations in your jurisdiction.
Your use of sPOL will not violate any Applicable Laws in your respective jurisdiction, or the Terms, or the rights of any third party.
You are responsible for ensuring that your use of sPOL is, and remains lawful despite changes to Applicable Laws, your domicile and circumstances.
6. Fees
Polygon Labs charges a service fee on staking rewards generated through the sPOL protocol. Polygon Labs reserves the right to adjust fees at any time, subject to applicable governance processes and reasonable prior notice. All fees are non-refundable.
7. Disclaimers
The sPOL Service is provided on an "AS IS" and "AS AVAILABLE" basis. To the fullest extent permitted by applicable law, Polygon Labs expressly disclaims all warranties, express or implied, including without limitation warranties of merchantability, fitness for a particular purpose, non-infringement, and any warranties arising from course of dealing or usage of trade. Polygon Labs does not warrant that the sPOL Service will be uninterrupted, error-free, or free from exploits or vulnerabilities.
8. Limitation of Liability
To the fullest extent permitted by applicable law, Polygon Labs' aggregate liability to you in connection with sPOL shall not exceed the total fees paid by you to Polygon Labs in connection with sPOL in the 12 months preceding the claim. Polygon Labs is not liable for any indirect, special, incidental, consequential, or punitive damages, including loss of profits, loss of staking rewards, or loss of data, even if advised of the possibility of such damages.
9. Modifications
Polygon Labs may modify these sPOL Terms at any time by posting a revised version to the applicable interface and updating the "Last Updated" date. Your continued use of the sPOL Service following any modification constitutes acceptance of the revised terms. Material changes will be communicated with reasonable advance notice where practicable.
10. Governing Law; Dispute Resolution
These sPOL Terms and any dispute arising out of or relating to the sPOL Service are governed by and construed in accordance with the laws of the Cayman Islands, without regard to conflict of law principles. All disputes shall be resolved in accordance with the dispute resolution and arbitration provisions set forth in the Polygon Labs General Terms of Use, which are incorporated herein by reference.
11. No Unlawful Use
The Terms, including any policies that expressly incorporate the Terms by reference, constitute the entire agreement between you and us regarding the subject matter herein. The Terms supersede all prior or contemporaneous representations, understandings, agreements, or communications between you and us, if any, whether written or verbal, regarding the subject matter of the Terms.
12. Incorporation by Reference
The following Polygon Labs policies are incorporated into these sPOL Terms by reference:
General Terms of Use
Privacy Policy
In the event of any conflict or inconsistency between these sPOL Terms and the General Terms of Use — including any provisions relating to permitted use, disclaimers, indemnification, or limitation of liability — these sPOL Terms will prevail to the extent of the conflict, solely with respect to the sPOL Service. The General Terms of Use continue to apply in full to all other Polygon Labs products, interfaces, and services.