Terms of Service




1. Definition of Terms

COINIZY accounts funds are held in trust by COINIZY  FINANCIAL SERVICES INC. for the exclusive benefit of all COINIZY account holders collectively.

1.1. "COINIZY USD"; means the currency backed by USD; the word "COINIZY"; is a registered trademark.

1.2. "Issuer"; means COINIZY Inc.

1.3. "Primary User/Virtual Card Holder"; means the User/Virtual Card Holder that creates the COINIZY account. Primary User/Virtual Card Holder is the owner of the account from the perspective of Issuer. Primary User/Virtual Card Holder may add additional User/Virtual Card Holders to the account. The Issuer shall treat all such additional User/Virtual Card Holders as agents or delegates of Primary User/Virtual Card Holder.

1.4. "Permissions"; means account access privileges granted by Primary User/Virtual Card Holder to designated additional User/Virtual Card Holders. Unless Primary User/Virtual Card Holder specifically limits permissions, such additional User/Virtual Card Holders have the same privileges as Primary User/Virtual Card Holder with certain exceptions, including, but not limited to (1) the ability to reassign Primary User/Virtual Card Holder status and (2) the ability to close the account.

1.5. "User/Virtual Card Holder"; means any user accessing a COINIZY account with permissions granted by Primary User/Virtual Card Holder.

1.6. "Available Balance"; means the total balance of a particular COINIZY account minus any accrued fees.

1.7. "Spend"; means the act of transferring value between COINIZY accounts. Spends are accounted in USD (or other foreign currency equivalent) and convey title to that precise amount of value. Spends may not exceed Available Balance.

1.8. "Passphrase"; means a series of characters, known only to User/Virtual Card Holder, deemed of suitable complexity as determined from time to time by Issuer. For purposes of this agreement, Passphrase also refers to other authentication mechanisms to which User/Virtual Card Holder and Issuer mutually agree.

2. Conditions of Use

User/Virtual Card Holder acknowledges that (i) COINIZY is not a bank (ii) COINIZY accounts are not insured by any government agency and (iii) COINIZY is not subject to banking regulations.

2.1. User/Virtual Card Holder Obligations. User/Virtual Card Holder agrees that all User/Virtual Card Holder obligations under this Agreement are the joint and several obligations of all the User/Virtual Card Holders with greater than read-only access to a particular account.

2.2. Identifying Information. User/Virtual Card Holder must provide Issuer with valid and accurate identifying information as determined from time to time by Issuer.

2.3. Protection of Passphrase

2.3.1. User/Virtual Card Holder is responsible for the protection of User/Virtual Card Holder’s Passphrase that gives access to User/Virtual Card Holder’s COINIZY account. User/Virtual Card Holder agrees that, in the event of the loss or misuse of User/Virtual Card Holder’s Passphrase, Issuer disclaims all liability for such loss. User/Virtual Card Holder shall indemnify and hold harmless Issuer for relying on transactions authorized using User/Virtual Card Holder’s Passphrase prior to such time as User/Virtual Card Holder notifies Issuer that User/Virtual Card Holder’s Passphrase has been compromised.

2.3.2. User/Virtual Card Holder acknowledges and accepts that in the case of a claim of unauthorized Spends, the presumption shall be that all Spends are authorized by and are the liability of the User/Virtual Card Holder.

2.3.3. User/Virtual Card Holder must not divulge User/Virtual Card Holder’s Passphrase to anyone else, nor may User/Virtual Card Holder use anyone else’s Passphrase. User/Virtual Card Holder agrees that Issuer will treat any person accessing User/Virtual Card Holder’s account using User/Virtual Card Holder’s Passphrase as the User/Virtual Card Holder.

2.3.4. Issuer is not responsible for losses incurred by User/Virtual Card Holder as the result of User/Virtual Card Holder’s misuse of a Passphrase.

