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Understanding Web3.0 Legal Issues - Gibraltar?! - Issue #5

Understanding Web3.0 Legal Issues
Understanding Web3.0 Legal Issues
Whenever I read opinions about flipping an onchain company, Gibraltar was always mentioned as an option. It made me curious!

I would love to start with a piece of incredible personal news! I joined Pethereum team as an advisor. I’m really excited to see the growth of the project!
Another personal news, we are hiring crypto lawyers. You can find the application down below. I believe web3 will soon become one of the main focus areas for us, nowadays we are working on such exciting projects.
Back to the newsletter!
Source: iStock
Source: iStock
Gibraltar: Experiment or Opportunity?
Little Bit of Geography
No, it is not just the Straits of Gibraltar. It is a British Overseas Territory and a European country. It is close to Spain and Portugal. They are known for monkeys! Apes would be obviously a better fit, but still, monkeys!
Bored Gibraltar Monkey Club!
Bored Gibraltar Monkey Club!
Why Gibraltar is popular nowadays?
Valereum, is a holding company listed on AQUIS Stock Exchange in London. They are trying to be a bridge between fiat currencies and cryptocurrencies. They bought 90% of GSX which is THE exchange of Gibraltar. They are negotiating with regulatory authorities to list cryptos in the exchange. That would be sick!
Cryptofriendly Regulation
The Government of Gibraltar is cryptofriendly. They created a good background from online gaming and they started evaluating the cryptospace in 2014. They created 3 consultation papers to end up into a regulation. Financial Services (Distributed Ledger Technology Providers) Regulation was published in 2017. Since it is such a small jurisdiction it is really easy to access the regulator. Literally, regulators, government, and private sector are almost inside each other.
I believe they did a quite well job. According to a report by PWC and Elwood Asset Management, Gibraltar is the third-highest choice of crypto hedge fund managers.
You can apply for a DLT license to legally operate in Gibraltar. Now, there are 15 licensed firms.
Surprisingly, they deep dive into your business model, your overall knowledge, and your corporate governance. It is not like a place to skip all the requirements by being licensed on paper, they are doing proper due diligence. It takes almost a year. It costs £10k, £20k, or £30k according to your category.
Please note that they are not part of the EU because of Brexit.
It seems like it will be a safe place for exchanges and companies who are willing to do ICOs. (According to FAQ, ICOs may always not be under this license.) It will be far more important for cryptogaming. (FAQ about DLTs)
To sum up, when I listened the podcast down below, I felt it is more like “they know what they are doing” than it is just an experiment. Gibraltar is in my radar now, I hope I can publish one more issue after physically being there or closing a deal.
Thanks for reading. My DM is open for any comments or inquiries.
to work with Vircon Legal team (We had enough of interviewing, if you are excited to read this newsletter, please join us!)
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Understanding Web3.0 Legal Issues
Understanding Web3.0 Legal Issues @mumtazhcpsglu

Co-Founder @ClemtaSupport | Working on Flip-Ups, Data Privacy and @StartupHukuku | Passionate about Web 3.0, LegalTech & Gastronomy | Forbes 30 Under 30

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