ICO Token Agreement, Privacy Policy, ToS Drafting
ICO Token Agreement, Privacy Policy, Terms of Use
The fine print of a token agreement, privacy policy and terms of use is there to protect both you and your contributors.
ICO Token Agreement
A fundamental part of setting up an Initial Coin Offering or Token Generation Event is creating the legal agreements between the ICO hosts and the ICO investors or purchasers. Investors are buying the tokens and project goals in the whitepaper. Legally they are buying the rights set out in the ICO agreements. ICO agreements govern those rights, and the obligations of the ICO hosts, so are central to the ICO. However, in our experience, the importance of ICO and token sale agreements and documentation is often overlooked.
First, the ICO agreements can be the key basis for determining what rights and obligations exist between the ICO host and investors.
Clearly identifying the rights of investors helps them understand what they are buying in exchange for their cryptocurrency/fiat investment. This helps investors make an informed decision as to whether or not they should buy into your ICO. The whitepaper could propose the best new crypto project of the year, but if investors have little or no commercially-valuable rights in the project because of a poorly thought-out ICO agreement, then few informed investors will want to buy in — especially now the ICO market is much more competitive than it used to be.
The second thing to consider is that the regulatory treatment of ICOs can depend on the nature of the rights afforded to ICO investors.
Our ICO legal team creates iron-clad and clear documentation that will carry your ICO through any legal complexities.
Privacy Policy
A number of private investment funds that invest in ICO’s, cryptocurrencies and their derivatives have been recently founded. The legal and regulatory environment surrounding both cryptocurrencies and blockchain-based financial products and services is evolving rapidly. The sector involves overlapping investment management, banking, trade, privacy, and tax considerations.
Valsen Fiduciaries provides a full range of services to clients wishing to set up private funds, including advice on the optimal structure given the client’s business objectives and regulatory licenses