2.3.5. User/Virtual Card Holder agrees that any action taken by any person using User/Virtual Card Holder’s Passphrase shall be binding on User/Virtual Card Holder and all other parties with an interest in that account.

2.4. Irrevocability of Spends

2.4.1. User/Virtual Card Holder agrees that all Spends initiated by User/Virtual Card Holder are final and not reversible.

2.4.2. User/Virtual Card Holder is responsible for all Spends from User/Virtual Card Holder’s COINIZY account, except as provided in section 2.3, even if the instructions provided by User/Virtual Card Holder are incorrect.

2.4.3 User/Virtual Card Holder understands and acknowledges that user is aware that COINIZY spends are irrevocable and that user agrees to follow the policy of buyer beware ("Caveat Emptor") when using COINIZY at various merchant sites.

2.4.4 User/Virtual Card Holder understands and acknowledges that COINIZY is registered and domiciled in Canada and that COINIZY follows the laws including, but not limited to, allowing gaming and gambling businesses to use COINIZY as a payment system, which may not be acceptable or legal in user's own jurisdiction.

2.4.5 User/Virtual Card Holder understands and acknowledges that COINIZY does not act as judge or jury or as law enforcement or as a court of law with respect to any disputes between users of COINIZY. User/Virtual Card Holder understands that any such involvement by COINIZY in the affairs of users of the system could expose COINIZY to civil legal liability, or possibly criminal liability, even if COINIZY believes that its actions are in good faith.

2.4.6 User/Virtual Card Holder understands and acknowledges that COINIZY has posted fraud alerts on its home page and that links to the fraud alerts and these Terms of Service appear (and must be acknowledged) before any spend or transfer can be made in user's COINIZY account. These fraud alerts specifically warn users not to use COINIZY to make spends or internal transfers to Ponzi or "HYIP" or other high yield investment-type programs and to make sure that user is made aware of the dangers of sending funds to unknown or poorly known internet sites. User/Virtual Card Holder has the right to completely ignore these warnings and instructions if user chooses so to do, but user acknowledges that user does NOT have the right to then blame COINIZY for not physically restraining user from doing foolish things with user's funds or for not policing the internet.

2.5. Disputes Between User/Virtual Card Holders

2.5.1. Any disputes that arise between User/Virtual Card Holders are not the responsibility of Issuer.

2.5.2. User/Virtual Card Holder acknowledges Issuer does not make any guarantees regarding purchases made when using the COINIZY service. User/Virtual Card Holder acknowledges that Issuer does not ensure the quality, safety, or legality of any merchandise received, nor that the seller will even ship the merchandise.

2.6. Indemnification

User/Virtual Card Holder agrees to indemnify and hold harmless Issuer, its agents, affiliates, officers, directors and employees from any claim or demand whatsoever relating to or arising out of User/Virtual Card Holder’s use of the COINIZY system, except for any loss caused by willful misconduct of Issuer.

3. Obligations of Issuer

Issuer shall honor these obligations:

3.1. Reserve Requirement

3.1.1. All funds in circulation shall be backed 100% at all times with unencumbered USD (or other currency that is held in User/Virtual Card Holder’s COINIZY account).

3.1.2. Under no circumstances will Issuer abrogate its obligation to back all electronic funds with (at least) 100% reserve USD.

3.2. User/Virtual Card Holder Interface

Issuer will ensure that a secure online User/Virtual Card Holder interface is made available.

3.3. Exchange Rates

Strictly for User/Virtual Card Holder’s convenience, Issuer may allow Spend order entry in terms of national currency units using an exchange rate specified by Issuer. Posted exchange rates are only for convenience of User/Virtual Card Holder. Issuer does not make a market for exchange and Issuer does not represent that anyone will make a market honoring the specified exchange rates.

3.4. Privacy

3.4.1. Issuer will produce and maintain a Privacy Policy, which will be publicly available at the COINIZY website. In the event of any conflict between the Privacy Policy and this Agreement, the terms of this Agreement will control.

