Thinking of Crowdfunding your Crypto project? Think Again.

in crowdfunding •  8 years ago  (edited)

Learn from someone who has raised several million dollars in several crowd funding projects before you start your own project.

Everything from tax and regulatory issues regarding crypto crowdfunding are addressed in this discussion, check it out and make sure you take notes.

#bitsharestv
#bitshares
#maxwrightbtc
#crowdfunding

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Thanks for the post @michaelx
Enjoyed listening to it. Keep up the great work... you got my upvote :)

Much appreciated. We put a very good amount of time and resources into filming these to explain the blockchain to people.

𝐁𝐋𝐎𝐖 𝐭𝐡𝐢𝐬 𝐭𝐡𝐢𝐧𝐠 𝐮𝐩 𝐌𝐢𝐜𝐡𝐚𝐞𝐥𝐗!

Haha thanks - nice gif.

  ·  8 years ago Reveal Comment

Much Appreciated. I will work on transcribing these as well so we can have them on the blockchain permanent record!

Yes.. that would be valuable too. Text is also easier to search and copy/paste references.

Will do. Some of the videos we have are hours long, I might slice them and post and them transcribe . Thanks for the input.

Good I was really going for it, but I think I'll take my time and watch your video in detail

Probably a good idea...there are a lot of pitfalls you may not have considered.

good post!

  ·  8 years ago Reveal Comment

Bitshares has at one point or another flaunted most regulatory issues. Crowdfunding is now more or less as heavily regulated as the rest of finance in the U.S. so I suggest you go read the appropriate bodies rules and regulation. You will need to register and comply with various AML and KYC requirements as a crowdfunding platform. In some ways it is worse, since an investor may not need to a considered a qualified investor anymore but there are limits to how much he can invest. Good luck complying with that. I would suggest putting in as much work into AML as anything. Law enforcement isn't as forgiving as finance regulators.

Most definitely get legal advice with any crowdfunding operation. I also agree with KYC AML in many cases to avoid unpleasantness...

What would happen if you were in a jurisdiction that did not have to comply with any FATCA, or regulations as a sovereign nation?

Avoid, as they attract attention for mere fact of operating there. Some jurisdictions, like Cyprus, should be avoided despite signing the agreement to comply as much of their foreign transactions have origins that are questionable. As an American, I don't get away from regulations because I am in a foreign jurisdiction or my counter-party is. They and I just get more paperwork and forms to fill out. That doesn't mean some risk in these regards isn't worth it, but if one is going to engage in actions not in compliance with the U.S. regulatory regime, be aware of what it is. I would question anybody that does like Cryptsy was incorporated in Belize. That should have been a red flag as it would probably be just as easy incorporating in Bermuda or BVI. However, Belize has certain advantages for certain people and I would like to avoid those people.

Also, it i just as important for people who go through the process of getting funding or developing a platform for crowd funding to read the regulations themselves and think through their implications as they could impact business decisions long-term. Many of the required tests sponsored by FINRA concern these regulations. If your business is finance related, you will save a lot of money in lawyers fees if you know what they are and they impact your industry. I traded for several firms and on my own without ever needing the help of a lawyer. This process is a bit different than raising money but it still comes down to filling in a bunch of forms.

STEEMIT has set us free from needing crowdfunding. The evolution is http://Steemaway.win We can now give away things of value.

Nice art, interesting idea.

This is a great video and raises some very good points - slubuv