Considering an Initial Coin Offering (ICO) to fund your firm’s future?
Token generating events and ICOs offer a peer-to-peer channel for capital to flow between user and tech firm, granting blockchain start-ups easier, faster and cheaper access to funding than ever before. However, it’s not all smooth sailing or risk-free. In the absence of explicit requirements, ICO fraud is unfortunately a reality.
We believe that blockchain-platform and cryptocurrency (e.g. Bitcoin, Ether) companies can only flourish longer-term when companies and investors are protected. Regardless of whether you are regulated, you still have fiduciary duties to your customers, investors and stakeholders. As regulatory authorities all over the world scrutinize businesses operating with cryptocurrencies, you need someone that speaks their language.
Strong blockchain links
KPMG connects and exchanges with nodes around the world, including Frankfurt, Silicon Valley, NYC, London, Luxembourg and Singapore. Our dedicated Blockchain and ICO team in Switzerland has a proven track record advising successful, credible token sales from crypto-market intelligence platforms, blockchain technology platforms, mobile payment solutions and multicurrency wallets.
Operating from the heart of Zug’s Crypto Valley and the head office in Zurich, we have deep, long-standing relationships to business associations, tax authorities and relevant blockchain communities. We can put you in touch with local associations and tech companies that support your ICO while we represent you in dealings with the authorities. Building on our in-depth knowledge of the ICO space, our global network and reputation, we are uniquely positioned to connect you with supportive stakeholders and get your start-up off the ground.
KPMG’s ICO expertise
- Screening for suitability. KPMG assesses a company’s ICO readiness prior to accepting the ICO mandate. If we think a project is suitable, we set prudent conditions for going forward, including a cap on the ICO, proper records and transparent token distribution.
- Assessing your needs. When it comes to designing the legal and tax structure for an ICO, each company will have different priorities. We’ll conduct an initial workshop with you to assess your needs and ensure that your ICO meets KPMG’s high standards.
- Regulatory support and advice. Depending on the functionality of the chosen token model, an ICO or the people involved in an ICO may be subject to licensing or other regulatory requirements under the current financial markets law. We are closely monitoring the regulatory developments concerning ICO and support you in the communication with the regulators (e.g. FINMA).
- Guiding the process. An ICO isn’t without challenges: navigating complex accounting rules and reporting requirements, pressures on time and resources, and managing new stakeholders. We help you face these challenges by ensuring you are well informed and prepared for what lies ahead.
- Getting the right business structure in place. Because there’s no one-size-fits-all solution, our approach is clear. We support you with respect to the implementation of an established, accepted and transparent structure – not necessarily a foundation – to best fit your company.
- Obtaining tax rulings. Although Switzerland has seen several successful ICOs already, they’re still something of a novelty. We help you liaise knowledgably with the authorities as you enter new tax territory.
- Anti-Money Laundering (AML) and Know your Customer (KYC) services
- Relocation services for individuals and companies
- Advisory services to related business branches like mining companies, crypto exchanges, etc.
- Incorporation and accounting services
- Payroll, employment and social security services
- Tax compliances services for individuals and companies (considering special requirements and treatment of cryptocurrency aspects and issues)