3.4.2. Unless (1) otherwise approved by User/Virtual Card Holder or (2) ordered by a court or arbitration body of acceptable jurisdiction, as determined by Issuer, Issuer shall not reveal User/Virtual Card Holder’s contact or identifying information or transaction history to any third party.

3.4.3. Issuer will not store Passphrase in plaintext. No employee of Issuer will ever ask for User/Virtual Card Holder’s Passphrase.

3.4.4 User/Virtual Card Holder agrees that the only way to recover access to a User/Virtual Card Holder Account where the Passphrase or Login ID have been lost is by following the password recovery procedure established by Issuer. User/Virtual Card Holder is responsible for being able to meet the requirements and costs for the password recovery. COINIZY will not be responsible in any way for any of User/Virtual Card Holder’s losses due to User/Virtual Card Holder failing to meet the requirements for password recovery.

4. Rights of Issuer

Issuer reserves the following rights:

4.1. Governance Model

Issuer reserves the right to appoint third parties to fulfill specified governance roles, including, but not limited to: (1) Trust, (2) Auditor, (3) Operator.

4.2. Value Limits

Issuer may set value limits (balance, spends, etc.) on a COINIZY account based on the sufficiency of the identifying information provided by User/Virtual Card Holder or by order of a court or arbitration body acceptable to issuer. Issuer may restrict User/Virtual Card Holder’s ability to use more than one COINIZY account in an attempt to circumvent the value limit.

4.3. Fees

Issuer reserves the right to assess and collect the following fees from User/Virtual Card Holder’s account:

4.3.1. Withdrawal Fee — collected by Issuer on a transactional basis from user’s account.

4.3.2. Transfer Fee — collected by Issuer on a transactional basis from user’s account.

4.3.3. Gift Generation Fee — collected by Issuer on a transactional basis from user’s account.

4.3.4. Funds Recovery Process and Fees.

Upon satisfying all legal requirements necessary to recover funds, COINIZY will, if at all possible, attempt to recover the funds in question. Common legal requirements include, but not limited to: valid court orders, valid law enforcement orders, notarized copies of all requests submitted in writing and notarized copies of all IDs. In most cases all originals have to be submitted via snail mail, as electronic copies sent by e-mail are not acceptable. If by any reason COINIZY is requested to recover any funds by any reason, a one-time 10% Recovery fee will be charged in order to cover any and all expenses of the recovery process.

4.4. Escheat

Issuer will not escheat inactive COINIZY accounts. An inactive account with a balance shall remain dormant forever, other than continued assessment of fees, unless and until an heir presents valid documentation entitling the heir to inherit the account.

4.5. Force Majeur

Issuer will not be responsible for delays or failures in the transmission, receipt or execution of orders, payments, deliveries or information due to events beyond its control. The obligations of this contract precede any government enactment.

4.6. Right of Association

Issuer reserves the right to refuse service to particular individuals or entities, at its sole discretion, with or without cause.

4.6.1. Refusal with Cause

Issuer will block any transactions that increment or decrement the balance in User/Virtual Card Holder’s COINIZY account ("Freeze"), with cause: Issuer will Freeze the COINIZY account of User/Virtual Card Holder if User/Virtual Card Holder uses, or attempts to use the COINIZY service in connection with tampering, cracking, modifying or otherwise corrupting the security or functionality of the COINIZY system. Additionally, User/Virtual Card Holder will be subject to damages and other penalties, including criminal prosecution where available and the notification of the general public of User/Virtual Card Holder’s actions, at the sole discretion of Issuer. Issuer will Freeze or remove a Freeze from a COINIZY account, if ordered to do so by an order from a court or arbitration body of acceptable jurisdiction, as determined by Issuer. Fees will continue to be assessed on a frozen account.

4.7. Trademarks

Issuer retains all right, title, and interest in and to trademarks. User/Virtual Card Holder shall only use COINIZY trademarks with the express permission of Issuer. User/Virtual Card Holder shall not use the trademarks in any manner that is disparaging to COINIZY. Under no circumstances may a User/Virtual Card Holder alter, modify, or change Issuer’s trademarks.

