Initial coin offerings : technology and the rule of law

الملخص EN

Technology and financial technology (FinTech) have had an increasingly significant impact in all areas of business and commerce in recent years.

Technology and FinTech can specifically bring substantial benefits in terms of efficiency, stability and security, as well as innovation, growth and prosperity despite corresponding risks and exposures.

Difficult issues should also be considered to ensure that all relevant legal rights and entitlements are properly respected and protected.

Many commentators have argued that computer code can replace law and supporting court systems over time although this has been questioned by others.

It is arguable that technology will only work most effectively where underlying legal rights are fully reflected and properly protected through appropriate code and software design and implementation.

The purpose of this paper is to examine the nature of the relationship between computer code and law and technology in the specific area of Initial Coin Offerings (ICOs) which are used to raise funding and investment capital for digital coin and digital token development purposes.

A number of different types of ICO can be identified and offer phases can be distinguished.

These are priced and examined in the new emerging area of Tokenomics.

Countries have developed different regulatory approaches to manage the inherent risks created or further exposures that emerge over time.

All the relevant issues that arise are reviewed in this paper and provisional conclusions drawn with regard to the most appropriate legal and regulatory approach to be adopted in this exciting new area of technological, financial and social advance.