TGE, ICO, LCO and STO Projects
How could one finance his entrepreneurial project? Modern crowdfunding instruments, such as STO, ICO / TGE, IEO enable Swiss SMEs to obtain funds directly from numerous individuals, bypassing banks or other traditional financial players.
Upon decision to start your blockchain crowdfunding campaign, you need to decide what instrument you will offer to the investors. You can solicit the reward-based or equity-based financing.
STO (security token offering) is a cryptocurrency based crowdfunding campaign during which contributors invest cryptocurrency in a business in return for a tokenized shares of the company.
ICO or TGE (security token offering or token generation event). In these cryptocurrency based crowdfunding models, contributors donate cryptocurrency and receive in return tokens representing a claim for the future products of a startup.
IEO (initial exchange offering) is a model of crowdfunding campaign when an entrepreneur rise funds to finance his project by the intermediary of a cryptocurrency exchange. This model allows the entrepreneur to benefit from the infrastructure that an established cryptocurrency exchange platform can offer:
– Technical infrastructure allowing exchange of the tokens against cryptocurrency;
– Anti-Money Laundering and Know Your Client support;
– Marketing support.
Our law firm will assist you in the setup of your crowdfunding campaign and configuration of a financial instrument (token) that you intend to distribute to your contributors.
Legal and tax analysis of the project.
Adaptation proposal (compliance FINMA regulations).
Drafting legal documents.
- Request for the FINMA non-action letter.
KYC & AML support.