> For the complete documentation index, see [llms.txt](https://docs.paperstrategy.xyz/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs.paperstrategy.xyz/reference/risks.md). # Risks Read this before buying. PaperStrategy is experimental and you can lose everything you put in. * **You can lose everything.** PSTR has no floor price and no redemption. Its value depends on people trading it. * **The tax.** A buy and a sell cost about 19% before anything else. * **The launch window.** In the first minutes the tax is far above 10%. A trade made then loses most of its value. * **Papertrade.** Everything depends on a new protocol: its contracts, its rules, its revenue. If PAPER earns little, buybacks are small. If Papertrade fails, the treasury's PAPER is worth nothing. * **The strategy.** Acquiring PAPER means losing USDC on purpose. Done badly, it acquires PAPER at a bad price. Its exact rules are not published. * **The team.** In V1 the team holds the keys of the Papertrade accounts and controls the contracts' settings through its multisig, without delay. The accounting is public; the trust is not removed. * **The contracts.** Tested and rehearsed on mainnet with test tokens. * **Liquidity.** One pool. Large trades move the price a lot. --- # Agent Instructions This documentation is published with GitBook. GitBook is the documentation platform designed so that both humans and AI agents can read, navigate, and reason over technical content effectively. Learn more at gitbook.com. ## Querying This Documentation If you need additional information that is not directly available in this page, you can query the documentation dynamically by asking a question. Perform an HTTP GET request on the current page URL with the `ask` query parameter, and the optional `goal` query parameter: ``` GET https://docs.paperstrategy.xyz/reference/risks.md?ask=&goal= ``` `ask` is the immediate question: it should be specific, self-contained, and written in natural language. `goal` is optional and describes the broader end goal you are ultimately trying to accomplish on behalf of the user. GitBook uses it to tailor the answer towards what is most useful for that goal. The response will contain a direct answer to the question and relevant excerpts and sources from the documentation. Use this mechanism when the answer is not explicitly present in the current page, you need clarification or additional context, or you want to retrieve related documentation sections.