Accounting for Initial Token Offerings – Revenue or Liability Recognition
Most companies which launch Initial Token Offerings (ITOs) want to avoid classification of their tokens as equity to avoid problems with the regulatory authorities. Therefore, assuming that the offering is liability financing rather than equity financing, the exchange of value must be properly recorded on the issuing company’s financial statements. The ledger entry would have […]
Stablecoins – Why They Are Becoming Important
Cryptocurrencies have been immensely volatile since they were launched. Although Bitcoin’s volatility has reduced in comparison to it’s early years, it remains high enough to not replace any of the traditional fiat currencies that exist today. Volatility is hindering cryptocurrencies’ ability to become established as a unit of account and medium of exchange. A potential […]
What Information Should Be Included In A Whitepaper?
A Token Sponsor’s whitepaper is a critical document. A whitepaper provides an overview of a Sponsor’s token project, as well as specifics on the project’s technological application, any related products or services, and how the digital tokens will operate. If the tokens are designed to monetise the value of such products or services, it may […]
Accounting for Cryptocurrencies
Original article has been written by Tony De Nazareth, CEO and Director of Crowd for Angels who is a Fellow of the Institute of Chartered Accountants in England and Wales, and an Associate Member of the Association of Corporate Treasurers. There has been little or no information on the accounting treatment of cryptocurrencies or Initial […]
Security Token Offerings — A Brighter Future
Tokenized Assets and Security Token Offerings are vying to spark adoption and legitimise the industry. Many Initial Token Offerings (ITOs) have failed mainly due to bad execution, lack of transparency and accountability. Data clearly indicates a continued slowdown in the total capital raised by ITOs since June this year. This slump is supported by the decreasing […]
How to diversify your crowdfunding investments
UPDATED: 20th November 2018 The idea behind the common saying, “don’t put all your eggs in one basket”, has been around in some form or another for thousands of years. To take one example, in Ecclesiastes 11:2 the Old Testament highlights the benefits of diversifying your assets – “Divide your portion to seven, or even […]
An Investor’s Guide to Cryptoassets: Introduction
Introduction to CryptoAssets What started as a computer programmer’s hobby almost 10 years ago, is now a rapidly growing sector that has generated high returns for early investors. Cryptocurrencies are largely thought to have the potential to emerge as a transformative payment innovation, but the volatility and wild price swings of late have left the […]
The UK Regulatory Framework of digital tokens
The regulation of digital tokens and coins is a developing area as the current United Kingdom (“U.K.”) financial services law was not developed with the use of digital tokens in mind. Therefore, it is important to bear in mind that subtle differences in the legal structure and function of digital tokens can have significant regulatory […]
FinTech News Bulletin (Last updated: December 07, 2018)
December 07, 2018 Two Bills on Virtual Currencies Introduced by the USA U.S. Congressmen Introduce Two Bills To Prevent Crpyto Price Manipulation https://www.coindesk.com/us-congressmen-introduce-two-bills-to-prevent-crypto-price-manipulation World Economic Forum Assesses Policy Implications for Crypto-Assets The Future of Crypto-Assets Opportunities from Opportunities to Policy Implications https://www.weforum.org/agenda/2018/12/crypto-assets-opportunities-policy-implications-ubs/ Blockchain Startups Cut Spending and Staff Heavily as Markets Tumble Crypto Market Crash […]
A Queue Busting ICO
While Brits are known for their queueing etiquette it’s no surprise that we lose literally hundreds of hours of our lives standing patiently in line. According to a 2017 report from Swiss Air, the total amount of time spent queuing in the UK is 333 million hours a year, equivalent to half an hour a […]
