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MELIAN DIALOGUE
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RISK DISCLOSURE

Effective Date: 22 February 2026 Applicable to: All Users of the Melian Dialogue Platform.

Melian Dialogue Limited ("the Company") issues this Risk Disclosure to make explicit the material limitations of simulated trading. It should be read together with the Terms of Service, the Privacy Policy, and the Disclaimer & Limitation of Liability. Capitalised terms not defined here have the meaning given in the Terms of Service.

1. The Platform is a Simulator, Not a Broker

The Melian Dialogue Platform is an educational trading evaluation simulator. Every order routed through the Platform executes against a proprietary synthetic tick engine (with select instruments overlaid on live-priced data feeds from FMP and Mansa Markets for verisimilitude). No real-world securities, derivatives, currency contracts, digital assets, or commodities are bought, sold, or held by the Company on the User's behalf. The Company is not a licensed stockbroker, dealer, investment adviser, fund manager, or custodian and does not accept, hold, or manage client money for investment purposes.

2. Simulated Performance Does Not Guarantee Live Financial Market Results

Any profit, loss, ranking, share card, Behavioral Alpha (alpha_beh) figure, or leaderboard position generated on the Platform reflects hypothetical performance on simulated tick data only and does not guarantee — or even reliably predict — the User's future performance in any live financial market. Backtested and simulated results carry a number of well-documented limitations, including but not limited to:

  • Absence of slippage under stress — real-market fills degrade during news events, wide spreads, and low liquidity windows in ways the simulator can only approximate.
  • Absence of counterparty risk — real brokers, exchanges, and clearing houses can fail, halt trading, or refuse fills.
  • Absence of psychological cost of real capital — the User's decision-making in the simulator is not exposed to the same emotional and cognitive stresses that arise when their own money is at stake, notwithstanding the platform's cognitive-friction coaching.
  • Absence of regulatory friction — real-market participation requires KYC, tax withholding, position reporting, and brokerage compliance approvals that are all bypassed by the Platform's virtual environment.

3. Obondo BI, Kimani, and Behavioral Alpha — Educational Signals Only

The Obondo behavioural business-intelligence co-pilot, the Kimani free-tier tutor, the 11-layer cognitive guardrail stack, the Monte Carlo scenario simulator, the Behavioral Alpha (alpha_beh) benchmark, and every other AI-generated output produced by the Platform are educational commentary and coaching signals — never personalised investment advice, never solicitations to buy or sell a specific security, and never guarantees of any particular outcome. The Company deliberately withholds the raw sensor-fusion weights, per-layer coefficients, and execution intercept code paths of these systems (which are patent-pending trade secrets) so that Users cannot game the metrics; conversely, Users acknowledge that the same opacity means they cannot audit or reverse-engineer the coaching logic.

4. Layer 11 Rule 11 (2% Risk Throttle) Is Non-Negotiable

The Platform enforces a hard cap that no single simulated order may risk more than 2 % of the trader's account equity (see Terms § 7A.1). This limit is intentionally severe. Users may not opt out of Rule 11 on any tier. Users who transfer any strategy from the Platform to a live-market broker are strongly advised to configure equivalent (or stricter) risk-per-trade limits on that broker.

5. Opt-Out Consequences

Where a User opts out of any of Layer 11 Rules 2–10 via the Dual-Key verification modal (see Terms § 7A.2), the User accepts sole responsibility for any losses (simulated or otherwise) that the deactivated rule would have prevented. All opt-outs are recorded in an immutable compliance audit log and may be surfaced to the User's Institutional User (MoE or CMA) for evaluation-scoring purposes.

6. Behavioural Telemetry Is Not a Substitute for Professional Advice

The behavioural telemetry the Platform collects (Section 3.8 of the Privacy Policy) is used exclusively to compute in-app coaching prompts and the Behavioral Alpha metric. It does not constitute a psychological, psychiatric, or medical assessment, is not diagnostic, and is not shared with any healthcare or licensed clinical professional. Users who suspect problem-gambling behaviours, compulsive trading, or any related psychological distress should consult a licensed mental-health practitioner.

7. Regulatory Posture

Melian Dialogue Limited is incorporated in Kenya and operates on the strict boundary conditions set out in the Terms of Service: zero client trading funds, purely simulated trading, and no consumption of real (live or delayed) NSE data. The Company is pursuing a formal No-Action Letter from the Capital Markets Authority of Kenya but does not hold, and does not represent itself as holding, a CMA licence.

8. No Warranty as to Continuity

The Company does not warrant that the Platform will be available continuously, that its synthetic tick engine will remain deterministic across future releases, or that any historical simulated result will remain reproducible on future versions of the Platform. Users must not treat the Platform as a system of record for tax, audit, or evidentiary purposes.

9. Contact

By continuing to use the Platform, the User confirms that they have read, understood, and accepted this Risk Disclosure in full.

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