Questions about tokens and ICOs

  1. What entity is the issuer of the tokens?
  2. What entity markets/sells the tokens in the ICO? Are the tokens marketed/sold via the entity’s own website, a trading venue or some platform?
  3. Does the issuer or marketer/seller of the tokens have some authorisation? If so, what?
  4. How much funds (in euros) are raised in the ICO (soft cap/hard cap)?
  5. What is purpose of the funds being raised?
  6. To whom are the tokens offered/marketed in the ICO?
    • to anyone (investors in general)
    • to (potential) users of a service or something similar
    • to a pre-determined, limited group
      • How many?
      • How has the group been limited before marketing?
    • to others, whom?
  7. To what do the tokens give entitlement? How have these rights been documented (e.g. terms and conditions)?
    • to a dividend, interest or other return from the issuer
      • Which?
      • How is the return determined?
      • What is the payment method of the return in practice?
      • Do the tokens have a due date or maturity?
    • to a service (or product) of the issuer
      • What service or product?
      • When and on what terms?
    • the tokens can be used to pay
      • For what and where?
    • to a return of capital
      • Is the issuer committed to redeem the tokens?
      • When and on what terms?
    • to something else, what?
  8. What is the investor’s interest in buying the tokens? What arguments are used to market the tokens?
    • expected return
    • use of a service
    • to make payments
    • rise in value
    • earning of additional tokens
  9. What are the subscription terms of the tokens?
    • How much does one token cost? What is used to pay for the tokens?
    • How are the tokens paid for?
    • Does the subscription have a minimum/maximum amount per investor?
    • Are all subscriptions accepted?
    • What is the “subscription period” of the tokens?
  10. When and how are the tokens transferred to the investors who participated in the ICO? Who is responsible for this?
  11. How are the tokens stored? Is storage provided by a third party (custodian)? In what country does the custodian operate, and is it authorised?
  12. What kind of proof of ownership of tokens do the investors receive?
  13. Does someone keep a record of token holders? Who has information about them, and where?
  14. Can the tokens be conveyed freely to anyone? Do the buyers of tokens receive the same rights has the sellers had?
  15. Can tokens be acquired from somewhere after the ICO?
  16. Will the tokens become subject to trading somewhere?
  17. Is the number of tokens limited?
  18. Are all of the tokens offered in the ICO similar to each other? In other words, is it all the same to an investor which token he or she owns?
  19. The laws of which country are applicable to the tokens and the ICO? Where are possible disputes settled?