I am quite new in the ICO boom. I understand ICO's from the technical point of view - issuing your own token for exchange of ether, then selling ether and you have funds for your project. But I don't quite understand the law structure of it. Why one would need to establish an ICO in Switzerland, as it's promised to be a cryptovalley ? Can't I just establish my ICO in my home country ( in this case Poland ), gain ether through ICO, sell it on my local crypto exchange and do the job ? For the time being cryptocurrency industry is not regulated in Poland so far, but there is no legislation which prohibits doing it. Do I need to establish a company in that case or can I do it as a private person ? As I said I am quite new, so thank's so much for patience :). Thanks, Michael
You can do it all as a private individual. But the question is should you.
Consider at least the following:
- Even if there are no distinct crypto laws in your country, it doesn't mean you could do whatever you want. I doubt it'd be legal to raise shitloads of money from an ICO as an individual in any case. But, that's a legal issue and I doubt we have many lawyers answering here.
- Organizing an ICO is not a small task. Sure, you can copypaste the token code and launch it, but you'd also want someone to buy the tokens. That requires a lot of effort and manpower (and various other resources, such as money).
- Taxation. You do have to pay taxes for the income. An income for a company is a lot easier to explain/justify than for an individual.
In some countries (for example USA) the life of ICOs is made rather difficult. I'd imagine some countries have quite an opposite stance - perhaps they even encourage ICOs and give tax exemptions and what not. There is a reason why ICOs are being organized in Switzerland more than in random other countries (just don't ask me what the reasons are).