Terms of Service
Last updated: August 27, 2026
These terms govern your use of the Bad Wallet app, the AI guide, and our related services. Bad Wallet is a self-custody Bitcoin wallet: you hold your own keys, and you alone are responsible for them. Please read these terms carefully, especially the parts about your responsibility for your funds and the limits on our liability.
1. Who we are and what you are agreeing to
Bad Wallet (the "App") is published by Sour Labs ("Sour Labs", "we", "us", or "our"). These Terms of Service (the "Terms") form an agreement between you and Sour Labs and govern your use of the App, the AI guide (the "Guide"), our backend services, and the badwallet.app website (together, the "Services").
By downloading, installing, or using the Services, you confirm that you have read, understood, and agree to these Terms. If you do not agree, please do not use the Services.
2. Eligibility
You must be at least 18 years old (or the age of legal majority where you live) and able to enter into a binding contract.
You confirm that you are not located in, or a resident of, any country or region subject to comprehensive sanctions, and that you are not on any sanctions or prohibited-persons list.
You are responsible for making sure that using Bitcoin and the Services is legal where you live. Cryptocurrency laws vary by country, and some places restrict or prohibit it. You are also responsible for any taxes that apply to you.
3. What Bad Wallet is, and what it is not
Bad Wallet is non-custodial, self-custody software. It helps you generate and store your own Bitcoin keys on your device, view your balance and transactions, and send and receive Bitcoin on the Bitcoin network.
We never take custody of your Bitcoin, and we never have access to your keys, recovery phrase, or funds. We cannot move, freeze, recover, or reverse anything in your wallet.
Sour Labs is a software provider. We are not a bank, a custodian, an exchange, a broker, a money services business, or a financial, investment, legal, or tax advisor. We do not hold, transmit, or exchange money or Bitcoin on your behalf.
4. Your keys, your coins, your responsibility
Because Bad Wallet is self-custody, you are solely responsible for your wallet and everything in it. This includes:
- safely recording and backing up your recovery phrase (also called a seed phrase) and any passphrase you set;
- keeping your recovery phrase, passphrase, and device secure and private;
- verifying every transaction, including the recipient address and the amount, before you send it; and
- understanding what you are doing before you do it.
If you lose your recovery phrase, no one, including Sour Labs, can recover it or your funds. Bitcoin transactions are final and irreversible. If you send Bitcoin to the wrong address or fall victim to a scam, we cannot reverse, cancel, or refund the transaction.
Never share your recovery phrase or passphrase with anyone, and never enter it into any website, message, or app other than when restoring your wallet in Bad Wallet itself. Anyone who has it can take your Bitcoin.
5. The Bitcoin network and third-party services
Sending and receiving Bitcoin happens on the public Bitcoin network, which is run by independent third parties and is outside our control. We do not control how long confirmations take, what network (miner) fees are, or whether the network includes your transaction.
To work, the App connects to third-party services that we do not own or control. These currently include a blockchain data provider (Blockstream) used to look up balances and transactions, and a price data provider (CoinGecko) used to show fiat values. The Guide is powered by a third-party AI provider (Google). Your use of these services may also be subject to their own terms, and we are not responsible for them.
If you connect a hardware wallet or other external signer, that device is made by a third party and governed by its own terms, and we are not responsible for it.
6. The Guide (the AI assistant)
The Guide is an optional, in-app AI assistant that answers questions about Bitcoin and the App. It is provided for general educational and informational purposes only.
The Guide does not provide financial, investment, legal, or tax advice. Its answers are generated by an AI model, may be inaccurate, incomplete, or out of date, and should not be relied on for any decision. Always verify important information independently.
Do not share your recovery phrase, passphrase, private keys, or other sensitive information with the Guide. Your messages are handled as described in our Privacy Policy.
7. Acceptable use
You agree not to use the Services to:
- break any law, or facilitate illegal activity such as fraud, money laundering, terrorist financing, or transactions with sanctioned persons or regions;
- abuse, overload, disrupt, or attempt to gain unauthorized access to our backend services, or to get around the proof-of-work, rate limits, or other protections that secure them;
- submit content that is unlawful, abusive, infringing, or meant to harm others, including through the chat or feedback features;
- attempt to attack, de-anonymize, or interfere with other users, the Bitcoin network, or our infrastructure; or
- misuse the Services in any way they are not reasonably intended to be used.
8. Open source and licensing
Bad Wallet is open-source software. Your rights to view, use, modify, and distribute its source code are governed by the open-source license published with the code (see the LICENSE file in our public repository). These Terms govern your use of the official builds of the App that we distribute and of our hosted Services.
9. Fees
The App is free to download and use. Sour Labs does not currently charge a fee for the App or for the Guide.
When you send Bitcoin, you pay a network (miner) fee that goes to the Bitcoin network, not to us. Any third-party services you choose to use may charge their own fees under their own terms.
10. Availability, changes, and discontinuation
We are always improving the Services and may add, change, suspend, or remove features at any time. We may also limit, suspend, or discontinue our backend Services (such as the Guide) without notice and without liability to you.
Because Bad Wallet is self-custody, your Bitcoin does not depend on our Services continuing to run. Your recovery phrase lets you restore your wallet and access your funds in Bad Wallet or in other compatible wallet software, even if our Services become unavailable.
11. Disclaimers
The Services are provided "as is" and "as available", without warranties of any kind, whether express or implied, including any implied warranties of merchantability, fitness for a particular purpose, title, non-infringement, accuracy, or security.
We do not warrant that the Services will be uninterrupted, error-free, or secure, or that any information they display, including balances, prices, fee estimates, or the Guide's answers, is accurate or complete. You use the Services at your own risk.
12. Limitation of liability
To the maximum extent permitted by law, Sour Labs and its team will not be liable for any loss of Bitcoin or other funds, loss of access to your wallet, loss of data, lost profits, or any indirect, incidental, special, consequential, or punitive damages arising out of or relating to your use of, or inability to use, the Services.
To the maximum extent permitted by law, our total liability for any claim relating to the Services will not exceed the greater of the amount you paid us for the Services in the twelve months before the claim (which is typically zero) or USD 100.
Some places do not allow certain limitations of liability, so some of the above may not apply to you.
13. Indemnification
You agree to indemnify and hold harmless Sour Labs and its team from any claims, losses, liabilities, and expenses (including reasonable legal fees) arising out of your use of the Services, your violation of these Terms, or your violation of any law or the rights of any third party.
14. Changes to these Terms
We may update these Terms from time to time. When we do, we will revise the "last updated" date above and post the new version. Changes take effect when posted, and your continued use of the Services means you accept the updated Terms.
15. Governing law and disputes
These Terms are governed by the laws of the State of California, United States, without regard to its conflict-of-laws rules.
Before starting formal proceedings, please email us at hello@sourlabs.io so we can try to resolve the matter directly. If we cannot, the state and federal courts located in California will have jurisdiction.
If you are a consumer, nothing above deprives you of the protection of any mandatory provisions of the law of the country where you live, and you may also be able to bring proceedings in the courts of that country.
16. General
If any part of these Terms is found unenforceable, the rest stays in effect. Our failure to enforce a provision is not a waiver of it. You may not transfer your rights under these Terms without our consent; we may transfer ours to an affiliate or successor. These Terms are the entire agreement between you and Sour Labs regarding the Services.
17. Contact
Questions about these Terms? Email us at hello@sourlabs.io.
