Security Token Offering

According to Nasdaq analytics, security token offerings will be set on central stage in 2019. Moreover, STOs are projected to have a market cap of $10 trillion in 2020.
But what is actually an STO?

Security Tokens and STOs will allow any company to offer equity, debt or dividends in form of tokens. A project does not need to have large assets to attract investors - since any asset can be tokenized, offered and sold, and any asset can serve as a guaranty itself.

Key advantages
Main advantages of tokenization are: fractionalization of larger assets, an increase of liquidity, lower intermediary fees and better market efficiency. However, the greatest benefit that security tokens provide an issuer is access to a global pool of capital. As these tokens can be sold and traded internationally (when compliant with regulations), they become more fairly priced and, therefore, attractive to investors.

Attractive to large investors
STO offers more security for promising, solvent investors, who are not looking for risky projects. STO as a SEC compliant offering is appealing to both institutional investors for it’s more recognizable structure, and to crypto investors for its technological innovation.

Minimizes non-compliance risks
Governments have never been particularly friendly towards ordinary ICO. Now states are becoming more persistent in keeping an eye on ‘ageing’ ICO funding. STO, on the contrary, offers clear compliance techniques, well-treated by most jurisdictions worldwide.

Satisfies new age investors’ demands
More and more investors are no longer satisfied by what ordinary ICO offers them in return for their funds. STO possibilities, such as voting for project’s decisions, dividends, etc, have endless perspectives for satisfying this increasing investors’ demand.

Dependent on the needs of your business our team will structure your STO compliant to all the necessary legal requirements. Services:

  • Formation of a corporate structure for the STO
  • Determination of the appropriate token structure
  • Structuring a model of STO that complies with the JOBS Act
  • Preparation of offering documents (investment agreements, private placement memorandum etc.)
  • Audit of smart-contracts
  • Legal support for compliance with KYC/AML requirements
  • Post-STO support

IT and Fin-tech business legal support

We will reduce risks and increase effectiveness of your business. We will:

  • Provide comprehensive legal support to your project
  • Draft the necessary documentation and create a business structure comfortable for potential investors
  • Provide compliance services relevant to all applicable IT related and personal data processing laws and regulations
  • Develop agreements and terms of use for internet-based services (license agreement, terms and conditions)
  • Provide solutions for corporate structures that meet investors and venture capitalists needs

Licensing

GMT Legal will assist you to identify the required licenses and with the application procedure.

We can prepare the necessary documentation for your license application and complete all the required actions before the regulators.

We can assist with the interaction with foreign regulators and to deal with the most complex business matters.

Intellectual property law

Our IP practice can support you with:

  • Audit, registration, transfer and use of intellectual property rights
  • Representation of a company in disputes related to intellectual property
  • Resolve intellectual property related matters and disputes
  • Licensing agreements and IP transfer agreements preparation
  • Preparation of the complete set of documents for franchising operations
  • Documentary prevention of a disclosure of corporate and confidential information
  • Compliance with advertisement regulations
  • Due diligence of intellectual property assets

Brand name protection on the Internet

A brand is a landmark for your business.

We will protect your trademark, service mark and company name (firm name or commercial name). We will prevent the illegal distribution of your digital content as well as any other intellectual property.

We will identify and block copyright infringement.

Tax law

GMT Legal works with dozens of clients assisting them in tax matters no matter how complicated.

We are capable of:

  • Analyzing clients’ tax activity compliance in accordance with the applicable legislation and case law
  • Consulting on tax optimisation and tax planning, consulting on CFC related issues
  • Assistance with on-site tax inspections and contesting their results
  • Preparing responses and clarifications for tax authorities during documentary tax audits
  • Mitigating tax risks related to major transactions and conducting due diligence
  • Court representation and challenging of tax authorities’ or officers’ decisions

Corporate law

Our corporate practice will help you to solve the most complex matters under domestic and international law. The firm has experience in M&A transactions involving the United Kingdom, Singapore, the United States and other jurisdictions. Ensuring the success of your deals and the security of your projects.

We monitor changes in the legislation and regulatory practice to ensure your project’s compliance with regulatory requirements from the authorities.

  • Corporate finance
  • Legal support of investments
  • Mergers & Acquisitions
  • Private equity and venture capital related transactions’ support
  • Due diligence
  • Incorporation, reorganization and winding-up of companies
  • Advise on competition and banking regulations
  • Licensing support for different activities
  • Dispute resolution
  • Company’s internationalization and foreign direct investment in the Russian market

Dispute resolution

GMT Legal helps clients to successfully win cases and protects their interests. We provide support for pre-trial settlements, conciliation, commercial arbitration and judicial litigation.

We take part in administrative proceedings related to debt recovery and asset protection, including real estate and intellectual property.

  • Pre-trial dispute resolution and support in negotiations
  • Mediation
  • International arbitration
  • Private arbitration
  • Commercial arbitration
  • Judicial litigation
  • Labor disputes
  • Enforcement of foreign judgements
  • Debt recovery