Terms of Use

Milestone 2 Final Draft v1.2

Status: Milestone 2 final legal draft.

Last Updated: 16 September 2026

1. INTRODUCTION

These Terms of Use (the Terms) govern your access to and use of the VersusArena website, applications, Competition functionality, wallet-related interfaces and related services (collectively, the Platform).

The Platform is operated by [FULL LEGAL NAME], a company incorporated in Costa Rica under registration number [●], with registered address at [●] (VersusArena, we, us or our).

By creating an account, you agree to these Terms. Our Privacy Policy explains how VersusArena processes personal data and is made available at account creation. Before you first enter or fund a paid Competition, you must accept the then-current Competition Rules and Refund Policy. For each paid Competition, you must also accept the material Competition Parameters presented before funding. Where required for an EEA consumer, a separate request for immediate commencement of the paid Competition service and acknowledgement concerning the statutory withdrawal right will be collected before funding. VersusArena may require renewed acceptance of materially updated Competition Rules, Refund Policy or Terms before further paid participation.

If you do not agree, do not use the Platform.

2. NATURE OF THE PLATFORM

VersusArena provides technology and competition services that allow eligible users to participate in skill-based video-game competitions, including competitions using Counter-Strike 2 (CS2).

Participants compete against other participants based on their own gameplay and performance. VersusArena does not offer sportsbook-style wagering, odds, spectator betting, or third-party betting on Competition outcomes, and VersusArena does not participate as the opposing player or team.

The legal treatment of paid skill competitions may differ between jurisdictions. Paid functionality is therefore made available only in jurisdictions enabled by VersusArena and may be restricted, suspended or disabled where required for legal, regulatory, compliance, provider or commercial reasons.

Nothing in these Terms is a representation that every feature of the Platform is lawful or available in every jurisdiction.

3. ELIGIBILITY

You may use paid Competition functionality only if:

(a) you are at least 18 years old;

(b) you have legal capacity to enter into a binding agreement;

(c) the relevant service is available in your actual geographic location and, where applicable, your country of residence;

(d) you are not subject to applicable sanctions or other restrictions that prevent us or our service providers from servicing you;

(e) you complete any identity, age, geographic or compliance checks required for your account, Competition or transaction; and

(f) your use of the Platform does not violate applicable law.

We may refuse, restrict or suspend access where eligibility cannot be verified.

You must not use a VPN, proxy, location-spoofing tool or other method to circumvent geographic restrictions.

Your stated country of residence and your actual geographic location may be assessed separately. Proof of residence does not replace any geolocation check required when you access paid functionality.

4. ACCOUNT REGISTRATION AND STEAM

You may be required to sign in using Steam or another supported identity or game-account service.

You must maintain accurate account information and keep your authentication methods secure. You are responsible for activity conducted through your account except to the extent applicable law provides otherwise.

You may not sell, transfer, share or permit another person to use your account to participate in a Competition.

You may not create or control multiple accounts to circumvent eligibility rules, limits, compliance controls, Competition rules or account restrictions, or to obtain an unfair advantage.

Steam, Valve and other third-party game or account services are independent providers. Their terms, permissions, tournament requirements, availability and technical performance are outside VersusArena's control. VersusArena may restrict or suspend a CS2 Competition where reasonably necessary to comply with an applicable third-party requirement.

5. COMPETITIONS

Paid Competitions are governed by the Competition Rules and the Competition Parameters displayed or otherwise made available before entry.

Competition formats may include 1v1, 2v2 and 5v5, subject to the formats actually enabled for the relevant jurisdiction and product version.

By entering a Competition, you accept the material Competition Parameters shown to you before funding. These may include the format, participating users or teams, Participation Amount, Platform Fee, payout logic, refund logic, Funding Deadline, result-review window, scheduled date or performance period where applicable, start conditions and other material rules applicable to that Competition.

For consumers in the EEA, certain Competitions that constitute services related to leisure activities and are provided for a specific date or period may fall within an exception to the statutory right of withdrawal. VersusArena does not assume that this exception applies to every Competition format. Where a statutory withdrawal right may otherwise apply and performance is to begin during the withdrawal period, we will require, where applicable, an express request before funding for immediate commencement of the paid Competition service and an acknowledgement that the withdrawal right will be lost once the service has been fully performed. Any non-waivable right that remains before full performance continues to apply in accordance with mandatory law and the Refund Policy.

