# Legal Aspects of Affiliate Promotion

Celestium Protocol DAO LLC is an algorithmically-managed, for-profit LLC incorporated in the Republic of the Marshall Islands. The protocol operates at the infrastructure layer; consumer-facing services are provided by independent third-party operators. Affiliate promotion sits between you and your audience, not between the Company and the end user.

## Four Key Principles

* **Bilateral Arrangement** — when you provide tokens to the Liquidity Pool you enter a bilateral smart-contract arrangement with independent game operators. You are not buying into a collective investment managed by the Company.
* **No Fiduciary Duty** — the Company does not owe a fiduciary duty to liquidity providers, affiliates, or end users. The protocol is the agreement.
* **Outcome Disclosure** — affiliate earnings depend on your invitees' real activity. There is no guaranteed return, and you must disclose this to the people you onboard.
* **User Compliance** — every user is responsible for compliance with the laws of their own jurisdiction. Affiliates inherit this responsibility for the audiences they market to.

> The sections below are a basic framework for the legal aspects of affiliate promotion at Celestium. They do not replace local legal advice. Consult a qualified advisor in your jurisdiction before launching any promotional activity.

<details>

<summary>Promoting games by country</summary>

Game-related promotion is the most heavily regulated activity. Some jurisdictions require a license to advertise gaming products, others ban it outright, and many distinguish between skill games, chance games, and PvP games. Verify which product categories are permitted in your target market before promoting them.

</details>

<details>

<summary>Promoting staking by country</summary>

Promotion of staking-style products may be regulated as a financial services activity in your jurisdiction. Tax treatment of staking rewards also varies — in some countries rewards are taxable on accrual, in others only on disposal. Make sure your audience understands the tax exposure they are taking on.

</details>

<details>

<summary>Participating in affiliates by country</summary>

Receiving affiliate income may itself be regulated. Some jurisdictions treat referral commissions as taxable income, others as business revenue subject to VAT or registration requirements. Confirm your local treatment before scaling.

</details>

## Options for Adjusting Your Affiliate Strategy

If your jurisdiction makes part of your strategy legally problematic, the right move is to revise the strategy — not to ignore the problem. Two practical options:

1. **Feature Blocking for Compliance** — block restricted features (specific games, staking products, or jurisdictions) at your front-end using IP-based geofencing. This narrows your offer without forcing you to abandon the market entirely.
2. **Shift Marketing Activities to Permissive Regions** — concentrate your promotional spend and time in regions where the activity is unambiguously permitted. This typically yields higher conversion than fighting friction in a restrictive market.


---

# Agent Instructions: Querying This Documentation

If you need additional information that is not directly available in this page, you can query the documentation dynamically by asking a question.

Perform an HTTP GET request on the current page URL with the `ask` query parameter:

```
GET https://docs.celestium.digital/affiliate-manual/how-to-join-affiliate/legal-aspects-of-affiliate-promotion.md?ask=<question>
```

The question should be specific, self-contained, and written in natural language.
The response will contain a direct answer to the question and relevant excerpts and sources from the documentation.

Use this mechanism when the answer is not explicitly present in the current page, you need clarification or additional context, or you want to retrieve related documentation sections.