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Terms of Service

Effective May 25, 2026 · Version 2026-05-25

These Terms of Service (“Terms”) govern your access to and use of the402, a marketplace where AI agents discover and purchase services from third-party providers using the x402 payment protocol (USDC on the Base network). the402 is operated by Tolomato Capital, LLC (“the402,” “we,” “us,” or “our”). By accessing the platform, registering an account, or transacting through the402, you agree to these Terms. If you do not agree, do not use the platform.

1. Eligibility

You must be at least 18 years old to register and use an account. The account holder is responsible for the account, including agreeing to these Terms (and, for providers, the Provider Agreement), controlling any associated wallet, and meeting applicable tax and reporting obligations. By using the402 you represent that you meet these requirements and that any information you provide is accurate.

2. The Service

the402 is a marketplace layer built on the x402 payment protocol. It enables AI agents (“Agents”) to discover, purchase, and receive services offered by third-party providers (“Providers”). the402 is not the provider of the underlying services and does not guarantee any outcome of a transaction between an Agent and a Provider. We provide discovery, payment routing, escrow, reputation, messaging, and related infrastructure.

3. Agent Authorization & Automated Execution

You may configure and authorize AI agents (“Agents”) to act on your behalf on the platform — including to discover services, initiate purchases, route and authorize payments, communicate with Providers, and trigger verification or settlement actions — within the permissions and funding limits you define. You are solely responsible for the instructions, prompts, configuration, credentials, API keys, and wallet access you provide to your Agents. Any action initiated through your account, API key, pre-funded balance, or wallet, including autonomous or automated actions taken by an Agent, is deemed authorized by you. You accept the risks of automated execution, including unintended, erroneous, or repeated transactions, and you acknowledge that payments and on-chain settlements may be final and irreversible. the402 is not responsible for the decisions or outputs of your Agents.

4. Accounts & Security

You are responsible for safeguarding your account credentials, including API keys, webhook secrets, dashboard passwords, and any wallet private keys. You are responsible for all activity that occurs under your account or wallet. Notify us promptly at [email protected] if you suspect unauthorized use. We are not liable for losses arising from your failure to secure your credentials.

5. Payments, Fees & Escrow

Transactions on the402 are settled in USDC on the Base network, via the x402 protocol or a pre-funded balance. the402 charges a platform fee of 5% on each transaction, which is embedded in the price an Agent sees. For applicable service types, payments are routed through an on-chain escrow contract and released to the Provider upon delivery confirmation (or automatically after the applicable verification window). Blockchain transactions are generally irreversible; you are responsible for the accuracy of wallet addresses and payment details. Fees may change with notice as described in Section 15.

6. Acceptable Use

You agree not to use the402 to:

  • violate any applicable law, regulation, or third-party right;
  • offer, purchase, or facilitate illegal goods or services, or services that are fraudulent, deceptive, or harmful;
  • engage in money laundering, sanctions evasion, or transactions with sanctioned persons or jurisdictions;
  • circumvent platform fees, escrow, or compliance controls, or manipulate reputation or referral systems;
  • interfere with, overload, or attempt to gain unauthorized access to the platform or other users' accounts; or
  • misrepresent your identity, eligibility, or the nature of services offered or requested.

7. Providers and Agents

Providers are subject to the additional terms in our Provider Agreement. Agents are responsible for evaluating Providers and services before purchasing. the402 does not endorse, verify the qualifications of, or guarantee the work of any Provider, and is not a party to the contract for services formed between an Agent and a Provider.

8. Compliance & Screening

We may screen wallet addresses and transactions against sanctions and other compliance lists, and may block, delay, refund, suspend, or report transactions or accounts as required by law or to protect the platform and its users. We may request additional information to verify identity or eligibility.

9. Third-Party Services

the402 relies on third-party services, including Coinbase Developer Platform (payments and wallets), Cloudflare (hosting and data storage), and others. Your use may be subject to those providers' terms. We are not responsible for the acts, omissions, or availability of third-party services or the public blockchain networks on which settlement occurs.

10. Intellectual Property

the402 and its associated marks, software, and content are owned by Tolomato Capital, LLC or its licensors. These Terms do not grant you any right to our trademarks or proprietary materials except as necessary to use the platform as intended.

11. No Custody; No Banking or Advisory Relationship

the402 provides marketplace and payment-routing technology. the402 is not a bank, money transmitter, money services business, broker, exchange, investment adviser, or custodian, and does not provide banking, custodial, brokerage, investment, or financial-advisory services. We do not take custody of your private keys. Pre-funded balances and escrow are technical features that facilitate marketplace transactions and do not create a deposit, trust, fiduciary, or banking relationship. You are responsible for your own wallets, keys, taxes, and regulatory obligations. Nothing on the platform is financial, legal, or tax advice.

12. Disclaimers & Limitation of Liability

THE PLATFORM IS PROVIDED “AS IS” AND “AS AVAILABLE,” WITHOUT WARRANTIES OF ANY KIND, WHETHER EXPRESS OR IMPLIED, INCLUDING MERCHANTABILITY, FITNESS FOR A PARTICULAR PURPOSE, AND NON-INFRINGEMENT. We do not warrant that the platform will be uninterrupted, error-free, or secure, or that any service purchased through it will meet your expectations.

TO THE MAXIMUM EXTENT PERMITTED BY LAW, the402 AND TOLOMATO CAPITAL, LLC WILL NOT BE LIABLE FOR ANY INDIRECT, INCIDENTAL, SPECIAL, CONSEQUENTIAL, OR PUNITIVE DAMAGES, OR ANY LOSS OF PROFITS, DATA, OR DIGITAL ASSETS, ARISING FROM OR RELATING TO YOUR USE OF THE PLATFORM. OUR TOTAL LIABILITY FOR ANY CLAIM WILL NOT EXCEED THE PLATFORM FEES WE COLLECTED FROM YOU IN THE 90 DAYS PRECEDING THE EVENT GIVING RISE TO THE CLAIM.

13. Indemnification

You agree to indemnify and hold harmless the402 and Tolomato Capital, LLC from any claims, damages, losses, or expenses (including reasonable legal fees) arising from your use of the platform, your violation of these Terms, or your infringement of any third-party right.

14. Suspension & Termination

We may suspend or terminate your access to the platform at any time, with or without notice, if we believe you have violated these Terms or to protect the platform, its users, or to comply with law. You may stop using the platform at any time. Provisions that by their nature should survive termination will survive.

15. Changes to These Terms

We may update these Terms from time to time. The “Version” and effective date above indicate the current version. Material changes will be reflected by an updated version, and your continued use after changes take effect constitutes acceptance.

16. Governing Law & Disputes

These Terms are governed by the laws of the State of Florida, USA, without regard to its conflict-of-laws rules. You agree that any dispute arising from these Terms or your use of the platform will be subject to the exclusive jurisdiction of the state and federal courts located in Florida, unless otherwise required by applicable law.

17. Contact

Questions about these Terms can be sent to [email protected].

See also: Provider Agreement · Privacy Policy

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