Competition results are determined primarily from Official Match Data, including server records, MatchZy records, logs, demo files and other reliable technical evidence, as further described in the Competition Rules.

6. USER-CONTROLLED WALLETS

The Platform may make available blockchain wallet functionality through Circle or another wallet-infrastructure provider.

The Platform uses User-Controlled Wallets for the relevant wallet functionality. Sensitive wallet operations require authorization by the user through the relevant wallet-provider approval mechanism. VersusArena does not receive or control your private key or equivalent authentication secret merely because wallet functionality is made available through the Platform.

You are responsible for maintaining access to your wallet authentication method. Where the wallet provider does not permit VersusArena to recover access on your behalf, VersusArena may be unable to restore wallet access if you lose your authentication method.

Wallet functionality is subject to the technical, security and compliance controls of the relevant wallet-infrastructure provider.

7. FUNDING A COMPETITION

To enter a paid Competition, a Participant may fund their own Participation Amount or, where expressly supported for a team Competition, a team captain may fund Participation Amounts for the team. For purposes of these Terms, a Payer is the Participant or supported team captain whose User-Controlled Wallet actually funds the relevant Participation Amount, and the Original Payer is the Payer to whom any refund of that amount is returned.

Before funding, the Competition Parameters must show the funding method, the Participation Amount or aggregate Participation Amounts being funded by the Payer and, for a captain-funded team, the selected winning-payout mode. That mode must be fixed before funding as either payout to the captain or the pre-agreed distribution among the winning team's Participants.

The Payer must personally authorize the relevant Competition transaction. Competition funding uses authorization of the specific amount or aggregate amount the Payer is funding for that Competition and does not rely on an unlimited token allowance that would permit unrestricted future transfers by VersusArena. A Participant whose Participation Amount is funded by a team captain is not treated as the Original Payer of that amount.

A Competition is not treated as funded until the relevant transaction satisfies the confirmation requirements of the Platform.

Blockchain conditions, wallet restrictions, compliance screening, insufficient balance, smart-contract failure or other technical issues may prevent or delay funding.

Once your Participation Amount has been transferred to the applicable Tournament Smart Contract, it becomes subject to the predetermined payout and refund logic applicable to that Competition.

VersusArena does not represent that a Participation Amount is held in a bank account, statutory safeguarded account or legal escrow arrangement unless expressly stated otherwise in writing.

8. TOURNAMENT SMART CONTRACT

The settlement architecture uses a Tournament Smart Contract to receive user-authorized Participation Amounts and execute payout or refund according to predetermined Competition Parameters.

Once a Competition is funded, the material settlement data for that Competition are fixed on-chain and cannot be changed by the VersusArena backend. This includes the relevant Participants or source wallets, Participation Amounts, prize structure, disclosed Platform Fee, payout logic and refund logic.

VersusArena submits only one predefined Competition Outcome based on the verified result or permitted review process: Team A Wins, Team B Wins, or Void/Refund. VersusArena does not submit recipient addresses or payout amounts after funding.

The Tournament Smart Contract determines and executes the payout or refund corresponding to the submitted predefined Outcome under the rules fixed for that Competition.

An administrator reviewing a Competition dispute is limited to selecting one of the predefined Outcomes already permitted by the Competition logic. The administrator cannot manually allocate funds or create a new recipient or payout amount.

VersusArena does not have a function allowing arbitrary withdrawal or redirection of Participant USDC, a post-funding change of the fee recipient, or a post-funding change of the participant composition. Emergency handling is limited to the predefined refund path to the original Funding Wallets or original payers. Any pause function may delay execution for a legitimate technical, security, integrity or compliance reason but must not permit arbitrary changes to recipients, amounts, the Platform Fee or the funded Competition parameters.

If the relevant smart contract is upgradeable, any later upgrade must apply prospectively and must not retroactively alter the material economic or settlement terms of a Competition that was already funded before the upgrade.

