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Crypto Asset Offerings
ICO, STO, IEO, TGE

Initial Coin Offering (ICO) is a method for raising capital to finance a project by selling crypto tokens.
Security Token Offering (STO) (or DSO – Digital Security Offering) is the latest approach to fundraising by means of issuing of financial securities in the form of crypto assets. 
Initial Exchange Offering (IEO) is a crypto asset offering conducted on a crypto-asset exchange platform rather than the website of the project. 
Token Generation Events (TGE) is an event where crypto assets are created, and may be proposed for offering and sale for project finance purposes. 
In the current state of legal uncertainty legal support for the ICOs, STOs IEOs, and TGE is crucial for investor attraction
Lex Futurus Group provides comprehensive legal support throughout the planning and execution of ICO, STO, IEO, DLT IPO, and TGE.

Initial challenges your project may face:

Choice of Jurisdiction

What is the most favorable jurisdiction for your project?

Legal Nature of Token

What rights are granted to a token-holder?

Is the token backed by some asset?

Is the token a security under the regulations?

Legal uncertainties

Listing procedure

Collective investment

Howey test

Operation of ICO, STO, IEO & TGE

Regulatory limitations

Licence procurement necessity

Taxation

Tax residency

Controlled foreign corporations

Currency control

KYC/AML

Regulatory requirements

Source of funds, source of wealth

High-risk corporates

Personal data protection

Applicable regulatory requirements

Corporate structure of the ICO, STO, IEO & TGE

Structure of issuer

Structure of corporate entity

Our services

01

Jurisdiction

Selection of the most favorable jurisdiction for ICO, STO (DSO), IEO and TGE.

02

Token structure

Conducting a comprehensive token structure analysis to define its legal nature. Advising clients on the post-ICO, post-STO, post-IEO, and post-TGE legal status of their tokens.

03

Token sales

Analyzing project’s token sales structure.

04

Legal documentation.

Drafting clear, comprehensive documents, including but not limited to private placement memoranda, investment agreements, token purchase agreement, and related documents.

05

White Paper

Writing or reviewing the token’s white paper and conducting its legal analysis for compliance with legislation and regulation.

06

Consultation on legislation

Consulting on tax regulations, monetary legislation, securities and commodities legislation, consumer-protection and money-transmitter laws, anti-money laundering and countering of financing of terrorism legislation.

07

Licensing

License procurement and maintenance of procedures for license procurement and obtaining special permissions and authorizations.

08

«Compliance» policies

Developing «compliance» policies, including Anti-Money Laundering (AML) and Know Your Customer (KYC) policies, to minimize/obliterate the risk of violation of legislation and supporting clients in implementation of these policies.

09

Smart Contracts

Conducting a detailed legal analysis or support at each stage of application development.
Learn more

10

Legal risk assessment of the project

Conducting a detailed legal risk assessment of the project.

11

Legal support of project on every stage

Maintaining a cutting-edge understanding of new developments in applicable legislation.

12

Representation of clients

Including but not limited to representation before the state organs and court systems.

Smart-contract

Smart-contract – agreement, written in code, which automatically execute programmed functions in response to certain conditions being fulfilled.

There is a widespread perception that smart-contracts will facilitate removal of intermediaries, including lawyers. However, we strongly believe that it is not true. Any business which is going to develop smart contract application will inevitably face a huge number of challenges including, but not limited to:

  • What is the legal context in which the smart contract application will be implemented?
  • Which jurisdiction’s laws will apply to determine contractual issues related to the smart contract?
  • What laws will govern transactions taking place within a smart contract and does a smart contract ensure the compliance of parties with their obligations under those laws?
  • What legal risks are posed by use of the smart contract application?
  • How is a «due diligence» to be conducted for the smart contract?
  • How is a liability exposure limited in case of application malfunction?
  • Which remedies will be available and against whom in the case of application malfunction?
  • How is conflict managed between parties to smart contracts, and which court will have jurisdiction to hear the case?

The list is non-exhaustible and proves that support of  experienced legal counsel is crucial at each stage of the application development.
At Lex Futurus Group we are ready to provide you with the highest quality advice and ensure accurate, secure and unambiguous implementation of your smart contract application.

Apart from helping you to answer all questions above, our services include:

  • Legal analysis of already developed smart contract for determination of legal risks;
  • Due diligence of smart contracts with the aim to ensure there are no faults before a smart contract is launched;
  • Legal support for a smart contract implementation at every stage;
  • Legal protection of parties to a smart contract.

We do have qualified specialists to be involved in the development of a smart contract on the blockchain or any other distributed ledger, who will be working side by side with our top-tier lawyers in order to develop technically correct, legally binding smart contract for your business.

Protection of investors’ rights

There were securities market fraud cases associated with Initial Coin Offerings (ICOs), which later brought more improved and compliant alternatives like Security Token Offering (STO) and Initial Exchange Offering(IEO). Though the cryptospace has become relatively more safe and sane compared to the ICO high era, investor protection remains paramount in a largely unregulated space which regulators the world over struggle to understand and thus regulate.

How to avoid losing your money in scams?
How to protect your rights before entering the digital assets – related project?
How to restore your infringed rights?

At Lex Futurus Group we know the answers!

IF YOU WANT TO ENTER THE DIGITAL ASSETS – RELATED PROJECT

We will conduct a full due diligence including, but not limited to evaluation of:

  • Transparency of corporate structure (who is standing behind the project);
  • Fact of registration, jurisdiction of companies’ registration;
  • Legal nature of the token (which rights are guaranteed to the token-holder?);
  • Escrow agents’ control over the proper use of funds;
  • Clarity and unambiguity of project documentation’s provisions, including White Paper;
  • Preventive measures undertaken by the token issuer to avoid problems with market regulators;
  • AML/KYC procedural compliance;
  • Intellectual property;
  • Personal data protection.

IF YOU ARE A VICTIM OF SCAM ICO/STO/IEO/TGE

We understand the invidious position you find yourself in. The decision as to whether to write off fraud losses or to invest in the legal team to assist you is very hard, and the answer will depend on the specific circumstances of each case.
We will evaluate your case and help you determine the most effective course of action, and represent you before a court of competent jurisdiction.

CYBER SECURITY AND DATA PROTECTION

Nowadays any business entity or individual is susceptible to the risks of cyberattacks and data loss. Moreover, taking into account the General Data Protection Regulation (‘GDPR’) recently adopted by the European Union, application of blockchain or DLT may face a number of challenges.

At Lex Futurus Group we are ready to offer qualified guidance for clients affected by relevant data protection regulations, including the GDPR. Our services include, but not limited to:

  • Educating clients about their rights and obligations under relevant data protection laws;
  • Assessing clients’ existing data protection measures and developing new or improved policies, if necessary;
  • Guiding clients in effectively implementing their data protection policies to satisfy the regulatory requirements;
  • Helping clients resolve legal, practical, and other issues that arise concerning the data protection and cyber security.

For a consultation please contact Lex Futurus Group
by sending us an email or calling us

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