ICO Lawyer Tips: Business Formation

Establishing a proper business structure is step one. The wrong choice can lead to profit-sucking problems. And remember: If things go south, without a corporate shell, investors can more easily hold you personally and materially responsible.

First determine what classification works best for your size, scope, and profit plan. Enlisting startup lawyers at this initial step is wise. They’ll be able to assess your plan and craft an ideal business structure with the potential to yield maximum profits while shielding personal assets from the long, greedy arm of Uncle Sam.

ICO Lawyer Tips: Jurisdiction

Choosing an incorporation jurisdiction is another crucial decision. The right locale can make all the difference. When it comes to initial coin offerings and other fintech startups, sometimes overseas options make supreme sense for favorable tax and regulatory treatment. Overseas, some ICOs are subject to less intense standards than they are in the US. And no, moving your entire operation isn’t necessary — and for some ICOs it doesn’t make any sense!

To learn more about offshore ICO jurisdictional options, get in touch (link). Our team regularly works with startups and token investors on international positioning. We’ll review your plan and present several bespoke options for your exact situation.

ICO Lawyer Tips: SEC and State Checks

Federal regulations don’t specifically target businesses just because they’re involved in crypto…yet. But that doesn’t mean digital currencies are 100% unregulated.

Many altcoins and ICOs qualify as securities and are subject to regulations and reporting requirements. Moreover, several states — like New York with its infamous bit license — also have jurisdictional requirements; failure to comply can lead to crushing fines and professional suspensions.

Our ICO legal team works with entrepreneurs and startups on international, federal, and state finance compliance. We’ll make sure your venture is operating on the right side of the law while remaining as potentially profitable as possible.