9. RESULT REVIEW, FINAL OUTCOME AND SETTLEMENT

For every paid Competition, a displayed or initially recorded match result remains provisional during the applicable result-review period and does not become the final settlement Outcome until that period expires without a timely dispute or any timely review is completed.

VersusArena may delay submission of the final predefined Outcome to the Tournament Smart Contract while a timely Competition dispute, technical review, cheating investigation, fraud review or other review permitted by the Competition Rules is pending.

Once the applicable review process has concluded and the final predefined Outcome is submitted to the Tournament Smart Contract, the contract executes settlement according to its predetermined logic.

After on-chain settlement has been executed, VersusArena may not be able to reverse the transaction. Any later restriction affecting a User-Controlled Wallet may instead be imposed by Circle or another relevant infrastructure provider under its own compliance or technical controls.

The result-review period for each paid Competition must be disclosed before funding through the Competition Parameters and displayed or otherwise made available when the result is recorded. Once that period expires without a timely dispute, or once a timely review is completed, the resulting predefined Outcome may be submitted as the Final Outcome.

10. PLATFORM FEE

VersusArena charges a Platform Fee equal to 10% of the aggregate Participation Amounts in a successfully completed Competition.

The Platform Fee becomes payable only when a valid final winning Outcome is determined and Settlement occurs under the Competition Rules.

No Platform Fee is charged where a Competition is treated as Void and the applicable Participation Amounts are returned under the predetermined refund logic.

Blockchain network costs, wallet-provider fees or other third-party charges are separate from the Platform Fee. VersusArena may sponsor gas or network fees through supported infrastructure, but is not required to do so unless expressly stated.

11. PAYOUTS, REFUNDS AND WALLET AVAILABILITY

Competition payouts and refunds are governed by these Terms, the Competition Rules, the Refund Policy, the Competition Parameters and the applicable smart-contract logic.

A valid payout is executed by the Tournament Smart Contract to the User-Controlled Wallet or wallets determined by the predetermined Competition logic. For team formats, the funding method and payout allocation must be disclosed and fixed before funding. Where a captain funds the team, the Competition Parameters must state whether the winning payout goes to the captain or is distributed among the winning team's Participants according to the pre-agreed allocation.

Where the Final Outcome is Void/Refund, or where a pre-start cancellation or expiry requires a return under the Competition Rules, the relevant Participation Amounts are returned through the predetermined refund logic to the applicable Original Payer or Original Payers, regardless of any winning-payout mode selected for a captain-funded team.

A Competition refund is different from a later transfer from a User-Controlled Wallet. A refund concerns the return of a Participation Amount under the Competition Rules or mandatory law. Once assets are available in a User-Controlled Wallet after Settlement, any later movement of those assets is a wallet transaction authorised through the applicable wallet-provider process and is not a Competition refund merely because you wish to move the assets elsewhere.

VersusArena does not guarantee that any blockchain transfer or wallet operation will be completed at a particular time. Transactions may be delayed, rejected or restricted by blockchain conditions, wallet-provider controls, sanctions screening, security controls or other lawful compliance measures.

12. KYC, AML, SANCTIONS AND RISK-BASED COMPLIANCE

We may use Sumsub and other service providers to perform age verification, identity verification, document checks, liveness or face-match checks, sanctions and PEP screening, ongoing monitoring and other risk-based compliance checks.

We may also use transaction, wallet, behavioral, geographic, device and account information to detect fraud, money laundering, sanctions risk, collusion, match-fixing, multi-accounting, unusual funding behavior or other misuse.

Proof of Address or Source of Funds is not intended to be required from every user by default. However, we may request additional information or enhanced verification where justified by applicable law, jurisdictional requirements, provider requirements or risk indicators.

Risk indicators may include unusually large or complex funding activity, minimal genuine Competition activity followed by rapid movement of assets, risky wallet exposure, geographic mismatch, linked accounts, repeated unusual opponent relationships, collusion indicators, PEP status or other elevated risk factors.

You must provide accurate information and reasonably cooperate with required compliance checks.

Where a relevant review is required before a final Competition Outcome is submitted, VersusArena may delay that submission to the extent permitted by the Competition Rules and applicable law. Separately, Circle or another infrastructure provider may independently reject, restrict or hold a wallet transaction under its own compliance controls.

