Risk Assessment Framework

1. Purpose & Objectives

Friendium operates as a real-identity social platform, which introduces unique safety, legal, reputational, and operational risks. This framework establishes a structured, enterprise-grade approach to proactively identifying and managing risks across all layers of the platform.

The objectives of this framework are to:

• Protect users from harm, abuse, and exploitation
• Safeguard personal data and privacy
• Maintain platform trust and integrity
• Ensure compliance with global regulations
• Reduce operational, financial, and reputational exposure

2. Scope of Risk Assessment

This framework applies to all Friendium systems, features, policies, and operations, including:

• User-generated content and interactions
• Account systems and identity verification
• Moderation and enforcement workflows
• Advertising, monetization, and payments
• Data processing and storage practices
• Third-party integrations and vendors
• Organizational and governance structures

3. Risk Categories

Friendium classifies risks into the following primary categories:

• User Safety Risks: harassment, bullying, threats, self-harm, child safety
• Content Risks: hate speech, misinformation, illegal content
• Privacy & Data Protection Risks: unauthorized access, data misuse
• Security Risks: account takeovers, breaches, system abuse
• Legal & Regulatory Risks: non-compliance, enforcement actions, fines
• Operational Risks: outages, scaling failures, internal errors
• Reputational Risks: public trust erosion, media scrutiny
• Financial Risks: fraud, chargebacks, revenue disruption

4. Risk Identification Process

Risks are identified through multiple channels, including:

• User reports and complaints
• Moderator and internal staff feedback
• Automated monitoring and anomaly detection
• Regulatory guidance and enforcement trends
• Threat intelligence and security research
• Incident post-mortems and audits

5. Risk Assessment Methodology

Each identified risk is evaluated using standardized criteria:

• Likelihood: Probability of occurrence
• Impact: Severity of harm or disruption
• Scope: Number of users or systems affected
• Velocity: Speed at which harm could escalate
• Detectability: Ease of identification

6. Risk Scoring & Prioritization

Risks are assigned qualitative and quantitative scores (e.g., low, medium, high, critical) to prioritize mitigation efforts. High-risk items receive immediate attention and executive oversight where appropriate.

7. Mitigation & Control Measures

Mitigation strategies may include:

• Policy updates and enforcement enhancements
• Product design changes
• Rate limits and technical safeguards
• Human moderation escalation
• User education and warnings
• Temporary or permanent feature restrictions

8. Ongoing Monitoring

Friendium continuously monitors risk indicators through:

• Real-time dashboards
• Automated alerts
• Trend analysis
• Periodic internal reviews

9. Incident-Driven Reassessment

Following major incidents, Friendium conducts:

• Root cause analysis
• Impact assessments
• Control effectiveness reviews
• Framework updates where necessary

10. Regulatory Risk Alignment

This framework supports compliance with:

• GDPR and global privacy laws
• EU Digital Services Act (DSA)
• Online Safety regulations
• Consumer protection laws

11. Governance & Accountability

Risk ownership is distributed across:

• Platform Safety & Trust teams
• Security & Incident Response teams
• Legal & Compliance offices
• Executive leadership under Nexa-Group

12. Documentation & Audit Trails

Friendium maintains documented records of:

• Identified risks
• Mitigation actions
• Review outcomes
• Regulatory interactions

13. Continuous Improvement

Risk management is iterative. Lessons learned inform:

• Policy evolution
• System design
• Moderator training
• User safety enhancements

14. Contact

Risk & Integrity Office: risk@friendium.com
Legal & Compliance: legal@nexa-group.org