A Guide Through the Common Features of Digital Asset Generating Events
New developments in the area of distributed ledger technology
01 August 2019
The Luxembourg House of Financial Technology (LHoFT) has published a working paper aimed at providing an analysis of the existing regulatory and legal framework and its application to the fund raising mechanism called Digital Assets Offering or Digital Asset Generating Events (DAGE), as well as discussing certain options to address these offerings within the Luxembourg regulatory framework in the future.
The purpose of this paper is
- to provide a conceptual framework to analyse the types of DAGEs undertaken,
- to analyse current Luxembourg regulations and Laws in place in order to determine which may apply to DAGEs (notably with respect to security-like digital assets), and
- to consider whether any of the current Luxembourgish Laws and regulations in force as of the date hereof should be adapted, given that some features of these instruments were not previously foreseen by the legislators.
The paper is the result of a collaboration between LHoFT and several Luxembourg law firms, including Clifford Chance Luxembourg.