13. GEOLOCATION AND JURISDICTIONAL RESTRICTIONS

Paid Competition functionality is available only in jurisdictions enabled by VersusArena. Availability may be controlled separately by product mode, including Private or invite-only Competitions and Open or publicly discoverable Competitions. Availability of one paid Competition mode in a jurisdiction does not mean that all other paid Competition modes are enabled there. Paid Competition functionality is not available to users located in the United States unless VersusArena expressly enables the United States following a separate legal, regulatory and provider review.

We may use IP information, device data, account information and other lawful signals to assess geographic eligibility.

We may add or remove jurisdictions from the supported list where reasonably necessary for legal, regulatory, compliance, provider or commercial reasons.

If a jurisdiction is removed, any already funded Competition or valid user entitlement will be handled in accordance with applicable law, the Competition Rules and the applicable smart-contract logic.

14. PROHIBITED CONDUCT

You must not:

(a) cheat or use unauthorized software, bots, scripts, exploits or technical manipulation;

(b) engage in collusion, match-fixing, intentional losing or prearranged results;

(c) allow another person to compete through your account;

(d) manipulate servers, connections, evidence, wallets or Competition data;

(e) create or use multiple accounts to circumvent rules, limits or controls;

(f) use the Platform for money laundering, sanctions evasion, fraud or other unlawful activity;

(g) engage in abusive, threatening or unlawful conduct against other users or Platform personnel;

(h) interfere with, exploit or attempt unauthorized access to the Platform, wallet infrastructure or smart contracts;

(i) reverse engineer, scrape or access non-public systems except to the extent expressly permitted by law; or

(j) circumvent geographic, security, compliance or technical controls;

(k) intentionally disconnect, abandon play or manipulate connectivity to manufacture a dispute, avoid an expected Competition result or gain an unfair advantage;

(l) submit fabricated, materially altered, misleading or knowingly false evidence in a Competition review; or

(m) misuse the dispute or support process in bad faith, including to harass another user, delay Settlement without a genuine basis or seek an Outcome to which you are not entitled.

15. CHEATING, COLLUSION, MATCH-FIXING AND COMPETITION INTEGRITY

VersusArena may investigate suspected cheating, collusion, match-fixing or other Competition manipulation using Official Match Data, account history, device or network signals, wallet relationships, transaction patterns, anti-cheat information, Participant evidence and other relevant information.

Where a review is initiated before final settlement, VersusArena may delay submission of the final predefined Outcome while the matter is investigated, subject to the Competition Rules.

If prohibited conduct is established, VersusArena may suspend or terminate the relevant account, restrict future participation, disqualify a Participant where permitted by the Competition Rules, and apply the predetermined Competition consequence available for the relevant circumstances.

VersusArena does not rely on a general unrestricted right to confiscate user funds. Any treatment of Competition funds following cheating, collusion, match-fixing, fraud or disqualification must follow the applicable Competition logic, these Terms, the Competition Rules and mandatory law.

Where prohibited conduct affects a Competition result, any monetary consequence must be one of the predefined Outcomes supported by the funded Competition and must correspond to rules disclosed before funding. VersusArena may not create a new payout path after funding.

16. COMPETITION DISPUTES

Competition-result disputes must be submitted in accordance with the Competition Rules and within the applicable dispute window.

VersusArena may review Official Match Data, Participant evidence, account information, anti-cheat information and other reliable evidence before determining the applicable final predefined Outcome.

This Competition review process is an internal product process for determining the Competition Outcome. It is not the same as legal arbitration or the dispute-resolution mechanism governing contractual disputes under Section 28 of these Terms.

The smart-contract architecture does not permit an administrator to create an arbitrary recipient address or payout amount during a Competition review. The administrator is limited to one of the predefined Outcomes already supported by the funded Competition.

You must report a known result, rule, technical or integrity issue without undue delay where a reasonable reporting method is available. If an issue was plainly visible before or during play and you knowingly continued without reporting it, VersusArena may take that delay into account when assessing the credibility, materiality and competitive effect of a later complaint.

Evidence submitted in a Competition review must relate to the relevant Competition and must not be fabricated, materially altered or knowingly misleading. Deliberate falsification or repeated bad-faith abuse of the dispute process may result in proportionate account restrictions, without creating any discretionary right for VersusArena to confiscate or manually redistribute Competition funds.

