| Popis: |
In this paper, we attempt to lay down a regulatory framework for Blockchain Protocol Tokens, addressing both ICO Tokens and Cryptocurrency. We demarcate 3 broad classes of tokens, further divided in 5 types based on their nature, and risks for both regulators and consumers. We then propose one of two regulatory approaches: strict compliance with existing laws, or incentivized adoption of guidelines, depending on the function and purpose of the token concerned. We have sought to preserve the intended purpose of different ICO Tokens while setting compliance requirements, in accordance with existing laws, including Securities Regulations, Tax Laws, Companies Law and KYC norms (“KYC/AML/CFT”). Though we have placed our regulatory framework within the Indian legal system, the principles and approach we have adopted should be apt for most jurisdictions. |
