Security Token Offering 101 — Legal Considerations. What Legal Questions Should Be Taken Into Account Primarily?

Financial centres across the globe are already exploring STO
Financial centres around the world are already exploring STO technology

Ownership

First, the question of ownership. Countries around the world have followed different approaches on whether a token holder can be considered as owner of the underlying asset.

Legal Qualification

Secondly, and one of the most important legal points, would be the legal qualification of the token — do the tokens that are being issued constitute security tokens?

Issuers should always consider the legal qualification of tokens

Licensing

Thirdly, we should consider whether the STO activity requires the obtention of a license. When launching a STO, the token issuer should consider, among other things, whether she/he needs a license to issue tokens.

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2140 Consulting

2140 Consulting

Security Token Offering (STO) advisory. Located in Benelux.