17. THIRD-PARTY SERVICES

The Platform depends on services provided by third parties, which may include Valve, Steam, Circle, Sumsub, blockchain networks, infrastructure providers, hosting providers and other technology providers.

VersusArena does not control those services and does not guarantee their uninterrupted availability.

Your use of a third-party service may be subject to that provider's own terms, privacy notices, technical rules and compliance requirements.

If a third-party provider restricts a wallet, transaction, account, jurisdiction or service, VersusArena may be unable to override that restriction.

18. INTELLECTUAL PROPERTY

Except for third-party rights, all rights in the Platform, including its software, interfaces, branding, documentation, original content, databases and related materials, are owned by or licensed to VersusArena.

Subject to these Terms, we grant you a limited, revocable, non-exclusive, non-transferable right to access and use the Platform for its intended personal use.

You may not copy, sell, sublicense, distribute, commercially exploit or create derivative works from our protected materials except where we expressly permit it or applicable law provides otherwise.

Counter-Strike, CS2, Steam, Valve and related marks or game content are owned by their respective rights holders. VersusArena does not claim ownership of third-party game intellectual property and is not affiliated with or endorsed by Valve unless expressly stated otherwise.

19. USER CONTENT AND EVIDENCE

If you submit screenshots, clips, dispute evidence, messages or other content to VersusArena, you retain ownership of your content but grant us a limited right to host, reproduce, review and use that content as reasonably necessary to operate the Platform, resolve Competition disputes, enforce these Terms, maintain security and comply with law.

You must not submit content that unlawfully infringes third-party rights or contains unlawful material.

20. TAXES

You are responsible for determining whether taxes, reporting obligations or other charges apply to amounts you receive through the Platform, except to the extent VersusArena is required by law to withhold, report or pay an amount on your behalf.

VersusArena does not provide personal tax advice.

21. SUSPENSION AND TERMINATION

We may suspend, restrict or terminate your account where reasonably necessary because of:

(a) violation of these Terms or the Competition Rules;

(b) cheating, fraud, collusion or match-fixing;

(c) sanctions, AML or other compliance concerns;

(d) failure to complete required verification;

(e) geographic ineligibility;

(f) security or technical risk;

(g) unlawful use; or

(h) a requirement imposed by law or a service provider.

Suspension or termination of an account does not by itself give VersusArena a general right to appropriate assets held in a User-Controlled Wallet or Tournament Smart Contract.

Any pending Competition and any valid user entitlement must be handled in accordance with applicable law, the Competition Rules, the relevant smart-contract logic and any lawful provider restriction.

22. PLATFORM AVAILABILITY AND CHANGES

We may modify, suspend or discontinue features of the Platform.

Product changes apply prospectively and do not retroactively alter the Participation Amount, payout formula, refund logic, Platform Fee or other fixed economic terms of an already funded Competition. If a legal, technical or security issue affects an already funded Competition, the Competition must be handled through the Competition Rules, the functions available under the pre-agreed smart-contract logic, or another lawful remedy rather than by rewriting its funded parameters.

We may conduct maintenance or emergency interventions that temporarily interrupt the Platform or prevent a Competition from proceeding. The treatment of an affected Competition is governed by the Competition Rules.

23. DISCLAIMERS

To the maximum extent permitted by applicable law, the Platform is provided on an as available basis.

VersusArena does not guarantee uninterrupted availability of Steam, Valve services, blockchain networks, wallets, smart contracts, internet connections, third-party compliance services or other external infrastructure.

VersusArena does not guarantee that every Competition will proceed without a technical issue. Technical failures are handled under the Competition Rules.

VersusArena does not guarantee the market value, price stability or transferability of USDC or any digital asset.

Nothing in these Terms excludes any warranty, right or remedy that cannot lawfully be excluded.

24. LIMITATION OF LIABILITY

To the maximum extent permitted by applicable law, VersusArena will not be liable for indirect, incidental, special, exemplary or consequential losses, including loss of profits, business opportunity or anticipated savings, arising from use of the Platform.

