The resource aims to provide a comprehensive, voluntary framework to enhance transparency in the digital assets market and enable informed decision-making for potential buyers.
Stakeholders have until January 31, 2025, to submit comments on the “Proposed Information Guidelines for Certain Tokens Made Available in the United States” (the Guidelines), which were published last month by a select group of legal and business experts in the area of digital assets and blockchain.
The Guidelines aim to identify and elicit material information about a category of digital assets (or tokens), sometimes referred to as “native DLT” tokens, to enable market participants to make informed decisions when buying, selling, utilizing, evaluating, or accumulating such tokens. Key areas highlighted in the Guidelines include information on the token offering and sale; material participants; governance; the token’s DLT system, network, protocol, and ecosystem; token supply and vesting information; financial information; and risk factors.
The Guidelines are meant to be flexible and could be used to inform related requirements under different regulatory regimes and industry standards.
Latham Partner Zachary Fallon collaborated with the Global Digital Asset & Cryptocurrency Association (Global DCA), Global Blockchain Business Council, the Digital Chamber, and the Proof of Stake Alliance in developing the Guidelines.
Zachary was a member of a Senior Steering Committee of legal and business scholars, practicing attorneys, and former federal regulators who are subject matter experts in those areas of US law most relevant to digital assets.
Comments should be submitted to Global DCA via email here.