We'll Be Right Back

1 Platform Disclaimer

This trading platform is operated by Farr Holdings & Finance as the Capital Trading Exchange (CTX) platform. By using this platform, you acknowledge that all trading activity is conducted at your own discretion and risk.

Clem Farr, Farr Holdings & Finance, and the CTX platform are not responsible for any money lost through trading activity on this platform. You are solely responsible for your trading decisions and their outcomes.

2 Fees & Charges

2.1 Bid-Ask Spread (0.5%)

All trades on this platform are subject to a 0.5% bid-ask spread. This means:

• When buying, you pay the "ask" price (0.25% above market price)
• When selling, you receive the "bid" price (0.25% below market price)
• This spread applies to all stocks, cryptocurrencies, and options trades
• The spread fee is collected by the platform on every transaction

Example: If AAPL is trading at $150.00, you would buy at $150.375 and sell at $149.625. A round-trip trade costs approximately 0.5% of your position.

2.2 Weekly Cash Maintenance Fee (2%)

A 2% maintenance fee is applied weekly to all cash balances held in user accounts. This fee:

• Is deducted automatically from your available cash balance
• Does not apply to funds invested in positions
• Does not apply to funds pending withdrawal
• Encourages active trading and investment

3 Trading Stocks & Cryptocurrency

3.1 Buying (Long Positions)

When you buy shares, you are purchasing ownership of that asset at the current ask price. You profit when the price rises and can sell at any time to close your position and realize gains or losses.

3.2 Short Selling

Short selling allows you to profit from falling prices. When you open a short position:

• You borrow shares and immediately sell them at the current bid price
• 100% margin of the position's notional value is required and locked
• You profit if the price falls (you buy back cheaper)
• You lose if the price rises (you buy back at a higher price)
• Warning: Short positions have theoretically unlimited loss potential if prices rise significantly

To close a short position, you "cover" by buying back shares at the current ask price. Your margin is released and adjusted for profit/loss.

4 Options Trading

Options are complex instruments. Please ensure you understand them before trading.

4.1 What Are Options?

Options give you the right (but not obligation) to buy or sell an asset at a predetermined "strike" price before expiration. On this platform:

• Call Options profit when the underlying asset's price rises above the strike price
• Put Options profit when the underlying asset's price falls below the strike price
• All options are cash-settled (no actual shares change hands at expiration)
• Options can be closed early at any time before expiration

4.2 Option Pricing & Time Decay (Theta)

An option's price (premium) consists of two components:

• Intrinsic Value: The immediate profit if exercised now
• Time Value: The "hope premium" that decays as expiration approaches

Critical: Even if the stock price doesn't move, your option loses value every single day due to time decay. OTM options will decay completely to $0 at expiration.

4.3 Writing/Selling Options (SHORT) - HIGH RISK

When you write (sell) an option:

• Margin is required and locked as collateral
• Losses CAN EXCEED the locked margin
• Additional losses are deducted from your balance
• If margin becomes insufficient, positions may be force-liquidated
• Other positions may be auto-sold to cover shortfalls
• NAKED CALLS HAVE UNLIMITED LOSS POTENTIAL

5 Withdrawals

When you request a withdrawal:

• The requested funds are immediately locked and unavailable for trading
• Withdrawal requests require administrator approval
• Approved funds are released; declined requests return funds to your available balance

6 Fixed-Term Bonds

6.1 Bond Overview

Fixed-term bonds allow you to lock your funds for a predetermined period in exchange for interest. Bonds come in four credit tiers with different risk/reward profiles.

6.2 Credit Tiers

• Treasury: 0% default risk, 0.1-1.5% interest, min $1,000
• Investment Grade: 5% default risk, 0.4-5% interest, min $5,000
• High Yield: 8-20% default risk, 1-15% interest, min $10,000
• Junk Bond: 15-40% default risk, 2-30% interest, min $15,000

6.3 Available Terms

Bonds are available in 1-day, 7-day, 14-day, and 30-day terms. Longer terms offer higher interest rates. 1-day bonds have lower default risk than longer terms.

6.4 Bonus Interest

Larger deposits earn bonus interest (excludes Treasury bonds):

• $50,000+ deposits: +1% bonus interest
• $100,000+ deposits: +2% bonus interest

6.5 Creation Fee

A 0.5% creation fee is charged when you create a bond. This fee is deducted from your balance in addition to your principal deposit.

6.6 Default Risk

Non-Treasury bonds may default at maturity. If a bond defaults, you receive only a portion of your principal (recovery rate varies by tier). Treasury bonds cannot default.

6.7 Early Withdrawal Penalties

WARNING: Withdrawing funds before maturity results in severe penalties:

• Complete forfeiture of all accrued interest
• A penalty of 5-40% of principal (based on amount and tier)

6.8 Acknowledgment

By creating a bond, you acknowledge that you understand the lock period, default risk, and severe penalties for early withdrawal. Bonds are designed to be held to maturity.

7 User Exchange (Player-Listed Companies)

7.1 Overview

The User Exchange allows players to list their own companies, sell shares to other players, and trade player-created stocks. This is separate from real-world stocks and operates entirely within the platform economy.

7.2 Listing a Company (IPO)

When you list a company:

• A 3% platform fee is charged on the total IPO valuation upfront
• You may sell up to 49% of your company at IPO
• You must retain at least 51% ownership at all times
• When shares sell, you receive 50% of proceeds; 50% is held as collateral

7.3 Owner Revenue Streams

As a company owner, you can profit through:

• IPO Proceeds: 50% of each share sale goes to your wallet
• Dividend Income: You receive dividends on your own shares
• Trading Fee Share: You receive 25% of all trading fees on your stock
• Stake Appreciation: Your 51%+ stake grows as the company succeeds

7.4-7.10 Additional Exchange Terms

Additional terms covering dividends, collateral requirements, trading fees, buyout/delisting procedures, liquidation rules, investor protections, and startup listings apply. Full details are available within the platform.

8 Fair Use Policy & Bug Reporting

8.1 Prohibited Conduct

You agree NOT to:

• Exploit bugs, glitches, or errors for personal gain
• Manipulate the system in ways clearly not intended by its design
• Use automated tools, scripts, or bots to interact with the platform
• Attempt to circumvent any platform restrictions or security measures
• Collude with other users to manipulate prices or game the system

8.2 Consequences of Violations

Any trades made utilizing bugs, exploits, or system manipulation may be reversed, voided, or not honored at the administrator's sole discretion.

8.3 Obligation to Report

You have an obligation to immediately report any bugs or unexpected behavior you discover.

13-14 Lottery & Prediction Markets

Lottery ticket purchases and prediction market bets are non-refundable. Lottery winners are selected randomly. Prediction markets are resolved by administrators and their decisions are final. Winning is not guaranteed.

15-16 Marketplace & Referral Program

The Marketplace is peer-to-peer with a 5% platform fee. The platform does not mediate disputes. The Referral Program provides bonuses and ongoing commission, with terms subject to change.

20 Privacy & Confidentiality

All user data is held in strict confidentiality. Data will only be released under valid court order. Internal use for platform operation, security, and compliance is permitted.