Skip to main content
Blockchain Law LabEnglishGeneralGermany

Germany ICO Regulations

By 3 January 2022October 31st, 2022No Comments

In this article, Founder of Blockchain Law Lab and Founding Partner of Gurcan Partners,  Att. Bedrettin Gürcan will mention Germany ICO Regulations.

 

This article is just a short part of the Academic Research of the Att. Bedrettin Gürcan on the topic of The Legal Framework of the Cryptocurrencies and ICOs. It is one of the most detailed law guides on the topic. To download all study including a wide aspect of regulations from all over the world, please click here.

 

Germany ICO Regulations

In Germany, German Stock Corporation Law does not apply to initial token offerings because the tokens are not required to carry any membership rights, information rights, control rights or voting right.  (BaFin: “Initial Coin Offerings: High Risks for Consumers, 2017)

So far we have assisted over 400 companies. Check out our experiences.

On March 29, 2018, BAFIN published an advisory letter on the classification of the tokens as a financial instrument. (Supervisory classification of tokens or cryptocurrencies underlying “initial coin offerings” (ICOs) as financial instruments in the field of securities supervision,) This paper is so similar to the FINMA ICO Guideline in Switzerland. According to this letter, to accept tokens as a security, tokens have to meet these criteria in particular:

  1. Transferability,
  2. Negotiability on the financial market or capital market (Cryptocurrency exchange trading platforms can be deemed financial or capital markets),
  3. The embodiment of rights in the token, (For example shareholders rights embodied in token)
  4. The token must not meet the criteria for an instrument of payment (For example payment coins meet),

 

Gurcan Partners International Law Firm is a corporate member of Association of German Chambers of Industry and Commerce.

German Law Firm

 

Every token will be investigated as a case-by-case assessment based on the circumstances.

Furthermore, if a token, offered by ICO meets these criteria, these domestic laws may be applied:

 

Blockchain Law Lab is a parent company of International Law Firm Gurcan Partners.

Our international team and network are ready to help you with all legal issues related to cryptocurrency, Blockchain, and ICOs. You can have a check our professional team from here. 

 

Berlin-based crowdfunding company  Bitbond  has released a prospectus approved by German financial regulator BaFin to raise funds by issuing a security token bond on the Stellar blockchain, without a depositary bank, without certificates or coupons and intermediaries. On the above-mentioned prospectus, it is stated that

 

‘Presently, the Bitbond GmbH has the permission of the German Federal Financial Supervisory Authority (BaFin) to act as an investment intermediary pursuant to Sect. 32 of the German Banking Act (KWG) for the online platform it operates” To check prospectus: https://lnkd.in/dUhYWJt

 

Please do not hesitate to contact us regarding the Germany ICO regulation or any other issues regarding cryptocurrency.

 

This article is just a short part of the Academic Research of the Att. Bedrettin Gürcan on the topic of The Legal Framework of the Cryptocurrencies and ICOs. It is one of the most detailed law guides on the topic. To download all study including a wide aspect of regulations from all over the world, please click here.

 

Check out Gurcan Journal for more articles in 13 languages. Schedule your online meeting below.

 

To read our other articles:
  1. Company Formation in Germany
  2. Doing Business in Germany
  3. Establishing a Branch in Germany
  4. Company Taxation in Germany
  5. Company Formation in Bavaria
  6. Business Immigration in Germany
  7. ICO Regulations in Germany
  8. Cryptocurrency Regulation in the European Union

 

Att. Bedrettin Gürcan 

Founder I Blockchain Law Lab

Gurcan Partners Germany Office

Address:

Goethestr. 30 40237 Düsseldorf Germany

@: [email protected]

P: +49 211 97635818

Gurcan Partners

All rights reserved. All rights of Germany ICO Regulation article belong to Gurcan Partners. The author has no responsibilities from the information in this article. This article is prepared just to inform.

Please do not hesitate to contact us via mail. We endeavor to respond within 24 hours.

Please contact us.

We will back to you within 24 hours.

@: [email protected]

Or Call Us

+49 211 976 35 818 (English)

Schedule Online Meeting

href="https://calendly.com/gurcanpartners/30min" data-color-override="false" data-hover-color-override="false" data-hover-text-color-override="#fff">Button Text

Check out Gurcan Journal for more articles
13 languages/ 10 countries

[carousel_posts_sc category=”germany-en”][rd_cf7 animation=”rda_fadeInLeft” text_color=”#1e73be” font_weight=”900″ btn=”big” id=”12534″]