With the recent rush to Initial Coin Offerings (ICOs) or Token Generating Events (TGEs), questions have arisen about compliance with existing capital market regulations. Are they, in fact, new ways for start-ups to more easily raise funds or are they newfangled ways to avoid the existing regulatory burden hiding behind crypto’s shiny new cloak?
CVA member firm Wenger & Vieli recently published a note with their view on the Swiss perspective. In it, the law firm concludes:
“ICO/TGE is a new form of contributing to or investing in start-ups. Due to the diversity of Tokens, general qualifications cannot be made and each Token has to be assessed on an individual basis.”
For more, see the Wenger & Vieli Spotlight newsletter.
As announced in the CVA’s statement on token launches, the CVA is in the process of developing a TGE code of conduct with input from experts and the community.