To the maximum extent permitted by applicable law, VersusArena's aggregate liability for a claim arising from a specific Competition will not exceed the greater of (i) the total Participation Amount actually funded by the claimant as Payer for that Competition and (ii) the Participation Amount allocated to the claimant's own participation in that Competition, in each case plus the portion of the Platform Fee attributable to the relevant participation. For claims not arising from a specific Competition, aggregate liability will not exceed the greater of (a) the total Platform Fees attributable to the claimant's completed Competitions during the 12 months preceding the event giving rise to the claim and (b) the greater of the amount actually funded by the claimant as Payer for the claimant's most recent Competition and the Participation Amount allocated to the claimant's own participation in that Competition. These caps do not create a right to recover an amount that the claimant has not otherwise established as recoverable loss under applicable law.

No limitation in these Terms applies to liability that cannot legally be limited or excluded, including liability arising from fraud, wilful misconduct or any other non-excludable category under applicable law.

These limitations apply only to the extent permitted by mandatory law and do not restrict any non-excludable consumer remedy.

25. INDEMNITY

To the extent permitted by applicable law, you agree to indemnify VersusArena against third-party claims, losses and reasonable costs arising directly from your unlawful use of the Platform, fraud, deliberate Competition manipulation, infringement of third-party rights or material breach of these Terms.

This Section does not require a consumer to indemnify VersusArena where such obligation would be prohibited or unenforceable under applicable law.

26. PRIVACY

Our processing of personal data is governed by the Privacy Policy and applicable privacy law.

Identity verification, sanctions screening, geolocation, fraud prevention and Competition-integrity controls may involve processing of personal data by VersusArena and relevant service providers.

27. CHANGES TO THESE TERMS

We may update these Terms from time to time.

Material changes will apply prospectively unless applicable law requires otherwise. We may require you to accept updated Terms before continuing to use paid functionality.

Changes to these Terms do not alter the Participation Amount, payout formula, refund logic, Platform Fee or other fixed economic terms of a Competition already funded before the change takes effect.

28. GOVERNING LAW AND CONTRACTUAL DISPUTE RESOLUTION

These Terms are governed by the laws of Costa Rica, without prejudice to mandatory consumer protections that may apply in the user's country of habitual residence.

Any contractual dispute that is not a Competition-result review under the Competition Rules will be subject to the competent courts of Costa Rica, except where mandatory law entitles a consumer to bring proceedings before another competent court.

Nothing in this Section limits any mandatory right a consumer may have to bring a claim before a competent authority or court where such right cannot lawfully be waived.

29. NOTICES AND CONTACT

Legal notices and support requests may be sent through the contact method designated on the Platform or to the legal or support email address published by VersusArena.

We may provide notices through the Platform, by email or by another reasonable electronic method associated with your account.

30. SEVERABILITY

If any provision of these Terms is held invalid or unenforceable, the remaining provisions remain in effect to the extent permitted by law.

31. ENTIRE AGREEMENT AND ORDER OF PRECEDENCE

These Terms, the Competition Rules, Refund Policy and any valid Competition-specific terms form the contractual framework governing your use of the relevant services. The Privacy Policy separately explains how personal data is processed. These documents may be presented at different stages of the user journey: these Terms at account creation, the Competition Rules and Refund Policy before first paid participation, and the applicable Competition Parameters before each funded Competition. Where required for an EEA consumer, any separate immediate-performance request and withdrawal-right acknowledgement is collected as a transaction-level confirmation before funding and supplements this contractual framework.

Mandatory applicable law prevails over contractual terms where required.

For a specific Competition, Competition Parameters or competition-specific terms expressly accepted before funding govern the specific commercial and operational parameters of that Competition.

The Competition Rules govern Competition mechanics, including result determination, technical failures, Competition disputes, Void treatment and settlement-related Competition logic. These Terms govern the broader contractual relationship, account use, eligibility, compliance, Platform use, liability and other general legal matters.

The Refund Policy supplements these Terms and the Competition Rules by explaining when a return of a Participation Amount may occur. It does not create a refund right that is inconsistent with the Competition Rules or mandatory law.

If an inconsistency remains after applying the scope rules above, these Terms prevail unless they expressly state that the Competition Rules or Refund Policy control the relevant issue.