4.8 Exchange services (i. e. exchanging national currency to COINIZY and vice versa and other currencies to COINIZY and vice versa) are provided by independent Exchange Providers

4.9. Privacy and Confidentiality Policy

4.9.1 COINIZY recognizes the User/Virtual Card Holder’s right to confidentiality and privacy.

4.9.2 Unless ordered by a ruling body of competent jurisdiction acceptable to Issuer, Issuer shall not reveal User/Virtual Card Holder’s contact or identifying information or transaction history to any third party.

4.9.3 Issuer will ensure that User/Virtual Card Holder has the ability to examine User/Virtual Card Holder’s contact and identifying information and make updates and changes when necessary.

4.9.4 Issuer will not store any User/Virtual Card Holder details, including but not limited to account history, contact or identifying information, or Personal Identification Number(s) in unencrypted plain text under any circumstances.

4.9.5 User/Virtual Card Holder agrees that COINIZY has the right to monitor the COINIZY Network electronically from time to time in order to operate the System properly.

4.9.6 Issuer will email User/Virtual Card Holder only if (a) User/Virtual Card Holder's email address is either listed with Issuer as someone who has expressly shared this address for the purpose of receiving information in the future ("opt-in"), or (b) User/Virtual Card Holder has registered or otherwise have an existing relationship with Issuer. Issuer respects User/Virtual Card Holder's time and attention by controlling the frequency of the mailings.

4.9.7 To cease receiving Issuer's emails User/Virtual Card Holder must login to his or her account and disable all email notifications, which by default are enabled.

5. Third Party Links

5.1 COINIZY provides links to other web sites that may be of interest or of use to User/Virtual Card Holders solely for the convenience of User/Virtual Card Holders. Any such linked site does not constitute part of the COINIZY Network unless expressly stated. COINIZY is not responsible for the privacy practices, or the content of any such web sites.

5.2 User/Virtual Card Holder acknowledges and agrees that COINIZY (and its directors, affiliates, officers, employees and agents) give no warranties or representations in connection with any links to other web sites or the operations of those web sites and in no way guarantees the use of such web sites or the services offered, included but not limited to the services of any Exchange Provider.

6. Waiver

Failure to exercise or delay in exercising any right, power or remedy hereunder by Issuer shall not operate as waiver thereof, nor shall any single or partial exercise of any right, power or remedy of Issuer hereunder preclude any other or future exercise thereof or the exercise of any other right, power or remedy.

7. Assignment

The provisions of this Agreement shall be continuous and shall inure to the benefit of Issuer, its successors and assigns, and shall be binding upon User/Virtual Card Holder and/or the estate, personal representatives, administrators and successors of User/Virtual Card Holder. Issuer may assign its rights and delegate its duties as to any or all transactions under this Agreement. User/Virtual Card Holder shall not delegate any obligations hereunder without the prior written consent of a duly authorized officer of Issuer and any attempt at such delegation without such consent shall be void.

8. Jurisdiction

In the event that any provisions of this Agreement shall be determined by an arbitration body or a court of competent jurisdiction to be unenforceable in any jurisdictions, such provision shall be unenforceable in that jurisdiction and the remainder of this Agreement shall remain binding upon the parties as if such provisions were not contained therein. The enforceability of such provision shall otherwise be unaffected and remain enforceable in all other jurisdictions.

10. Entire Agreement

This Agreement constitutes the entire and whole Agreement between User/Virtual Card Holder and Issuer and is intended as a complete and exclusive statement of the terms of the Agreement. This Agreement shall supersede all other communications between the parties. This Agreement may be amended only upon execution of a subsequent agreement or upon User/Virtual Card Holder’s failure to object within 10 days to modifications posted on Issuer’s website.

Last updated 2015-10-26